“Where in the h@ll does Newt think venture capital comes from for small business and entrepreneurs these days?”
Look back to the story of Simmons. It’s only an example, but it’s an example of a profitable American manufacturing firm being taken private by a PE firm that destroyed it. I’m willing to bet it’s not alone.
2009:
Profits for Buyout Firms as Company Debt Soared
http://www.nytimes.com/2009/10/05/business/economy/05simmons.html?pagewanted=all
By JULIE CRESWELL
Published: October 4, 2009
(Comments are interesting)
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2012:
The Wall Street Journal
BUSINESS
JANUARY 9, 2012
Romney at Bain: Big Gains, Some Busts
http://online.wsj.com/article/SB10001424052970204331304577140850713493694.html
(Comments are interesting)
Bain is a very mixed bag. They financed some companies like Staples and got them off the ground. They straightened out some companies, kept them alive, revamped them so they could compete. Often people had to be fired as these companies were made leaner
Then we get to category three where Bain acquired a company. Stripped out tens of millions in management fees while raiding the pension plans. These pension plans were then bailed out by the Feds. So the taxpayer actually paid for Bain’s profits. These companies went bust
Am reading your second link to the WSJ. Thanks