Failing as an entrepreneur doesnt mean financial ruin, it means you have to get a regular job, just like the rest of the people that work for you.

failing is more complicated than this though. I've thought a lot about it. For an entirely online business, maybe. But if you have any sort of physical product, clothing as a simple example. Unless you're literally drop shipping/middle-manning this shit you have a significant infrastructure and capital investment/cost.

For one thing you need the capability and knowledge to be able to design and manufacture clothing. You need to be able to market it, you need to be able to test it and refine it, you need to be able to optimze the design so it can be produced easily. You need to spend time making product, packing product, inventorying that product, and eventually, shipping that product.

Sure you can pay other people to do this for you, but that's not how this works. You probably have to rent some sort of commercial space, or lease it. You need to outfit that space to work for your needs, you need to hire people to work for you, and you need those people to operate as an extension of you so they can operate most effectively, which requires both a lot of training and upkeep in terms of informational knowledge. You still need to deal with marketing, inventory, and shipping as well, that never goes away. You might continue doing design, you might do collaborative design now. And i haven't even mentioned tax or regulations and laws around this kind of stuff yet.

and if the business fails, you still have all of these assets, all of which you have to deal with, product being the worst asset, because it's effectively valueless. The assets you own in terms of equipment and materials might have some base value, but it's not much. If you have a lease that's going to be a bit of a nightmare to deal with. Not to mention the time and skill investment made into this business as well.

if you put all of these things together, and some arguably irresponsible financials this could very well spell financial ruin for a company and it's owner. Especially for small businesses, small business owners tend to be some of the most charitable business owners out there.

IDK why you keep saying they just have to go get a job, that's completely irrelevant here, considering that that was literally the risk to begin with. And you're ignoring all of the previously mentioned context as well. Seems like a downplay of the risk present.

The working class sharing the risk part is about when the owner class makes decisions that go poorly, the working class is pushed to make up the difference or they are downsized. The owner class doesnt bear the risks of their mistakes in any way other than financially.

sort of? It's not really shared risk, in some senses it is, because you might single-handedly bring down a small business if you really fuck something up, but just dont do that. You might be pushed to work more hours, or do more things, but i'm not sure what the legal basis is for that, and most of that would be done entirely on the working individuals side. Obviously working at a small company there is always the risk that the company goes under, but that's true for every company, and every job. People who work in trades/commission based fields will tell you this. People that do freelance will lament about this fact. It's nothing new.

Also to be clear, it's not explicitly capital investment, capital is the primary risk, but you also risk losing/wasting time, and knowledge as well.

and regardless, this is a different risk. The workers aren't risking their personal capital or investor capital on something. Their investing time and energy into a thing they believe in, in return for money. If that stops, they can "go get another job" as you said. They have quite a bit more flexibility here than the business owner. Since they don't have responsibility for any of these assets.

The owner class doesnt bear the risks of their mistakes in any way other than financially.

i would also like to point out, that in the term "capitalism" is the term capital, which means money. How else are they going to bear that? Emotionally?