Curt Schilling Says He Lost $50 Million on Video Game Company
Curt Schilling, the former Boston Red Sox pitcher, said in an interview today with WEEI-FM that he lost more than $50 million on his video game company 38 Studios.
"I'm tapped out," he told the Boston radio station. "The money that I had earned and saved in baseball was all gone. ... I put everything in my name in this company. I believed in it. ... But I'm not asking for sympathy. That was my choice."
Schilling, who said he never took a salary from 38 Studios, explained to ABC News his business philosophy prior to the release of the company's first game in February.
Maybe that savvy investor advised the athlete to "invest" in a "business venture" to divert funds to a numbered account, file for bankruptcy and claim stupidity.Parrotpaul wrote:...or that everyone will look after the athlete's best interests.
In Schilling's case, I heard an interview with him last year, he made it sound like he was very involved in the day-to-day operations of this company, all the better to claim the jock defense, maybe.
People I know that incorporated then chaptered never lost all of their own money, I always assumed that was the point of incorporating, so you don't end up in a cardboard box if the business fails.
Yes, protection from the loss of personal assets is absolutely one of the reasons for incorporating. However, if I have $50 million and I face the risk of losing ANY of it in a start-up video game company, I don't make the move. When is enough money enough money? Did Curt really think the video game industry is so new and immature that it didn't already have a bunch of very savvy video game minds who knew more about the business than he did? Hubris and greed are almost always a combination for disaster.18echo wrote:People I know that incorporated then chaptered never lost all of their own money, I always assumed that was the point of incorporating, so you don't end up in a cardboard box if the business fails.