What's The Plan For Raising $230 Million?

[Coss]

LOL.
Shoot, buy a white one and paint it... it's cheap enough that you'll have money enough for Earl Shives to paint it.

Guy on the video " ....... I even painted the rims ....... " yeah, along with the tire sidewall.
Notice he didn't show inside the PU bed and the door jambs?
But really, a ROLLER???? Like on Monday Night Football pregame ...... Come On Man!!

 

[Richad]

I've been seeing a lot of excitement over the $25 mil stock offering to fund the E-series prototypes. But I don't see much talk of where the $230 million to start production is coming from. Seriously almost 1/3 of a BILLION dollars just to begin production?

I know for a fact the old Lehman Harley conversion factory in South Dakota is idle. They were pumping out about 10,000 trikes per year at their peak. Why not just buy that with some of the money and start low-volume production then build up? I know the price would be higher to start but heck more than half the people on the reservation list would pay way more than $6800 to get an Elio a couple of years early.

Starting small and increasing production along with demand seems to be the way most businesses start and grow including the big auto companies. Sure you don't get the economies of scale but it seems backwards to say if we (Elio) can't start at the same scale as GM then we can't do it at all.

So two questions: where is the $230 million coming from and Why can't they start small and grow?

OldAFGuy

It makes no sense to me the way they are doing it. If they start small it will bring in all the potential Elio owners who are on the fence.

 

[Rickb]

There is only one way and that is mass production which keeps the Elio at the affordable $6800 price range. There is no affordable start small option when tooling up a large manufacturing facility to build vehicles. Think big or go home. Wait a minute I am home! lol

 

[Coss]

It makes no sense to me the way they are doing it. If they start small it will bring in all the potential Elio owners who are on the fence.

Then I suggest that you contact Elio Motors and ask them; I'm sure they'll be glad to explain it to you.
Elio Owners Forum has no direct involvement to Elio Motors, so we do not have the exact reason that they don't feel that is necessary.
Anyone here that tries to answer that question is simply guessing; we do not have those answers.

And there's no need to bold your lettering, we can see the default font just fine.

 

[slinches]

I don't think the people who are on the fence would bite if the Elio cost $12k because they were starting with low volume production. That sort of strategy worked for Tesla because they started with a high-end sports car to establish the technology. Elio Motors is a different beast. Their product works because it's insanely cost-effective. The loyal fan base may help to get them started, but it isn't enough to make the necessary quick transition to large volume/low cost production that will make the vehicle marketable to the general public.

 

[pistonboy]

I think the only information we have on where the production funding will come from is either the ATVM loan or the other two "alternative funding paths" that PE has alluded to on numerous occasions (with absolutely no details as to what those are).

With the money from the 506c and crowdfunding, it looks like the ATVM would provide the rest of the money needed. The "alternative funding paths" are from private funding I strongly suspect and this will be kept quiet, though I sure would like to know what they are. I suspect all the money has been found one way or the other.

 

[slinches]

Paul sure seemed confident about funding in that last interview with Ron Miller. I hope that's the case. I hope even more that the ATVM loan goes through. That would mean my small buy in on the Reg A+ offering might actually generate a decent return on top of paying for my Elio.

 

[RUCRAYZE]

Paul sure seemed confident about funding in that last interview with Ron Miller. I hope that's the case. I hope even more that the ATVM loan goes through. That would mean my small buy in on the Reg A+ offering might actually generate a decent return on top of paying for my Elio.

Yes. Paul "sure seemed confident about funding" it's the same look I've seen for over a year. Others have seen it longer.

 

[bowers baldwin]

Guy on the video " ....... I even painted the rims ....... " yeah, along with the tire sidewall.
Notice he didn't show inside the PU bed and the door jambs?
But really, a ROLLER???? Like on Monday Night Football pregame ...... Come On Man!!

As cheesy as it is, you have to admit, it does look better. And I've spent over $50 just in polish/compound/wax products. I guess the roller made sense because of the size of the truck, I've spray-canned many of motorcycles over the years (they came out really good BTW) but you would go through a boat load of spray cans on that monster, so I see why he chose the roller method.

 

[Rickb]

It makes no sense to me the way they are doing it. If they start small it will bring in all the potential Elio owners who are on the fence.

I changed my mind about starting small. Electra Meccanica s doing just that with their Solo EV commuter. They are planning to build around 1800 Solo's in 2016 for $19,888 Canadian ($15,000 US). If they can hand build an EV for $15K the Elio should handbuild for considerably less, say $10K and still affordable for the masses.

Starting smaller may in fact require less funding allowing time to get some Elio's on the road while creating some revenue flow. It may be doable, but not EMs plan.