Comments by "☨St Louis IX opposed paganism, hæresy \x26 debauchery" (@stlouisix3) on "The Ridiculous Rise and Fall of WeWork" video.

  1. Be eccentric, bro.
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  2. 💼 WeWork, the office leasing company, has filed for Chapter 11 bankruptcy protection. 00:30 WeWork's bankruptcy filing was largely expected due to doubts about the company's ability to stay in business. The company's failed IPO in 2019 raised questions about its longevity. WeWork's bankruptcy is not a significant event in 2023. 🏢 WeWork's business model was not sustainable due to lack of demand and high costs. 03:46 WeWork never earned a profit and had ambitious growth targets. WeWork leased properties for long terms but rented them out on a month-to-month basis. The target customers of WeWork were startups and entrepreneurs. 💼 The office leasing company WeWork faced challenges when trying to go public after rapid expansion with support from SoftBank. 06:54 WeWork reached 528 locations across the world and a $47 billion valuation in 2019. When WeWork filed for IPO in 2019, their statements were heavily criticized and met with skepticism. 😔 WeWork has filed for Chapter 11 bankruptcy protection, giving the company an opportunity to reemerge but at a significantly smaller size, while public investors face potential losses. 10:06 Chapter 11 bankruptcy allows WeWork to continue operating while relieving some of its liabilities. The company has renegotiated leases and converted debt into equity, reducing future rent payments. Public investors have suffered significant losses, with the stock down 99% and shares potentially becoming worthless. 💼 The video discusses the consequences of low interest rates on venture capital and the risks associated with investing in unsustainable companies. 13:38 Low interest rates allow unsustainable companies to last longer and investors to be less diligent. Investors are incentivized to take on more risk due to the lack of opportunity cost. Rising interest rates trim the fat and expose unsustainable businesses.
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