CPA audits looks increasingly plausible. Until then we rely SEC’s ongoing reporting requirements.
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First it’s good to know that I didn’t just say “10%”, I said “AFAICT … 10%” – I wish your quote had included more context. I provided the evidence here ( Public Offering to Become a Shareholder in Purism - #10 by Privacy2 ). Specifically:
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Form C ( https://www.sec.gov/Archives/edgar/data/2007806/000166516024000045/xslC_X01/primary_doc.xml ) said that it was between 7% and 13%.
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“StartEngine Owners” get a 10% discount vs. normal investors (on the StartEngine web page for the offering). Unless StartEngine is willing to absorb a loss (which is possible, but not likely), this would imply that StartEngine is getting 10% but is passing that discount on to “StartEngine Owners”.
If your number is different than what is specified on Form C (between 7% and 13%), then there is an issue that needs to be resolved publicly. Otherwise it is best to make sure that more precise communication is given to all potential investors (rather than to those who are reading this forum). That said, if there are potential investors (e.g. if you are allowed to invest) that know the precise number, we all should know that number.
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Yep, as already noted above, precise (and official) communication regarding the public offer will be provided on the page linked from the OP, not here. Any discussion here is just randoms like you and me.
It also said that that is a “a good faith estimate”. I agree with you it is difficult therefore to know in advance what the exact outcome will be. If a person were a good faith potential investor then he or she would ask in the appropriate place, not here - and then the official elaboration from Purism would be available to all potential investors.
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From Form C:
Let’s keep in mind that Purism has been undergoing over 4 months of due diligence and compliance with StartEngine’s grueling legal and SEC review process. Being an SEC governed platform, it is a benefit to the investors to have the required oversight to get listed.
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That’s not on the FormC, AFAICT, that I see filed with the SEC under Edgar ( https://www.sec.gov/Archives/edgar/data/2007806/000166516024000045/xslC_X01/primary_doc.xml ). Furthermore, even so, that is only describing the intermediary’s take on the amount “over the allotment” of $1,235,000 and may not include everything (but is at least 6.5% = 5.5% (platform fee) + 1.0% (service fee).
From Form C from Edgar that I linked above (which has a Maximum Amount of Offering of $1,235,000).
Amount of compensation to be paid to the intermediary, whether as a dollar amount or a percentage of the offering amount, or a good faith estimate if the exact amount is not available at the time of the filing, for conducting the offering, including the amount of referral and any other fees associated with the offering: **7 - 13 percent **
Any other financial interest in the issuer held by the intermediary, or any arrangement for the intermediary to acquire such an interest: Three percent (3%) of securities of the total amount of investments raised in the offering, along the same terms as investors.
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My previous post was respectful and truthful, but was hidden because of community flags. Does Purism moderation only allow posts that promote positive affirmations about Purism products and business opportunities? Nothing in the community guidelines seems to apply to explain the post being hidden.
Did I lie or call someone a name? What was wrong with that post? Was my information too spot-on? Should the information in that post be consealed from potential investors? Please provide a list of what can be spoken of here and what information needs to be hidden from potential investors.
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Scroll aways up top and you will see that information that should be available to potential investors should not be posted in this topic anyway.
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There’s a difference between another location being the source of truth, and saying information from that location shouldn’t be shared here in the thread Purism created in their discussion forum presumably for the purpose of discussion, the latter of which is how your messaging reads to me.
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This happens automatically and in turn is a reflection of community members not moderation nor Purism employees. As such patience while said moderation and staff have the opportunity to review those flags and decide to either act or remove the hidden flag (as appears to have already happened)
I would hope that if action were to stand that then a DM would be sent to communicate what rule(s) were violated, however the first step is patience while those flags and automated actions are reviewed.
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In terms of how shares operate … the information flow must be in one direction only. Anything that is posted in the place linked in the OP can be linked to here. (Don’t post it here. Just link to it, if that’s possible.)
Don’t post new content here if it is materially relevant.
Don’t post questions here if the answer would be materially relevant.
Yeah, I’m wondering what remnant purpose there is for this topic. All bona fide potential investors should be following the link in the OP.
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If the purpose wasnt discussion then Im wondering why it was posted at all.
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It’s in category General Announcements. Seems fair.
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Im just saying if the intent was an announcement without discussion it should be posted locked out of the gate IMO.
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The SEC rule (that @JCS referred to) regarding “information that should be available to potential investors” is about information posted by the intermediary or company (or insiders) itself (post-launch and quiet-period). Assuming StevenR doesn’t work for Purism, StartEngine, or holds “inside information”, that rule should not affect him, right?
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For those concerned about privacy, to post in the “Discussion” section that @JCS referred to requires yet-another e-mail address to create a login and requires javascript to be turned on. The “Discussion” section is currently meager [showing 9 posts].
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Does anyone know if Purism commits to using Generally Accepted Accounting Practices (GAAP)? This can be more important than the actual financial numbers.
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NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation
The Company’s financial statements are prepared in accordance with U.S. generally accepted accounting priniciples (“GAAP”). The Company’s financial year ends December 31. The Company has no interest in variable interest entities and no predecessor entities.
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I don’t know if this affects your perspective, but none of the shares being offered or shared are voting shares. CEO retains all voting power of these shares.
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In the old days non-voting stock was also called “Preferred Stock”. It can’t vote but it earns more. I forget why they called it that, but I think it got first dibs on profits, instead of “Common Stock” which gets a vote.
I said “old days” because I used to work at a brokerage 45 years back. Terminology may have changed.
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It is commonly known that in traditional stock investing, that “Preferred Shares” have no voting rights. But they do have a high preference when getting paid. For example in a bankruptcy, the preferred stock holders get paid back before the other classes of stock holders get paid. If anything is left over after that, then the remaining classes of stock holders split what is left. In that scenario, the remaining stock holders might not get anything. However in this case, we’re not discussing traditional stock. So the rules are probably different.
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I knew it was somthing like that. Thanks!
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