Vox Pop Sells Shares, Claims Survival
Despite some sloppy business practices and resulting financial difficulties, the much-beloved coffee shop cum community gathering place Vox Pop will live to host another open mike night. The Ditmas Park blog reported an update from the current manager of the place. All it took was 172 local people coughing up $50 a pop (sorry, couldn’t…
Despite some sloppy business practices and resulting financial difficulties, the much-beloved coffee shop cum community gathering place Vox Pop will live to host another open mike night. The Ditmas Park blog reported an update from the current manager of the place. All it took was 172 local people coughing up $50 a pop (sorry, couldn’t resist) to get the coffee beans grinding again:
Against what seemed that impossible odds, in a time of economic struggle for us all, our friends and neighbors came together to raise the funds needed to save this important anchor in our neighborhood. This action embodies the spirit that is Vox Pop — The Voice of the People. And that voice was heard loud and clear. It is important to us all that we have a place that supports the arts and music and local, organic menu selections. A place for friends and neighbors to gather, meet and share.
We thought the place was $29,000 in the hole, so we’re not sure how 172 x $50 gets them there, but glad to hear it!
Ryan: ‘Vox Pop Will Survive’ [Ditmas Park Blog]
Vox Pop Responds, Plans Town Hall Meeting [Brownstoner]
Vox Pop Teeters On The Edge [Brownstoner]
Photo by cck
Goldie:
“Obama fever” was certainly not the problem. The Vox Pop folks declined to support Obama because he wasn’t left enough for them, and, knowing the political purity requirements at Vox Pop, I wasn’t surprised. What did surprise me was that they expressed their unhappiness with Obama by declaring that they were supporting McCain.
Mr. B: I take it back. I would say that if they actually issued stock there is probably an available exemption from SEC registration (the intrastate exemption, which applies to offerings limited to one state, leaps to mind, and there are exeptions available for very small offerings like this). However, if they told people they were selling them shares in a business and basically just took their money without giving them equity in some legal form, that basically makes them Bernie Madoff.
It annoys me greatly when hippies try to run businesses.
DIBS: Somehow I doubt anyone involved in this venture actually knows what stock is or how one might go about issuing it. They basically passed around a hat. I doubt anyone got a pro forma capitalization table when they “purchased their shares”.
Mr. B: I would guess the answer is no. They would need to think about NY state securities laws as well.
perhaps these people got too caught up in the obama fever, and stopped paying their bills/wages in anticipation of obama giving them lots and lots of free money.
That place is a dump that is a health hazard that needs to be closed down.
I didn’t buy a share because I don’t agree with Vox Pop’s politics and especially their promotion of every crackpot conspiracy theory known to man. That said, I do like getting a cup of coffee there and am glad there is enough community feeling in my neighborhood to pull together for a cause. I sincerely hope the new management pays off the back wages owed to employees, and the community holds management’s feet to the fire, or “the last fraud will be greater than the first”…
I think the SEC has bigger fish to fry Mr B…
This probably is technically against SEC rules, don’t you think?
How it actually works is this:
172 local people cough up $50 a pop
Hedge funds bid on a pool of toxic coffee
The treasury provides a non recourse loan for the balance of what’s owed to the health department