Everybody knows about Tom’s shoes. Blake Mycoskie is a serial entrepreneur He was the guy that started a laundry business in his college dorm, and later sold it. He also started other million dollar businesses and sold them, making a great living for himself. But what’s really interesting, was his most recent venture. 5 years ago, he was working on an educational software, with a few close friends. The idea had the same million dollar feel that his others did, after all he had a good deal of experience at this point. But, his heart just wasn’t in the educational software. He then went on a long trip to South America with a friend, and came back with a new appreciation for the world. With this he wanted to prove that he could start a business, whose business model could inherently give back. Toms was born, and the social-good business model along with it.
Toms started in LA, as a shoe design. If you look at the show, it is mostly made out of a canvas wrapping that ends up being somewhat of a walking/outdoor slipper. They are great to slip on, light enough where your feet don’t feel the burden of carrying a shoe, and aired out enough where your feet don’t sweat. the design is great. What is also great, is that it is really cheap to make. That is great for Blake. But, Blake’s core business model is interesting. He calls it 1 for 1. When you buy one pair of the shoes, they give one to a child in need. It explains the hefty price tag of roughly $100/pair. But he makes it so that your heart just feels good when you buy a pair. You are buying and giving back at the same time. Its like riding in a limo– but you are also buying it at the same time..
The main point I want to highlight in the post, is that we have to stop looking at business owners, entities and the US corporate structure, as a harmful, power-hungry organization. We have to start realizing that the “corporate structure” may very well be the entity that saves humanity. Yes, it is true that there are less just and giving companies which seem power hungry, but the better companies realize the value.
To tie it back to Mark Zuckerberg’s most recent charitable donation this week, I want to stress a few things. Yes, he did set up his charity as an LLC. This means that he plans on going with the business model of LLC, to make his charitable donations. He may set up an actual company to move forward on the tasks of making the world a better place, much like he said he would in the letter to his daughter. What so wrong with this? Others like to point out the fact that he is only setting up the LLC structure, to shield a larger portion of his wealth from taxes and other debts. Let’s put it this way. Would you rather see millions (Or maybe even billions of dollars), of Zuckerberg’s money go to a LLC where he intends to do charitable works, or would you rather have it go to Uncle Sam. I can tell you that I 1000% would rather see it in another Zuckerberg business, as opposed to the black hole and corrupt practice of US taxpayers dollars set aside for random allocation.