Part Four, Changing the Rules

Zero Expense Model and Efficient Financing Plan

No personnel expenses, no office expenses, Aomoxo, a company composed of tens of thousands of talents, will grow rapidly at near zero cost.

Rule No.1: Zero Personnel Expense

Unlike ordinary employees, every dollar the talents get from the company must come from the company’s profit, which is their only source of income. We will never use investors’ money or borrow money to pay our stock-holding members. Zero Personnel Expense means that no money is made, nobody gets paid, the company’s profit is zero, then the labor cost is also zero.

All the good things must be created by our own hands!

As one of Aomoxo’s stock-holding talents, from the day you joined us, you have come for the extraordinary dream of becoming a “billionaire”, and nothing else. You will always know exactly at any market cap, how much your shares would be worth, how high the market value needs to be for your net worth to become tens of million, or for your “billionaire” dream to become a reality. And you should also know that as Aomoxo’s stock-holding member: First, you have the right to share the market value; Second, as soon as the company starts making money, you can also receive salary and bonuses just like any ordinary employee; And third, you, along with all of your fellow members, are also allowed to share 90% of the company’s profit.

However, there is no free lunch in the world. Market value, profit, net worth, wealth and so on, all these wonderful things we all so look forward to, can only truly become ours through hard works. No money is made, nobody gets paid, this rule of Aomoxo Plan’s Zero Personnel Expense, is to tell the talents plain and clear, that joining Aomoxo, you must not have even a tiny bit of opportunism. All the talents get from Aomoxo, they must create first.

Moreover, we firmly believe that all miracles are created by talents. So as long as those who have come for the “billionaire” dreams, are talented, down-to-earth and hard working people, then it shouldn’t be a problem to gain satisfying salaries for all of us. To make our first move, we will prioritize in choosing projects that are also easy to profit, with mature profit models. Once we start making money, we will immediately use it to pay wages and dividends, so that the talents can enjoy the initial fruits of success, and go on pursuing the extraordinary “billionaire” dreams with more confidence than ever.

Rule No.2: Zero Office Expense

No brisks, no tiles, no tables, no chairs, Aomoxo’s office buildings are built completely on the web, and no less efficient because of it. With our members working entirely through the internet, all Aomoxo’s office expenses will disappear from our income statement.

Establishing the company entirely online not only will help realize the idea of ​​globalization and allow talents to enjoy the incredible freedoms that comes with it, but also make a company of 10,000-and-more members burdenless, and easily remove the cost of several hundred million dollars: No need for building or renting office space; No need to purchase various office equipments and supplies; No need to pay the necessary routine maintenance or any kind of expense that comes with a centralized office. Every one of Aomoxo’s talents will work in their own living environment, reuse their own computers and home networks, thus eliminating a potentially huge office expense.

We will not do business in an extravagant style. Waste absolute nothing! And we don’t care about other people might think of us, Aomoxo is going to become a real “Zero Expense Company”, saving all unnecessary expenses and put precious resources on the most important things.

Zero Expense Entrepreneurial Model, paving the way for the complete realization of the Aomoxo Plan.

Aomoxo can quickly form a team of more than 10,000 people without requiring capital.

Under normal circumstances, it is a very high threshold to form an elite team with more than 10,000 people. Don’t even think about it if you don’t have significant capital. First you would need to be able to pay the salary of each team member. with an average annual salary of $90,000 per capita, you’d need billions every year to pay 37,200 employees. Even if you managed to hire so many peope, it’d be even harder to keep them. It’s also important that if you want to get this huge team working, only salary is not going to be enough, you also need enough financial resources to pay for the work spaces that can accommodate tens of thousands of people, whether for an one-time construction cost or annual maintenance fees, and various office expense. The cost of this scale can range from ten million to hundreds of million.

However, when we start to be brave and make changes, all these seemingly immovable obstacles have vanished in an instant. Not only 37,200 members, even doubling that number, Aomoxo can accommodate them as they come.

Aomoxo will not encounter the threat of capital chain breakage in its entrepreneurial process, and will be able to withstand any rain and hail with vigor.

There won’t be situations where Aomoxo cannot pay its employees, the due rent or utility bills; Where anxious employees are resigning one by one due to the company’s financial crisis and arrears; Or where the capital chain breaks and the daily operation of the company has been forced to a stop, leading to crisises like disruptions of projects and business stagnations. Aomoxo’s Zero Expense Model has completely eradicated the root causes of those problems above. Our entrepreneurial process is absolutely capable of withstanding any kind of storms that would come our way.

Efficient Financing Plan, using as few shares as possible to solve our financing problems.

First of all, let’s see take a look at the maximum number of stock Aomoxo can use to raise money. Since the stock owned by Aomoxo’s ten founders are also included in the 90% talent incentive stock, the remaining 10% of the company is to be used exclusively for financing to meet our future needs. In addition to that, to make sure the company’s survival in case of emergency, the 25% of the stock for recruiting the 25,000 “1/100 Billionaire Class Members”, are also set up as the Secondary Reserve Stock for emergency financing, used only when company’s survival is at stake. Only in those critical moments, some or all of it could be used to raise funds. So with this arrangement, the shares for raising money are up to 35% of the company, more than enough for financing.

Here, we need to state that the 25% reserve stock should be regarded only as a precaution measure. Aomoxo’s entrepreneurial process relies deeply on talents. So it’s vaitally important for us to put all 90% of the company into motivating tens of thousands of talents to create a new trillion dollar market cap company. Draw on that 25% to raise capital only when it’s absolutely necessary, and as little as possible.

In fact, through a series of innovations such as Zero Expense Model and Efficient Financing Plan, Aomoxo Plan has eradicated the root causes of capital chain rupture on the mechanism level, and 10% of the company should be more than enough for financing. Therefore, it could be optimistically expected that in the future those 25% would all be for talent incentive, as in accordance with the original arrangements of the Talent Shareholding Plan, and Aomoxo team would gain 25,000 more sharehoding talents.

Rule No.3: We won’t burn cashes, won’t be “capital speculators”, raising money for money’s sake, and never use investors’ money on eating, drinking, and whatnot.

Aomoxo’s goal of $1 trillion market cap cannot be achieved by poor ideas. There are always many choices and paths in front of us. And we will not choose projects that needs to burn lots of money to carry out, and we will not make raising capital our top priority. Even when we do need to spend money, we will continue to carry forward the innovative spirit of Aomoxo Plan, and try solving our financial related problems in creative ways, so that projects that would otherwise require a lot of money, could be set up with no worries, and running smoothly under Aomoxo’s Zero Expense Model.

Every dollar we save can make our business less dependent on capital, which means more shares to further strengthen our human power. This is the essence of the Aomoxo Plan.

Rule No.4: Start from Series F Funding, or go public directly.

After the 200 “Billionaire Class Members” are all in place, we will immediately start efficient consultation and maintain communications online with relevant investment institutions around the world, and pitching Aomoxo’s financing philosophy to valuable investors. We’d be happy to do business with investment institutions that are truly daring, resolute, and mission-oriented, and work with investors who respect the Aomoxo’s “talent-centric” philosophy, and together commit to making Aoxomo a trillion dollar company.

And in the meantime, we will abide by no rules and continue to make bold innovations and breakthroughs. For example: How about we raise funds directly from the F series? How about we go straight into the IPO process? We’d be happy to try out every ideas that allows us to “use as few shares as possible to gain as much capital as possible”.