Project V Updates: Investment Period Ending, Contracts Created, and Lawyers Contacted
September 11, 2015 Posted by Tyler CruzIt’s been nearly 2 weeks since my last blog post, and I think I’ve been moderately productive during that time. At least, as productive as I can be with this stupid disease.
I’ve been continuing to plug away at my corporate taxes and am making progress on that. One of the many reasons why it takes so long is because I often run into the situation where a company shuts down or gets acquired by another company and then I am left trying to get in contact with the appropriate people to get my accounting records for the past fiscal year back.
One way to avoid this would be to actually file away insertion orders and payment info as I receive them, but this really isn’t possible in many cases. For example, most networks that use the Cake platform don’t offer any accounting information.
Anyhow, apart from tending to my taxes and plugging away at e-mail, my focus has again been on Project V. Here’s what’s happened over the past couple of weeks:
Investment Period Ending
Since my last post, I had another 3 interested investors, 2 of which actually bothered responding to my reply e-mail. Both signed the NDA and were given the presentation, but only one of them has watched it so far (the other should be watching it any time now).
Unfortunately, the investor that watched it wasn’t interested, basically citing the fact that he didn’t think it was quite worth the risk. I do agree that this is a high-risk venture (as is most things I undertake); an investor will likely either walk away with a huge return or else will struggle to even make his original investment back.
The other investor who I’m still waiting on to watch the presentation is the last possible investor candidate; if he doesn’t want in, then it will just be me and the original investor who is still 100% hyped about the project. If you have multiple partners who invested in a business, a venture capital reporting system may help with the documentation and reporting of your business financial data.
Our plan is to get the site developed and then possibly look into getting a 2nd round of investing done at that point. It will be clear to investors what they would be getting into at that point, and much more of a numbers game as compared to a concept and numbers game as it currently is.
It would be nice to have more investors on board as it would mean a larger budget and therefore a larger chance of this project blowing up and going big, but at the same time if it’s just me and the one other investor, it’s more profit share for us and the site could still blow up just as big.
Contracts Created
The other investor who is on board contacted his accountant and lawyer and they requested that I send them a feasibility study on the project. They also did ask this personal injury lawyer in Baton Rouge for an insight. I didn’t know what this was at the time, but have since learned and created one for it.
I’m pretty proud of it… it’s 5 full pages (small font) and is professional and detailed while still getting to the point.
In addition, I created the actual contract papers, from this image source, for the other investor and I to sign. This was simpler to do and once again is very professional while to the point.
Lawyers Contacted
I contacted several top rated law firms for criminal defense in Boston and notaries and asked them how much it would cost for them to sign the contract as a signing witness as well as mark it was their official seal and/or stamp.
I was happy to learn that it seems that the general cost for this is only around $30-$35 plus tax, for those of you curious. This of course doesn’t include having the lawyer actually look over and review the contract – I’m not sure how much that would cost. My guess is around $200 but that’s pure speculation. It likely depends on the length and scope of the contract. Take a look at here now to know more on the kind of lawyer you need to hire.
Next Steps
So right now I’m waiting on the last potential investor to get back to me. Once I hear back from him, the other investor and I will agree to the contract terms and then sign them and get them officially witnessed, then the other investor will transfer his investment funds to my account. To avoid any fraudulent activities it is better to hire a las vegas fraud crime lawyer to see if everything is in place.
After that comes the most arduous task yet – creating the development plan for the programmers and developers. This will take an INSANE amount of time because while the idea is simple in nature, there are a lot of factors and features to consider. I’ll probably be at least 30 pages long.
Hopefully in my next update about this project I will have started both of them next steps.
5 Responses to “Project V Updates: Investment Period Ending, Contracts Created, and Lawyers Contacted”
For your corporate taxes, why can’t you just look at your corporate bank account and add up what you deposited each month for that fiscal year? I am also Canadian earning USD online and this is what I’ve been doing for four year at the request of my accountant. Just download your bank statements, add up your expenses and then send the files to your accountant. You are making it more complicated than it has to be by contacting the companies that you are associated with.
I’m sure I’m doing a hell lot more work than I need to, but I do also like to know exactly how much I spent and earned where. It allows me to then look back and see what areas I should stop spending on and other areas where I should maybe spending more, stuff like that.
Tyler, what makes you think this will be profitable, considering your track record with other “ideas” like robot wars and such?
2) Do you have a specific plan in place for generating revenue from the site?
1. I hope it’s profitable. It’s a somewhat high-risk endeavour. The investor can expect to either make a great return on his investment or else struggle to even make his original investment back. There’s not much of a middle ground in terms of return here. I’d say my track record for success on projects is about a 30% success rate, but when they succeed they do pretty well.
2. Yes.
Taxes, why just look at the corporate bank account and deposited each month during the fiscal year that do not add up to what?