Elio Crowdfunding

[Okie51]

I upped my amount a little(small investor) so we can see rest of p6-p30 built. I lost about 15,000 when Wachovia got greedy in 2008. I have more faith in Elio. Go Paul and team!

 

[LillyMayPatterson #1685 & #5648]

Okay... So what does this mean? Is it to use as leverage for the loan to show interest?

Good Morning $25,401,450 greeted me this morning. I believe that is exactly what it means. Remember they must prove they don't need the loan to get a loan. And that is how it usually works. BTW, Badboy's question was timely. Sometimes folks need reminding and reassured. I am folk. Oh, it is going to be a lovely day.

 

[LillyMayPatterson #1685 & #5648]

Note all the qualifiers. Please remember that should this funding be pursued (highly likely), this will be a PUBLIC offering. This means it is open to the public at large. Each participant thus far has merely provided a convenient e-mail address to receive the actual solicitation in the form of a prospectus.

Noted, Thanks for the explanation.

In contrast with EM reservations, there is no line you (and I) are standing in. In a standard IPO, if the offering is anticipated to be oversubscribed, the issuer can increase the number of shares offered; this is what Facebook did. I have not seen any guidance as to whether the A+ regulation would permit this.

I don't know.

Significantly, the "testing the waters" phase began with a goal of the maximum permitted by the regulation, i.e., $50 million. Did EM receive guidance that this likely could not be achieved in the time they allotted? Now that would be a good question to have answered. And most importantly, does this mean that this potential offering would only raise half as much capital as was initially hoped for?

I believe WE guessed Elio was going for the $50 million and set up OUR clickers to that amount. I don't think Elio or SE did it. Makes sense to me.

 

[Ekh]

They did not raise $25 million. They got a list of folks who "say" they will commit x amount of dollars and those folks cannot be held to their offer. Interested in why it takes one million dollars per car to get the next 25 built.

My understanding is that the $25mm covers the testing as well as construction. Sure hope that's the case.

 

[bowers baldwin]

 

[Ekh]

Happy to see EM achieved their revised goal of $25 million expressions of interest in the "testing the waters" phase of this potential stock offering. Note all the qualifiers. Please remember that should this funding be pursued (highly likely), this will be a PUBLIC offering. This means it is open to the public at large. Each participant thus far has merely provided a convenient e-mail address to receive the actual solicitation in the form of a prospectus.

In contrast with EM reservations, there is no line you (and I) are standing in. In a standard IPO, if the offering is anticipated to be oversubscribed, the issuer can increase the number of shares offered; this is what Facebook did. I have not seen any guidance as to whether the A+ regulation would permit this.

Significantly, the "testing the waters" phase began with a goal of the maximum permitted by the regulation, i.e., $50 million. Did EM receive guidance that this likely could not be achieved in the time they allotted? Now that would be a good question to have answered. And most importantly, does this mean that this potential offering would only raise half as much capital as was initially hoped for?

I may have this wrong, but my understanding is that Reg A+ is not the same thing as a "public offering" because there remain some qualifications for the investor -- max purchase is no more than 10% of net worth (minus house) or 10% of gross income, whichever is greater. The SEC authorizes the company seeking funds to contact those who expressed interest and directly solicit stock purchases from these people. Moreover, the shares issued may not behave like common stock; they may, for instance, not have voting privileges, which would be important to EM. They may carry a restriction on how long they must be held before they may be sold. Etc -- and we won't know until the formal solicitation is made.

My point is that Reg A+ is NOT a public offering in the general sense of the term. It does allow the company to directly contact people who have expressed interest (once SEC approval is granted) and offer them the chance to buy equity in the company.

Like you, I think it's interesting that EM elected to "downsize" the goal for the SE campaign from the max allowable $50mm to a more reachable $25mm. My guess is that this was partly a timing decision -- they wanted to show public interest NOW, and get cracking on the SEC filing. $50mm, if reachable at all, would have taken much longer. The actual amount they can raise is not limited to the goal set in the test-the-waters phase (if it is, they're nearing half a million over limit as I write this). I've read that they can invite people to increase their investment when the actual solicitation is made.

This is new territory. EM has wisely put managing the campaign in the hands of their lawyers. And they sure have made an impression with the $25mm goal! Go Elio!

 

[HHH]

I stand corrected.
The securities offered on the Site are only suitable for prospective investors who are familiar with and willing to accept the high risks associated with private investments, including the risk of complete loss of your investment. Securities sold through private placements are not publicly traded and, therefore, are illiquid unless registered with the SEC. Securities will be subject to restrictions on resale or transfer including holding period requirements. Investing in private placements requires high risk tolerance, low liquidity need, and long-term commitments. Users must be able to afford to lose their entire investment. Investment products are not FDIC insured, may lose value, and there is no bank guarantee.

And I believe LillyMayPatterson is correct. Initially SE was only providing a percentage, rather than a dollar amount and a goal to be achieved. Our assumption was that EM was striving for the $50 million max that is permitted under Tier 2 A+ SEC funding regs. I mistakenly assumed that as well.

 

[bowers baldwin]

 

[AJ Maxey]

Another $12,000 in just 10 minutes.

 

[CompTrex]

My brothers.
Some of you need better hobbies! This constantly looking at these numbers is going to kill you. I did that for a while with stocks. Drove me nuts!
That being said, keep the information flow coming!