VEMEX registered public investment.
Investment published on: 2011-01-06 01:30:00.
NEISIN code: CSOCR4PIP009.
Official discussion: link to EvE forum investment prospectus.
Public Investments Archive for this investment: backlink.
Official audit: link to EvE forum audit.
Public Audits Records for this investment’s audit: link.
Archived by: Vaerah Vahrokha.
Full Pocket Aggro – Corporate IPO Document (CSOCR4PIP009)
• Chapter 1 – Summary of Full Pocket Aggro
• Chapter 2 – Background
• Chapter 3 – Corporate Governance
• Chapter 4 – The Business Plan
• Chapter 5 – Statement of Assets
• Chapter 6 – Full Disclosure of Risks
• Chapter 7 – Full Disclosure of Main and Alts
• Chapter 8 – Exit Strategy
• Chapter 9 – IPO Phases, Dividends, Market Cap
• Chapter 10 – FAQ
Chapter 1 – Summary of Full Pocket Aggro
Full Pocket Aggro is a PVE corporation primarily aimed at mission running and manufacturing. We have extensive connections within both Caldari and Amarrian regions of space and are looking to start a corporate-level manufacturing operation.
Chapter 2 – Background
I’ve been playing EVE since the start of April ’08. My main main is a combat orientated pilot that is currently on sabbatical due to dodgy internet connections. So far he has been involved in most everything connected with combat from n00b fail-tackler up to alliance CEO.
Lauren is my second attempt at a main alt account and was initially created and skill focused into a gank mission CNR to earn the isk necessary for the then main to do what he was supposed to do. Since the issues with my net connection started my focus has shifted more towards this character and training has progressed through marketing to production and will be moving to invention shortly.
One of the things that I’ve been interested in is the investment side of things which started as a by product of visiting this section of the forums. The simple part is that I have a desire to run a corporation that has its fingers in several different pies and one of those pies is having investors. The whole responsibility to others thing and proving that I can do what I claim.
Chapter 3 – Corporate Governance
The Full Pocket Aggro corporation itself is a totalitarian dictatorship. There is now and will only ever be myself with a finger on anything approaching the nuclear button. As and when new members are admitted there will be strict control over access rights to corporate assets. This will be achieved through the combined use of specific roles and station based level privileges.
For all outside operations the corporation is controlled through a shell corporation called “FPA Holdings” which is in turn controlled by Sosumi U’hole, one of my alts. This shell corporation exists to handle shareholder involvements and decision-making related to any external activity that the main corporation is involved in.
In practice this means that any and all internal matters are at the absolute discretion of myself whilst all matters arising due to external operations are handled via the shareholders at the direction of myself.
Chapter 4 – The Business Plan
The manufacturing operation that is being set up will focus on T1 construction covering the areas of Ship Modifications, POS towers and modules as well as Capital construction parts. For this I propose to allocate 5 of my available manufacturing slots to this venture.
All materials will be sourced from the market at sell order prices from one of the major hubs. Depending upon price differentials items may be purchased some distance from the manufacturing base and transported to the local hub via suitably collateralised courier contracts or direct to the manufacturing base in a suitable ship.
A “suitable ship” includes both T2 industrial variants as well as other ships more appropriate. For example, small volume high value cargoes can be carried in cov-op frigates for which I have several characters that can perform this and these are not directly involved in the operation.
All manufactured items will be sold at my local hub and I have the requisite skills to create and modify market orders at this location from both my normal location and the manufacturing location. Similarly I have the requisite skills to operate the manufacturing jobs remotely from my normal location.
Rather than looking for a given return percentage I focus more upon actual profit value and past experience indicates that between 4M and 10M per manufacturing slot per day is readily achievable. It should be noted that continuous daily production on all allocated slots is not guaranteed but I believe that a minimum of 15 slot days of manufacturing per week can be turned around. This would give an approximate profit of between 60M and 150M per week likely averaging out at around the 100M mark.
Where practical the business will be kept as liquid as possible so therefore there will be no inventory kept. Isk velocity is vital to the method of operation for this business.
Profits will be disbursed in the following manner:
25% will be retained by the corporation for future development of the corporation and its businesses.
25% will be retained by myself as recompense for time spent, skills invested, slots used and managing the business.
50% will be paid as dividends to shareholders.
