
Understandably, some might worry how we can put a proper broadcast television channel and streaming service in place for a relatively small amount of cash?
Simply, we can’t. But here is how we can deliver a news service for that:
- Membership fees / donations and applications for funding and grants pay for structuring and for a placement agency to pre-sell sponsorship and some early ads.
- The sponsorship pays for us to start up, allowing us to sell advertising.
- Advertising and (ongoing) sponsorship pays for the service and programming.
- We also intend to issue a bond, once we are fully operational, which will allow us to expand our offering and platform support, as well as smooth the bumps in the
A good question at this point might be, why not raise equity by selling shares?
We would, but there is a pretty big problem, which is this: news doesn’t make a profit. That’s why our proposal has been to run a rolling news service as part of a small channel portfolio. This allows us to run near breakeven or at a small profit.
The idea behind that is we don’t want run out of cash, but to bootstrap the business for the minimum needed, then use the capital markets (in this case the debt market) to put handle our expansion needs once we’ve proven the business model.