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Sharing The Wealth – Uber & Airbnb

Both of these are brands everyone has heard once or twice, wouldn’t you agree?

They allow people to lend their tool and provide a service.

The goal is to improve peoples lives by sharing resources.

But it’s not all rosy for two companies with some bad press, coming from both of them. The things like racial discrimination that happened at Airbnb and Uber drivers not able to make ends meet.

There is something missing with both of these companies.

Recently both companies are suggesting a better kind of sharing. With letters to the Securities and Exchange Commission, both companies are asking to have a rule changed. This rule change they would like would allow them to have the ability to distribute stocks to its Uber drivers and Airbnb property hosts.

These two companies are only possible because of its drivers and property hosts.

Currently, when you have a privately owned company like Uber and Airbnb you can only give equity to investors and their employees. Uber and Airbnb drivers and property hosts aren’t considered employees.

This isn’t the first time Uber and Airbnb have been looking at doing something different. The concept of sharing isn’t new.

With Airbnb who is preparing for its initial public offering on Wall Street, having the loyalty of property hosts can help with its stock price.

The goal is to make it more profitable for everyone.

If the companies are permitted to share company stock it can allow a broader distribution of the wealth the company generates. This can even give them the ability to govern, with voting rights or even board seats.

This tactic could better align the business of online platforms with the interests and needs of their users. This also could be used as a tool for early-stage startups to attract and motivate user-owners.

Uber and Airbnb are recognizing the importance of more of a sharing economy. This has the ability to turn them into a more successful business.

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Sharing The Wealth – Uber & Airbnb

by Sonia Landry time to read: 1 min