And so, it was really those lessons that made me decide to build Acumen Fund about six years ago.

The amount of money you get.

Investment

Now, who are they accountable to?

Those can only take funds from certain types of sophisticated investors. and what happens in Pete's fund, and this is going to be an open ended mutual fund that we're showing here, and most mutual funds are like that.

Malibu Equity and Investments.

Well their intention was to take these home equity loans and put that money to work, invest it in some way.

If some wants to invest in a fund the fund will sell them the share so they're always dealing with the fund itself in a closed end fund once the fund is created it's share pool is fixed and if someone wants to buy or sell a share it happens in the secondary market so they're buying and selling from each other they're not dealing with the actual fund manager

He valued what we already had at 5 million dollars.

They're valuing these assets at 1 million.

Investing in professional development is not a cost.

As investors flee

Investing.

So the big difference open ended fund when an investor wants their money back they have to deal with the fund itself the fund will buy back their share

Malibu Equity and Investments. Roger Van Zant.

And this is the important thing.

This is the total actual value.

And I'll show you why that matters in a second.

Big investors.

Investment in what?

We are now faced with these questions to answer.

Did you know that 40 percent of the wealth created in Africa is not invested here in Africa?

(Laughter) Here's some advice from one of the largest investors in the United States.

But he said you know Nempo...

Peter Thiel just made an angel investment of half a million dollars.

We said before any of this stuff on the top existed, the pre money valuation of just our idea was 5 million.

Let me put that.

Just Manic Enough.

Consider it a capital investment.

I want investment.

I ran to my computer to send it to the IMF official.

By the way before we go forward, this is one point I want to mention.

EBlT in this case would be the operating profit plus this investment income.

If there are investors willing to finance

We had gone back to the till.

And then, what's the state of affairs in our city now?

And we allow entrepreneurs to share a percentage of their revenues.

If you want your 180 back we'll buy that we'll give you 180, you give back the share, and then we cancel the share and if anyone wants to add to the fund if they want to invest the corporation can create new shares and then issue it to people sell it to people and their money would go into the common pool and the management company would take fees off of it

If what we had before is worth 5 million and there were a million shares initially, then the pre money valuation

And of course the pre money valuation is just you just take the pre money valuation plus the amount of cash they're giving us.

I just took the total NAV and I divided it by the shares.

So you can imagine, this is the actual amount of cash that

Now how does that work out?

On the equity side of the equation we just have four million shares.

And so with patient capital from Acumen and other organizations,