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I'm kind of inclined to say that this stuff happens all the time. The wealthy seed investors make out like bandits, take their money and leave the masses to hope to make money where they can. :(

I completely agree and I"m not suggesting the salary needs to be what the person is worth, but it should be something. It took me years to figure this out myself, but when I did it improved the way I ran my business. The right amount depends on the business owner and it can be reviewed...

I understand what you're getting at, but keep in mind that Virgin Australia deliberately ran at a loss for years in order to gain market share. It could be argued that they employed negative gearing as part of their business plan. It happens all the time. The difference between Virgin and...