Well, that didn't take long. After a month of asking for individual investors to pony up some money through the crowdfunding site StartEngine, Elio Motors announced today that it has reached the $25 million level. Now, that doesn't mean that Elio just got a check for $25 million. Instead, StartEngine says that the amount (actually, $25,161,050) is made up of "non-binding indications of interest" from 6,665 people (as of this writing). Each of those 6,665 investors has put an average of $3,775 into Elio. In a statement, Elio Motors CEO Paul Elio said that the $25 million is, "just the beginning as we race toward our 2016 goal of mass production."
The last month wasn't purely positive for Elio. Once the campaign started to get some attention, "suspect" investors started to join the party. They were eventually investigated and some were kicked out of the group of investors. With the company's crowdfunding target now met, focus now needs to shift to getting the 84-miles-per-gallon, $6,800 trike out of the auto shows and that upcoming factory in Shreveport, LA and onto the road.
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The last month wasn't purely positive for Elio. Once the campaign started to get some attention, "suspect" investors started to join the party. They were eventually investigated and some were kicked out of the group of investors. With the company's crowdfunding target now met, focus now needs to shift to getting the 84-miles-per-gallon, $6,800 trike out of the auto shows and that upcoming factory in Shreveport, LA and onto the road.
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ELIO MOTORS SETS EQUITY CROWDFUNDING RECORD; OVER 6,000 INVESTORS EXPRESS INTEREST OF $25MM IN REVOLUTIONARY TRANSPORTATION STARTUP
New Ruling Allows Non-Accredited Investors to Buy into Private Companies
Troy, Mich., July 28, 2015 – Elio Motors today announced that one month after launching its campaign, the company has received non-binding indications of interest valued over $25MM through leading equity crowdfunding platform StartEngine. Elio will continue to take additional expressions of interest via the StartEngine crowdfunding initiative, beyond today's $25MM milestone.
Capital raised will help fund the 2016 launch of its three-wheel, enclosed vehicle that is expected to retail for $6,800 and achieve up to 84 MPG. The innovative funding strategy, made possible by recent changes to the 2012 JumpStart Our Business Startups (JOBS) Act, is the perfect fit for a company that strives to innovate in every aspect of its operations.
"This milestone is fantastic, but it's just the beginning as we race toward our 2016 goal of mass production," said Elio founder and CEO Paul Elio. "Elio Motors is a revolutionary company in every way – making an affordable, environmentally friendly vehicle that creates American jobs. Equity crowdfunding is an innovative funding strategy that's making a big difference for our company and will make a huge impact for startups like ours, all around North America."
StartEngine's equity crowdfunding platform was made possible on June 19, when SEC Regulation A+ of the JOBS Act Title IV went into effect, enabling private companies to raise up to $50 million from both accredited and non-accredited investors. Unlike traditional crowdfunding, equity crowdfunding on StartEngine's alternative investing platform makes it possible for both accredited and non-accredited investors to get in on the ground floor and support startups in a whole new way.
Elio Motors recognized crowdfunding as a way to raise capital for the company as a natural evolution of its grassroots-based strategy. The company has taken nearly 45,000 reservations for the revolutionary vehicle and routinely has large crowds waiting for a chance to experience the Elio firsthand at each stop along its cross-country tour.
Elio Motors will use funds from this initiative to build an additional 25 prototypes for testing and validation. In March, the company launched an investment opportunity based on Rule 506(c) of Regulation D, which allows companies to offer shares to accredited investors. Funds from that initiative enabled Elio Motors to begin building its fifth generation prototype, the P5. The P5 will feature an engine developed by IAV specifically for the Elio and also will feature a production level transmission from Aisin.
Those interested in learning more about the Elio Motors investment opportunity can go to StartEngine - https://www.startengine.com/startup/elio-motors -, the crowdfunding website launched in June by business incubator StartEngine.
About Elio Motors
Founded by car enthusiast Paul Elio in 2008, Elio Motors Inc. represents a revolutionary approach to manufacturing an ultra-high-mileage vehicle. The three-wheeled Elio is engineered to attain a highway mileage rating of up to 84 mpg while providing the comfort of amenities such as power windows, power door lock and air conditioning, accompanied by the safety of multiple air bags and an aerodynamic, enclosed vehicle body. Elio's first manufacturing site will be in Shreveport, LA.
