Private equity is akin to toxic poison for everyone who isn't one of the (very few) general partners who bask in obscene amounts of scrooge-mcduck money. Think of making a cool $30 million+ a quarter, per partner -- thanks real estate (and apparently, emergency medical services) "investments"! This is a direct funnel to syphon money from the workers to the ruling class. That's even more cash than the top brass at FAAGs make.
How can this phenomenon be reigned in and sorted in the medium to long-term?
It's a loss for everyone (99.9999%) except the miniscule quantity of winners (0.0001%, yes, that's 1 in 1,000,000 - there aren't that many large-scale P/E firms). Housing owned by P/E couldn't be more soul sucking. Scratch that, this applies to every case I'm aware of where P/E firms own a thing.
Anecdote: Last month my dear old dog was suddenly very ill and I spent $12k on emergency surgery to save his sweet life. No regrets, I'm grateful he was fixable. But in the waiting room I did the conservative math for what the SAGE Emergency Veterinary Hospital in Redwood City, CA makes in a year (before the comparatively small overhead, tax-deductible expenses) and they are pulling in at least $30 million in this single location. That's.. a lot, for many 20 total staff. Also they charged me $500 for each follow-up visit, which is way more than my real life surgeon charged me earlier this year! (Even including insurance, he didn't charge much for the follow-ups to make sure I survived.) Damn.
For the dog lovers out there: Doggo is alive and well, can maybe last another year or two we hope.
Btw, who owns SAGE? NVA, a P/E firm.
https://todaysveterinarybusiness.com/sage-veterinary-centers...
https://www.crunchbase.com/organization/national-veterinary-...
How can this phenomenon be reigned in and sorted in the medium to long-term?
It's a loss for everyone (99.9999%) except the miniscule quantity of winners (0.0001%, yes, that's 1 in 1,000,000 - there aren't that many large-scale P/E firms). Housing owned by P/E couldn't be more soul sucking. Scratch that, this applies to every case I'm aware of where P/E firms own a thing.
Anecdote: Last month my dear old dog was suddenly very ill and I spent $12k on emergency surgery to save his sweet life. No regrets, I'm grateful he was fixable. But in the waiting room I did the conservative math for what the SAGE Emergency Veterinary Hospital in Redwood City, CA makes in a year (before the comparatively small overhead, tax-deductible expenses) and they are pulling in at least $30 million in this single location. That's.. a lot, for many 20 total staff. Also they charged me $500 for each follow-up visit, which is way more than my real life surgeon charged me earlier this year! (Even including insurance, he didn't charge much for the follow-ups to make sure I survived.) Damn.
For the dog lovers out there: Doggo is alive and well, can maybe last another year or two we hope.
Btw, who owns SAGE? NVA, a P/E firm.
https://todaysveterinarybusiness.com/sage-veterinary-centers...
https://www.crunchbase.com/organization/national-veterinary-...