Techcrunch: How Elio Motors Is Crowdfunding A Three-wheel, 84 Mpg Vehicle

[satx]

Paul Elio, founder and CEO of Elio Motors, said the company needs about $300M before they can start producing cars, and so far hasn’t had luck with the traditional routes of raising venture capital.

“Private equity won’t do pre-revenue investments, and VCs think the project is too big for an eventual follow up check,” explained Elio.

Ron Miller, cofounder of StartEngine, explained that since the current pledged amount is around $37M but Elio only applied to raise $25M, he expects demand to actually go up once investors realize not all that pledged will be able to actually invest.

http://techcrunch.com/2015/10/01/ho...ed&utm_campaign=Feed:+Techcrunch+(TechCrunch)

So where's the rest of the $300M coming from, in the next year, or less, before production can start?

 

[slinches]

The StartEngine email is about approval of the rules for Title III crowdfunding, which has the $1MM cap. The Elio Motors funding program is under Title IV, which has two tiers of up to $20MM or $50MM.

 

[Jeff Porter]

So where's the rest of the $300M coming from, in the next year, or less, before production can start?

In post #48 in the "Exciting News - SEC resubmission" thread:

"EM believes funding for the $240 mill will come from short-term and long-term sources, traditional sources (not discussed in the document) such as venture debt arrangements and capital leasing on equipment."

What does that mean? Ya got me. Financial wizards can chime in!