The Sperry Plan
To Rescue The U.S. Economy
By: M J Sperry
The Sperry Plan Isn't
Before describing what the Sperry Plan will be, let me describe what it won't be. It won't be; a retail, wholesale, manufacturing, processing, sales or service company. Each company (and there will be many) will be one and only one thing, an investment company. A company that simply and exclusively invests its capital. That's all, nothing else.
These investment companies will be made up of up to no more than 35 members. There is a good reason for this exact number. The SEC seems to like it in that they have traditionally considered less than 35 people to be a "small" enterprise, and over that same number to be "large". It is important that each company be small for several reasons but especially to obviate vote fraud, important since all action within these companies will be vote driven. Vote fraud is virtually undetectable. Everything looks and feels normal on the surface, when they aren't. A small group of 35 people who are at least acquainted with one another, makes vote fraud much more difficult.
Participants will have essentially two functions. One: Each will contribute $10 a week to create a pool of seed capital. No more nor less than this amount will be allowed to be contributed. Two: Proposals for the startup of new businesses, or the buyout of existing businesses, will be made available to participants who will occasionally vote on which actions to take. Other than these two things, nothing else will be required of participants. (and you thought this was going to be complex and difficult).
Understand, this is all virtually identical to the way high-dollar venture capitalists operate, only in our case, each participant will operate in "low-dollar" mode. $10 a week in seed capital might seem small, but not when you consider that it represents "ground floor" opportunity. Take any blue-chip stock on the New York Stock Exchange and think of it as a pie. $10 a week invested in that stock at the start when it was issued, might have bought you a very big piece of that pie. That same $10 invested today, after its being carved up by IPOs and stock splits might buy only crumbs, comparatively speaking.
Further, there are at least 200 million adults in this country. If you multiply that times the $520 each will contribute per year, you get a little over $100 billion dollars in seed capital. That's $100,000,000,000 a year, and it's money that will be the first returned to investors, to be recycled into new investment, before any profits are issued. So, don't underestimate the value of $10 invested in the right venture, within the right system.
Precisely How To Do This
It Starts With You
Let's say you, the one reading this, decides "This might work and it's sure cheap and easy enough". So you print up a few copies of this on your ink-jet printer and give them to a few neighbors who seem friendly enough and ask them to take a look. Some may like it and say "sure". So after a little discussion and networking you all ask others in your neighborhood, until you're at a number greather than half (18) but no more than 35 participants. Don't worry about those who say no or just can't make up their mind. When your new company works out and they start to smell money, they'll find a way into another company, even if they have to start it themselves.
Even while gathering the participants in your company, you should start looking for other companies that are also forming in your immediate area. For now Ill try to use my website www.howtorescueamerica.org to point you in their direction, as well as possibly host proposals. Or maybe you can come up with a better way.
You should immediately contact an attorney in your area who deals in business law, especially the establishment of LLC s in your state. The LLC, or Limited Liability Company, is in at least one respect similar to a corporation, in that it creates a "veil" of limited liability between those who own the company and everyone else. The LLC form is very flexible as compared to the traditional corporation and is almost perfectly suited for what's being proposed here. In an LLC a membership agreement can be instantly changed with a simple majority vote, something that couldn't happen with a traditional incorporation. An LLC can be created and operational in a matter of days.
NOTE: Collect no monies, until advised to do so by your attorney.
Listen carefully to your attorneys suggestions, but understand always - you make the decisions, not your attorney nor anyone else. There will always be people inside and outside the group, who will imply or state that they somehow "know better than you" how your business should be run. Don't fall for it, no matter how expensive their clothes nor convincing their language. It's your company, it's your responsibility. There will almost certainly be active discussions of all this, including the legal, in the forums I and others will create on the Internet. How things get done by others will be posted on Internet forums with the best ideas rising to the top to be adopted by others as they choose.
Each participant will contribute $10 a week to create a pool of seed capital. No more nor less than this amount will be allowed to be contributed by participants, and each may only be a member of one company. Once setup as a legal company with a bank account, the bank may make it possible for each participant to have their own special account. One that would be used exclusively for company business and linked directly to the company account.
Each participant would then simply input their $10 a week through a convenient kiosk using their card. The money would then be deposited to the company account. Profits on investment could be distributed to participants in the same manner, only in reverse. The point here is to avoid the bookkeeping headaches of collecting contributions weekly, while producing an independent, certified paper trail of all transactions.
Each participant will occasionally vote on which actions are to be taken regarding investment of company capital. Investments might be for the startup of new businesses, or the buyout of existing businesses. The Internet will probably become the place where prospectuses for such proposals will be posted. Anyone who has an idea they think is worthy of your investment may post their proposal, complete with a business plan and all pertinent information. There motivation to do this will be self interest, as the person whose proposals are accepted, could (through negotiation) retain an interest (a share) in the business or some other meaningful reward.
You and the members of your company will have to whittle down the proposals (there will be many), to the ones the majority believe are the best. You will then, along with other companies, invest a portion of your capital into several ventures (there's safety in putting your eggs into many baskets). Over a short time your portfolio of investments will grow.
