Selling shares of myself

What do you think of selling a percent of your future income as shares to creatively finance education? It looks like MyRichUnlce.com is trying to get students to do exactly that, or something very similar.

I'd recommend against it...

A couple friends and I considered the same thing in college...we were going to sell 1% of our future income for $10,000. While it seemed like a great deal back then, in retrospect, we all would have spent nearly $100,000 repaying that $10,000 "loan"...and that's just until today...who knows how much more we'll earn and would have had to pay additional dividends on.

If you do want to do this, make sure you're realistic about how much you're worth. Also, take inflation into account. And figure out how you're realistically determine your "revenue stream." Is is gross earnings? After-tax earnings? Does it count money rolled back into your businesses? Etc...

I strongly would suggest that you think of other ways of raising capital.

why not just get a loan you can pay back 6 months after you graduate?

even a loan with 100% interest is better overall than giving away your future earnings

if you are going to give away your future earnings, then i suggest making a cap

You need to look at this from a different perspective. You've basically betting on yourself to not be really successful, so to speak. In other words, you're saying you're shares aren't going to be worth enough for yourself to want to have them.

If I'm going to gamble, I'm going to gamble on myself, not against myself. You're doing the opposite. Doesn't make sense to me.

Don't get me wrong I understand hedging your bets. But this seems like a horrible spot to do it.

Student loans work well.

How much are these schools? I mean I have friends who are spending $50k-$60k a year on school and there loans cover it, I admit they are big but still.

williell-

You are doing a double BS?

I worked full time (afternoons and evenings) while I went to school.

My course load was 16-18 credits/semester (typical load was 10-12).

I went year round.

I did not sleep a whole lot.

But I finished college w/very little in the way of bills.

That was 1984. I've never regretted it.

You can work while going to school. Lots of people do it.

-Russ H.

Keep in mind that you won't get a lot for each share if they do sell. That isn't to say that you aren't successful or reliable, but investors would perceive investing in one person very risky and thus, demand a steep discount for each share.

As the other members have said, consider finding another way to finance the semester.

That said, I do like your outside-of-the-box thinking. Entrepreneurs need that type of innovation and I think it is a very creative idea.

Okay, here's my offer...

I'll give you $10,000 for 10% of your future income, but only if you promise not to sell any additional shares of yourself (and assuming we can work out the contractual details)...

You should stick with one thing instead of spreading yourself so thin.

There has got to be another way.... even if you only make minimum wage for the rest of your working life, you are talking about a very large sum of money to pay back a small initial loan.

Work.
Borrow from Prosper.com
Student loans are really tapped out? really? Try harder.
And... GLC has a great point. Why so many start ups... ALL AT ONCE? (I can say this, because I am often guilty of the same mistake).
Pick ONE (the one with the best potential for immediate injections of cash) and focus on that. You can always do the other's later......

(too my mastermind group . . . does this feel like deja vu?)

Why not use the revenue from one of these companies? The investment club may not have any revenue, but surely one of your many companies must generate some profit. Or take out some business loans and pay yourself a salary.