It all starts with a vision, a proposed site, a deal structure which provides to everyone involved what they need, some research, a plan, a document, and the first sale of one $50,000 participation unit in the L.L.C. It can be done over and over again, all over the world, at a profit. This vision can change the world, and our lives, for the better. ~ yours truly
This is just one example of many available now in Oregon alone, (this can be done anywhere):
50k Imagine | 1 quarter acre piece of paradise 20 miles from (for example) Gold Beach in Southern Oregon
You have a studio bungalow on the property, fully wooded with 30 years old Douglas Fir. There are central facilities:
A Pool and fitness center.
Large Community kitchen and group dining and event center.
Business center with separate lockers and work areas and a fast connection.
Playgrounds for the children
Daycare center onsite
Tennis, Basketball, Baseball, and soccer
20 acres of common area private park on it’s own small river than runs through the property.
Neighbors like you, all owners of at least one quarter acre parcel, and all are joint owners in the Development Company LLC, which owns the project, the facilities, and has plans to expand worldwide with the model
You own the property, and a part of something bigger.
Your neighbors are working retirees, remote workers, single parents, singles, children, professionals and anybody who fits.
This is a for-profit live/work community – a ‘Member Managed’ LLC
As a branded live/work community, the LLC (hereinafter referred to as THE COMPANY) will target a market that previously does not exist: the need for low cost live work environment living, and a quality place to raise children for the growing number of permanently (or at least long term) single parents. 50 lots and X__ ownership shares in the LLC will be sold as units of participation in accordance with a PPM (Private Placement Memorandum) under Regulation D Rule 504 in a “Non-Public” offering.
The proposed business center, with offices, conference rooms, and presentation-necessary audio-visual facilities is a profit center, owned by the community. The cost of full use of the facilities, complete support from the other members (owners) and access to the built in clientele resulting thus, is 10% of gross profit from sales.
This is an entrepreneurial incubator community, where everyone who works there, lives there.
Profit centers:
Business Incubator revenues: $0 per month will eventually grow over time during the ‘construction period’ (see appendix I) to $5000-$10000 per month from successful resident businesses and professionals (Lawyers, Medical Professionals, remote businesses, online businesses, programmers, etc…) utilizing the incubator facility. This is used as an assumption to project needed capitalization, and use of THE PROCEEDS OF THE OFFERING. (see appendix II)
DAYCARE in the resident daycare center proposed.
Participation Unit Sales: 50 1/4 acre Units at $50000.00 each is $2, 500,000.00 from the “Proceeds of the Offering” (see appendix II). Septic and utilities will be ordered up, and installed; and all site work and development work will be paid for from these revenues. Construction of all the facilities and the entrepreneurial business center will be financed from these revenues. As an incentive for early investment, the “pick” of location for the lots on the proposed 40 acres, and the price of the units, which include 100 participation shares in the development (parent ) company, may very well increase as the project moves forward and infrastructure is built out; so that the purchase of a “unit” is both a real estate investment, and a business investment, with profit potential in the future from the development company.
Potential Appreciation: the value of the undeveloped land and the buildings and facilities, thus the value of the ownership shares of the L.L.C. (The Company) will increase as the sell-off and build-out progresses. The revenue in the incubated businesses will increase, and the 10% “rent” income to what would have otherwise been called the “Homeowners Association”, what could be called the BDC Profit Center for this model, will increase as the sell-off and build-out progresses.
Society, technology, and timing create arbitrages. The biggest problem to solve in our society, in my opinion, is lifestyle adjustments to these changes. We have a society that has evolved around the needs of employers, rather than the abilities and talents of the available work force. The success of the venture described here is based on a premise: that everyone can make a contribution; and that it is “greener”, more cost effective, more profitable, handier, and a better lifestyle if they make that contribution locally. From washing the dishes to managing the finances; from mucking animal stalls to building bungalows, fences, and facilities; from gardening and planting to marketing, merchandising, packaging, preserving, canning, and local barter; everyone can make a contribution, regardless of age, race, or gender. There is an economy of scale in living as part of an extended family, a tribe. 50-100 residents, for instance, as proposed here, represent a large market for everything from professional services to healthcare, shelter, and food. It only takes one pool, one spa, one basketball court; it takes very few vehicles, one large group kitchen, one fitness room, one playground…to service a community this size. All these needs represent jobs, and potential profits.
