Now seeking investors for BitCorp Mining Company [Now pushing 40 GH/s!]

[yochdog]

nt

[DeathAndTaxes]

BitCO currently has 1,000 shares outstanding, and no more will be issued.  We would like to sell 100 shares initially,

Huh

It it has 1000 shares already outstanding and no more will be issued then how are you selling 100 shares?  

Is the company selling shares (to raise capital for the company) or is an existing shareholder selling their shares (no capital to company, merely ownership change).
Maybe it is just the wording but I read it a  couple times and kept coming back to

[DeathAndTaxes]

I like the proposal. 

Can you estimate how much capacity space you have at all three locations. 
Do you have any photos of your rigs / datacenter?
What is the company cost to rent/occupy the three locations?

[yochdog]

BitCO currently has 1,000 shares outstanding, and no more will be issued.  We would like to sell 100 shares initially,

Huh

It it has 1000 shares already outstanding and no more will be issued then how are you selling 100 shares?  

Is the company selling shares (to raise capital for the company) or is an existing shareholder selling their shares (no capital to company, merely ownership change).
Maybe it is just the wording but I read it a  couple times and kept coming back to

Sorry about the confusion. 

Current shareholders are selling, this is not a capital raise.  Shares outstanding will stay at 1,000, but ownership will now be split 90% to me and my CTO, 10% to outside investors. 

[yochdog]

I like the proposal.  

Can you estimate how much capacity space you have at all three locations.  
Do you have any photos of your rigs / datacenter?
What is the company cost to rent/occupy the three locations?

We are fairly confident we can expand to 15 GH/s before we run into issues.  We do have photos, and will share them with serious potential investors who show interest.  

On the cost of occupancy....we have co-located our miners in space already in use for our other ventures (read: we have other business').  Thus we are not charging BitCO for physical space, as we would be charging ourselves.  Going forward, we do not plan on charging for occupancy.  

[miner3gazillionand8]

nm.  asked for an answer that was already there above. 

[repentance]

I'd just like to say how nice it is to finally see someone who's seeking outside investors providing a coherent business proposal which includes financials  and a stratplan.

[buttcoin1]

Yes, it totally goes against everything this community stands for.

1. Create a post about my 'business'
2. Collect coins
3. ?

[yochdog]

I have recieved a great response about BitCO.  We have lined up several investors, and are really looking forward to being a part of a legitimate Bitcoin business. 

If anyone is still interested, and has not contacted us yet, we are still looking for a couple more investors for this first round of share sales. 

Thanks to all those who have provided feedback and given us suggestions. 

[GimmeDemBitz]

Yes, it totally goes against everything this community stands for.

1. Create a post about my 'business'
2. Collect coins
3. ?

Looks like we have another addition to the bitcoin 'business' dead pool.  My money is on one week until they disappear with investor's money.

[yochdog]

Yes, it totally goes against everything this community stands for.

1. Create a post about my 'business'
2. Collect coins
3. ?

Looks like we have another addition to the bitcoin 'business' dead pool.  My money is on one week until they disappear with investor's money.

I will take that bet.  How much? 

[iamzill]

Are you sure your production numbers are correct? I'm producing half of what you are producing and I only invested $2000 in hardware. I thought the point of a corporation is to take advantage of the economies of scale.

[yochdog]

Are you sure your production numbers are correct? I'm producing half of what you are producing and I only invested $2000 in hardware. I thought the point of a corporation is to take advantage of the economies of scale.

Great observation.  We did not hit our current 10,000 MH/s until early this month.  I expect that our September production will be close to 175 BTC.

[sadpandatech]

Company Locations and Facilities
We have three locations:
1)   A residential office, with 3,000 MH/s of capacity.  Upgradable and expandable.
2)   2,000 SF class A office space with 3,000 MH/s of capacity.  Nearly maxed out on capacity.
3)   3.500 SF class A office space with 4,500 MH/s of capacity.  Large additional capacity. 

Sorry if this was answered and I assume its included in your 'expenses by BTC' but can we get a breakdown of your electricity cost per KWH at each of these locations and a total average of what that is and what it will be at the start of the next month for all facilities combined?  Do you forsee this cost going up or down with any change of contract for the electricty at any or all of the facilities?

Cheers

[iamzill]

Are you sure your production numbers are correct? I'm producing half of what you are producing and I only invested $2000 in hardware. I thought the point of a corporation is to take advantage of the economies of scale.

Great observation.  We did not hit our current 10,000 MH/s until early this month.  I expect that our September production will be close to 175 BTC.

That's more like it. Do you plan to expand further or just keep the current rate?

