William Latu’s Blog post touched on the nature of the former CEO of Tinder, Sean Rad’s demotion as well as how the takeover was possible.

One subject that Latu touched on was tech incubators and their role, aiding in the startup process.  I believe tech incubators are a new facet to give entrepreneurs the means and capital to create their startup. With access to funding and some intangible benefits, a tech incubator creates a cohesive environment in the development of a startup or even growth of an already existing one.  Perhaps one of the best things about incubators is they can take someone with an idea and absolutely no knowledge of business and guide and teach them how to bring their idea to market.  Some notable startups that were started in tech incubators are: Reddit, Pebble and Dropbox to name a few.

Taken from:http://blog.up.co/wp-content/uploads/2014/01/tumblr_lvjcxhMnM71qc7mh1.jpg

While this whole process does limit ownership, it also allows a product to be created here it normally would not have been.  Sean Rad only owns a 10% share in his company due to his involvement in a tech incubator.  I think what he gave up was worth it because without Hatch Labs, there is no telling where he would be right now.