WE DON’T HAVE A SUPPLY PROBLEM
OUR NEEDS ARE SIMPLE
We need other people close by to interact with, eat with, worship with, and collaborate with. We are gregarious by nature
We need food. The farther the food must travel before it is consumed, the lower the quality of the food.
We need shelter. A single parent of one, needs the neighbors, the facilities, and the daycare with it.
We need love, and purpose, and bonding. These things need not require travel, much money, nor education.
WE HAVE A CONSUMPTION PROBLEM
The things that we really need need not be expensive, so where does ‘it all’ go?
Average household earnings in 2022 were $94,003, while average total expenditures for the year were $72,967, according to the Bureau of Labor Statistics’ Consumer Expenditure Survey. This included an average of $24,298 on housing, $12,295 on transportation and $9,343 on food. (Sep 26, 2023 Google search)
The typical American household spends $5,111 per month, on average.
The largest expense for most Americans is housing. At $1,050 per month, the cost of having a roof over our heads accounts for 21% of a household’s monthly budget.
Percentage of income is based on after-tax income. Percentages are rounded, and not all categories are included. Therefore, the total does not equal 100%.
Average monthly housing cost: $1,050
Key monthly home costs
Mortgage interest: $247
Property taxes: $196
Maintenance, repairs, and insurance: $180
The average U.S. household spends $21,409 per year, or $1,784 per month, on all things related to housing.
Shelter accounts for $1,050 of our monthly budget. That includes rent or mortgage payments, mortgage interest, property taxes, maintenance, repairs and insurance. The remaining $734 each month covers utilities, household expenses, furniture and equipment.
About 66% of Americans own their home. They pay an average of $623 per month on mortgage interest, property taxes and other expenses like maintenance, repairs and homeowners insurance.
The 34% of Americans who rent pay just a little less than homeowners — an average of $607 per month. Expenses include rent, maintenance costs and renters insurance.
Average monthly cost of household supplies and utilities: $734
Monthly cost of utilities
Electricity: $126
Phone services: $120
Water, other public services: $57
Natural gas: $35
Other fuels: $9
U.S. households spend an additional 10% of their annual income on things related to their homes. This is on top of the 15% of take-home pay that goes to mortgage or rent costs.
We spend most of this on recurring bills for electricity, heating and cooking fuels, water/sewer/septic, trash collection and phone service (including cellphones). The typical cost of utilities per month is about $347.
In addition, we spend an average of $122 per month on things like babysitting or elder care, house cleaning or landscaping, dry cleaning, pest control, and security systems. These services are categorized as household operations.
American households spend $196 per month, or $2,346 annually, to furnish homes. This includes everything from bath towels to a new dining table or refrigerator.
The remaining $70 per month goes toward laundry and cleaning supplies and other household products.
Average transportation cost per month: $819
Monthly cost of transportation
Vehicle purchases: $377
Gas, motor oil, other fuel: $131
Car insurance: $131
Maintenance and repairs: $73
Finance charges: $22
Public, other transportation: $22
The second-largest spending category for the typical U.S. family is transportation.
The average cost of transportation for a household is $9,826 per year, or $819 per month — 12% of the average household income.
Gasoline accounts for 16% of transportation costs — the average amount spent on gas per month is $131. This category also includes vacation transportation like plane, bus and train tickets and even ship fares.
Average monthly taxes paid by U.S. households: $784
Monthly tax expenses
Federal income taxes: $734
State, local income taxes: $203
Other taxes: $6
Average monthly tax amount includes federal stimulus payments that equal $159 per month, on average.
The typical household pays $9,402 per year in personal taxes — 11% of our total income.
This doesn’t include property taxes, sales taxes, Social Security or Medicare payments.
In 2020, we paid less in federal taxes than normal because of the stimulus checks many Americans received during the COVID-19 pandemic. The average household received $1,911 in stimulus payments from the government.
