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Re: Phone call



At 09:01 PM 10/3/1999 -0400, David Lass wrote:
My concerns/thoughts    :                                                       
                
1) There is no cost shown for acquiring the subscribers over the AGA
subscribers                                                                     

DG:  This will happen thru APD and ad exchange, very low cost methods.
        
2) There is no cost for acquiring the distributors

DG: I do not expect significant cost for acquiring distributors.

3) I think that AGA should have a maximum they would be asked for each
quarter -- may be more than these losses

DG:  I am not sure I understand this point.  Certainly, AGA cannot and
should not invest more than they think wise.
                                                                                
4) Assuming that AGA can own a part of a profit making entity (which I do
not know) I would suggest that ownership be establish in a typical venture
capital manner -- founders are given a %, and capital is invested as
required in tranches over time. Assume that the venture needs a maximum of
$10,000 to cover losses for the first 5 - 6 quarters.  Manager and editor
could not be paid and would get more stock that way                             
                        
        
DG:  If the stock being dividendable is a serious problem, we can probably
create a separate class of non-income producing stock for AGA.  But that
stock could still vote.   I don't know what a tranch is.  I expect that
manager and editor will take stock rather than cash for a while.

If anyone has any additional questions, please feel free to ask.

                        
--
Dave Gomberg, San Francisco            mailto:gomberg@wcf.com
For low cost CO2 systems that work:  http://www.wcf.com/co2iron 
Tropica MasterGrow in the USA:      http://www.wcf.com/tropica 
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