This will mean that the business always has an operating capital of 1B isk available to it. This method has been chosen to limit the rise in earnings from individual shares and allow a simpler method of expansion in the future.
The ratio of investment to corporate NAV will be kept to a maximum of 1:2. So that the corporate NAV will never be less than twice the value of investment. The calculation of NAV for this matter will be based solely upon assets that are not in space and subject to destruction. This means that the first 300M of NAV increase will be used to achieve this balance.
Any expansion that takes place will be based upon an increase in the NAV of the corporation and that increase in NAV will be naturally limited to half the amount being earned by the investors. I believe that this limiting of growth will preserve the integrity of the business and allow it a controlled development in the future.
Chapter 5 – Statement of Assets
The corporation currently posses’ blueprints. These are, in all but one case, researched to their perfect material level and where material research is not possible they have had their productivity levels researched to a sensibly chosen level. This level chosen as a balance between research time and number of items produce-able per day.
Asset value: ~1.5B isk
The corporation is also in possession of a small POS tower, not currently deployed, for research purposes. There is no need to deploy it for the purposes of this IPO and it will remain in storage.
Asset value: ~200M isk.
Chapter 6 – Full Disclosure of Risks
The largest risk is that I simply walk off with all invested isk. I state this simply because this is true of any offering with no collateral attached. The mitigating factor here would be that of my personal isk earning ability and current assets when compared to the size of the offering. I can offer a guarantee that this is not a scam but these would merely be words. In addition, the structure outlined at the end of chapter 4 for the increase of unsecured investment into the corporation should ensure that there is no flurry of expansions and that therefore the amount of isk available as temptation should always remain small in comparison to both my personal isk generating potential and my personal NAV.
Due to my connection (dial-up access over a standard phone line) patches cause me a downtime relative to their size. The final part of the Incursion expansion, being as it includes the new character creator, will likely be a sizeable download that will necessitate a period of absence from in-game activities for a period of several days. There is then the associated risks of further patching of indeterminate size at indeterminate intervals. However, even a full size download would not require an absence of more than two or three days as I can source updates/clients from external high-speed internet connections.
All of my accounts are subscribed through PLEX and this is a situation that I intend to continue since the actual earning of isk is something that I enjoy and I see no reason to spend real money when this option is available. This risk is increased by my internet connection (see above) however I am mostly successful in maintaining a wallet balance sufficient to cover a period of 1 month for all accounts.
There is a risk of real-life injury limiting my in-game ability. The previous January saw me suffer fractures adjacent to the elbow of my right arm both above and below. This meant that I was unable to do much due to an adverse reaction to the painkillers subscribed as well as the physical incapacity of my predominant arm which in-turn led to the deactivation of my accounts which I was unable to finance with real money due to being placed out of work by the same injury. The injury itself was sustained due to adverse weather conditions and exacerbated by a delay in obtaining treatment due to the same. This is, however a minimal risk since in such conditions I have changed what I do since I have absolutely no wish to go through that experience a second time. Should something similar befall me the accounts will be resubscribed at the earliest opportunity and certainly no later than the reactivation emails that are automatically generated after a period of three months. In this case a shareholder vote will be issued on the continuation of the business with the likely result expected to be to liquidate enough corporate assets to provide adequate compensation for the missing payments and to shut down the business.
In the event of my death then the house wins. I do not consider a game of sufficient worth to trouble my relatives and friends with detailed instructions on how to honour outstanding commitments in-game at such a time. I, of course, will not be in a position to care at this point.
Chapter 7 – Full Disclosure of Main and Alts
As previously stated I have three accounts each of which contains three characters. This, Lauren Hellfury, is what I currently consider to be my main character despite it not being the oldest or highest SP of the nine available.
I strongly encourage you to do your own research on my posts within the forum on all specified alts and my corporate history. In fact, do this before you buy any shares at all. It’s a good habit to get into if you’re a first time investor.
Lauren Hellfury (this character)
Sytoru Hiroshyma (PVPer – on sabbatical)
Sosumi U’hole (CEO of holding corporation)
xxxx (research alt – training for production and other industrial related activities)
xxxx (salvage alt)
xxxx (Cyno alt and supa-sekrit scout)
xxxx (no skills trained)
xxxx (corp holding character)
xxxx (created for testing what can be done with a new character)
Chapter 8 – Exit Strategy
This is a corporate-level operation and an on-going one. There is only one clear-cut exit strategy in place which would be a vote of no confidence in the operation being proposed by an investor and passed by a simple majority. In such a vote no CEO or corporate shares will be voted – it will be a pure shareholder decision. In the event that the vote is passed the business will liquidate its remaining stocks and all shares will be bought back at initial value with any shortfall to be made up out of my personal wallet or the sale of corporate assets at my discretion.
