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Billionaire Mark Cuban Says If His Tax Rate Was Zero, He'd Build a Company 'So Stinking Profitable' Employees Would Get Paid Every Time He Did
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If taxes disappeared tomorrow, would workers actually see more money—or would companies just keep the difference? Billionaire entrepreneur and Cost Plus Drugs co-founder Mark Cuban says that question misses the bigger point. In a 2019 GQ video where he answered fan questions, Cuban focused on something else entirely: who owns the company before the money ever shows up. The premise sounds fair, but he says it's flawed The question put to Cuban was straightforward. If his tax rate dropped to zero, would he give that extra money to employees? "I'll tell you exactly what I would do," he said. Don't Miss: Think Your ‘Safe' Stocks Protect You? You're Ignoring the Real Growth Triggers — Here's What to Add Now Caught With Nothing Saved for Retirement? These 5 Game‑Changing Tips Could Still Save You "If taxes went to zero, and I don't think that's a good idea, but if taxes did go to zero, I would invest in the company to make it as big and profitable," Cuban said. "So stinking profitable, that because the employees are owners, whenever I got paid, they would get paid too." His answer shifts the focus. It is not about handing out money after profits are made. It is about structuring the business so employees are already tied to those profits. Broadcast.com turned ownership into real money Cuban pointed to a deal he knows well. "If you remember what I said about Broadcast.com, when we sold the company, out of 330 employees, 300 own shares of stock and became millionaires," he said. When Yahoo acquired Broadcast.com for $5.7 billion, about 91% of employees held equity. That meant the payout reached far beyond leadership. Trending: Think you're saving enough for your kids? You might be dangerously off — see why Cuban has said those employees did not just see gains on paper. Along with stock value, he made sure payouts included real cash tied to the sale. At the time, giving that many employees ownership was not common. It drew criticism. It also created hundreds of millionaires. It wasn't just one company, he says he did it every time Cuban's example did not stop with Broadcast.com. "In every business I've sold, I've paid out bonuses to every employee that was there more than a year," he wrote in a post on X in 2024. That expands the pattern. The approach was not tied to one moment or one company. Across multiple businesses, he said employees who stayed shared in the outcome when those companies were sold. It lines up with what he described in the GQ interview. Ownership during the build. Payouts when value is realized. See Also: Before you make an offer, ask these 6 questions every homebuyer should know — or face serious regret later. Why he says ownership changes everything Cuban drew a clear line between earning a paycheck and owning part of a company. "When you get paid by the hour, sure, the more you make, the better things are," he said. "But if you own stock in a company, then the better that company does, the better you do." "The only way to get out of that mode of getting paid by the hour or getting paid a salary, is if the company grows as big as it possibly can," he said in a GQ video. For Cuban, growth is what unlocks that shift. A larger, more profitable company creates the outcome—either through cash generation or a sale—and employees with equity are part of it. That is the model he keeps coming back to. Not a one-time boost tied to taxes, but a system where employees benefit alongside the business itself. "As homes and workplaces are redesigned for robots and AI, investors can explore Direxion funds that track technology innovators and automation leaders, letting everyday investors participate in the trends shaping the future. Read Next: Experts say these common ETF pitfalls can catch new investors off guard Image: Imagn UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga: APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Billionaire Mark Cuban Says If His Tax Rate Was Zero, He'd Build a Company 'So Stinking Profitable' Employees Would Get Paid Every Time He Did originally appeared on Benzinga.com © 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.