Elio Crowdfunding

[JEBar]

Perhaps this has already been discussed, but it's hard to tell in a 200+ page thread.

I believe this whole charade of "promise" to invest should be viewed with insane skepticism by everybody here. Does anybody here really think Elio will get a legit 25+ million dollars out of this? I just don't see it.

I will be honestly surprised if even half of the "expressed interest" comes to fruition. I think people here need to lay off the optimistic kool-aid some. When you've got people named "Super Man" pledging $500,000 in this total, that should tell you a healthy portion of this "expressed interest" is BS

at this point, nobody knows but I strongly suspect that the folks at Crowd Funding have a pretty good handle on it .... they appear to have made a pretty strong effort to delete pledges from guys like you mentioned .... a good effort for EM could ensure Start Engine as being the leader in this field and that could easily drive their company's future for a good while to come .... my best pure guess is EM will end up realizing close to the $25M target

 

[Cache Man]

When does PE specifically get to touch THIS money?

What I understand is when Elio stops the funding (which could be up to $40M), then they apply to get approval for the investments and then they ask for the money. The timing will be when EM stops the funding. Then shortly after this, the "I Pledge You" offers will be called upon. We will likely not see much about this publicly, after the funding (pledging) closes . It is... the after affect on the government loan that we should be watching then.

I would like to note that the Crowd Funding is more for "Politics or Publicity" than actual funds. It is to show the plausibility and demand of the ELIO Autocycle as it relates to the government funding. The money will help but it is not the game changer.

 

[james92se]

I was under the impression that they removed the "Super Man" crap... I'll bet they'll get the money. Some will be purchasing more than they expressed in the interest, some will back out, but I'll bet if you are wanting to pledge and wait too long, you won't be legally allowed to because Elio will hit the legal cap fairly quickly... Especially once that little P-5 shows up. Huh, I wonder if they could be waiting for that to be done before they offer up the stock... could be.

Didn't realize they caught and removed it. Well good, at least that part isn't falsely being included in the totals. But a lot of my skepticism doesn't stem from the fact of my thinking that this "expressed interest" total is full of trolls (which I suspect does comprise some of it, like Mr. Super Man), but more-so based on human nature. When it comes down to it, lots of people are "interested" and "want" something, but getting them to actually produce the money is elusive.

I'm sure anybody who has ever sold stuff on Craigslist or online knows about this. How many people are "going to come buy it tomorrow" or "on the way" and never show. I've had a buyer for a clutch for 6 months now. Guy keeps saying he wants it, saying he'll pay "next Friday", never happens. It's just how it is. I don't dispute that a of people "pledging" money here are well-intentioned, just highly skeptical that a high enough percentage will actually produce the money when it comes down to it.

 

[Chris F]

If that's the case, that's great! Unfortunately, that may not be the case. This isn't definitive but it isn't looking great either.

Filing an offering circular to the SEC for a Reg A+ offering is a herculean task, nearly as complex as filing a prospectus for an initial public offering. The SEC proffers estimates of $50,000 to $100,000 in legal expenses alone. What is more, it takes the SEC about ten months to approve the average Reg A filing, and even with that delay, the SEC still accepts only 23% of the filings it receives. The hand of bureaucracy moves slowly and expensively.

The page goes on to say the SEC only accepts about 23% of the applicants. The above is found here:

http://www.crowdfundinsider.com/201...re-the-hype-regulation-a-is-not-crowdfunding/

It is also listed here (though they quote 6 months):
http://www.syndicationlawyers.com/reg-d-rule-506c-reg-crowdfunding-powerful-tools-raise-big-money/

That information is outdated. The SEC is really pushing Reg A+, so I think they will expedite. I've worked on a couple of Reg A's, and the hold-ups usually involved financial statement issues. Also, many of the Reg A's in the past were for marginal companies that had substantial business issues, or shell companies without a real business. Under Tier 2 Reg A+, which requires audited financial statements, a lot of those questions go away.

 

[Chris F]

I don't understand why the paperwork for the SEC is taking so long to file. They should have started it the first of JUNE. One of the last interviews with the guy from start engine said they had been working on it making sure the i's were dotted and the t's were crossed, the j's too. That was weeks ago. But, they are dragging this 'water test' out for ever. Yea Yea, they want as many pledges possible. But, the pledges are drip dabbing in. Money in hand is better than promised. Elio can't get the pledge money till the SEC paperwork is approved. SEC can't approve till the paperwork is filed. Why the pussyfooting? JUMP IN THE WATER ALREADY ELIO. I want to see that Stock Offer. What's in it? I'm hoping for something like a tax deferred IRA or another T-shirt? Too loose money that I never paid taxes on won't be as bad. I want to do something to push this along. I want I want I want ! Oh, I need another vacation.
I am also disappointed the P-5 wasn't at the Woodward Dream Cruise. The same shop built four of these vehicles. Shirley, they know how to do it and they got the money in from the credited investors, right?. What's the hold up? I tried to find out myself but was stopped in my tracks by a Beauty Queen (a female one for sure) at the shop.
I need another vacation.

The new rules allow a company doing its first offering to file on a non-public basis to get initial feedback. We don't know if EM took advantage of this procedure. I would, if I were filing the documents.

 

[Chris F]

Even discounting fakes, others like me have expressed interest (a small amount in my case) but have no idea what will be offered in return.

If investing doesn't make sense from a financial standpoint when we see the actual offering from Elio, it'll be a no go.

But, once we see the documents, some people may invest more than their interest. It all depends.

 

[Chris F]

What I understand is when Elio stops the funding (which could be up to $40M), then they apply to get approval for the investments and then they ask for the money. The timing will be when EM stops the funding. Then shortly after this, the "I Pledge You" offers will be called upon. We will likely not see much about this publicly, after the funding (pledging) closes . It is... the after affect on the government loan that we should be watching then.

I would like to note that the Crowd Funding is more for "Politics or Publicity" than actual funds. It is to show the plausibility and demand of the ELIO Autocycle as it relates to the government funding. The money will help but it is not the game changer.

Not quite. They can continue to "test the waters" until the SEC qualifies the offering circular. Then, they send the offering circular to those interested and can take checks. They can stop getting the expressions of interest whenever they want.
And, $30 MM is real money, not politics.

 

[AriLea]

Funding Goal 117% Reserved $29,491,447
$8600 to go to reach 118%, with in the hour I would guess.

 

[bowers baldwin]

Perhaps this has already been discussed, but it's hard to tell in a 200+ page thread.

I believe this whole charade of "promise" to invest should be viewed with insane skepticism by everybody here. Does anybody here really think Elio will get a legit 25+ million dollars out of this? I just don't see it.

I will be honestly surprised if even half of the "expressed interest" comes to fruition. I think people here need to lay off the optimistic kool-aid some. When you've got people named "Super Man" pledging $500,000 in this total, that should tell you a healthy portion of this "expressed interest" is BS

I am still sticking to my 20% dropout prediction. I am at least 100% sure of my $5K

 

[Ekh]

Thank you ChrisF -- you know your onions, more than most of us put together. Very helpful having an investment pro in the forum.