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You are reading an article written by a citizen of eRepublik, an immersive multiplayer strategy game based on real life countries. Create your own character and help your country achieve its glory while establishing yourself as a war hero, renowned publisher or finance guru.

Wood-company

Day 326, 11:57 • Published in USA USA

• by Kintor

I will start a wood-company as soon as V1 is released. I have got 75 gold right now, so I will be able to make it a Q2 business with my own money, but I want to make it bigger so I will follow the example of Korbin King by selling shares.

Each share will be worth 1 USD to start with and there will be 2050 shares to start with. I will sell 1024 of these, so I will still have over 50% of the shares. Each week a recommended price for the shares will be presented. The recommended price will be calculated from the following formula:
Price😞company’s value+money in the company)/number of existing shares
And as the value of the company will be 40 gold (2000 USD) to start with and I will invest 50 USD and the number of shares are 2050 the value of every share must be 1 USD. (2000+50)/2050=1

More shares can be printed if I invest money into the company. The number of printed shares will be calculated by the following formula:
New shares=invested money/value of each share
So lets say the value of the shares rise to 2 USD and I invest 20 gold (1000 USD) to upgrade the company there will be 1000/2=500 new shares. These new shares will belong to me. The reason that there will be new shares is because the values of every share shouldn’t change when I invest money. The opposite thing will happen if I would take out money. But I can’t take out more money then my own shares are worth. But this will probably not be a problem since I don’t think I will take out any money before I have bought back all the shares.

If you want to sell your shares you will have to find a buyer and then contact me. When a transaction of shares are made between you and another player the price doesn’t have to be the recommended price, but when I buy them back it will be.
If you have any questions or are interested in buying shares contact me. But don’t send me any money yet. We should make a contract first.

Comments

Checkers Day 326, 12:01

Kintor, what sort of engine is going to be used in order to enforce stock ownership and dividend payments? The game doesn\'t have a stock market, so I don\'t understand how this can be officiated. 😕\

Kintor Day 326, 12:10

Ididn\'t really understand the question. Could you clarify a bit?

ExoM7 Day 326, 15:09

He was asking how you can do a stock system, when the game does not have any sort of investment system in place.

Korbin King Day 326, 16:20

Unfortunately, he will be running it similar to the way I will be running it. So it should be very clear that at this point in time it\'s ALL about TRUST. Your investment is only as good as the person you have given your money to. Most likely, only the people that know me from the early days along with some risk takers will buy shares from me. I assume the same for Kintor...friends and risk takers.

scrabman Day 327, 11:04

I\'m interested. When do you need the $$?

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