To be fair to the massive multibillion dollar megacorporation…
It’s a private credit fund, where you invest money specifically to loan it to corporations at high interest rates, hoping they’ll pay it back, while a lot will just kind of go defunct. Loan sharking for corporations as an investment asset. It’s meant to be semi-liquid, not like a regular bank.
It’s often used for things like when a private equity fund wants to do a leveraged buyout of a company, where the company gets saddled with a ton of debt in exchange for the investors getting to milk it dry. Including companies I know you’ve heard of like Red Lobster, Toys R Us, Joann Fabrics, and a lot more.
Again, loan sharking, but for corporations. Can’t exclude them from exploitative financial mechanisms!
To be fair to the massive multibillion dollar megacorporation…
It’s a private credit fund, where you invest money specifically to loan it to corporations at high interest rates, hoping they’ll pay it back, while a lot will just kind of go defunct. Loan sharking for corporations as an investment asset. It’s meant to be semi-liquid, not like a regular bank.
It’s often used for things like when a private equity fund wants to do a leveraged buyout of a company, where the company gets saddled with a ton of debt in exchange for the investors getting to milk it dry. Including companies I know you’ve heard of like Red Lobster, Toys R Us, Joann Fabrics, and a lot more.
Again, loan sharking, but for corporations. Can’t exclude them from exploitative financial mechanisms!