We strive to make this a business that benefits humanity. The owners will give away at least half of their profits from the business. That’s right, 50% to charitable causes! How many businesses can say that? We support education, equal rights, secular government, scientific advancement, the end of discrimination, and mitigation of human existential and wellbeing risk.
How do you define owner’s profit for this purpose?
HRP does not pay out salaries and has no employees. We run a low cost organization and only invest in other businesses. Most money HRP earns will be reinvested to help grow the business. This reinvested money is profit for the business, but not for the owners until they either receive dividends or earn capital gains from selling shares. The owners’ profits are reduced by the amount they invest in the business. The owners pledge to give at least half of the after-tax profit they receive from dividends and capital gains to non-profit organizations. For example, if the owners invest a total $1,000,000 into HRP, have $100,000 in expenses (such as tax, legal fees, accounting, etc.), make investments and reinvestments in films and other ventures, take $200,000 in dividends, and later sell the business for $1,500,000, then the profit to the owners would be $600,000. ($1,500,000 sale + $200,000 dividends – $100,000 expenses – $1,000,000 owner investments.)