UPDATE:
To stop wasting company’s finances, according to Edgar Soares, head of ArchVentures SA (ARCH), the company will stop supporting any crypto-related ventures, with the exception of its functioning token network and existing wallet client, unless projects are presented with concrete and profitable business plans which should also be in-line with the company’s goals.
Although investments have been made in 3D printing and Virtual Reality equipment, the company has concluded that the industry is still small and such technologies still have a long way to go. Soares also said that investors should not expect any major developments in the above mentioned niches until further notice.
He added that the company needs to focus all its resources to its main product development and core business.
MOBY PROJECT
With regards to the single build contract for five Moby units and a docking pier, it is still on track; however in Algarve (the site’s location), proper procedures are required before getting into the construction phase, Soares said.
For the Algarve site, licenses and shore protection plans are required by the National Maritime Authority
http://www.amn.pt/. Issuance of permits may take up to six months, he said.
MOBY FINANCE ESTIMATES
Mr. Soares estimated that the final cost for the Moby project, including proper marketing and resources will be around $1million USD.
QUESTIONS AND ANSWERS WITH EDGAR SOARES
Q: Who owns 50% of Funny Pyramid?Company structure and documents were shared publicly. I currently own 90% and Hélio Mascarenhas owns 10%. At the time we register ArchVentures S.A., 50% of my shares of FunnyPyramid Lda will be attributed to the holding company.
Q: I hear boat manufacturers are among Arch Ventures’ partners in the Moby project, is that true?Yes, this is a common procedure to insure the reduction of expenses with prototyping and share expertise from teams in the industry.
Q: Who will be the officers of ArchVentures SA?Me and the ones that exchange their tokens for Arch shares.
Q: Don’t shareholders have a say on who will lead the company?I will lead Arch until everyone votes otherwise or I step down.
Q: When will we be able to exchange coins for shares (date)? How will it work exactly?The first exchange period will be around 360 days after Arch launched as intended, although there might be a 1 or 2 month, regarding that timeframe. I want that period to start right after our €600,000 plus Portugal2020 funding is approved. Between November 2015 and January 2016. It will be very simple with a KYC procedure where each CEO shareholder will receive a contract stipulating how many Arch they are exchanging and what shares they are getting in return. Since they are bearer bonds, after we receive the signed contract, the bonds will be sent to the shareholder or be available for pickup at our home office.
Q: I hear listing in the Portuguese stock market is in the works, when will these happen? Is it true that the listed price per one Arch share is around 50 U.S. cents? Who determines the initial par value of each stock?Any company, especially if it’s an S.A. can be listed in the stock market. Although it is a possibility, I have no idea yet if that is a good or bad option financially. That will be eventually brought into discussion with the shareholders and voted on.
Q: Corporate structures include dividends, when will Arch bond holders get their dividends? Quarterly or annually?Every 6 months according to Portuguese regulations, just like any other company.
Q: If dividends are distributed to Arch bond holders, what about the revenue for token holders?Token holders will take revenue from the predictable volatility of each sale according the Arch whitepaper.
Q: Can token holders exchange for bonds anytime after the initial bond exchange? Yes, tokens will be exchangeable for shares anytime during the exchange periods, as long as the amount is 32,000 tokens and above.
Exchange periods will last 1 month, twice a year, one way and require full KYC for legal purposes.Q: Once we have shares and it’s a regulated market there are concerns that CEO-Lounge is insider trading. How can this issue be solved so it’s not illegal?According to the Arch whitepaper and since the disclosure is made to the ones legally responsible/authorized to receive that information, aka CEOs, we comply with SEC regulations. Sales are just normal financial ledgers.
https://www.sec.gov/rules/final/33-7881.htm
Q: How come you have not shared any photo or a hint of the Moby construction since last year?Because it would be pointless “hopium” and just partial sections of pieces of sandwich fiberglass panels. Anyway, Moby is being built in a shipyard together with many other projects and using systems that the shipyard is uneasy about revealing.
That’s why we are focused on getting the mold done properly to move to an independent warehouse and have proper coverage of the building process.Q: Roughly how much does a Moby cost?Prototype will cost around $100k - that includes molds, tests and no mass orders of components and core materials. We are aiming for the final production version to cost around $50k.
Q:What's this supposed expectation of coming news within the next weeks? When it seems that continuous delays is expected more.Coming news will be related to Moby through local media and architecture magazines, also I'll share some data (roadmap) from the Portugal2020 project submission and also the budget and contract for the five pre-sold Mobys to CEOs only.Q: You mentioned something about a provision for CEOs who'd sell a Moby to someone. Have you made any plans how this would work in detail?Too early to define commissions. We don't have enough financial data
Q: I seem to recall (though I could be wrong), that you once mentioned that there were 13 Mobys pre-sold. What happened to the other eight?Yes, five in the Algarve and eight for Douro River. But those last ones don't have any signed contract yet and we are still in negotiations.
Q: You said you only need to scan proof to prove. Why can't the proof of presale be shown to people who invested with the company, such as the CEOs?It can now that we know the procedures regarding licensing. I'll be doing exactly that in the upcoming days.
Q: Let's face it. ArchVentures is primarily architectural in nature. Can't the company generate income from designing buildings and stuff?I'm not a fan of putting energy into other projects atm. Architecture would imply other resources and take precious time from our main product.
Q: You say you need 600BTC to put money for Portugal2020 funding. Where do you plan to get this money with the June 24 deadline so close?From my own balance
Q: if you are now trying to put us back into realistic perspectives, why did you spend April and early May creating unrealistic ones?I just shared what information I had. Even if they were optimistic. The fact that I would need to submit a project to local authorities was not a surprise, only the 6 months they say it takes to approve it.
Q: Saw that the plan is for moby to cost $50k. Is this build cost or consumer pricing? What is the estimated profit margin of a single Moby sale?Build cost for a single unit. Multiple can go as low as 35k depending on finishings and extras. Possible profits will be in the 2020 report. 50 to 80% imo
Q: Will you ever make a roadmap for Moby?2020 submission has all the information and roadmaps needed
Q:Why was there not more research done on the feasability of a 3D printing enterprise before purchasing?That's why we bought a mid range printer, to test the technology. Its still too early to use it commercially.
Q: 150k needed for 2020, you said you have the money several weeks ago, but you dodge that question later.There is nothing to dodge or add. The team and company was made on the basis of having enough capital to take it forward. I will prefer not to use my own money, of course. Hence, the funding rounds we are looking for.
Q: What did you mean when you said arch will no longer invest further in crypto and client and projects?Means that until crypto takes a step forward technology wise, investing is throwing money out the window. There is no money in crypto at the moment, maybe after the summer we can reevaluate this option.
Q: If 2020 funding fails then how will the required funding come and you said last month you can show moby after 2020 maybe without the molds. Why did you say that?Portugal2020 Program is not an application subject to "opinionated approvals". It's pretty much a guaranteed approval subject to many rules
and third party regular inspections regarding fund use.
Q: Did you expect the price of arch to react this harshly after your introduction letter?Not at all. I didn't expect my letter to be so badly misinterpreted and called a scammer because of it.
KICKSTART CAMPAIGN
Q: When will it start? Still July 2015? What is the incentive for backers/buyers?Incentives will vary from low range products like the lamp to mid level Stays at the prototype or any already constructed Moby, to the highest level incentive, which is pre-ordering a Moby itself.
Q: Those sexy desk lights, will they be available on Kickstarter for people who don't go full Moby too?Yes, that has always been the plan.