Average spending on food per month: $610
Monthly cost of groceries: $412
Meats, poultry, fish, eggs: $90
Fruits, vegetables: $81
Cereal, baked goods: $53
Dairy products: $40
The typical U.S. household spends 9% of its income on food — $7,316 per year.
The average cost of groceries per month is $412, which makes up about 68% of our food budgets. The remaining $198 per month is spent dining out.
While food is a necessity, the amount spent on food varies based on household income. People earning less than $15,000 per year spend $352 per month on food — $272 of which goes toward groceries.
In comparison, those earning between $70,000 and $90,000 per year spend nearly twice as much on food ($623 per month).
Average monthly Social Security contributions, personal insurance and pensions: $604
Monthly retirement and insurance costs
Pensions, Social Security: $563
Life, personal insurance: $41
The typical U.S. household spends $7,246 per year on Social Security or pension contributions and personal insurance.
The majority of this expense comes from contributions to Social Security and pensions,which total $6,760 per year (this may cover more than one worker). In addition, some households make payments into government, railroad or private retirement plans.
In 2020, Americans saved about 18% of their income after taxesto meet financial goals including retirement, new home purchases and vacation savings.
Overall, we contribute about $1,135 per month into savings accounts, emergency funds and personal investments.
Average cost of health care monthly: $431
Monthly health care expenses
Health insurance: $306
Medical services: $72
Drugs: $40
Medical supplies: $14
About 6% of U.S. household income goes to health care expenses — $5,177 per year.
That includes health insurance premiums and out-of-pocket costs for doctors, prescriptions and medical supplies.
The average American household spends $2,912 per year on entertainment.
That represents only 3% of our total income. However, the lack of spending on entertainment in 2020 can be partially attributed to COVID-19. The pandemic shut down movie theaters, caused concert cancellations and generally kept people in their homes.
Average clothing cost per month: $120
Monthly cost of clothing
Women, girls: $45
Men, boys: $27
Footwear: $26
The average household’s cost for clothing per month is about $120 (that’s $1,434 per year).
That number includes clothing products, and services like tailoring.
We spend an additional $54 per month for personal products like cosmetics and shaving cream, and services like haircuts and manicures.
WE CAN cut the cost of housing, transportation, utilities, and food in half, which I believe can be done with this model, at the same time providing a higher quality lifestyle. In this scenario, any part time job, internal or elsewhere, could support ALL of the employee’s needs. Let that sink in.
A GRASS ROOTS FINANCING MODEL CAN BE DONE ANYWHERE
‘RENT TO OWN’
What if you could help people whom nobody else can help?
People living paycheck to paycheck
Single working parents
Singles who work from home
Functional elders on a fixed income
Under privileged kids, such as myself at that age, exiting the system
People who need jobs
What if could offer them a job, doing almost anything that fits them, and a home, and a family, and a community, and facilities, and high quality food, for only their labor?
And what if you could do this all at a huge profit, with almost nothing to start?! Would you do it?
What if somebody gave you the nuts and bolts, coached you all the way through, prepared the offering documents, and sold the offering out for 10% commissions, legally, ethically? Would you?
If so, this is what you will need to make it happen:
Rothman Checklist for a Member-Managed Debt and Equity L.L.C. Finance Proposals
Brief bios on three founding members (Managing Members) and their proposed duties.
Clerical budget: $1,500.00 to pay for filing fees, templates and documentation to be legally able to sell shares.
A local lawyer with vision, to review everything in respect to local laws, and do minor editing.
A proposed site, either owned, financed, or prospective where the owner will consider an option which ties the property up long enough to execute the non-public offering. (this may require the founding members above to purchase the option in exchange for larger ownership shares in the L.L.C.)
Research for the writing of assumptions to be used to project operation results: selling price of developed lots at today’s prices, septic and utility installation costs, bids, and contingent commitments.
Contingent commitments from lenders to finance the debt based on their criteria, for financing construction.
Complete documentation on the proposed property purchase.
