Paul Elio has been pretty candid about just how important fundraising is to Elio Motors’ long-term success. Here’s what he said in a recent video interview with MotleyFool.com:
“Access to capital is the hardest part of starting a company,” Elio said. “Crowdfunding is a good, viable way for a company and investor to match up.”
For Elio Motors, it meant obtaining non-binding indications of interest totaling $25 million in a little over five weeks. For many of our fans, it meant an opportunity to own a piece of Paul’s dream.
On June 19, thanks to Regulation A+ of the Jumpstart Our Business Startup (JOBS) Act, Elio Motors launched this initiative on crowdfunding platform, StartEngine.com. It is officially known as the “testing the waters” phase, where we were able to gauge interest from investors. Once we have those expressions of interest, the next step is to file an offering statement with the Securities and Exchange Commission. The SEC will review our submission and if approved, we can then make a formal offer of stock to those who have expressed interest.
So far, things are going as planned. In fact, we are believed to be the largest equity-based crowdfunding initiative to date.
First, we’d like to thank those of you who have expressed interest. We truly appreciate your support.
And, if you still want in? Fear not, you have time! We are keeping the StartEngine.com link live to evaluate if perhaps our offering statement should be for more than $25 million.
As important as it is to celebrate this milestone, it’s also important to understand just why this is such a great sign of progress.
This round of funding is critical to our forward momentum. As you know, our previous 506(c) investment strategy resulted in our ability to begin building the P5 prototype. The dollars raised from this recent Regulation A+ crowdfunding initiative will fund P6 to P30. In doing so, the objective is to validate the design so we can finalize our tooling and production plans. Sadly, the way we do this is by ultimately crashing 22 of these 25 vehicles to ensure we meet our safety goals. Once this is done, we’ll know what adjustments need to be made to our tooling and manufacturing plan and we’ll be much closer to final production.
Without the support of passionate fans like you, we wouldn’t be where we are today. Thank you for the overwhelming show of interest and for sharing our story with others. If you haven’t yet made a commitment to Elio Motors but would still like to get involved, click on the Reserve Now! button below to reserve an Elio or the Learn About Investment Offering button to reserve your shares… but hurry to get in before the offering statement is filed!
The Elio Team