In the coming months, I will be exploring strategies and stories that could help create a new option for startups: Exit to community. In E2C, the company would transition from investor ownership to ownership by the people who rely on it most. Those people might be users, workers, customers, participant organizations, or a combination of such... See more

What if there were another way? What if a startup that successfully builds a community could opt for an exit to ownership by that community?

When a startup exits to community, founders should see enough of a reward that they feel their risk and hard work was worth it. Investors should see a fair return for their risk. Most importantly, the key stakeholders should know the company is worthy of their trust and ongoing investment because they co-own it. For a social-media company, this... See more

The first is a stockholding trust, inspired by more traditional employee stock-ownership plans in the U.S. The goal of the trust would be to acquire 100% ownership in the company over a period of time by buying out pre-existing outside investors.