Games

In my opinion game studios should not sell out to investors and/or have any stocks as it will lead to profit making the calls eventually. It is tempting to get a bunch of investment, I know it would make my game studio easier to run right now, but then you are constantly reminded how it all ends up. Don’t like the system, stop playing in it and build your company slowly and organically instead and retain full control.

Same goes for many businesses outside of gaming. Imagine if there was no such thing as the stock market / investors and all companies had to grow on their own merits.

In my virtual studio everyone is their own sole proprietorship contributing to the project off and on and getting compensated fairly for their contributions. They also have their own projects too and may even pay me to help them sometimes. This way everyone assumes their own risk and reaps their own benefits. If any one person on the virtual team has a hit with their project, they retain full control and owe no money back to some shareholders who did nothing but lend money to make money. It does mean I am way slower than if I could just hire everyone full time as employees, but knowing where having investors will ultimately take me, I accept. Plus going slower means more time to sit on things and polish and not feel time pressure to appease shareholders.

Shareholders are a little like getting a loan and depending on how successful you are, you have to pay back more than you borrowed and giving them control on your art. No thanks.