There will be no formal share buy-back scheme although individual cases will be assessed on their merits and compared to personal funding.
If any investor is unsatisfied with their position then aside from attempting to close down the business their main recourse would be the sale of their shares to another party.
Chapter 9 – IPO Phases, Dividends, Market Cap
Total Number of Shares
Shares Allocated for IPO
Price Per Share
Anticipated Market Capitalization
100 shares (phase 1)
Monthly on the first.
Total Dividend Payment
50% of profits achieved.
Projected Return per Dividend Payment(%)
Projected Return per Share per month
IPO offering will consist of 2 phases
Phase 1 – Shares are offered to those that reserved an interest for a period of 24hrs along with public sale of remaining quantity.
Phase 2 – Any reserved shares unclaimed will be issued to those on any reserve list or offered for public sale
Q: How do I know this isn’t a scam?
A: You don’t. Not for sure anyway. It is the responsibility of all potential investors to perform their own due-diligence. I will make available as much information as I can to facilitate this.
Q: How do you know you’ll be successful?
A: Previous testing of the waters using the same basic strategy in Jita and let if it can work there then it can only work better elsewhere.
Q: Why are you doing this?
A: For fun and profit. Eve is a game and games are supposed to be played for enjoyment or at least for entertainment. I love the idea of having a virtual business and of operating with a responsibility to others. I want to see how well I can grow the business both in terms of size and diversification.
Q: Do you intend to have an audit done at some point?
A: Oh yes. An audit is in the final stages and will be published as soon as possible in this thread. There will also be ongoing monthly audits to confirm the correct operation and reporting of the business.
Q: What’s your background?
A: Within EVE I’ve done pretty much everything. Yes, this does mean that I have indulged in some activities that certain people frown on but none of those activities required direct dishonesty or dishonour. For example I’ve never dishonoured a ransom or 1v1 and never given outright lies to further my own position or goals – I should note that I did some work as an alliance diplomat for a while which is why I used the phrase “outright lies” some massaging of the truth is required in such a capacity.
Q: Will you ever buy back shares?
A: Not as standard practice. As stated in chapter 7 individual requests will be assessed on their own merits but my primary aim is to have the corporate business operate as a publicly traded entity. Any shares that I do offer to buy-back will be done so strictly at issue value rather than current market value.
I will, however, facilitate any share transfers that players make by acting as a broker for my own shares with a 0% commission.
Q: Will you ever pay over 50% of profit as dividends?
A: No. The scheme is structured so that the working capital remains uniform to try and achieve a semi-stable return rate. Should the return rate start to look too high then discussions will be initiated with shareholders to attempt to restructure the agreement to a more favourable position for all involved. No, I don’t expect this to be an easy discussion should it take place.
Q: What if someone War Decs Full Pocket Aggro?
A: Investors should be happy! Seriously. The business is based around operations within stations, a war-dec will limit my personal freedoms to engage in normal activities but any hauling can be out-sourced from the corporation. This is simple to achieve with either public courier contracts or by having a hauler leave the corporation for the duration of the war. There are no assets in space to attack and I can personally engage in additional manufacturing or market activities so there is little to be gained from any war-dec anyway.
Edited by: Lauren Hellfury on 07/01/2011 02:13:02
Edited by: Lauren Hellfury on 07/01/2011 01:49:47
Edited by: Lauren Hellfury on 06/01/2011 22:16:28
Edited by: Lauren Hellfury on 06/01/2011 22:09:13
Edited by: Lauren Hellfury on 06/01/2011 20:37:28
Edited by: Lauren Hellfury on 06/01/2011 01:47:13
Launch investors list
(100)Cista2 – paid
(100)RAW23 – paid
(100)Dethmourne Silvermane – paid
(100)Tzeneth – paid
(100)Darrigaaz – paid
(100)Sam Mustian – paid
(100)Kithran – paid
(100)Xilael – paid
(200)Iazy Researcher – paid