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Well, KBH Applications is an application developer. Now an application can be a computer program but an application can also be an invention. And an invention can be a machine but an invention can also be a process or a system.
Then KBH Applications has a popular portfolio accounting software as 'KBH Investor Accounting' but KBH Applications also has dozens of other applications. For instance there is 'KBH Local Grid Application' that works with both GPS locations and with plane compass directions and distances.
Now KBH Applications has developed a corporate structure application as a nano-stock-company application. The nano-stock-company has some particular business purpose that is fundamentally true to the history of the company. Then the nano-stock-company organizes as a C-corporation with shares of stock. The shares of stock are available to persons familiar with the company under SEC Rule 504. The funding raised goes into a non-core wealth portfolio with 60% of the wealth being in Treasury securities or bank deposits and the remaining 40% of the wealth being positioned into any regulated securities.
The nano-stock-company is not an investment company because it has a core business purpose, because it does not claim to be an investment company, and because 60% of the wealth is in Treasury securities or bank deposits. Then the nano-stock-company does not face investment company regulation. And under SEC Rule 504 the nano-stock-company is not required to register the stock that it issues to friends and family.
The nano-stock-company is a C-corporation and therefor is interested in growing in value but not in paying dividends that would be double-taxed. Since the nano-stock-company does not pay dividends then investors might want to sell-out of the position after the one-year required holding period. So the nano-stock-company develops an internet ledger where shareholders can post their company stock. The stock is posted by public Serial Key and public Registration Key. But the shareholder keeps the private ID Key secretly. Then the private ID Key works in a particular computer program with the public Serial Key to prove the owner of the stock by outputting the correct public Registration Key. The stock listing can be updated or transferred by sending-in to the company. However, a stock transfer also requires personal ID of the new shareholder. In either case of an update or a transfer, a new public Registration Key is developed and a new private ID Key is held.
Finally, there is another aspect to the nano-stock-company and that is that the founder gets one share of Class A common stock for every twenty shares of Class B common stock that are issued to shareholders. In other words the founder does not begin with a large chunk of the company that dilutes the other shareholders but incrementally gains fair position as the company is funded. Now the Class A common shares have twenty votes each while the Class B common shares have one vote each. The founder does maintain voting control.
Of course I envision thousands of nano-stock-companies in the world. Also, this post represents Version 2 of the nano-stock-company application.
Here is a link to the first nano-stock-company as for information purposes:
Of course that's the KBH Editorial Corporation
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