Few people in the United States today have the same level of insight into the tech world and tech businesses than Shervin Pishevar. As the founder and CEO of Sherpa Capital, one of the most important venture capital firms in Silicon Valley, Shervin Pishevar has proven that he has the golden touch when it comes to finding and funding the next big names in tech.
But as one of the most astute observers in the tech world, Shervin Pishevar has also come to a number of ominous conclusions about the structural difficulties currently facing the United States. In a recent tweet storm, the famous entrepreneur addressed a large number of pressing issues that are confronting the country. One of those issues is the unavoidable development of nomad entrepreneurs and the consequences that will face the United States if it handles their advent the wrong way.
Shervin Pishevar says that the world is becoming an increasingly globalized place for those who have the means to take advantage of the ways in which countries can directly compete with one another. For example, Pishevar points out that tax rates between various jurisdictions can radically differ as can the rules for such things as incorporating businesses and whether or not someone is taxed on earning that they make outside the country. In particular, Pishevar says that the United States has some of the worst rules in this regard, a leftover relic from a time when American society enjoyed far higher levels of general trust and feelings of civic duty than are prevalent today.
The consequence, he argues, is that the talented capitalist class is acutely aware of what a terrible deal they are often receiving for running businesses in the United States and maintaining citizenship in the country. Pishevar says that, when millions of dollars per year in personal and business taxes are at stake, today’s globally inclined entrepreneurs won’t hesitate to relocate to jurisdictions in which they are treated better. Because Pishevar says that he personally knows many entrepreneurs who are offshoring, this effectively means that the United States is already extremely uncompetitive. The country risks serious gross tax revenue declines if it keeps running off its most productive citizens.