Note: If you don't have a computer to receive the Internet, ask someone in your group to print out proposals for you. Soon, under $100 computers will be on the market. If you're not now on the Internet, you don't know what you're missing out on. They're very rugged, hard to break, really not difficult to operate and lots of fun. It's like having a library, no, the world in your living room. They're actually quite addictive and this may be a great opportunity to see for yourself. I'm sure those in your company will help you over the rough spots and get you started.
There will of course be different opinions regarding various proposals. Differing opinions could cause friction. This should be at a minimum since the members of your company will probably rarely meet, except when it's time to vote. However, if necessary the use of the following technique should keep any disagreement to a minimum. It works like this: At the beginning a moderator is selected. The moderator sequentially selects those who will speak as they raise their hand, if it's a live meeting. If the meeting is on line, another method will have to be devised.
One and only one person is allowed to speak at a time. Each can speak for an amount of time determined by the group. At the beginning of the meeting the moderator will even have someone purposely interrupt a speaker, so that all will gain practice at collectively and loudly telling the interrupter "BE QUIET OR LEAVE". Peer pressure is enormously powerful, and it alone should prevent people from interrupting another. The author has used, or seen this technique used on dozens of occasions and can testify to its power and effectiveness.
Local - Regional - National
You might consider investing heavily in your local area but reserve a reasonable amount of capital for investment regionally and nationally. All of course must controlled through the vote by you and only you. Possibly as much as 80% might be invested locally, 15% regionally and 5% nationally. While that might seem lopsided towards the local, consider that the total number of companies at only 35 people per company, could number in the millions. 5% of as much as $100 billion is $5 billion in seed capital. That is a substantial amount of "seed" indeed.
Secret Voter, Yes - Secret Vote, No
The way things get decided will be by majority vote. The vote itself must be in the open and in person. This is one of the biggest reasons why the company is formed in your neighborhood, it makes vote fraud difficult and it makes it very easy for all to vote. While the vote must be open, the voters identity does not have to be. A serially numbered, carbon copy ballot similar to the forms businesses use should do nicely. The voter chooses a ballot from a pile, privately imprints their vote, puts the original in the ballot box and retains the copy. Later all votes are openly placed on a board. All a member has to do is verify that the vote they cast is the vote that gets counted. This is done by simply comparing their copy to what is up on the board. From the board all will be able to tally the results, making the system verified, certified and irrefutable.
Alternatively, if you feel comfortable with it at first, you can simply ask for a show of hands, but I strongly urge you to go to the ballot system as soon as possible. Either way, the vote itself must be visible (transparent). If it is not, there will be no way such a secret vote could be verified in order to be genuinely certified. The vote is crucial. Not conducting it correctly can lead to havoc later, so get it right and avoid the hassle, confusion and distrust. A corruptible vote is the only thing this system could not withstand, nor recover from.
To conduct the business of these companies, "Dream Teams" will be employed. Within the various companies there will be people of "excellence". Hiring within our newly acquired businesses will be done from within. This will provide an opportunity to spot potential team candidates. From these pools of employees Dream Teams will be derived. These well compensated "dreams" will make things run smoothly and just generally make things happen.
Dreams will join with other dreams of other companies to form single teams that together and efficiently will service all their companies. Compensation might include base pay plus "bonuses" consisting of large cash prizes to be distributed quarterly to the best of these team members. People whose excellence will be determined by company vote.
The best dreams of these teams, "the cream", will ultimately surface and be re-formed at progressively higher, regional levels. These "Cream Teams" will go beyond the daily nuts and bolts of looking after the local companies. They will engage in ongoing, high level thought and consideration of the best means of protecting and enhancing the overall investment of all participating companies. Their other function, and possibly the most important, will be to provide up to date business and market "intelligence".
There is an enormous amount of information available to us today. We can only deal with a relatively small amount of what is out there. Then there is the problem of ascertaining the "truth" of these various issues, especially investment possibilities. It will be a monumental task, but knowing the truth of issues that concern your business affairs, is a paramount requirement to making informed decisions. A wrong decision based on inaccurate information could cost your company dearly. Later we'll deal with this issue on the Internet, but understand that the ultimate task of these Cream Teams, will be to provide their employers (you) with the best and most accurate information that can possibly be acquired. Remember, you will never know which information isn't important and which is critical, until it's too late. Therefore, it would be unwise to accept anything less than 100% on this issue.
Each region, a state or several states, should have its own
intelligence arm. This should prevent a "bottleneck" to information flow, that might result in
omission or inaccurate information concerning important issues. Disinformation is
everywhere today, especially popular media.
The information contained herein is only for the purpose of elucidating and conveying, an entirely new financial strategy for the rescue of America. It should not be considered in any manner an offer to sell, buy or invest in anything, in any way. Always consult a trained financial advisor before considering any financial investment.
mac Sperry is a writer living in San Diego
visit: www.howtorescueamerica.org email: email@example.com
© M.J. Sperry - March 2009 - All rights to this work are hereby relinquished to the public domain, but only if republished in its entirety, including this disclaimer. Please distribute widely.