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Anonymous

Can anyone please explain me the royalty thing which is shown in shark tank like I'm dumb? Like, every time I see, they demany different type of royalty with different terms. Like, royalty on a revenue. Royalty on a profit. Royalty on a every goods s

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Anonymous

Anonymous 1

Hey I am on Medial • 12m

The logic behind it is to maximize short term profits for investors. All there is an incentive, for the founder to speed up sales, and overall growth of the company as after the payout, they won't have any burden, so the process of growing both for the company and the founders stay hand in hand.

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