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re: Considerations before purchasing a small business?

Posted on 6/16/13 at 7:45 pm to
Posted by GenesChin
The Promise Land
Member since Feb 2012
37706 posts
Posted on 6/16/13 at 7:45 pm to
Wouldn't the dividend increase in the long run though due to less shares?
Posted by TheHiddenFlask
The Welsh red light district
Member since Jul 2008
18384 posts
Posted on 6/16/13 at 9:15 pm to
No, because they would be using a ton of cash to buy the shares back.

Buy backs are a just a (generally superior, tax wise) alternative to dividends.
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