Assets, human, tangible and intangible for the opening balance sheet. This can include strategic alliances, supply agreements, trade agreements, and people and organizations who are interested in participation in the offering and/or finance or operations.
A list of potentially large vendors who will benefit from the venture.
A finished business plan, with all the usual documentations and definitions of the company, the plan, the players, the marketplace, the industry and venture, projected budgets, use of proceeds, and projected potential results.
You can do this, with or without my help. I have done it since the 80’s
If you want to send me an inquiry with whatever portion of the above that you already have, I will review it, and offer feedback and guidance for one hour for free. After that, if you want my help through the whole process, and if I like you, and the project, I will be a founder with 10% of the managing members ownership shares; I will prepare all the documents with your input and my advice, and I will help sell the offering, including traveling in-person to close any potential subscriber. I will handle all the online presence and marketing. I have never written one of these that did not get funded.
If the public and private sectors could learn to work together, we could solve some big problems:
1. KEY TAKEAWAYS from this article (Investopedia):
Baby Boomers are retiring in large numbers.
Many do not have enough saved for their retirement.
Beyond a lack of planning, a key reason Baby Boomers lack retirement savings is due to the 2008 financial crisis, as well as the chronic low interest rates since.
3. Skyrocketing costs of living ~ from Pew Research
A rising share of Americans say the availability of affordable housing is a major problem in their local community. In October 2021, about half of Americans (49%) said this was a major problem where they live, up 10 percentage points from early 2018. In the same 2021 survey, 70% of Americans said young adults today have a harder time buying a home than their parents’ generation did.
“The scores, which districts released individually at the request of EdSource, show sharp declines in all grade levels from 2019, before Covid forced the closure of most campuses to in-person learning, and 2022. “
All of these problems are interrelated:
We need modern solutions to modern problems. Partly due to technological and societal change, we are headed into uncharted waters. While modern problems need modern solutions, and there has been a lot of progress with private-public partnerships in government, finance, medical and retirement options, funded in innovative ways, some of the solutions can be found in the past, what you may call “the old way of raising children and caring for the elderly”
Many older adults and caregivers worry about the cost of medical care and other help they may need. These expenses can use up a significant part of monthly income, even for families who thought they had saved enough.
I am going to propose a bold solution here, one that will help to solve all of these issues simultaneously, and increase the quality of life for all of these:
From medicare, medicaid, state partnerships, Social Security Income to Insurance Companies and private sector solutions, there are trillions of dollars available, and being spent to address these issues. We can do this, by solving some obvious inefficiencies in the way that things are now:
The Inefficiencies of modern life:
Living alone is not cost effective. A much more cost-effective and sustainable model from our American past is the extended family, as in the family farm.
Just as it is difficult, even impossible at times for a single parent to juggle all the stresses and costs of providing for a child, such as myself, who was orphaned at 11 years old; it is hard if not impossible, at the very least expensive, for an elderly person without such a family nearby to sustain a healthy and productive lifestyle.
“It takes a village..” Children need examples, elders, friends, attention and support to grow through the formative years properly. Who is more qualified, to fill that gap, than baby-boomers like me, who are still healthy, and able to make a contribution, and old enough to want to, selflessly? Who is better able, to help with the children of the single parents?
For many of us, our needs are small. The children, need essentials, education, activities, and love above all. We seniors, many of us, are still able, to provide many things. Myself, I can still do most of the work, I have an income, I have skills (carpentry, gardening, business administration) and can teach others, with successful and admirable children and grandchildren of my own, who live where the cost of living is too high for me.
Going out to pasture, and producing nothing, for those of us who have always worked, have always made a contribution, does not make us happy.
The single parents need us, the current lifestyle of living alone is not fun.
By sharing a facility, a campus, if you will, we can reduce costs, support each other, and, I believe, even cash flow with profit centers like farming, construction, and service to the community.
The behemoth insurance companies and government partnerships, already invest in real estate, hand outs, family farms, education and other lumbering dinosaur solutions , Why not this idea?
Why I wrote this: it is because I have a dream, for other disadvantaged children and adults to have it better.
