21 votes

How private equity ruined American youth sports

3 comments

  1. [3]
    edoceo
    Link
    PE money is all about margin squeeze. Has rekt dentists, vets, funeral homes and nearly everything it touches. Buy and consolidate then raise rates. Generally it's a good deal for the persons...

    PE money is all about margin squeeze. Has rekt dentists, vets, funeral homes and nearly everything it touches. Buy and consolidate then raise rates. Generally it's a good deal for the persons selling the business to them but at-large market competition is reduced - which hurts everyone. Wish I knew a solution.

    4 votes
    1. [2]
      thearctic
      Link Parent
      LBOs weren't legal until Reagan. Just ban them.

      LBOs weren't legal until Reagan. Just ban them.

      1 vote
      1. edoceo
        Link Parent
        LBO is only one method PE uses. I was thinking the monopoly aspect could play but it's also hard to dial in. They are just an oligopoly

        LBO is only one method PE uses. I was thinking the monopoly aspect could play but it's also hard to dial in. They are just an oligopoly