

Who Cares About Majority Ownership Anyway? - markpeterdavis
http://www.markpeterdavis.com/getventure/2009/04/who-cares-about-majority-ownership-anyway.html

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russell
I am in favor of entrepreneurs keeping control, because I have seen second
rate VS's and others damage startups. Putting a group of doctors in control in
a recipe for failure. But there are a couple of huge caveats: you must not let
your emotional attachment get in the way of your judgement and you must be
able to tell when you are in over your head. Advisors who know more than you
do are a must.

OTOH if you need bags of money, you may not have any choice. If you are so
lucky as to have competing investors, pick the most savvy group, not the one
who takes the least equity.

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Flemlord
What a ridiculous article. The majority shareholder votes in the board, who
makes all the big decisions, and indirectly makes all the minor decisions
because they vote in the executive team. Without majority ownership, a founder
can go from being Chairman/CEO and running all aspects of the business to
being banned from the premises and prevented from working in the industry or
talking to the press. I've seen it happen.

Not all founder-investor relationships are hostile, and the founder isn't
always right. But to suggest majority ownership is irrelevant is ludicrous.

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vaksel
Right here

