LA collaboration - gauging interest

matthew

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Project-LA​

Land Area Collaboration Fund​


For those who want to take their EU adventure to the next level and own a piece of Planet Calypso!

This fund is currently OPEN and looking for investors to commit PEDs (Any multiple of 100 ped, minimum 100 ped) for a proportional share of the future land area!​



Fund details:
See post below

A key part of the fund is collaboration, as such all owners (shareholders) will get maximum say in the running of the land and would be encouraged to identify themselves as "co-owner of LA 'x'" regardless of the size of investment.

Shareholder Voting Rights

Day to day running of the LA will be conducted by the Fund Manager and elected individuals (for example an events manager). All major changes and major expenses (expenses over 1000 PED) will be subject to a discussion and a vote.

All shareholders will have equal voting rights (except regarding the exit strategy).

Shareholders with 10 or more shares may initiate a vote (with the exception of voting on who manages the fund).

Individuals may delegate to vote with the choice of another member of the fund. Individuals who do not vote will not be counted.


Share transactions and dividends

Shares will be issued at a rate of 1 = 100 PED invested. What percent of ownership 1 share entitles you too will depend on the final value of the land.
Once the purchase value of the land is known shares will be distributed to investors in the order of the preliminary capitalisation table until the purchase value is met. I will not take excess PEDs above the agreed value of the land so late committers might not qualify for shares.

Individual shares can be sold at any time to anyone. You own your shares as if it was any other item. However for any transaction to be officially recognised both parties must contact me, so that a capitalisation table can be maintained. Note that shares cannot be subdivided.

Dividends will be paid to the owner of the share at the time of the payment (monthly basis).

Once the land has been acquired additional shares will only ever be issued after a vote and only to fund direct improvements to the land (such as buying a teleporter or upgrading the DNA). Note that where possible the LA revenue will be used to make purchases and selling additional shares will only ever be a last resort.

Exit Strategy

After five years any individual with over 10000 PED invested may call a vote to sell the LA which would require 75% approval via proportional voting to pass. In this event a minimum sales value would be agreed and voted on and the LA would be sold as soon as possible. Once sold PEDs will be returned to investors based on the percentage owned.



Other Important Points


By joining the fund you agree that I (Sir Matt Copping) will be Fund Manager and deed holder and you entrust me in the ultimate management of the fund. As such any decisions taken by me are final and you entrust that I will manage the fund to the best of my ability with the best interests of all parties involved.


*No PEDs will be transferred to the fund manager until we reach enough committed PEDs and have jointly decided on a potential purchase target. At which point commitments will be called upon.


If you wish to commit funds to the land area please PM me or post below. You agree that your investment will be made public so that the ownership of the future LA is clear to everyone.

Further information will follow as questions arise.

Regards
Matthew


Calling all Land owners thinking of selling - PM me! We are searching for potential acquisition targets.


Here is a great video made by Spawn on how a land area works, thanks to Loco for pointing this out to me.
 
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matthew

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Preliminary Public Capitalisation table (to be confirmed once the land has been purchased)

Investor ID - Name - Preliminary Shares Purchased

1. Sir Matt Copping - 250
2. Wand AxeMurderer Silva - 10
3. Darth Reven Reborn - 20
4. Estella Ella Laizen - 10
5. Toni Chiee Lahderinne - 1
6. Darren Ideas Smith - 20
7. The BigRedMachine Kane- 10
8. Antrace Letale Very - 20
9. Bahb happy Silunt - 5
10. Getheniel Will Zorander - 10
11. Little Starchasing Moosy - 10
12. Roman Shoo Shumberg - 50
13. McKenna Kenney Freeman - 10
14 Justin Smokey Smith - 1
15. Pgome Pgome Jlaab - 6
16. Isa Naika Prey - 10
17. Scurvy Sityl LaRoux - 150
18 Corwin The Prince - 1
19. Jade Fuctone Darkcore 10

Total Shares = 604

IPO Share value = 100 PED

Committed Funds available = 60,400 PED
 
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Wollongong

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The % you get depends on the value of the land? So what if the value of the land is less than the money invested? Where does the excess go?
 

Optimator

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Hello, what is the contingency plan in case, god forbid, something happens to you in real life and you become physically or mentally unable to log into the game/manage the fund/get locked out of your account, etc.?
 

AxeMurderer

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This idea is stupid, but I was going to bid 1000 peds for ego statue so write me down with 1000 PED. I guess it's not the worst way to spent them.
 

mastermesh

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Wouldn't it be wiser to make shares in something like this cost less than an AUD since folks wanting to own a piece of an LA could just pay for an AUD and actually own a part of that LA with an actual deed?

Just a reminder, according to Mindark:
...If an item is exchanged between avatars, this transaction will be logged as a regular TRADE. And as all trades are final, MindArk will not investigate claims if a loan giving avatar refuses to return items or money... Therefore, any loan services offered outside the approved bank system will be considered by MindArk as scam attempts and the avatar offering such services risk a permanent lockdown of his/her account.
 
