Next Steps In Elio Crowdfunding

[Sethodine]

I know we have other topics covering the StartEngine, but I thought this email deserved it's own topic. What do you guys think of this plan? I know this is a mass email, but I'm worried my initial offer of $300 isn't going to be honored

Next Steps Regarding Stock Interest in Elio Motors

Hello Seth,

As you may be aware, we have filed with the Securities and Exchange Commission (SEC) seeking authorization to make a formal stock offering. This letter is the first step in keeping you up to speed on how this process is likely to unfold.

Proposed Limited 7-Day Purchase Window
Upon receiving authorization from the SEC, we plan to create a seven-day window of opportunity to purchase stock for those who have reserved shares in Elio Motors via Startengine. Should you desire to purchase shares, it will be very important for you to take advantage of this window of opportunity when it is presented. We anticipate that some of those who have expressed interest may change their minds. However, there is a very real chance that we will receive purchase requests above our goal.

Current “Over-Demand” for Shares
As indicated on the Elio Motors StartEngine page, we are currently anticipating more demand than we have available stock to sell. Expressed interest is currently 158% over our goal at nearly $40 million. It is our goal to give all those who indicated interest an opportunity to purchase those shares before it is opened to the general public. As noted in our Preliminary Offering Circular, Elio Motors will have the ability to authorize up to $30 million in subscriptions, even though our current need as established by management is at $25 million. It is our intention to sell only $25 million of stock, but if management decides to make more shares available, we have the option to increase our subscriptions to meet the need.[1]

How We Will Handle an “Oversold” Situation
If we surpass our stock offering goal (whether it is $25 million or as much as $30 million) during the seven-day window, we will provide a pro-rated refund for a portion of any investment over the $600 minimum.This will attempt to ensure that all those who reserved non-binding expressions of interest prior to authorization are able to secure shares in Elio Motors.
In the coming days, we will provide more detail into how the entire purchase process will work. It is important that you check your email regularly to keep informed of our progress, process and timing, should we receive authorization from the SEC.
This is an exciting time in Elio Motors’ history. Thank you for coming along for the ride.

The Elio Motors Team

 

[Jeff Porter]

Hey Seth,

Looks like it's a $600 minimum, IIRC $12 per share means a minimum of 50 shares. Someone correct me if I'm wrong.

Your offer of $300 was an expression of interest, you probably know that already, no promise needed from you and no promise given from Elio Motors.

If you're still interested in buying the stock, hopefully you can scratch together the $600 to do the buy. I know it'll be difficult for me to do that in the coming days. Timing, as they say, is everything.

 

[Sethodine]

It was hard enough to convince my wife that we could afford $300. She knows I'm really passionate about these subjects (Elio, and Equity Crowdfunding in general) but I don't think I can be six-hundred-dollars passionate Not unless I can find a buyer for my old Wargaming models

 

[Rickb]

If an interested investor has to 'scratch together' $600 cash or has a spouse that isn't 100% on board for a high risk investment one needs to seriously ponder the situation. I think at one point there should be promises and guarantees made by EM. There are many passionate future Elio owners that could afford $300 but $600 cramps the family budget, particularly if already $1K all-in. Regardless, thanks for investing and helping to improve the chances of an Elio occupying my currently empty 2nd garage stall.

 

[Jeff Porter]

It was hard enough to convince my wife that we could afford $300. She knows I'm really passionate about these subjects (Elio, and Equity Crowdfunding in general) but I don't think I can be six-hundred-dollars passionate Not unless I can find a buyer for my old Wargaming models

Yeah, if you don't have the available funds, it's in your best interest to pass on it.

 

[RUCRAYZE]

Perhaps a broker will arrange for split purchases, back when, there was a firm selling a few shares, so that afterward there was no brokerage fees when buying additional shares from the company. did pay a premium for the service, but after that I was on my own. Perhaps someone will set it up for the possibility to purchase additional shares,I remember receiving dividend checks for a few cents, until I was in a position to add a few bucks, as an aside, I owned 2or3 shares of AT&T before they split, and got less than a share invested into each of the break-up.companies. Don't remember what the process was called

 

[Sethodine]

If an interested investor has to 'scratch together' $600 cash or has a spouse that isn't 100% on board for a high risk investment one needs to seriously ponder the situation. I think at one point there should be promises and guarantees made by EM. There are many passionate future Elio owners that could afford $300 but $600 cramps the family budget, particularly if already $1K all-in. Regardless, thanks for investing and helping to improve the chances of an Elio occupying my currently empty 2nd garage stall.

Well, I'm not sure if I would call this a "High Risk" investment. At this point, the question isn't "Will Elio go into production?" but "WHEN will Elio go into production?" And I don't think there is any doubt that it will succeed once it does. This ain't no Mollar Skycar At the very least, I would expect to (eventually) break even.

The question for my budget is, "Can we afford what is essentially a $600 hobby purchase, that may take years to pay itself off?" Kinda like buying solar panels.

 

[Kuda]

I know we have other topics covering the StartEngine, but I thought this email deserved it's own topic. What do you guys think of this plan? I know this is a mass email, but I'm worried my initial offer of $300 isn't going to be honored

Proposed Limited 7-Day Purchase Window

Upon receiving authorization from the SEC, we plan to create a seven-day window of opportunity to purchase stock for those who have reserved shares in Elio Motors via Startengine. Should you desire to purchase shares, it will be very important for you to take advantage of this window of opportunity when it is presented. We anticipate that some of those who have expressed interest may change their minds. However, there is a very real chance that we will receive purchase requests above our goal.

 

[Elio Amazed]

Hey Seth,

Looks like it's a $600 minimum, IIRC $12 per share means a minimum of 50 shares. Someone correct me if I'm wrong.

Nope. You're spot on Jeff.
Wasn't that mentioned on the StartEngine site?

 

[Rickb]

Well, I'm not sure if I would call this a "High Risk" investment. At this point, the question isn't "Will Elio go into production?" but "WHEN will Elio go into production?" And I don't think there is any doubt that it will succeed once it does. This ain't no Mollar Skycar At the very least, I would expect to (eventually) break even.

The question for my budget is, "Can we afford what is essentially a $600 hobby purchase, that may take years to pay itself off?" Kinda like buying solar panels.

I believe EM referred to the high risks in their filing documentation. Crowd funding a startup company is high risk by it's very nature. I am not discouraging investing, but thank those that take risk to invest. I can't afford high risk retirement investing at any point in my life.