• Tja@programming.dev
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    5 months ago

    So you mean that banks are dumb and give away money for free and then just take the losses and repeat thr process?

    • clutchtwopointzero@lemmy.world
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      5 months ago

      Actually banks take collateral that is normally not what the private equity firms target and that actually seems to work, but the consequence is that hard assets of the firm (offices, buildings, hardware, cash, etc) are essentially given up

      • starchylemming@lemmy.world
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        5 months ago

        so think of your company as a horse

        you sell it to someone for a nice price thinking the other one wants to ride the horse just like you did. but they are actually a butcher and make horse sausage out of it.