Who will be the legally recognized Joint Venture Equity Participant (JVEP) Royalty Unit (RU) holder (e.g. investor) in this project? Select an option from the list below.

Note: All tax-related income statements will be prepared on behalf of this entity. Tax ID information will gathered at a future date.

Please provide the legal address for the entity you listed above. 

1. Gross Royalties earned by the Joint Venture Ownership Pool (JVOP) are based at the rate of 35% of the Gross Revenue earned by the JVOP less any allowed deductions for upstream third-party platform listing and credit card processing fees of up to 20%. Should such fees be reduced or eliminated, Gross Royalties available to the JVOP will increase.
2. Royalty calculations are calculated monthly by the JVOP Manager and reported to the JVEP's through established methods (e.g. by website reporting to a private members-only area unique to each JVOP).
3. Royalty payments are calculated and paid quarterly within 30 days after the end of each quarter.
4. Disbursements will be paid by e-transfer to the JVEP email provided on this form.
5. The equipment purchased with the JVEP's capital contributions will be owned exclusively by the JVOP and no community interest in the property is reserved to the JVEP, nor is any right granted to exercise management control over the JVOP.
6. The ONLY entitlement owed to the JVEP is a prorated share of the Gross Royalties received by the JVOP based on the number of RU's issued to the JVEP relative to the total RU's in the JVOP as calculated at the start of each month. (e.g. RU's/n where n=total RU's issued to all JVEP's in the JVOP. In a pool of 100 RU's, each RU=1/100 or 1% of the Gross Royalties received).

1. The expected operational lifespan of the equipment in the JVOP is estimated to be 3-5 years depending on the condition of the equipment. E-bikes are expected to last about 10 years and batteries 3-5 years under typical operating conditions. We intend to sell the used bikes and replace them with new equipment to maintain high quality inventory in each JVOP and to maximize the return on capital.
2. The used equipment will be offered for sale at an estimated asking price of $500 - $1000 per e-bike, depending on the model being offered for sale and the condition of each unit.
3. Beginning as early as the end of year 3 of the JVOP but no later than the end of year 5, the Manager must make the decision to either dissolve the JVOP or continue the operation. The operational decision rests entirely with the Manager unless a supermajority of 75% of the RU holders vote in favor of dissolution of the JVOP (wherein each RU held counts as 1 vote) at which time the JVOP Manager shall wind down the JVOP.
4. Based on the option chosen, the JVOP status will be changed to either "Pending Dissolution" or “Pending Continuation”.
5. If the JVOP Manager elects to Dissolve the JVOP it will sell the used equipment on a best-efforts basis and then disburse the net equipment sales proceeds to the JVEP’s on a prorated basis as determined by the relative outstanding RU's owned by each JVEP. Once all proceeds have been disbursed, the JVOP will be dissolved.
6. If the JVOP Manager elects to Continue operations, it will sell the used equipment on a best-efforts basis and then create and deposit the proceeds into a new JVOP. The manager will calculate the proportionate share of the proceeds to allocate to each JVEP in the new JVOP and then cancel all outstanding RU’s in the original JVOP. Fractional RU’s in the new JVOP will be issued based on the net sales proceeds from the original JVOP received by the new JVOP.
7. The Manager will raise capital for the new JVOP through additional RU sales sufficient to purchase the required quantity of new equipment. It will use the net sales proceeds from the original JVOP and the funds raised from the sale of the new RU’s to order the new equipment.
8. JVEP's retain a "Right of First Refusal" to purchase the used equipment from the original JVOP as stated in clause B. If exercised, the sales proceeds are reinvested into the new JVOP to purchase new equipment. JVEP’s will receive 0.25 new RU's in the new JVOP for each used bike they purchase from the original JVOP.
9. JVEP’s have a "Right of First Refusal" to purchase additional fractional RU’s in the new JVOP to bring the JVEP's ownership back to a whole number of RU’s. JVEP’s have the further option to purchase as many additional RU’s as they choose, on a first-come, first-served basis, to the limit of the new JVOP’s inventory requirement.
10. If the repurchase of used inventory from the original JVOP is not fully subscribed to by the JVEP's, the remaining equipment will be auctioned off to the general public at the highest price possible and the proceeds returned to the appropriate JVOP under either scenario described and will be disbursed accordingly.

