If all you have to pay employees with are actual earnings from your business, you are limited in how rich you can make them. If you can pay them in supermoney—especially in the super-supermoney represented by stock options (the right to buy a stock at today’s price but with no obligation to do so until it has appreciated in value), even more so if it is in supermoney cubed (pre-IPO stock options at 90% discounts from what even the venture capitalists are paying) you can hire the best talent. If you have access to supermoney, you can operate for years at a loss. This is one reason—not just the
...more
