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Public Corporation Questions

Topics: Help: Public Corporation Questions


Saturday, July 23, 2016 - 01:44 am Click here to edit this post
Hello everyone, new here and any help would be appreciated.

So i now have a few nicely profitable corporations within my country. They became eligible for IPO's and so i went ahead and made them public. Their profits have most certainly gone up. My questions stem from how having my corporations as public can help me?

As far as i could tell, when they go public, even when i control them, i lose my profit share that i normally get from state controlled corps, so thats bad.

Also, correct me if im wrong, i don't think i get the apparently high payments you normally get outside of taxes from private corporations?

So im wondering where i gain anything from the corporation going public whilst still firmly in my control? Is it mainly from dividends from my owned shares or something?

From what i have looked at, it seems to suggest the best way to go is to try and get an enterprise to buy a controlling share of the corp? So then i get all the private corporation advantages? But i don't own a corp to do this? Should i try to sell the shares of to a friendly enterprise owner? Or the other way seemed to be making the corp truly public or something like that? Where i only own 25% of the shares, but still have control is that right? It seemed that i cant do this with the standard country portfolies buying shares in my corporations, which seems to be the only way to offload them?

Any help would be greatly appreciated, thanks!


Saturday, July 23, 2016 - 06:05 am Click here to edit this post
There is so much to say about when you ipo corporations and what the pros/cons are.

You get paid for the shares you sell, directly towards your country/enterprise the corporation belongs to.
Once and if the corporation becomes truly public meaning no controlling country/enterprise has at/over 25% shares( this does not include investment funds )your corporation can upgrade to 250 quality and efficiency, which if done with a lot of corporations can greatly free up more workers to put in more corporations. Also the profitability of truly public corporations is much higher then state or even enterprise controlled corporations.
If you have an empire with 3 or more countries you can buy your own shares in investment funds between countries which are paid out to your workers increasing income tax and population spending.

You can not manually put in or take out cash in public corporations. If they are making losses they'll eventually start taking loans. If and when they hit around the money cap which I believe is 200B they will do lump sum payouts respectively to its shares holders. Which means if you only own say 24.98% shares of that corporation you will only be getting 24.98% of the cash payout. This is also true with profit sharing. You will only get 24.98% of the % profit share. The other 75.02% will go towards the other share holders. However to combat this most experienced players set a very high 75 tax so that most of the earnings go towards the country, since taxes are taken out before profit share. In other words, country controlled public corporations are often better then enterprise controlled public corporations.
Another con, this one being the biggest con is that if you don't own over 50% of the shares someone else can gain control of the corporation. Which is why it's important if you're planning to make truly public corporations to try to buy up the shares when they're cheap in your other countries. A country can own up to 40% shares in IF funds. So you can technically fully own a truly public corporation with 2 countries owning up to 80% shares and the main owning 20%.

So to put it in my perspective. My opinion on this issue is that public corporations are only good if you make them truly public. If not you won't be getting 100% from the corporation. However making a truly public corporation with correct share management will greatly increase your profits. I try to make all of my countries have around 100% truly public corporations with 75 tax and 100 profit share. However this won't work if you have a lot of foreign ceos in your country because they don't like high taxes. Now with enterprises owning these corporations. It is only beneficial in that you can reeducate housewives and rehabilitate disabled workers. A foreign ceo owning a public corporation in your country is no better then you owning the corporation unless you have low taxes and aren't able to use your own enterprise to manage your Enterprise Controlled Public Corporations.

There's more to it and it's all over the forum if you look. I just said what I know about public corporations. To my knowledge Aries empire on LU has the best management when it comes to public corporations and how he uses the IF dividends.

Edit: With your Income from Enterprises look at the enterprise corporations in your country and look at their Profit & Loss section. "Country Resources Used" is the payment the corporation pays out to your country. Add them all up and you get your Income from Enterprises total. One thing I noted from truly public enterprise corporations is that they don't really add much more to your Income from Enterprises. Just tax.

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