Enterprise tax

Corporations bought, closed or moved and Enterprise Tax -289.24B SC$

Profit Payments and Cash Transfers 120.97B SC$

Income from Dividend from Public Corporations 157.66B SC$

121+158=279
279-289=(-10Bil)
so I lost 60 bil/ real day

I know this had been discussed before, and I like to bring up this matter. All my corp is making maximum profit, they were at 130+ welfare, and yet my enterprise is losing money because of enterprise tax.

I mean if the GM wants to control our sim$$ by taxing it away, I can understand since it apply to everyone, fair, but not to the extent of going negative.

As the enterprise grow, profit should be more, can be any entity, as it grows, the growth should grow in correspondent. Even if you tax 99% profit away, still the growth should correspond, but here the tax grow more than the profit which I don`t get it.

And I only had 698 corp and no way near 750 which they say is the limit. So we pay 30 gold coin a month to maintain an enterprise for what, negative profit.

Now I am selling away my corp hoping to see profit and whether ENT Tax goes down and all this doesn`t make sense at all.

Can GM please comment.

And the tax is still rising.

Corporations bought, closed or moved and Enterprise Tax
-290.92B SC$

When we look at your Finance for this month you made a +20B total.
Besides that there are quite a lot Corps located in sub-optimal countries that have bad Welfare negating whatever good other adjustments you did.

Try to move those Corps out of bad Welfare/high Tax Countries and you will settle at about +100B/month in no time.

Enterprises are indeed at a disadvantage to earning income compared to the potential of a country, must less an empire, largely due to the enterprise tax. Note that it is an empire that shares the same upkeep cost as an enterprise. I have posted before on this subject on the Suggestions Forum with the title "Remove or Reduce Enterprise Tax".

Corleone could masterfully manage his enterprise and would still fall far short of the income of any of the 10 countries of my empire on LU. If the enterprises were not required for game level, have such useful refreshing spending caps, or offer such a maintenance upkeep advantage for stowing away weapons, they would have little utility at all in the game.

Exactly, Aries, any of my newest and smallest slave make more than my enterprise.
The income of the enterprise was overly nerfed, I make money by trading resources more then the corp profit.

BorgQueen, whenever I found any country inactive and welfare dropped, I move them out. I don` think +100B/month is possible, not forgetting that these days, you can`t find so many 0 tax country like it used to be.

I tried, and the tax just get higher.

In a perfectly run CEO (i.e. all corps located in countries with 120 welfare or better, none over 30% tax and all corps being of one of a handful of steadily profitable types) the absolute profitability breaking point is 2,500 corps. No matter what you do you cannot make a profit once you hit 2,500, and even then it has to be a perfectly run CEO just to break even.

I went up to 2,900 corps and it got really bad. At 2,900 corps I was losing $300B per game month while my corp. profit was $1.5T per month. I've dropped almost a thousand corps in the last several weeks and I'm still losing money currently.

My best was at around 1,200 corps I think, I was clearing $300B profit per game month. Again, that's while following the 3 golden CEO rules: only having corps in 120+ welfare countries, no tax over 30% and only certain profitable corp. types.

Ultra Vires, I believe in what u experience that there is profit in a perfectly run CEO.

However, in a smaller player base these days, there isn`t so many 0 tax countries, and I had to settle for 10% or even 20%,and some just get inactive in no time.

I been moving corp round and round. and the effort is just too much, profit so little and there are ways to make money more easily(ie trading)

I am just making a point to the GM that they over nerf enterprise profit. Why would people spend gold coins maintaining enterprise when eventually the profit get so little, except for the points that Aries had pointed.

Corleone: I completely agree with EVERYTHING you just said, although I should clarify that my $300B/month profit was about 5 months ago, so it was definitely inside this player generation, not back in the halcyon days.

I went up to 2,900 corps just to see how high I could push it before it became totally impossible.

The GMs want players to have no more than 750 corps, I expect because they're afraid that if they don't limit it people could start affecting the market.

The is no real effect ANY Player can have on the market after the Price-binding Change they made about 2years ago. Even a Monopoly on a product doesnt give you any control about the market, had that on KB on vital product Production Plants, but beside keeping the product on lowest possible Price in this System there is absolutly nothing you can do.

Offer > Demand -> Low Prices, you loose Money.
Offer < Demand -> Little higher Prices -> C3s start to build Corps if Players dont
Demand >> Offer -> Products Magically appears out of thin air
Demand << Offer -> See Offer > Demand

The spending caps already limit players from affecting the market, it is more a ploy to make people spend GC to start 2nd enterprise.

BTW, did any study if got to make a choice between 20% tax 130 welfare or 0% tax 115 welfare, which is a better choice.

So, what's the reason for the 750 cap then?

If one is imaginative, there are at least several ways that players can manipulate the market in their favor. It doesn't take the form most often envisioned, some type of monopolistic control of a product, but there are ways to shape the market to make money or to make available things that you need.

Spending caps are often not the limiting factor. A combination of an empire of several well-run countries and an enterprise can open up substantial spending when needed.