V$gas.Com, I concur.
If you loaned money to or invested seed money in a corporation what would you want? Your money back? Of course, with interest, too, or shares and rising stock price if the corporation doesn't have any money.
What are the alternatives? If the corporation goes belly up you lose your money and those shares are worth zip. If the corporation succeeds, you as a provider of funds of last resort at the time the funds were paid took on the greatest risk and are due what ever you can reap.
Remember, nobody else stepped up to the plate to loan the corporation money when it was needed. The corporation could have just closed its doors and told the shareholders, "Sorry about that."
Gordon stepped up to the plate, assumed the greatest risk and, if his vision and game plan work out, he will reap the greatest rewards.
Remember, the commentary about e-Bay a week or so ago when it was reported that the owners ponied up 6 million plus shares each as collateral? Well, one of my clients was in the second consortium that invested money in e-Bay via a venture capital firm. They took the greatest risk; e-Bay could have failed, but it didn't. My client's cost basis in e-Bay is $0.75/share.The investors reaped the greatest reward because they took the greatest risk.
Instead of spending one's money on a law firm, why not go to the corporation with a bunch of your friends (if you can qualify) and offer to pick up the next million or so financing that the corporation will need. Take the greatest risk in hopes of reaping the greatest reward.
You,too, can play the game, if you qualify, and it will only cost you some of your time and the call will be on the company's dime- - it's toll free.
Best, Joe |
