Friday, July 15, 2011
Would this be classifed as a ponzi?
30 people invest 5k with a quarterly return of base + 20%. each month i get 30 more at the same return base + 20%. eventful after being with the investment for 6 months so 2Q your return will be base + 25% and after 1 year it would be base +30%. now each Q i would send everyone out a check from the company not their personal investment but from the company. now with all the money instead of doing a runner and leaving someone to take the fall...i invest the money into different areas such as property, buying actual billboards not the space but the signs and leasing them out. investing in new technologies and investing companies. now with all the returns from the different advertising, property etc i use that money to pay anyone who is willing to leave. keeping in mind that the amount from investments after 1 year would be higher than the amount from investors. ponzi scheme? or sheer Brilliance that someone after reading this will steal and ill see it on the news next year in the best new business section?
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