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12 comments

[–] ScorpioGlitch 0 points (+0|-0)

If you can't afford to pay your employees, you shouldn't have them. Advertising and hiring are the last things you should do because there is no guarantee of return for the first and liabilities for the second.

The argument used basically says that anyone could have a business if people worked for free (or practically). Which is funny because this is an indirect way of saying "Let's just get rid of money." And I agree. Get rid of money and you get rid of a lot of corruption, power struggles, war, and poverty.

But I suppose we can't have that.

[–] [Deleted] 0 points (+0|-0) Edited

You advertise and hire before opening day of any business. They are obligate initial liabilities for any commercial venture.

E: I omitted the fact that this is also true for existing businesses, where accrued expenses are recognized on the books before they are paid for.