Become part of something big: Online 'private equity' group!

[BioSpherical]

Hi,

I have an idea for a 'private equity'/venture capital group which invests in online businesses. I'm looking to create a fund worth $15,000, which will be invested in new online businesses and existing ones. In some cases we may buy the whole business and improve it, before selling it on again for a profit. In other cases, we may buy a stake in an online business, but let the owner continue to run it.

Here's how I propose the group is structured:
Chairman - $3000 investment - 20% stake in the group
2 Executive Directors - $1500 investment - 10% stake in the group
2 Executive Partners - $1500 investment - 10% stake in the group
3 Managing Partners - $1200 investment - 8% stake
2 Managing Directors - $1200 investment - 8% stake

So, in total, there will be 10 people involved in the group. I will be the Chairman. The stake each person has in the group also reflects their voting bloc.

Here's an example of what might happen:
One of the group members finds a website for sale for $3000. They believe it would be a good investment, so propose we buy it. It then goes to a vote as to whether we should buy it or not. Each group member uses their voting stake - if they think they would like to buy the website, they vote 'yes', if they don't like the look of it, they vote 'no'. The majority vote wins - if, for example, 60% of the group voted 'yes', we would buy the website.

At the moment this is just an idea, but if it attracts interest and there are enough people interested, I would love to push ahead with it.

So, if you have $1200 or more and would like to invest it in a larger fund as well as become part of an exciting new group, let me know!

NOTE: The structure of the group can be changed, but in total I would like $15,000 capital, give or take $1000.
Also, if I can't find 9 other interested people, I would be happy to have just 5 people in the group each investing the same amount (such as $3000 each).

[BioSpherical]

A couple of other things...
I wouldn't mind if the group just consisted of 10 people who invested $1500 each, and who had a 10% stake each too. Perhaps that would be easier?

And what I think would be best is if 25% of all profits the group makes are put back into the fund, and the other 75% is shared out proportionally between the investors.
For example:
We buy a site for $2000, and sell it again 2 months later for $3000. That means we've made $1000 profit. Of that, $250 is put back into the fund and the remaining $750 is shared among the investors. eg. If you had a 10% stake you'd get $75.

[David Rocci]

Dude, you started this in another section where people have already responded. Cut and paste these answers into that forum. I'm consolidating the threads.

-dr