Q&A — 6: Primalbase ICO
1. I’m concerned in regards to the sustainability of this business/company (closing down//selling of hubs). As for the 5 workplaces that you handpicked. I assumed that your team has done enough research to come up with the dates as well when to establish your presence and offices. It will be good if we are able to see in numbers/details specifically in the different locations, the supply and demands of the coworking spaces in that particular country.
This data will be available soon.
2. If it sells out within minutes, will invalid payments be returned to sender? A 3000 btc cap can and likely will be filled by one person or a select few willing to pay high tx fees. Just to confirm, If i paid for the token and i am not the first 1000. Will i be refunded? or is it as soon as the first 1000 is sold. We are not able to paid it anymore?
When the 1000th token is sold out, wallet addresses will stop accepting payments. All questions concerning the ICO campaign will be addressed in ICO Campaign Instructions which are going to be sent out to our subscribers. Information on how to buy PBT token, how it is going to be distributed, traded will be included in this document.
3. When will instructions be available on how and where exactly to purchase tokens? Also, where and how to rent, trade and sell them?
All instructions on the ICO process will be available in the Dashboard on primalbase.com
4.. What holds you from selling the property at a nice profit when it becomes “desirable” as you said?
At the moment Primalbase is renting the office space in Amsterdam under individual agreement, therefore selling the property is not an option, as it does not belong to Primalbase.
5. Why exactly should the Primalbase token increase in value with expansion and success of Primalbase as a whole? There are 1000 memberships for how many seats? Why would anyone overpay for using a shared office space? Just go to the next coworking space down the road. There are plenty of coworking spaces in every major city. It makes no sense. You clearly must have a business plan with some key figures and current state of affairs we can check, right?
We are focusing on three key aspects — increasing the value of the underlying asset, ensuring profitability of it, and sustaining the liquidity. The former and the latter are handled through regular pay-backs. Ensuring profitability of the asset is a different story — you are consuming certain services, or you are leasing your token to someone else getting revenue from it — in any case you are benefiting.
The value of the underlying asset is formed through balancing supply and demand. In our case supply is limited, demand is determined by the interest in the product. Our objective is to increase the interest in the product, how? The network of workspaces is growing, the amount of services is increasing, therefore the value of the product itself is rising. It is a unique product, it is paid for only once, but lasts for a life-time and content of this product is potentially unlimited.
6. How Team pay the monthly Rent for objects?
From private funds according to terms of individual leasing agreement.
7. How are profits distributed to token holders exactly? Who guarantee this?
As we mentioned before, token is not an equity, possession of a token does not make a token holder a shareholder. We are talking about sharing benefits of our tech hubs planned to be opened in the future. We are creating a system of renting shared workspaces through digital tokens, once we see that this model is working well, we start expanding opening tech hubs — huge, comfortable, comprising residences and offices, and you, as our early investors, who helped to make this happen, will be the first ones to benefit from it. In what form these benefits are going to be distributed will be decided.
8. Who guarantees that I can use it [the spaces] everyday. Where are the terms and conditions stated?
You can have an access to your workspace checking the availability of the workspace using the mobile application. Once you have booked a workspace for a certain time period, you are guaranteed to have an access to it.
9. You are selling 1000 ‘lifetime’ memberships to fund expansion. You don’t even have 1000 seats yet. So the risk involved with your venture is on the shoulders of the ICO participants. The upside potential however remains largely within your company. That’s what is going on in my opinion. I hope the team answers in depth. Profit sharing with all token holders is very vital. I hope you understand that.
Token holder decides to use workspace, not use a workspace, or lease it to someone else. One should also keep in mind that the token acts a financial tool, which can be traded. It is true that we donät have 1000 workspaces at the moment, but we are selling the capacity. The amount of tokens we are selling exceeds the capacity of Amsterdam Werf, which is at the proof-of-concept stage. We are only showing what it will look like, how it will work. All calculations were made considering the capacity of planned infrastructure.
10. ICO payment options in IOTA, will this be possible ?
No
11. Can i confirm in regards to the exit strategy if lets say we bought the tokens after a few months the leases expire or companies go broke. What will happen to us? You were mentioning that by purchasing the tokens we have a share of Primalbase amsterdam werf, just wondering if we are able to see the p&l and the potential of this company?
At the moment, Primalbase does not own, but rents the office space in Amsterdam under individual agreement. This agreement defines certain liabilities of both sides in a number of scenarios, states a long notification period and a compensation in case of pre-term cancellation of leasing agreement. It allows us to avoid financial losses and plan further activities. As Primalbase does not own the place, it cannot sell it, therefore there is no cash flow going its way which can be shared.
12. Why isn’t Primalbase listed as official entity in business listing?
Primalbase is renting the office space in Amsterdam under individual agreement with the right to switch the lease. As the business is meant to be international we are planning to do full corporate setup post ICO by creating a group holding structure, as well as several operational companies. Otherwise it would’ve required ownership change which would also complicate account opening process in certain jurisdictions.
Registering a company in official business listing does not take so much time, so it is not the most pressing issue at the moment. While changing the ownership might take a few weeks considering the logistics and time required for full KYC on the new parent company.
13. Is there gonna be more detailed info soon on Ehtereum + Waves protocols? When? pre-ICO?
Detailed information, as well as instructions on the ICO process will be available shortly in the Personal account as well as sent to our subscribers.
14. Will Primalbase have a dashboard page with bitcoin deposit address info?
Yes, it will be available soon.
15. If tenants pay directly to token holders. How Primalbase will carry on with operational costs per location? (Maintenance, utility bills, bar suppliers, staff, etc).
All costs associated with maintaining of the workspace, paying utility bills, salaries, etc. will be covered by the income coming from a part of the project based on traditional real estate relationship implying renting out offices to companies, startups, project groups, etc.
16. How do we join ICO?
The first step is to subscribe to our newsletter at primalbase.com. You will be notified when registering Personal Account becomes available, all instructions on the ICO process, as well as terms and conditions for participating will be available there.
17. In your Amsterdam location, how many spaces are there? How big are they each? Is it something like an office equals one space? e.g. 5 office spaces in the one amsterdam location? Or is one token the entire floor?
Please come visit us at Helicopterstraat 25, 1059CE. One token gives an access to one shared workspace, not the entire floor. 4 PBT tokens owned by one person or a group give an access to a separate office.
18. I have a question about token leasing, will you offer some kind of centralized leasing platform where people will be able to freely trade and reach a market price for the leasing agreement?
You will be able to lease your token through a mobile application, which is going to be released in September along with the launch of our next location in Berlin.
19. How long after the ICO finishes will i get my tokens?
Tokens will be allocated shortly after the completion of the ICO.
20. When will I be able to use your facilities in Amsterdam?
PBT token is not only an access to the infrastructure, but also a financial instrument, and a membership in the community. You will be able to trade it on exchange platforms and speculate on the price if you wish.
After ICO campaign is over, tokens will be distributed among investors. Infrastructure will become available once the mobile application is released to make the process of booking workspaces, selling and leasing tokens easier. That would happen not earlier than September.
21.As I understand the money from the ICO will be invested to other properties for leasing and then you will give us the use of them. Besides the tokens will we have any documents for the rights of use?
No.
22. Will I have the right to use it as contact address?
There is no problem with that, yes you can use it as your contact address.
23. After the crowdsale is over when is the soonest people can trade their tokens?
You will be able to trade tokens within a few weeks after the end of an ICO.
24. Possibility of leasing, will it be only on the Waves platform? If my tokens are set ETH, I can not pass them on lease?
Leasing of tokens will only be available on Waves platform, buying and selling — on other platforms.
