TROY, Mich., June 19, 2015 /PRNewswire/ -- Elio Motors today announced it has launched a crowd-funding initiative as the next phase in its fundraising strategy. Beginning today, everyday folks now have a new market where they can invest in private companies like Elio Motors.
In an unprecedented development in March, the Securities and Exchange Commission finalized rules under Title IV of the 2012 JumpStart Our Business Start-up (JOBS) Act, paving the way for private companies to raise up to $50 million from non-accredited investors. This new ruling is known as "Regulation A+."
Individuals interested in learning more about the Elio Motors investment opportunity can go to StartEngine.com, the crowd-funding website launched today by business incubator Start Engine. Elio Motors is one of seven companies utilizing StartEngine.com.
The vehicle already is a hit with consumers, as more than 43,000 people have reserved a place in line to purchase a vehicle that is expected to sell for $6,800 and get up to 84 MPG.
"This is an exciting day for Elio Motors as it gives us the opportunity to share our dream with literally millions more people," said Paul Elio, CEO of Elio Motors. "Regulation A+ has made it possible for every day folks to buy in to start-ups like Elio Motors. We are excited about the possibilities created by the 2012 JOBS Act, not only as a funding source for Elio Motors, but as a chance for many of our fans to own part of the company."
The Regulation A+ crowd-funding initiative is one of several funding strategies used by Elio Motors. In March, the company used the Regulation D Rule 506(c) provision to pursue accredited investors (people with $1 million in assets excluding their primary residence or with an income for the past two years of at least $200,000 for an individual and $300,000 for a married couple). Initial funds from that effort were used to finance the build of Elio Motors next generation prototype, the P5.
"Funding is an important piece for getting to our ultimate goal of production," Elio said. "The initial success of the recent 506(c) offering allowed us to begin building the P5. The Reg A launch will allow us to raise additional capital and continue our quest to alter the course of personal transportation in America."
Elio Motors will manufacture the vehicle in Shreveport, Louisiana, at a former General Motors facility that made vehicles such as the Hummer H3 and Chevy Colorado. When the Elio goes to market, it intends to create 1,500 jobs at the facility. In addition, the Elio is targeted to use 90 percent North American content, which could create another 1,500 jobs at its supplier partner companies. These manufacturing jobs will in turn create approximately 18,000 indirect jobs across the country.
About Elio Motors
Founded by car enthusiast Paul Elio in 2008, Elio Motors Inc. represents a revolutionary approach to manufacturing an ultra-high-mileage vehicle. The three-wheeled Elio is engineered to attain a highway mileage rating of up to 84 mpg while providing the comfort of amenities such as power windows, power door lock and air conditioning, accompanied by the safety of multiple air bags and an aerodynamic, enclosed vehicle body. Elio's first manufacturing site will be in Shreveport, La. For more information, visit www.eliomotors.com or www.facebook.com/ElioMotors.
**No money or other consideration is being solicited at this time, and if sent in to Elio Motors or StartEngine, will not be accepted. No offer to buy securities of Elio Motors can be accepted and no part of the purchase price can be received until Elio Motor's offering statement is qualified. Any such offer to buy securities may be withdrawn or revoked, without obligation or commitment of any kind, at any time before notice of its acceptance is given after the qualification date. Any indications of interest in Elio Motor's offering involves no obligation or commitment of any kind.**
SOURCE Elio Motors