So Daddy did well in business and left you a couple of hundred million dollars, but rather than lie on beach earning five percent you really fancy joining the ranks of the billionaire super-rich, well this is how you do it, it’s risk free, totally safe and guaranteed to make you super wealthy. Follow my step by guide and you too can be enjoying the billionaire lifestyle, be hailed as a hero of capitalism and a real master of the universe.
- Set up an holding company through which to start your enterprise, we shall call ours Rand Capital Investments, you might want to register it in a tax haven such as the Caymen Islands, Jersey, Switzerland or Monaco.
- Transfer your personal assets to Rand Capital Investments, you will now be able to use those assets to leverage finance for a company purchase, if you have assets of $200 million you will be able to raise up to $2 billion in capital from the banks. Unlike ordinary people in business you wont be struggling to raise finance, you are already rich.
- Find a company that is asset rich but struggling for either cash flow, turnover or market share and buy it using your $2 billion of leveraged capital.
- Transfer the debt taken on in the purchase from Rand Capital Investments to the company you’ve purchased, clearing Rand Capital Investments debts. Charge the company a large consultancy fee for arranging the transfer of debt. This will not only make you money but will reduce the companies tax liability. And you still own the company!
- Sell off the profitable divisions of the company, reducing the company’s debts and improving the balance sheet, for each sale charge the company a large consultancy fee. If you use the revenue from the sell off to reduce company debt this avoids the need to pay tax.
- Now you are left with just loss making divisions it is time to sell the remainder of the company, the best buyer is obviously the company’s own pension scheme who will want to buy the company to try and save their own jobs.
Congratulations, you’ve turned your $200 million into $2 billion and because you had the foresight to register Rand Capital Investments in a tax haven you don’t have to pay tax.
Sadly this is the way that capitalism works, it is risk free, your strategy doesn’t depend on being able to turn a company around and create new business, it is simply about making your money work for you, it is 100% legal moreover it is openly encouraged by American, Australian, European and British governments.
That’s Capitalism Folks!