Bain Capital, A net plus or negative for Mitt?

[Remodeling Maidiac]

From Romneys website:

In 1984, Romney started the venture capital firm Bain Capital, LLC. (4),(5)

At Bain Capital, Romney helped start new companies and turned around failing ones. He was behind the start up of Staples. Starting with one store in 1986, Staples now is the world's largest office products company with $24 billion in sales in 2009. (4),(6) He also helped companies such as Sealy, Brookstone, The Sports Authority, and Domino's. (4)

Michael Rees, writer for "The Journal of the American Enterprise Institute", observed the following about Romney's business success,

"During the 14 years Romney headed Bain Capital, the firm's average annual internal rate of return on realized investments was a staggering 113 percent. At that growth rate, a hypothetical $1,000 investment would grow to $39.6 million before fees. Few, if any, VC firms have ever matched Bain Capital's performance under Mitt Romney."(4)

In 1991, Romney went back to Bain & Company as the C.E.O. to rescue the failing company. He convinced all partners to give him unilateral authority and restructured the company with an emphasis on transparency while maintaining focus on clients. After a year, the company returned to profitability and Romney returned to Bain Capital.(4),(7)

Mitt Romney | Setting the Record Straight


In my opinion its a net plus. Mitt, unlike Obama, clearly has experience in what does and doesn't work when trying to revive a failing business (ie our economy)

 

[JakeStarkey]

I believe it will be a negative but not a major issue.

 

[eflatminor]

To anyone that understands Capitalism, it's a positive because it shows he understands it. The extent to which he advocates crony capitalism, and he does, is another subject but having run Bain is good thing for any non-socialist leaning voters I'd say.

 

[Remodeling Maidiac]

I believe it will be a negative but not a major issue.

It very well could be. I believe it will hinge on how he handles it.

He needs to focus on it head on and explain the business clearly. Diffuse it before the general.

 

[Remodeling Maidiac]

No one cares to opine?

 

[imbalance]

It's a total net plus by far as evidence of how to successfully restructure underperforming operations. Eliminating waste and poor decision making is always a necessity.

 

[Zander]

What Mitt and Bain engaged in is called "Capitalism". If you think engaging in Capitalism is wrong, there is a lovely "worker's paradise" just 90 miles off the coast of Florida. It's called Cuba and they will accept you with open arms. Free healthcare too!!

 

[Amelia]

I believe it will be a negative but not a major issue.

It very well could be. I believe it will hinge on how he handles it.

He needs to focus on it head on and explain the business clearly. Diffuse it before the general.

^^^^

agree.

It SHOULD be a positive. I think it probably will be a net positive. It depends on how well he explains things.

 

[jillian]

I don't think Bain Capital is ultimately going to matter at all...

 

[ABikerSailor]

Bain capital ended up killing around 15,000 jobs.

How many people did the companies that were restructured but not closed hire?

If they didn't hire more than 15,000 to cover the jobs they killed, then Romney isn't a job creator.

 

[Remodeling Maidiac]

Bain capital ended up killing around 15,000 jobs.

How many people did the companies that were restructured but not closed hire?

If they didn't hire more than 15,000 to cover the jobs they killed, then Romney isn't a job creator.

That is not the only company Mitt was involved in. Besides that ALL of the companies Bain was involved with were already failing so Bain rescued many jobs. Why don't you use some of Obamas math on "jobs saved or created" to figure it out.