Elio Crowdfunding

[cantwait]

Wait, is that what the SEC filing says? You better check because everything that Elio is, was or will be doing is spelled out in there.

Good catch. Actually, the SEC filing says that they would have $1,668 per vehicle to cover labor, overhead, interest, warranty costs, marketing, research and development, taxes, profit, etc. There is no confirmation that profit would be $1,000 per vehicle.

From page 12 of the Offering Circular:
Actual BOM costs can vary up or down during vehicle development as engineering changes are made and validated through testing. Through continuous product refinement during vehicle development, supplier negotiation closer to production and scale economies post-production, this cost gap is typically bridged. While design-decision driven costs are within our control, the commodity price fluctuations driven by energy prices are beyond our control. Additionally, the estimated $7,600 retail price is based on a 125,000 annual production volume and a BOM cost target of $5,654 that management expects to achieve at start of production. At 250,000 annual sales, we believe we can achieve the target $6,800 retail price due to lowered BOM costs (a target BOM cost of $5,132) resulting from economies of scale. Our management believes that based on the public response received to date, selling 250,000 vehicles per year at the $6,800 retail price is achievable.

 

[Coss]

Good catch. Actually, the SEC filing says that they would have $1,668 per vehicle to cover labor, overhead, interest, warranty costs, marketing, research and development, taxes, profit, etc. There is no confirmation that profit would be $1,000 per vehicle.

From page 12 of the Offering Circular:
Actual BOM costs can vary up or down during vehicle development as engineering changes are made and validated through testing. Through continuous product refinement during vehicle development, supplier negotiation closer to production and scale economies post-production, this cost gap is typically bridged. While design-decision driven costs are within our control, the commodity price fluctuations driven by energy prices are beyond our control. Additionally, the estimated $7,600 retail price is based on a 125,000 annual production volume and a BOM cost target of $5,654 that management expects to achieve at start of production. At 250,000 annual sales, we believe we can achieve the target $6,800 retail price due to lowered BOM costs (a target BOM cost of $5,132) resulting from economies of scale. Our management believes that based on the public response received to date, selling 250,000 vehicles per year at the $6,800 retail price is achievable.

That was being said in a sarcastic way; the SEC filing is not the carved in stone belief you think it is.

 

[cantwait]

That was being said in a sarcastic way; the SEC filing is not the carved in stone belief you think it is.

Apparently you must think that I am REALLY stupid.

Note: The "good catch" should have given you a hint that I caught your sarcasm.

 

[Rickb]

I didn't find the tone in cantwait's post sarcastic and/or humorous. I find the detailed information EM provides in their SEC Filing document to be interesting, accurate, and believable. EM's SEC required financial status is carved in stone.

EM's projected funding needs and most everything else needed too get the Elio to production is based on ever changing business plans, cost estimates, and future sales projections and are certainly not carved in stone, but give the reader a much clearer understanding of EM's current business status and what still needs to be accomplished to get the Elio to production.

 

[cantwait]

Rick, I was trying to be sarcastic, funny, and serious at the same time. It's a tough job, and I apparently failed. The "good catch" was supposed to show that I understood Coss's sarcasm, and called. The facts from the SEC filing was a raise.

Now I'm trying to play poker as well? Never was any good, and haven't played for decades, so that is probably a bad example.

Back on the serious note, I really do think the SEC filing is the best insight into Elio's operations and plans that we have. IMHO, they come very close to the transparency and disclosure that Elio has always promised.

Whether Elio wasn't always clear, or we just heard what we wanted to hear, the SEC filing lays the numbers out in a way that is much more difficult to misinterpret. For instance, when Elio said that they had raised $70 million dollars, many of us thought that meant that they had most of that still in the bank, other than what they had spent on equipment. The financials showed much less cash, and much more debt than some of us expected.

Now we have a pretty good idea of what Elio plans to do, and what they need to do to reach full production. They have given us their plans, albeit in an outline format, so we can observe for ourselves just how close to the destination they/we are. So, yes, I do suppose that I take the SEC filing pretty seriously.

Anyway, Happy New Year!, everybody.

 

[John Painter]

Anybody else get the stock subscription agreement email?

Yes.

 

[Rickb]

If it wasn't for the transparency in EM's SEC Filing all we have is overly optimistic Future Elio Owner's speculation and various levels of pro & con Elio Facebook chatter. I take the SEC Filing VERY seriously too. As the self proclaimed King of both sarcasm and humor, I am becoming less tolerant of Elio targeted sarcasm and humor after eight years of supporting this Startup's Concept. I should be 'starting up' my White Hot Elio this very minute, for a midmorning coffee run. Realistically, the Elio is still a long way from production.

Happy New Year!

 

[Mustangblue01]

Anybody else get the stock subscription agreement email?

I received another email today stating that my investment is now official.

 

[John Painter]

Not yet. What's it say? And who did it come from??

It says (sensitive data X'd by me), and there's a 12 page electronic Subscription Agreement (not attached here):

Dear John Painter,

Congratulations, your investment is now official! We are sorry for the announcement delay, but because of the high volume of investments, the holidays and the federal clearing process, we are processing daily to get subscription agreements out as soon as possible. This notification means that your order is complete and your signed subscription agreement is attached.

This email is your investment confirmation. These shares will be issued and reflected on the books and records of our stock transfer agent, VStock Transfer, LLC. There will not be a paper confirmation or stock certificate mailed to you. You will need to coordinate with your stock broker to arrange for these shares to be transferred to your brokerage account electronically once eligible.

Company: Elio Motors Inc.
Offering: Elio Motors
Securities Type: Equity
Your Investment: $ X
You Own: X shares

 

[Mustangblue01]

There will not be a paper confirmation or stock certificate mailed to you. You will need to coordinate with your stock broker to arrange for these shares to be transferred to your brokerage account electronically once eligible.

Any guesses as to when the shares will be eligible?