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AxeMurderer

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Wouldn't it be wiser to make shares in something like this cost less than an AUD since folks wanting to own a piece of an LA could just pay for an AUD and actually own a part of that LA with an actual deed?

Imagine the pain of paying dividends to 10k small investors. Here is yuor pec sir, and here you have half a pec, come next month.
 

matthew

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The % you get depends on the value of the land? So what if the value of the land is less than the money invested? Where does the excess go?

I will not collect excess PEDs above the agreed purchase value of the Land. If the value to the committed PEDs is larger than this value I will issue shares on a first come first served basis. I.e. those who sign up to the collaboration early will be most likely gain a place on the final capitalisation table.


Hello, what is the contingency plan in case, god forbid, something happens to you in real life and you become physically or mentally unable to log into the game/manage the fund/get locked out of your account, etc.?

Yes. To the best of my ability this will be covered. For me personally this would be my largest worry about investing in such a project as well. My next of kin is already aware of the value of my account (which I would not wish anyone to lose out on). I will keep printed copies of who owns what with clear instructions on how to proceed. I will do all that I can to ensure the PEDs are correctly distributed in these cases you have described.

Wouldn't it be wiser to make shares in something like this cost less than an AUD since folks wanting to own a piece of an LA could just pay for an AUD and actually own a part of that LA with an actual deed?

Just a reminder, according to Mindark:

This project isn't so much about owning a piece of a land area it is about being part of the management and direction of a piece of land. Nobody who owns an AUD gets a say in how the AU is managed.

Also I am not providing or taking a loan from anyone, this is a consortium of investors who are grouping together to buy a specific item. Many such consortiums exist already and have existed in the past without issue.

Imagine the pain of paying dividends to 10k small investors. Here is yuor pec sir, and here you have half a pec, come next month.

This could be an issue in the short term but I wouldn't say a major issue - everyone will get their rightful PEDs on a monthly basis. In the long term I envision that the larger investors will swallow up the smaller investors and the capitalisation table will shrink. However in the beginning I wanted to make the project as accessible as possible.

If in the future if MA ever allow land deeds to be divided into deeds I will make the split and give everyone physical deeds so that they can get their dividends direct from the PED flow centre.
 
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matthew

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This idea is stupid, but I was going to bid 1000 peds for ego statue so write me down with 1000 PED. I guess it's not the worst way to spent them.


Welcome to the group Axe :D
 

Chiee

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We have to buy the LA first :laugh: But we are now a little closer!

I will join after I know which Land area im going to invest :) let r know when you know that. good idea :yay:
 

matthew

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I will join after I know which Land area im going to invest :) let r know when you know that. good idea :yay:

Thank you very much Chiee.

I will be on the look out for potential acquisition targets to present to and discuss with the group first.

We will look for a majority decision before committing ourselves to anything.
 

Darth Revan

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Hi Matt,

I have a couple of questions.
Running of the LA, we all know it costs money to make money, advertising, DNA, fertilizer, etc.
Assuming that the cost to maintain is taken out of the return from the LA, where does the initial cost for this come from? Will it be part of the agreement when purchasing the LA that it is set up for the first month? or will each shareholder need to provide extra PED to get it up and running?

Follow up with that, if for some reason the cost for one month is more than the return for that month, where does the extra PED come from to maintain for that month? Will there be a bill to all the shareholders for that month? or will you set up a contingency fund where part of the profits of the LA go into this fund each month?

Ownership of the LA, you have mentioned that you will be the fund manager and deed holder, however what happens in the event that one investor ends up with more shares than you do? shouldn't they be entitled to be the deed holder in that case? It looks like you have only put down 15K yourself when most LA's go for 100K or more. If people start selling their shares later and one investor slowly buys them and then has more invested than you do, does it not seem fair that they should be the holder? Since you are not selling just a % of the LA and instead splitting the whole LA up into shares, if someone has 51% of the shares, they essentially have more rights to it than you do.

Thanks in advance for the answers!
 

Korin Dante MDe

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I need collateral to invest 30k PED.... Post here if you can give the collateral maybe from your personal holding assets?
 

matthew

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Hi Matt,

I have a couple of questions.
Running of the LA, we all know it costs money to make money, advertising, DNA, fertilizer, etc.
Assuming that the cost to maintain is taken out of the return from the LA, where does the initial cost for this come from? Will it be part of the agreement when purchasing the LA that it is set up for the first month? or will each shareholder need to provide extra PED to get it up and running?

Follow up with that, if for some reason the cost for one month is more than the return for that month, where does the extra PED come from to maintain for that month? Will there be a bill to all the shareholders for that month? or will you set up a contingency fund where part of the profits of the LA go into this fund each month?