1. As with any business, Joint Ventures (JV) also come with risks of failure, up to and including total loss of capital.

2. The idea of the JV is to spread the risk around many Joint Venture Equity Participants (JVEP) to minimize the loss to any one participant.

3. The Joint Venture Ownership Pool (JVOP) is a managed pool of capital collected from numerous JVEP's that is designed to further spread the risk of underperforming assets (in this case the rental of e-bikes to local residents and tourists within a predefined operating theatre). The rental frequency of each particular e-bike is shared prorata by each JVEP thereby spreading the revenue for all bikes equally amongst all JVEP's and thus minimizing risk and maximizing the potential reward.

4. JVEP's assume no liability in the JVOP operation since they are limited only to receiving the benefit of equity payouts from the JVOP's net rental receipts.

5. JVEP's have no ownership in the equity of or legal title to the equipment owned by the JVOP.

6. JVEP's have no control over the day-to-day operation of the JVOP.

7. JVEP's may assume various roles in the JVOP as independent marketers, advertisers, promotors, maintenance technicians, bike managers, hoteliers, retail ChargePoint operators, etc.. These roles can be either gratuitous for the benefit of the JVOP or for profit where contracted by way of a separate operational agreement. 
    

1. JVEP's agree to make a non-refundable deposit of $500 per RU when subscribing to the JVOP of their choice. These funds will be used by the JVOP Manager to initiate various start-up costs needed to launch the JVOP regardless of whether or not the JV is successfully launched.
2. Once the minimum number of JVOP RU's has been subscribed to as determined by the JVOP Manager, the JVOP Manager will notify each RU holder of the need to pay the balance of the RU within 5 days.
3. Once all funds have been collected, the JVOP Manager will proceed to place the order for the number of e-bikes represented by the RU's subscribed to at the rate of one e-bike per RU. 
4. Failure to complete the RU purchase by the JVEP within 5 days will constitute the forfeiture of the deposit and allow for other JVEP's to subscribe to the RU allocation. 
5. Should the minimum number of RU's needed to fill an order not be reached within a reasonable time as determined solely by the JVOP Manager, it may at its discretion and in increasing order of severity:
   1. proceed with the order for a smaller number of units with a higher per unit shipping cost,
   2. seek additional RU purchases from the current JVEP's in the JVOP,
   3. delay the launch until additional RU's are subscribed to by other JVEP's, or
   4. cancel the launch of the JVOP for lack of capital funding and return all monies to the JVEP less the non-refundable deposits.
6. Should the JVOP manager deem it necessary for the good of the JVOP, the manager may allocate some or all of the equipment to a new or existing operating theatre or jurisdiction to maximize the returns to the JVEP's.
7. The JVOP manager may choose to extend the seasonal operational schedule at its discretion to maximize JVOP returns for the benefit of the JVEP's. 
8. The JVOP manager will NOT commingle the JVOP's equipment with other JVOP's without proper written notification to the JVEP's of each affected JVOP who may collectively vote on the proposed action at the rate of one vote per RU held. A majority vote will be required to proceed with comminglement. A subsequent prorated equity reallocation calculation will be made and communicated to all affected JVEP's to inform each of its new allocation in the combined JVOP.
9. Each JVEP acknowledges that he/she/it is NOT merely a passive "investor" in the JVOP but is both contributing capital and serving as an "active" participant in the project. A minimum level of weekly activity is required to maintain this status. Such activity can include but is not limited to:
   1. posting on personal and/or business social media accounts
   2. telephone, in-person, or email promotional messaging about the business
   3. display and utilization of a unique personalized custom QR code and discount code provided by the JVOP manager to track commissionable referral rentals and sales generated within the JVOP
   4. hosting of informational seminars and webinars
   5. retail marketing within a bricks and mortal location
   6. participation in community bike rides and demo events,
   7. assisting with demo days by manning shifts in our retail, mobile, or fixed kiosk locations,
   8. and any other JVEP-generated activities not specifically listed that could benefit the overall brand and project.

I shall make my initial non-refundable deposit and final installment(s) payable to REEBIKE MOBILITY SOLUTIONS LTD.  using the following method: