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Investor Relations: Prospectus Details

 

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Overview of Important Prospectus Details

To protect new Share Holders the Company has passed a Special Resolution that requires, in the event it is not successful, 100% of Tangible Assets will be disbursed to Investors who contributed Cash, Services, or Property, and the Company Founders will be excluded. (See Prospectus Items 50 and 53)

  • This protects Investors because the main use of Investor Proceeds will be to set up Production Facilities and build RTM Show Homes for Inventory, and the money is not required to develop I-T or software, only for customizing the Company's Intangible Intellectual Property Assets for use in new U.S. markets. (See Prospectus Item 30)
  • When the Company is successful, all the Investors who contributed Cash, Services, or Property will share equally with Company Founders in Dividends and ROI from increased Share prices resulting from both business operations and the Company's Intellectual Property. (See Prospectus Item 50)

Other special safeguard provisions implemented to protect new Share Holders during the implementation phase are:

  • The salary of the Company's president and CEO has been set at a minimal level to ensure the objective remains increasing ROI and generating divident profits. (See Prospectus Items 83, 85, and 109)
  • Control of the Company during the first year is being given to an independent Board of Directors. (See Prospectus Item 78(c))
  • Special election provisions are in place to prevent Company Founders from totally controlling the Board of Directors. (See Prospectus Item 50)
  • If Services are provided for Shares, these must be relevant to operations and tendered at verifiable cost or competitive quote. (See Prospectus Item 72)
  • If Assets are provided for Shares, these are under Stock Options so they do not count toward the Impound Amount nor do they reduce the amount of Capital ($1 million) being raised, and they must be provided at a Fair Market Value determined by an independent third party, and the Deal must be approved by the Board of Directors. (See Prospectus Item 102)

The Montana Commissioner of Securities has required that the Company provides two other new Share Holder safeguard:

  • Minimum of $300,000 in Common Shares for Assets or Services must be subscribed to (Impound Amount) before money held in the Impound Account is released to the Company to begin operations. (See Prospectus Item 73)
  • Company Founders' Shares are held by an Escrow Agent for 2 years after the granting of effectiveness for the Offering, and they can not be sold nor paid dividends on unless the dividends are declared by an independent Board of Directors. (See Prospectus Item 53)

Registration with the Montana Commissioner of Securities, something that only 10 to 20 Montana companies do each year, provides potential Investors with the assurance that many aspects of the Company, as well its Offering, were reviewed before a registration number was provided.

 

Revised July 30, 2006
 
   
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