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ArticleIt's Not What We Own, It's Whether It's Liquid

It's Not What We Own, It's Whether It's Liquid

Owning 100% of an asset is the same as owning 0% if it's never liquid.

Too often we get hung up on what percentage of a company we own, only to overlook the fact that our equity actually doesn't matter at all unless it's liquidated at some point.

In this case, we're specifically talking about ownership that requires a sale to have value, not two gals in a room splitting annual profits 50/50 (that percentage does matter in that case!).

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