Ownership of the LA, you have mentioned that you will be the fund manager and deed holder, however what happens in the event that one investor ends up with more shares than you do? shouldn't they be entitled to be the deed holder in that case? It looks like you have only put down 15K yourself when most LA's go for 100K or more. If people start selling their shares later and one investor slowly buys them and then has more invested than you do, does it not seem fair that they should be the holder? Since you are not selling just a % of the LA and instead splitting the whole LA up into shares, if someone has 51% of the shares, they essentially have more rights to it than you do.

Thanks in advance for the answers!


The initial costs will come out of the first dividends and a contingency plan will be in place once we know approximately how much this will cost on a monthly basis. With a group of investors there is likely to be a wide range of skill sets that we can tap into, it will be in everyone interest to advertise etc.

Regarding holding the deed. I will hold the deed to offer security for everyone who has invested regardless of anyone else who might have more shares than me even if they gain over 51% because they might be less reputable than me. In the future there could be discussions along these line but everyone would have to agree to the terms before anything was implemented. Partly people are investing in the land but also you are investing in me, my reputation and my ability to manage the land and implement peoples wishes, it would be wrong to switch this in the future without a good deal of discussion.

I am always happy to discuss these things, as I said this is a joint project for all those involved. So we must evolve things as people want different things. If an overwhelming majority wanted someone else to hold the deed I would be happy only if I was satisfied that nobody was unhappy.

If someone else wanted to hold the deed they would have to buy out anyone who didn't want them to hold it.

I need collateral to invest 30k PED.... Post here if you can give the collateral maybe from your personal holding assets?

Collateral is always an interesting subject. I do not wish to give collateral because I could use these PEDs to bump my own share of the LA up instead. Sorry.
 

Darth Revan

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The initial costs will come out of the first dividends and a contingency plan will be in place once we know approximately how much this will cost on a monthly basis. With a group of investors there is likely to be a wide range of skill sets that we can tap into, it will be in everyone interest to advertise etc.

Thanks for the reply Matt, put me down for 1K PED (10 shares) for now, I may increase that later depending how interest goes in this.
 

SoReal

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Would a better idea not be to buy the LA yourself then you would have no issues over who owns the deed, this will also give you a chance to show that you can run it at a profit.

Then auction off 10-20% of the LA to investors once they see that it is a profitable thing for them to be envolved in.
 

matthew

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Thanks for the reply Matt, put me down for 1K PED (10 shares) for now, I may increase that later depending how interest goes in this.

Thank you very much indeed for your support Darth, I look forward to working with you on the project and have updated the table.
 

matthew

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I'd like to try it out for 1k ped please.

Brilliant Stella, welcome to the team and thank you for your support :).

I'll be sending out invites to the forum group so we can discuss potential acquisition targets soon.
 
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Flynn Kybo

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I am interested.

I am not always an active player though. And it might happen that i become inactive again for quite some time.

What happens to my share if i dont pick up my dividents for a few months?

Also what happens to the LA if a larger portion of investors is not available regularly?
 

AxeMurderer

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May be 100 ped is really low. So far no one with that low but if 100 people decide to join with 100 ped that will be nightmare.
 

AxeMurderer

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May be 100 ped is really low. So far no one with that low but if 100 people decide to join with 100 ped that will be nightmare.

I might be wrong. A lot small investors may be better for the land to perform good. But if we get a lot of small investors I vote for the name Small Industries :yay:
 

matthew

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I am interested.

I am not always an active player though. And it might happen that i become inactive again for quite some time.

What happens to my share if i dont pick up my dividents for a few months?

Also what happens to the LA if a larger portion of investors is not available regularly?

Thank you for your interest :). We will maintain a spreadsheet which tracks dividends on a monthly basis. If we cannot pass on your dividends in a particular month they will be rolled into the next month. All dividends will be stored in storage so they will be kept indefinitely until you return. If a large number of investors are inactive I will just have a larger pool of unclaimed dividends in storage but everything will be tracked carefully so this isn't a problem.

My suggestion would be to give someone in the fund your contact details (personal email) in case we need to contact you in the future.

I might be wrong. A lot small investors may be better for the land to perform good. But if we get a lot of small investors I vote for the name Small Industries :yay:

I am happy to keep it at 1 share = 100 ped for now. There may be individuals who wish to invest less than 1000 ped but not necessarily 100 ped (500 ped for example). If it looks like we going to end up with 1000 different shareholders we can consider reducing the minimum initial investment to new investors.
 
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AxeMurderer

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I was thinking again :)
Even at 1k PED per player how many players do we need to buy LA :scratch2:
 

matthew

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bump for the fund, we still need more investors :)
 

matthew

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Fund Update: we are in discussion with a potential acquisition target which would see 50,000 PED invested in the fund from the current owners as part of the deal to buy the land.

PM me for details.
 
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