All In...hyperbole

[lafrisbee]

I tend to agree with this. If you can go 500 on 1K you should be able to go 2500 on 5K. But with that kind of "deposit" I would have to have some sort of guaranteed refund. Like 75% or something in the event they renege on the deal. I don't understand why they just don't provide a private stock offering. I'm sure plenty of us would want to pony up to have a humble piece of the pie!

We disagree here. I have read that the profit for each vehicle is $1000. So by only allowing us to get $500 in bonus bucks then each vehicle till has profit in it. If they went the REAL "all-in" route then they would actually lose money on those vehicles.

 

[Cali Chris]

So all in means one thing...all in..not all in for $100 or $1000. All in is ALL in.

Elio you wanna use the term all in(or was it someone puffing up on here), then come on let us go "All in". Offer us a chance to put in five grand and you half match it so the boat is paid for.

Please

I'm assuming that you have not read that their profits on this is about $1,000 per vehicle. So, if you put down $5,000 and they reduce the final purchase price $2,500, that would mean that they would be losing $1,500 per vehicle. What a fantastic business model! Wonder how many investors will sign up to lose 27% of their investment? Now if they are just trying to produce excitement then that might be a calculated risk, but still very expensive compared to targeted marketing. If a quarter of he first years reservationist did this then it would cost Elio $25,500,000 to do this. That means they would have to sell a total of 25,500 more Elio's to make up for the loss on the first 17,000 vehicles sold. Or, the first 42,500 vehicles produced would give the company a net profit of $0.

 

[lafrisbee]

I'm assuming that you have not read that their profits on this is about $1,000 per vehicle. So, if you put down $5,000 and they reduce the final purchase price $2,500, that would mean that they would be losing $1,500 per vehicle. What a fantastic business model! Wonder how many investors will sign up to lose 27% of their investment? Now if they are just trying to produce excitement then that might be a calculated risk, but still very expensive compared to targeted marketing. If a quarter of he first years reservationist did this then it would cost Elio $25,500,000 to do this. That means they would have to sell a total of 25,500 more Elio's to make up for the loss on the first 17,000 vehicles sold. Or, the first 42,500 vehicles produced would give the company a net profit of $0.

I am assuming you did not bother to read all the posts...especially the one immediately before yours?

 

[Cali Chris]

I am assuming you did not bother to read all the posts...especially the one immediately before yours?

Absolutely not! I'm better at searching and digging for info. How dare you hide something like that directly in front of me. I retract my original post, offer my apologies and agree with you. Well not the numbers part. It is an insightful extension to your post.

 

[Double D in Ohio]

I expect a pso has been considered & some form of stock offer will be forthcoming after initial production commences.......

Well this is something that if they do...."WE" should be giving dibs on being able to purchase Stock first or have warrants made available to us to purchase the stock at a certain price. I don't think they would be doing this reservation system just for kicks....we will be the key to their sucess and since "WE " are putting in money now on a hope and a prayer we should get first dibs....Like the warrant idea better IPO's are so erratic. Double D

 

[lafrisbee]

If you want to succeed in business you treat clients like livestock, which means you give em what you need to to get what you can from them without giving them extra.

 

[Kuda]

If you want to succeed in business you treat clients like livestock, which means you give em what you need to to get what you can from them without giving them extra.

Moo..................

 

[Scott Miller]

We disagree here. I have read that the profit for each vehicle is $1000. So by only allowing us to get $500 in bonus bucks then each vehicle till has profit in it. If they went the REAL "all-in" route then they would actually lose money on those vehicles.

Hmm, well I guess I was a little quick on the thought and didn't take into account the profit margin, if indeed it is only 1K. (Which sounds reasonable.) However, I still stand on the idea of getting some sort of private stock or something else in the event that you do go all in.

 

[Ty]

I think you are missing the point of the reservation system. Surely the rich Mr. Elio doesn't need our paltry $100 - $1,000 to start the company. The math doesn't even make sense. 4,000 people X $1,000 is only $4M and while that's a lot more than I have, it's VERY far from the $80M or so that he needs to get this thing going. I know - "But there are 13K+ reservations now". That may be the case but I'm just now seeing reservation numbers hitting the 3,000 mark. that means there are a lot of people probably in the $100 range. In fact, I would bet that MOST people fit in three categories - $1K all in, $100 all in, and $100 refundable. The reservation system is to get a (mostly) guaranteed market for the car. If he just started producing them without having people waiting, the cars would sit in dealers lots and he'd be waiting for word to get out while production would be slow. If he has 40K or so people who are "all in" at any dollar amount, he can ramp up production from the get-go and probably have so much demand by the time those 40K are out driving his by then, 40K strong sales force that he will have trouble making enough of them.

 

[Brainmatter]

O.K. fine. No free lunch.
How about an option of some 'all-in' only colors. Maybe throw some metallics in there just for us?