Obtaining Funding/Trading Capital

Let me see if I have this straight:

First, your main system is focused on equities, and yet it is not scalable?

Second, you make 300 trades a day with your main system, which generates 100% per month, yet this is only enough to pay your overhead? Yet the pattern day trade rules would require an account minimum of $25K to carry out this program, which means a net profit of $25K. Are you telling me your overhead (at a minimum) is $25K???

I must be missing something.

OldTrader
 
Quote from hmap1:

Hello. I have a question. There is so much money out there and to me it is amazing how hard it is to find that money sometimes. We are a black box firm that has been in business for 3 years. .....
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Its called Venture Capital. Pitch your system with a business plan to VC's. If your business plan is indeed valid and valuable there will be capital available - just dont expect funds tomorrow since at best it will take 6 months to a year before you will get any inflow in most cases ...
 
Quote from CPTrader:

And what happens in the scenario where his/her universe of friends and fmily is not financially buoyant?
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Lucky family, they will be spared from being fleeced.
nononsense
 
I just don't believe this story. That kind of track record speaks on its own.
Friends, relatives, your tax accountant, lawyer, that is how word of mouth gets spread.
 
"Let me see if I have this straight:

First, your main system is focused on equities, and yet it is not scalable?

Second, you make 300 trades a day with your main system, which generates 100% per month, yet this is only enough to pay your overhead? Yet the pattern day trade rules would require an account minimum of $25K to carry out this program, which means a net profit of $25K. Are you telling me your overhead (at a minimum) is $25K???"

You are on the right page. Payroll does have a bare minimum here and is our biggest expense. We are not foolish business people. We have costs and maintainence costs like any other business. You just may not be used to the scale here in terms of returns and because of that it seems outlandish.
 
Does your main scalping system which returns 100% monthly can also be applied to emini S&P, Bund, Bobl, Euribor futures? If it can't - why?
 
Quote from hmap1:

Thanks for the reply. We are running at the bare minimum with traders and programmers. We actually want to add to our staff with everything we have on our plate. So many good things, so little time with the staff on hand.
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It is quite common for companies like yours to do TFSE (Tax Free Stock Exchange).

If you do, the quid pro quo is that they use your stuff and you use some of their capital. Both operations flourish.

The other possiblilty is the "Chemex" deal invented by W. R. Grace. Grace took 20% interest in a given company (the first historically was Chemex) and allowed it's name to be used in that company's promos etc., including financing arrangements. Profits from the smaller company (you in this case) are distributed. You would take your distribution and loan it to company for 100% of profits thus generated by prior agreement.

Where you make most money is in the rise of the P/E ratio of your company. That is what W R Grace wanted too, i. .e., a two tiered situation where stock it owned grew in P/E and showed on the parent's books as a leveraged deal.

I have done the TFSE with up to 5 start ups at a time. It that case I took 80% of a publically traded closely held corp. We ran the parent as you would guess. The P/E ratio shift in first 4 quarters was 400%. The other 20% of ownership was elated to say the least. So were the existing creditors.


everything spoken about is in the context of full blown C corps and registration is Delaware as was the tradition then.
 
Quote from DT-waw:

Does your main scalping system which returns 100% monthly can also be applied to emini S&P, Bund, Bobl, Euribor futures? If it can't - why?
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It just cannot. I'm sorry, but the answers are proprietary.
 
Quote from hmap1:

It's funny, but we have had offers from "rich people who know nothing about trading" and we have declined. It's not arrogance on our part at all. We would do it if the relationship was right, but it wasn't. We had one scenario where we could have had our money(ALOT OF MONEY), but there was a HUGE price to pay for it which included doing what they wanted as they didn't know ANYTHING about trading or system development. They had me running around in circles proving things out I did 3 years ago and then proved they didn't work! It was very frustrating. It's not that we are not open to change or other opinions or directions, but if that is the case, let it be for the better of the company and all involved. In this case it wasn't AT ALL better for the company and we saw the writing on the wall and respectfully declined. This person had over 100 million and wanted something to do for a hobby, not for profit and at our expense and his leisure. We want someone or some entity that wants to make money as we do. That's where we are at.
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Not actually very "funny" at all. People with deep pockets that loan venture capitol take quite a big risk. There is a very big chance they will never see their money again despite your claims. They will want points, a big APR, maybe a deed to your home and Beemer, and want to be your partner in every aspect of your business.

Sounds like you do not like an arrangement like this. You want control as well as the money. Business does not work like this unless your mamma wants to back you. Your story does not make sense at all and your potential investors did not like what they saw either. Money is like water, it finds a "way", and if you could do anywhere near the returns you claim you would have so much money you would have to turn it away.

Your story is B.S., your posts non-communicative and vague.
 
First off, we are open to all arrangements. We realize that any investor will do their due dilligence. We would if it were us. This person came out and said that he was not interested in our company, but merely was looking for a hobby. That to us is not a good arrangement. Trust me, I am familiar with VC's and all of that. We just want the right fit to our company. It's not about arrogance or anything like that. We just want to do the right thing.
 
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