[yochdog]

Company Locations and Facilities
We have three locations:
1)   A residential office, with 3,000 MH/s of capacity.  Upgradable and expandable.
2)   2,000 SF class A office space with 3,000 MH/s of capacity.  Nearly maxed out on capacity.
3)   3.500 SF class A office space with 4,500 MH/s of capacity.  Large additional capacity. 

Sorry if this was answered and I assume its included in your 'expenses by BTC' but can we get a breakdown of your electricity cost per KWH at each of these locations and a total average of what that is and what it will be at the start of the next month for all facilities combined?  Do you forsee this cost going up or down with any change of contract for the electricty at any or all of the facilities?

Cheers

We are not giving out a breakdown of the cost per location, but electricity rates are .08 per kw at residential, and .06 at the offices. 

[yochdog]

Are you sure your production numbers are correct? I'm producing half of what you are producing and I only invested $2000 in hardware. I thought the point of a corporation is to take advantage of the economies of scale.

Great observation.  We did not hit our current 10,000 MH/s until early this month.  I expect that our September production will be close to 175 BTC.

That's more like it. Do you plan to expand further or just keep the current rate?

We believe we have suficient infrastructure to reach 15,000 MH/s.  Our plan is to strategically expand when financially advantageous (read: good deals on additional hardware).  If we feel the cost benefit of further expansion is not in our favor, we are happy to continue at 10 GH/s and pay out generous dividends. 

[yochdog]

Company Locations and Facilities
We have three locations:
1)   A residential office, with 3,000 MH/s of capacity.  Upgradable and expandable.
2)   2,000 SF class A office space with 3,000 MH/s of capacity.  Nearly maxed out on capacity.
3)   3.500 SF class A office space with 4,500 MH/s of capacity.  Large additional capacity. 

Sorry if this was answered and I assume its included in your 'expenses by BTC' but can we get a breakdown of your electricity cost per KWH at each of these locations and a total average of what that is and what it will be at the start of the next month for all facilities combined?  Do you forsee this cost going up or down with any change of contract for the electricty at any or all of the facilities?

Cheers

Hi there,

This is the CTO of BitCO....I wanted to expand on this topic a little more.  Our only direct cost of electricity comes from the residential location.  The two office locations have pooled elecricity cost, so it is hard to break out exactly what our network uses.  BitCO pays a small fee to the business' occupying the office space, and that fee is indeed included in Operating Costs on the financials. 

[iamzill]

Please don't take this the wrong way, but someone can ask for 8 btc per share, convert that into USD, and put the USD into a bank account. At the current rate of bitcoin price drop he can afford to pay out 0.1 btc dividends indefinitely.

I'm not making accusations here. I'm saying that there's very little evidence to differentiate you from the above scheme. When you release your mining rig photos to potential investors they have no way to verify those photos except by posting them on this forum, so your photos will end going public regardless. So I would highly recommend that you post some photos of your mining rigs since it has the following benefits:
1. Everyone can verfiy that the photos are novel
2. Someone else can't claim the photos as their own
3. Build credibility

[yochdog]

Please don't take this the wrong way, but someone can ask for 8 btc per share, convert that into USD, and put the USD into a bank account. At the current rate of bitcoin price drop he can afford to pay out 0.1 btc dividends indefinitely.

I'm not making accusations here. I'm saying that there's very little evidence to differentiate you from the above scheme. When you release your mining rig photos to potential investors they have no way to verify those photos except by posting them on this forum, so your photos will end going public regardless. So I would highly recommend that you post some photos of your mining rigs since it has the following benefits:
1. Everyone can verfiy that the photos are novel
2. Someone else can't claim the photos as their own
3. Build credibility

Please don't take this the wrong way, but That's great.  A truly brilliant observation.  You should probably be given a prize for your power of deductive reasoning. 

All joking aside....assuming the price of BTC will always go down is stunningly assinine (have you even been paying attention for more than 5 weeks, or are you a newcomer who assumes they know all?).  I would not base a business on that assumption, but if you want to, be my guest.  furthermore, I really could not care less about what the BTC/USD conversion rate is, as we are in the business of mining Bitcoin, Paying dividends in Bitcoin, and taking investment in Bitcoin.  We produce a very steady, very predictable stream of BTC per month, and tha has value to many people. 

In regards to the photos, we don't feel the need to disclose them simply because you feel entitled to throw accusations around.  We have a track record of being legitimate partners in mining contracts.  This can be verified here: https://bitcointalk.org/index.php?topic=41888.0 and here:  https://bitcointalk.org/index.php?topic=38904.0  Our reputation can also be looked into by talking with "payb.tc", "jduck1987", and "BitSense Informatics"