For more information, visit www.eliomotors.com or www.facebook.com/ElioMotors.
About StartEngine Crowdfunding, Inc.
StartEngine is the premier equity crowdfunding platform, connecting Millennials and aspiring investors with tomorrow's progressive companies. Based in Los Angeles, the company was created in 2013 by Howard Marks, co-founder of Activision, and Ron Miller. StartEngine aims to revolutionize the startup business model by helping individuals invest in private companies on a public platform, now viable for the first time in history, thereby helping entrepreneurs achieve their dreams.
Learn more at http://www.startengine.com
New Ruling Allows Non-Accredited Investors to Buy into Private Companies
Troy, Mich., July 28, 2015 – Elio Motors today announced that one month after launching its campaign, the company has received non-binding indications of interest valued over $25MM through leading equity crowdfunding platform StartEngine. Elio will continue to take additional expressions of interest via the StartEngine crowdfunding initiative, beyond today's $25MM milestone.
Capital raised will help fund the 2016 launch of its three-wheel, enclosed vehicle that is expected to retail for $6,800 and achieve up to 84 MPG. The innovative funding strategy, made possible by recent changes to the 2012 JumpStart Our Business Startups (JOBS) Act, is the perfect fit for a company that strives to innovate in every aspect of its operations.
"This milestone is fantastic, but it's just the beginning as we race toward our 2016 goal of mass production," said Elio founder and CEO Paul Elio. "Elio Motors is a revolutionary company in every way – making an affordable, environmentally friendly vehicle that creates American jobs. Equity crowdfunding is an innovative funding strategy that's making a big difference for our company and will make a huge impact for startups like ours, all around North America."
StartEngine's equity crowdfunding platform was made possible on June 19, when SEC Regulation A+ of the JOBS Act Title IV went into effect, enabling private companies to raise up to $50 million from both accredited and non-accredited investors. Unlike traditional crowdfunding, equity crowdfunding on StartEngine's alternative investing platform makes it possible for both accredited and non-accredited investors to get in on the ground floor and support startups in a whole new way.
Elio Motors recognized crowdfunding as a way to raise capital for the company as a natural evolution of its grassroots-based strategy. The company has taken nearly 45,000 reservations for the revolutionary vehicle and routinely has large crowds waiting for a chance to experience the Elio firsthand at each stop along its cross-country tour.
Elio Motors will use funds from this initiative to build an additional 25 prototypes for testing and validation. In March, the company launched an investment opportunity based on Rule 506(c) of Regulation D, which allows companies to offer shares to accredited investors. Funds from that initiative enabled Elio Motors to begin building its fifth generation prototype, the P5. The P5 will feature an engine developed by IAV specifically for the Elio and also will feature a production level transmission from Aisin.
Those interested in learning more about the Elio Motors investment opportunity can go to StartEngine - https://www.startengine.com/startup/elio-motors -, the crowdfunding website launched in June by business incubator StartEngine.
About Elio Motors
Founded by car enthusiast Paul Elio in 2008, Elio Motors Inc. represents a revolutionary approach to manufacturing an ultra-high-mileage vehicle. The three-wheeled Elio is engineered to attain a highway mileage rating of up to 84 mpg while providing the comfort of amenities such as power windows, power door lock and air conditioning, accompanied by the safety of multiple air bags and an aerodynamic, enclosed vehicle body. Elio's first manufacturing site will be in Shreveport, LA.
For more information, visit www.eliomotors.com or www.facebook.com/ElioMotors.
About StartEngine Crowdfunding, Inc.
StartEngine is the premier equity crowdfunding platform, connecting Millennials and aspiring investors with tomorrow's progressive companies. Based in Los Angeles, the company was created in 2013 by Howard Marks, co-founder of Activision, and Ron Miller. StartEngine aims to revolutionize the startup business model by helping individuals invest in private companies on a public platform, now viable for the first time in history, thereby helping entrepreneurs achieve their dreams.
Learn more at http://www.startengine.com
Featured Gallery Elio Motors' new wheel-covered design
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