NEW YORK ( TheStreet) -- I feel obligated to kick off this article with a caveat: This is not a recommendation to buy Facebook's ( FB) IPO.
First of all, let's face it: You have little chance of getting Facebook shares in the IPO. Second, you never want to buy an IPO at the open on day one. Third, you have to be incredibly cautious buying an IPO early on. Let the price gyrate wildly and the dust settle before you make any meaningful commitment. Facebook could be one of those IPOs that goes up and only up. I guess that makes points two and three bad advice. That's fine by me -- I will take cautious before overly aggressive each day of the week. You'll have plenty of time to hop on the bandwagon. This is a long-term, highly-sustainable and scalable business; it's a myth that Facebook is a fad or run by some green punk.
The Reward Is in the Risks
Facebook filed an amended S-1 on Wednesday. Generally, the risk factors section of these and other Securities and Exchange Commission filings contain plenty of boilerplate and several legitimate concerns. For every example of a simple copy and paste, you have another entry where, in unusually candid fashion, a company discloses something investors should take under advisement. Often, these warnings do not present anything we did not know before, but the formal language a company must use sets them up in a different light. As I read through Facebook's risks, I turned increasingly bullish. Let's review some the risk factors that piqued my interest. Our culture emphasizes rapid innovation and prioritizes user engagement over short-term financial results. In other words, Facebook is a perpetual start-up. More on that in the amount of time it takes you to read the next line. Our CEO has control over key decision making as a result of his control of a majority of our voting stock. If I went home with Jenna Jameson, I would let her run the show. If somebody is good at something, there's no reason not to give them complete control. This is particularly true at perpetual start-ups such as Facebook. Mark Zuckerberg -- with 57.3% voting power after the IPO -- renders Facebook's board of directors powerless. Do you really want Netflix ( NFLX) CEO Reed Hastings to have any legitimate say whatsoever in Facebook's future?