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Showing posts with the label surplus capital

Just my thoughts #0821

Emotions : The human brain is mainly connected to emotion-related circuits rather than logical circuits involved in comparison, prediction, reasoning, and judgment. It’s believed that developing circuits for logic and reason is necessary for intelligence , but actually, human judgments and decisions are controlled by emotion-related circuits. Humans need a variety of emotions to think clearly and make well-informed decisions. Inspiration comes from emotions. To succeed in business and invest wisely, you must be emotionally resilient . Emotions need to be active to feel and respond to crises effectively. This is also why you should have abundant access to art . Emotions evolved to be advantageous for human survival. - Joseph’s “just my thoughts”

Just my thoughts #0093

A shareholder is the owner of a company. A shareholder is someone who invests capital in a company. There are three ways for shareholders to take money from the invested company: 1) become an executive or employee and receive wages, 2) receive dividends after settlement, or 3) receive remaining assets (liquidation property) excluding debts when the company is liquidated. A third party investing in the company is directly irrelevant to the existing shareholders in cash flow. Despite the shareholder owning the company, there is no way to share the surplus capital caused by the investments among the existing shareholders other than 1) and 2) except for company liquidation No. 3. Let me be clear: receiving an investment does not guarantee benefits for the company. It simply covers future costs and expenses in advance. Capital inducement means increasing the heavy duty of leaving profits, not being given profits unconditionally. - Joseph’s “just my thoughts”