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from The MFN Group/MFN Network

Special Strategic Facts About Vent-Cap!

The investors are called seed investors or angel investors. They are also called venture capital investors, and they can be LLCs, corporations, individuals, and more.

The investors will usually push for a 25% to a 33% interest in the new company with a corporation being formed and 25-33% in stock being issued to the investor. The investor usually wants what is called an exit strategy or a buy out where the company owner buys out the investor in about 5 years.  The investor gets their money back and a large chunk of cash to walk away leaving them with no interest in the firm.

The beautiful part is that the investor has no liability and not much say so either after things are set up. The business owner runs the whole show and calls the shots, but they must also be accountable. MFN brokers deals like these, and they take months to put together. We get as much as 10% of the money invested.  If 3 million is invested, then the fee to MFN is $300,000, and we pay 20% to you on 1st commission, which is a $60,000 paycheck. On your 2nd commission, we pay you 40% or $120,000, and the 3rd commission and all future commissions are the 60% which is is $180,000.

This is not a bad income for passive activity.

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