Today many artists and inventors and businessmen rely on donations. But a system where the donation is rewarded with shares would be better.

Then, if the business eventually becomes successful, they will get back dividends. It’s a much more inviting concept. Having shares in something really makes people loyal, in a way that being a donor does not. It would generate much more money IMO.

Patreon (or the ethical alternative whose name I forget) could add this option without much difficulty. The new relationship would be a powerful improvement. It would lead to more and better-funded independent projects everywhere.

  • Sagar Acharya
    2·
    3 years ago

    Most donation based things are loss making. They just consume money. You can mail them and ask for giving money in exchange for a stake in their organization.

    • roastpotatothiefOPM
      2·
      3 years ago

      That’s okay. Nearly all of the valuable things in this world are loss making. I donate to some of them myself. It’s not so important whether they eventually become profitable or not. It’s that the donor will be more motivated to donate, and to donate more and more regularly.

      • Sagar Acharya
        3·
        3 years ago

        Interesting. The issue here lies in decision making. The person with majority equity stake can enforce their decision in the company. The solution to this ofc is to take away voting rights and divide equity into voting + economic shares and just economic shares. Then distribute the economic shares to the donor.

        • roastpotatothiefOPM
          1·
          3 years ago

          That’s one of the choices alright. TBH I’m not talking about literal IPOs. That already exists and there’s too much faff involved, which is why nobody is using it for this purpose. The way I envisage it (though maybe this can be improved on) it would be more like a paid membership. It wouldn’t even be legally binding.

          You could do votes/surveys among the donors, where voting power is proportional to payment. It would be an extra fun thing to make people happy to invest, like how there is often free merch or priority tickets etc.

          • beta_tester
            1·
            3 years ago

            I think if you donate money to someone who makes free software and you have an issue or feature request or anything the dev likely at least considers it.