Financing Elio Motors Development And Production

[zelio]

'Farming 101' tells us, that if you don't feed that hen, she will die and that clutch of eggs she's setting on will die also. When we put up our money, at whatever level, we pledged that we supported that hen (Paul Elio) and her eggs (our Elio). Now some are ready to stop believing that hen can/could hatch our Elio and maybe a Golden Goose or two, (if they go public). I have previously stated, here, that I will buy anyone's 1K all in, reservation, with the company's approval, for 499$s, only two at this price, you want lose it all. If you are working with 'Scared Money' and have a feeling this want happen let me know, I'll see if it can be approved.


BTW, if I have no offers on this , I will reserve another Elio, on the lowest tier, for delivery at a latter date.


'A pessimist sees the difficulty in every opportunity; An optimist sees the opportunity in every difficulty'. Winston Churchill

I love that quote! Thanks for sharing it. :-) Z

 

[Dustoff]

'Farming 101' tells us, that if you don't feed that hen, she will die and that clutch of eggs she's setting on will die also. When we put up our money, at whatever level, we pledged that we supported that hen (Paul Elio) and her eggs (our Elio). Now some are ready to stop believing that hen can/could hatch our Elio and maybe a Golden Goose or two, (if they go public). I have previously stated, here, that I will buy anyone's 1K all in, reservation, with the company's approval, for 499$s, only two at this price, you want lose it all. If you are working with 'Scared Money' and have a feeling this want happen let me know, I'll see if it can be approved.


BTW, if I have no offers on this , I will reserve another Elio, on the lowest tier, for delivery at a latter date.


'A pessimist sees the difficulty in every opportunity; An optimist sees the opportunity in every difficulty'. Winston Churchill

Just reserved #2.

 

[goofyone]

I do not have the $7000 cash, but I would be willing to sign a loan agreement, just like I will have to do at my bank to a funding organization that would then loan the money to Elio! The Elio itself would be the main collateral with say $2000 cash from each contributor as a goodwill faith investment. Of course finding a venture source willing to support such a scheme would be enormous! And of course the 30,000 buyers... Just a thought!

I like it. I could see this idea being structured in such a way that it becomes binding to both sides once Elio Motors reaches a certain level of funding.

Essentially the buyer would sign a binding contract where they agree to buy a vehicle for a set base price, $7000?, and put down a predefined amount, $2000?, into an escrow account.
The contract would state that Elio Motors has until a set date to find a certain number of people, 25,000?, who also sign the contract.
If the amount of number of contracts is not met by the predefined date then all deposits are refunded however if this number is reached and the contract is fully executed then the balance of the $7000 would be due within a set time period.
This balance could be paid fully or partly in cash and any remainder could be financed according to predefined terms. (This would be how the financial institution makes money on the deal as many buyers would choose to finance at least part of the purchase)
In exchange for signing the contract the buyers base price would be locked in and Elio Motors would be legally obligated to deliver the vehicles within a certain time period.

I am sure some financial institution and/or investment group would be willing to back this sort of arrangement as the buyers would basically be cosigning a loan for Elio Motors. If EM could actually get 25,000 buyers to agree to this arrangement, @$7,000 per vehicle, this would provide them with $175 million in cash. Of course the issue is that they also must deliver 25,000 vehicles within a certain time period.

 

[AriLea]

Heres an All In thats good for both sides. You put up say $5000 to $7000 up front. The money is non-refundable if the car is built for you. If for some reason the car does not get built you get your money back. Sort of a contract to buy up front. If you walk away after the cars are built you lose the money. Basically this is a put up or shut up on both sides. What do you guys think.

They have to be very careful not to look like a money grab. If the financing is going well there's no need to manage yet another customer program.
It would also backtrack against the 1000 all-in, otherwise then this new program isn't a good deal, get few takers and could look like a failure. So that's not worth it I'd say. One of the best pathways EM has taken is to be steady on the plan and not waiver. Gives a sense of stability and fortitude. A very good character to present for this type of effort.

 

[zelio]

Just reserved #2.

Congratulations, Dustoff! Way to go!!!!! Z

 

[Dustoff]

Congratulations! Way to go!!!!! Z

 

[goofyone]

I like it. I could see this idea being structured in such a way that it becomes binding to both sides once Elio Motors reaches a certain level of funding.

Essentially the buyer would sign a binding contract where they agree to buy a vehicle for a set base price, $7000?, and put down a predefined amount, $2000?, into an escrow account.
The contract would state that Elio Motors has until a set date to find a certain number of people, 25,000?, who also sign the contract.
If the amount of number of contracts is not met by the predefined date then all deposits are refunded however if this number is reached and the contract is fully executed then the balance of the $7000 would be due within a set time period.
This balance could be paid fully or partly in cash and any remainder could be financed according to predefined terms. (This would be how the financial institution makes money on the deal as many buyers would choose to finance at least part of the purchase)
In exchange for signing the contract the buyers base price would be locked in and Elio Motors would be legally obligated to deliver the vehicles within a certain time period.

I am sure some financial institution and/or investment group would be willing to back this sort of arrangement as the buyers would basically be cosigning a loan for Elio Motors. If EM could actually get 25,000 buyers to agree to this arrangement, @$7,000 per vehicle, this would provide them with $175 million in cash. Of course the issue is that they also must deliver 25,000 vehicles within a certain time period.

This system would not have to interfere with the current reservation system in any way. All that would happen is that current $1K all in folks could elect to join in and would only have to put down an extra $1K to reach the $2K down payment level. Any new people joining the program would automatically move to the top of the refundable pile or they could elect to make up to $1K non-refundable and receive the benefits of the all-in reservation level they choose.


Of course this is all hypothetical and I doubt this will actually happen however it is fun to think about these things.

 

[Jim H]

Just reserved #2.

Congratulations and the confidence in Elio only grows.

 

[LockMD]

Just reserved #2.

Really?! you're going to make me do 3? LOL

Congrats!!

 

[Jim H]

I like it. I could see this idea being structured in such a way that it becomes binding to both sides once Elio Motors reaches a certain level of funding.

Essentially the buyer would sign a binding contract where they agree to buy a vehicle for a set base price, $7000?, and put down a predefined amount, $2000?, into an escrow account.
The contract would state that Elio Motors has until a set date to find a certain number of people, 25,000?, who also sign the contract.
If the amount of number of contracts is not met by the predefined date then all deposits are refunded however if this number is reached and the contract is fully executed then the balance of the $7000 would be due within a set time period.
This balance could be paid fully or partly in cash and any remainder could be financed according to predefined terms. (This would be how the financial institution makes money on the deal as many buyers would choose to finance at least part of the purchase)
In exchange for signing the contract the buyers base price would be locked in and Elio Motors would be legally obligated to deliver the vehicles within a certain time period.

I am sure some financial institution and/or investment group would be willing to back this sort of arrangement as the buyers would basically be cosigning a loan for Elio Motors. If EM could actually get 25,000 buyers to agree to this arrangement, @$7,000 per vehicle, this would provide them with $175 million in cash. Of course the issue is that they also must deliver 25,000 vehicles within a certain time period.

I think this would be a great option and I would certainly sign such a contract. I'd also gladly become an investor in Elio if they start selling shares of stock. Those of us who have $1K reservations have already made that mental and financial commitment and are determined to own an Elio. The only thing holding us back right now is time.