This post article was produced by a Romney supporter who contributes to the site “RightOSphere” and who refers to 
himself as “Bosman” with a profile image of a koolaid pitcher with Obama’s face on it. So impressed were the administrators with Bosman’s latest post, that they decided it was worthy to make front page. In doing some highly effective research, Bosman came across some very valuable and insightful information into Mitt Romney’s business backround and points out that Romney could have left Bain as a Billionaire, but instead desired to keep Bain “stocked” with 
plenty of money while taking much less for himself.
While browsing a post here Wednesday, I came across a discussion about Sarah Palin and her contract demands for any appearences/speaking engagements that she makes. In that discussion Mitt Romney’s name appeared. Someone commented that when Romney left Bain Capital, that he could have made billions but instead left the company with much less as to not hurt the company or its investors.
I had heard this before and had never seen any hard evidence that this was in fact the case. So I decided to do a little investigating. I searched through Google and came across information On Bain and Mitt Romney at Wikipedia. That information is as follows:
HISTORY:
Bain Capital was founded in 1984 by Bain & Company partners Mitt Romney, T. Coleman Andrews III, and Eric Kriss. In addition to the three founding partners, the early team included Fraser Bullock, Robert F. White, Joshua Bekenstein, Adam Kirsch, Stephen Pagliuca and Geoffrey S. Rehnert. Bain Capital’s original $37 million fund was raised entirely from private individuals in mid-1984.
The firm’s investment professionals evaluate potential deals based on a consulting-based due diligence process that analyzes a company’s financial performance, market growth potential, industry attractiveness, and competitive position. One of the fund’s first start-up investments was Staples, Inc., the $15 billion office supply retailer. The funding enabled Staples to expand from one store in 1986 to nearly 1,700 in 2006.
Twenty years after its inception, Bain Capital manages approximately $65 billion in assets, and has founded, acquired, or invested in hundreds of companies including AMC Entertainment, Brookstone, Burger King, Burlington Coat Factory, Domino’s Pizza, DoubleClick, Guitar Center, Hospital Corporation of America (HCA), Sealy, The Sports Authority, Toys R Us, Unisource, Warner Music Group and The Weather Channel.
So I’ve found that Bain Capital had 65 Billion in assets as of 2006 and that There were 3 founders that included Mitt Romney. But how did Bain Happen? Who was Bain? How did Romney get involved?
From Wikipedia:
In 1977 he (Romney) was hired away by Bain & Company, a hot new management consulting firm in Boston that had been formed a few years earlier by Bill Bain and other former Boston Consulting Group employees. Bain would later say of the thirty-year-old Romney, “He had the appearance of confidence of a guy who was maybe ten years older.” With Bain & Company, Romney proved adept at learning the “Bain way”, which consisted of immersing itself in each client’s business, and not simply to issue recommendations, but to stay with the company until they were effectively changed for the better. With a record of success with clients such as the Monsanto Company, Outboard Marine Corporation, Burlington Industries, and Corning Incorporated, Romney became a vice president of the firm in 1978 and within a few years one of the its best consultants. Romney became a firm believer in Bain’s methods; he later said, “The idea that consultancies should not measure themselves by the thickness of their reports, or even the elegance of their writing, by rather by whether or not the report was effectively implemented was an inflection point in the history of consulting.”
Romney was restless for a company of his own to run, and in 1983 Bill Bain offered him the chance to head a new venture that would buy into companies, have them benefit from Bain techniques, and then reap higher rewards than just consulting fees. Romney was initially cautious about accepting the offer, and Bain re-arranged the terms so that there was no financial or professional risk to Romney. Thus, in 1984, Romney left Bain & Company to co-found the spin-off private equity investment firm, Bain Capital. Bain and Romney spent a year raising the $37 million in investment money needed to start the new operation. As general partner of the new firm, Romney was frugal and cautious, spending little on office appearance and finding the weak spots in so many potential deals that by 1986, very few had been done. At first, Bain Capital focused on venture capital opportunities. Their first big success came with a 1986 investment to help start Staples Inc., after founder Thomas G. Stemberg convinced Romney of the market size for office supplies; Bain Capital eventually reaped a nearly sevenfold return on its investment.
Romney soon switched Bain Capital’s focus from startups to the relatively new business of leveraged buyouts: buying existing firms with money mostly borrowed against their assets, partnering with existing management to apply the “Bain way” to their operations (rather than the hostile takeovers practiced in other leverage buyout scenarios), and then selling them off in a few years. Bain Capital lost most of its money in many of its early leveraged buyouts, but then started finding successes with spectacular returns. Indeed, during the 14 years he headed the company, Bain Capital’s average annual internal rate of return on realized investments was 113 percent. The firm’s successfully invested in or acquired many well-known companies such as Accuride, Brookstone, Domino’s Pizza, Sealy Corporation, Sports Authority, and Artisan Entertainment, as well as lesser-known companies in the industrial and medical sectors.
Now It really gets INTERESTING:
In 1990, Romney was asked to return to Bain & Company, which was facing financial collapse. As CEO (but only drawing a symbolic salary of one dollar), Romney managed an effort to restructure the firm’s employee stock-ownership plan, real-estate deals and bank loans, while rallying the firm’s thousand employees, imposing a new governing structure that included Bain and the other founding partners giving up control, and increasing fiscal transparency. Within a year, he had led Bain & Company through a highly successful turnaround and returned the firm to profitability without further layoffs or partner defections. He turned Bain & Company over to new leadership and returned to Bain Capital.
Romney left Bain Capital in February 1999 to serve as the President and CEO of the 2002 Salt Lake City Olympic Games Organizing Committee. His experience at Bain & Company and Bain Capital gave Romney a world view that was business oriented – centering around a hate of waste and inefficiency, and a love for data and charts and analysis and presentation – that he would take with him to the public sector. As a result of his business career, by 2007 Romney and his wife had a net worth of between $190 and $250 million, most of it held in blind trusts. Although gone, Romney received a passive profit share as a retired partner in some Bain Capital entities. An additional blind trust existed in the name of the Romneys’ children and grandchildren that was valued at between $70 and $100 million.
Now, Did I satisfy my curiosity as to his compensation from Bain Capital posed by that comment on yesterday’s post? I feel like I did. Could Romney have taken more away from Bain Capital? Probably. One thing is clear though. It seems that Romney’s compensation package was FAR LESS than it could have been.
After reviewing this business background of Romney, I have no doubt that he has all the talent needed to help rectify our bad economy. I can think of no other posible candidate that could bring this kind expertise to the Presidency and to make the necessary decisions needed to turn the U.S. economy around.
Please Note: There were several sources to back up the facts from Wikipedia. If you follow the Wikipedia links above, you will have access to them.
