We are almost ready to begin publication!
But, before we do, we have a few more opportunities for potential investors. And, with the stock markets in the volatile shape they are in and bank CDs and savings accounts struggling to stay competitive, our rates are safer and more rewarding—more than double the current long-term CD rates and savings account rates. Plus, you can invest with as little as $500.
We are currently offering the following common investment units and terms for a private-sale CD:
- $500 for a 3-year minimum commitment (renewable by invitation only),
earns 8% APY, payable twice annually
- $1000 for a 1-year minimum commitment, earns 8.5% APY, payable quarterly
- $5000 for an initial 6-month commitment (renewable in 3-month commitments),
earns 10% APY, payable quarterly
Investors may mix any number of units but dividends will be paid separately, depending on the unit. Investors may purchase any number of units that they wish. Investors who purchase a minimum of $20,000 in any combination of units may be offered possible naming rights for awards, prizes, or scholarships and even potential imprints.
The total maximum amount sought is $200,000. No additional investment units will be sold after reaching this maximum amount or after May 31, 2009, whichever is reached first.
Investment Return, Interest Payment, Profit Sharing
Investment units will not be returned until the end of their term. At that time, investments and earned interest will be automatically reinvested. Investors wishing to have (a) their interest paid out or (b) their total investment (with earned interest) returned must alert The Gay Publishing Company two weeks prior to the investment’s anniversary date. If so advised, interest and/or investments will be paid out within two weeks of the anniversary date. Note that the $500/3 units are renewable by invitation only. Any investment unit level may be discontinued at any time.
Units that are allowed to reinvest and have been invested more than 18 months may be eligible for an annual profit-sharing bonus based on annual company earnings.
The “Fine Print”
Units that are redeemed early will be charged a penalty, usually the equivalent of three month's interest. Investors are responsible for reporting and paying any taxable earnings.
Risk Statement for Private-Sale CDs
(Note that we also offer secured/insured CDs, which are outlined below.)
Investment in any start-up venture is highly speculative and inherently risky; the publishing business is no exception. The economic success of The Gay Publishing Company is not guaranteed, since earnings depend ultimately upon acceptance by the public, which cannot be predicted, as well as general economic factors that can change at any time without any foreseeable notice or time for reaction, and other tangible and/or intangible factors that cannot be predicted with certainty.
In addition, the publishing industry itself continues to undergo significant changes, primarily due to technological developments. It is the full intention of The Gay Publishing Company to take complete advantage of these developments, to research them thoroughly, to anticipate their success, and to introduce them if beneficial and cost-efficient.
Due to the rapid growth and innovative nature of technology, shifting consumer tastes, and the popularity and availability of other forms of entertainment, it is impossible to predict the overall potential profitability of online or in-print publications. Nonetheless, The Gay Publishing Company also plans to be at the forefront of development and marketing innovations and expects to not only turn profits but be able to fund at least two nonprofit entities for the benefit of GLBT authors, audiences, and other supporters.
Finally, the success of The Gay Publishing Company will depend partly upon the ability of management to solicit and produce publications of exceptional quality at a reasonable cost, which can then compete with the products of other publishers. To guarantee success, management will participate in all aspects of the initial start-up phase and five-year plan; will aim to mitigate financial risks where possible; and will follow a low-debt spending and safe growth model as soon as possible.
In the event that The Gay Publishing Company does not survive, individual investors will be paid back as any remnants of the company are financially able to do so. It is the full intent of the company’s founders that all investors be fully reimbursed for any losses. Fortunately, following a successful startup, The Gay Publishing Company will operate virtually debt free as an online business. Print operations, which will constitute our largest expense, will not begin until income from subscriptions can support that part of the venture independently, even if that time is later than planned or announced. With that information in mind, then, investors to The Gay Publishing Company will stand at, or very near, the top of the list for repayment in the event of dissolution.
Secured/Insured CDs
When available, secured CDs are available with slightly different terms:
- Minimum Investment: $500
- Maximum Investment: $25,000 per CD
- Term: 1 year
- APY: based on investor's credit score, and lower than
our private-sale CDs (outlined above)
- Dividends: paid at maturity
- Early Withdrawal Penalty: forfeiture of 3 months dividends
- Insured up to $100,000 per investor
An online application process (but no paperwork) and approval (usually immediate) are involved with our secured CDs.
Thank you, Thank you!
Please explore our Web site for additional information about the company and its plans. We're confident that you'll be happy with what you find and hope that you will decide to invest today. If we can answer any other questions about investing options or provide any additional information on investing possibilities, please contact theGayEditor.
If you happen to be attending an event where potential investors might be in attendance, feel free to download and print this single-sheet, double-sided color brochure, "Answers for investors—funding an LGBT publishing venture" (this is a pdf file), take it along, and hand it out for us. (And, yes, we do offer a rather generous finder's fee!) This brochure primarily outlines and answers questions from our private-sale CD strategy, since it is our most popular offering. If you know of your event in advance, you can even order copies at no charge from theGayEditor.
Of course, anyone who might prefer to make a contribution is invited to visit our Support page. We also have the options of an advertising sponsorship and our unique Investor-Sponsor arrangement, where your favorite nonprofit charity can benefit from your investment in The Gay Publishing Company.
Whatever you do, we thank you for your attention and your consideration.
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