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Bitcoin preserves corporate purchasing power
โThe reality, I think, for most businesses, especially if they have to accumulate any hard assets on the balance sheet, is like 10 percent purchasing power loss every year. So $10 million of working capital cash gets you $8 million worth of stuff in a year. That's a huge, that's an important piece of the business to have optimized.โ
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Private companies should adopt Bitcoin treasuries
โThe opportunity is similar though, which is accumulating Bitcoin on the balance sheet for businesses is augmenting the performance in the balance sheet, whereas the historical fiat landscape for running businesses is all based on the P&L. So you start to accumulate this hard asset, it gives you optionality to do other things.โ
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Bitcoin forces operational business efficiency
โBitcoin is this forcing function to make you efficient, to make sure that you're not adding a ton of bloat to your organization. Then on top of that, once you get to profitability, and you're looking pretty like when you go back to market, and Bitcoin is appreciated, that takes two or three years, the value of the business is looking good, and then you have incredible optionality as a founder.โ
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Navigate shareholder dynamics when buying Bitcoin
โI think boards think about this anyway, because they certainly don't want you sitting on cash, but usually it's, hey, reinvest in the business. But if the reinvestment in the business is like a 10, 15 percent return on invested capital, you probably want to evaluate other options a la Bitcoin. It's a lot less work to sit in Bitcoin and clip that success.โ
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Bitcoin provides optionality for business exits
โI have a decade of experience helping private business owners raise capital, whether that's selling the business, raising debt or equity, and recently brought that skill set specifically to the Bitcoiner business owner sector. Anyone with the mindset of a Bitcoiner should probably get advice when it comes to raising capital or selling their business, from someone with the mindset of a Bitcoiner.โ
