Rigged by Design: How Private Equity Killed Toys “R” Us

When Toys “R” Us shuttered its doors, the popular narrative pointed fingers at Amazon and the rise of online shopping. But the real story ran much deeper: one involving a leveraged buyout, billions in borrowed money, and a private equity playbook designed to extract value at all costs.

In this episode, we break down exactly how the deal was structured, explaining private equity terms in plain language and revealing how the strategy left Toys “R” Us burdened with unsustainable debt — and why similar tactics are impacting other industries today.

Whether you’re a founder, investor, or mission-driven buyer, you’ll come away with a clearer understanding of how capital moves behind the scenes, and how to structure growth so it protects your purpose instead of undermining it.

---