Would You Buy Stock In Yourself?
One interesting way to think about the value of anything is to ask if you would buy stock in it. For example, would you buy stock in Unqualified Opinions? What about Permanent Equity? Capital Camp? Columbia, Missouri?
Me? I’d buy stock in all four of those things, which is why I live where I live and spend my time doing what I’m doing.
I’m also long Sporting Columbia 2012G Navy, The Interrupters, and mushroom hunting, but that’s fodder for another day.
Now I know an easy objection here is “What’s the price?” And that’s fair. Price matters to the success of a transaction. But for the sake of argument here, let’s just assume fair terms.
The reason I think this is an interesting framework is because it forces you to consider whether or not you would give something capital. That’s powerful because providing capital to a person, place, or enterprise is one of the most meaningful things you can do. Not only does it fund that entity, but it shows that you have confidence in it, that you trust it and expect it to increase in value over time, and that you want to spend your time learning more about it or being helpful to it.
It’s been a weird, dystopian idea for a while now but every now and again someone will set up an exchange where people can sell stock in themselves. This is uncomfortable for a lot of reasons, but I think it keeps popping up because the kernel of it is interesting and comes from a place of positivity.
But no, I’m not proposing it.
Instead, I’d suggest making a list of all of the things you spend time on and the people you spend time with and ask and answer the question, “Would you buy the stock?” And, of course most importantly, “Would you buy stock in yourself?”
Have a great weekend.
– By Tim Hanson
