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Money, it’s a gas. Grab that cash with both hands and make a stash. Or so said Pink Floyd.

3 excellent reasons for US investors to invest abroad.

If you’re an European company trying to raise money in Silicon Valley, you’ll know the song’s chorus quickly: If you ain’t here, you’re not raising money. That’s pretty silly.

Reason 1: US Taxation is a mess, and leads to trapped cash.

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Okay, so there’s no language barrier, but there may be a cultural difference or two.

Ergo: Companies are moving abroad

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Burger King: Now technically a Canadian company.

‘Investing the money’ could take many different guises — real estate, shares in other companies… Or M&A activity.

Trapped cash means acquisitions

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Activision’s purchase of King Entertainment was largely done with Trapped Cash, causing a huge effective discount over using profits that had already been taxed in the US.

Reason 2: Less competitive market means better deals

Reason 3: Oh, and wages aren’t insane

I’m just going to find a cash machine…

VC companies are futurists and enablers of technology. Investing locally only just seems as if it’s too easy, too shortsighted, and too limiting.

Written by

CEO of Konf, pitch coach for startups, enthusiastic dabbler in photography.

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