It sucks tho... He is really smart ( genius I would say ), genuinely driven by doing good for society but stuff like this will hurt his reputation as a business man and maybe even his integrity as a Human. I think his ego got the best of him, for him to pull a stunt like that, instead of tapping out and telling truth about cash flow... The problem is, issues like this will affect his image on much more important projects like SpaceX and Neuralink
You're right. I like him too, to a point, while I wouldn't want to be in his shoes. He is often between rock and a hard place, and there is no good or right decision he can make. He mentioned a few months ago how Tesla was near bankrupt, while such admission can also create some legal liability. But this is general problem of all public companies as they are always under pressure to satisfy investors. On another hand they wouldn't exist without investors. Tesla's major backer, Thiel, understands this and is pretty forgiving and helping out. Other than that, it is what it is. I wish Tesla survives while at the same time looking for trading opportunities whichever way it goes.
If he is smart, then this innovative cash management strategy is also smart. Which part of the system is illegal? Doesn't a smart capitalist in an interventionist economy use the system to his advantage? Earning interest on revenue before paying tax seems like a boon for investors.
i can't recal exactly, but iv read of something simillar ( ,,shady" ? ), in his bio book, maybe that was happenin back in his paypal days. I think his brother found out and to qoute : ,, Elon if this goes to public, were done " I admire him tho. Inspiring person imo. For some what is evil to others is good. And if that evil is for a greater good of whole mankind...?
tax evasion isfraud tax avoidance is legitimate- he is smarter than the IRS, this looks like a simple accounting mechanism. You know rednecks block Tesla charging stations with their idiot wagons? Yup it's a thing now.
There is no evidence of that. Selling luxury cars for the rich with tax breaks isn't good for society. But firing old timers because the newbie employees are cheaper is definitely not good for society. So stop spreading myth... But going back to the topic, they are screwing every suppliers by stretching out payments so why wouldn't they play games with taxes??
Every large company does this. As someone who completes software projects with a team for a living, I take a lot of risk when contracting with large companies. I mitigate that risk by 1) starting off small, 2) staying small. I've turned down 3-5 million dollar projects because I know the game. It's not worth it for me. It would have to be worth at least 10 million for me to waste time crossing t's and dotting i's. The best thing I have in my arsenal when someone doesn't pay is: No one in my team will ever be on a project for you again. Usually the guy who approves the cheques goes back to the sponsor and asks if that is OK, never yet heard back in a negative way for me. Haven't lost a dollar yet, but sometimes they take a while to arrive. So if small suppliers are getting screwed, they are commoditized. That's their fault. But make no mistake: every large company does this.
I agree. But how many companies ask for a retroactive discount? I also read about a Dutch company that went bankrupt because of Tesla not paying them... Hell, they wouldn't even pay for transportation but the train company took their cars hostage until they coughed up the money.