When I was a child, I wondered how anybody could love history. Then I had this one history teacher; Mr. Brown, at The Midland School, near Los Olivos, and Solvang, California, where I attended an amazing school, on scholarship, my freshman year in high school.
Mr. Brown, had a photographic memory.
He loved history, and was 80 years old at the time.
He taught history, ancient history, using the bible, and other classics, and explaining the times, putting everything in context for us.
We would test him, in class:
“Uh, Mr. Brown, I was reading the chapter about (whatever, any book) and I wondered what you think about it? ”
He would put his old hand on his 80 year old chin, and say “Uuuummmm, uuuummm…, oh yea: it goes like this!”
He never failed, he would quote the text exactly, and then, he would have a lot to say about the time, the people, and everything that was going on at the time.
I remember praying to myself, and God:
“Oh please, God, let me be like him.”
I always had too much to say in school, had very high grades, but I never realized that I had the same kind of memory, until I was in my forties, and started to realize that I could do it on purpose.
I have been through so much in my lifetime. My past was very hard. I was at that school, on scholarship, to get away from a very abusive, alcoholic foster father.
Back to history…history, does not create your future.
Your will, your intent, and your beliefs; elbow grease, and actions, and planning, create your future.
But the past still matters, because it is the source of you: your perspective, your power, and your joy.
Hard work, and vigilance, will help you survive tough times, but these strengths will not make you happy, without your history.
In my lifetime, starting with nothing, I have made and spent a great deal of money. I worked hard, and learned to function at a very high level, and accomplished many things.
But looking back is what has enlightened me, and the perspective gives me joy, peace, and happiness.
I drive a very nice car, and I have owned many, very many, even nicer cars. But it is the fact that I came from such humble beginnings, that makes it so fulfilling, not the car.
I write, not to get paid for it, because I do not want to write what the market will buy.
I live the way that I do, because it brings me joy, and keeps me healthy, and, to me, that is success.
“Whatever your hands find to do, do it, with diligence!”
But NEVER forget who you are, and where you came from. Amen.
Oh how good it would be if we could get on the same page!
Imagine a country, a world where there was a fair standard, which applied to everybody, and was honest, pure, and equal.
It is totally doable, in my opinion.
It starts with the children. No, I am not talking about some left, or right wing ideology.
Not organized religion. Not mysticism. Just the truth, honesty and fairness.
There have always been people, throughout the history of human existence, who could read the writing on the wall.
I am one of those, and I have some good news for you: the writing on the wall says to me, that this is where we are all headed, inevitably, with forces already in motion.
Let me explain:
The world in which we live is not an accident, it is a farm.
It is being maintained, nurtured, fertilized, and enhanced constantly by it’s creator. It is all for a purpose.
Weeds are being removed, winning strains and plants are being selected, nurtured. The land is becoming rich, the canvass is being developed, layer by layer, creating beauty, and diversity, and growth.
But the farmer must wait, must nurture and control the growth, thinning, pruning and fertilizing. Everything is dependent on everything else, every plant, every microbe, every animal, every insect, everything.
We have been charged with the job of ruling over the farm, and each other. We are a team, a diverse group of farmers, developers, builders, scientists, laborers, philosophers…
We are learning, growing, multiplying (and believe me, there is plenty of room).
The goal, in the end, of course, is what I first described here.
The creator of this farm will insure that it happens.
If you want to send me an inquiry with whatever portion of the above that you already have, I will review it, and offer feedback and guidance for one hour for free. After that, if you want my help through the whole process, and if I like you, and the project, I will be a founder with 10% of the managing members ownership shares; I will prepare all the documents with your input and my advice, and I will help sell the offering, including traveling in-person to close any potential subscriber. I will handle all the online presence and marketing. I have never written one of these that did not get funded.
If the public and private sectors could learn to work together, we could solve some big problems:
When I was a child, I wondered how anybody could love history. Then I had this one history teacher; Mr. Brown, at The Midland School, near Los Olivos, and Solvang, California, where I attended an amazing school, on scholarship, my freshman year in high school.
Some definitions (Ghetto Wisdom)