CinemaShares.com is a user-funding social network that fully funds major motion picture projects through a new type of fractionalized fan-based financing. Utilizing the unique CinemaShares business method to finance a proposed movie in advance of production, our movie fans purchase one or more shares of NASDAQ-listed preferred stock in upcoming major motion pictures. Once our fans have become shareholders in a particular movie and production commences, they follow the progress of their movie through special access to their movie’s Web site, and receive other benefits as dividends. Large blocks of publicly traded common stock are also sold to the major equity investors in a movie and purchasing these common shares gives them liquidity that is not found in the typical LLC.

With the help of ComputerShare and some of the best securities attorneys in the U.S., CinemaShares has developed a new type of online security. Using Direct Registration in a NASDAQ Capital Market initial online Direct Public Offering (DPO), we replace the typical underwriter in an IPO with an online affinity group - movie fans. The stock that is sold in these offerings functions primarily as a dividend delivery instrument, and in addition to all of the movie’s cash profits being paid out to shareholders pari passu, the Preferred Stock also pays a dividend of a free DVD copy of the movie. This DVD dividend guarantees that each shareholder, who purchases a Preferred Share, receives a dividend worth the full value of his investment. The common stock that is sold to larger equity investors pays a commensurate cash dividend.

CinemaShares holds an issued U.S. Patent (# 6,792,411) for this business method and licenses it to movie producers who wish to access their necessary funding from movie fans and from large equity investors who desire a liquidity not found in the typical LLC.

Financing movies in this manner is very similar to the way President Obama financed his campaign. By accepting small incremental investments from millions of people, he built a base of millions of loyal supporters while simultaneously receiving over $600 million in campaign funding. CinemaShares has many similar advantages, as it allows millions of movie fans to actually have the pride of ownership in major upcoming movies. Our unique business method builds massive online communities that can be marketed to, surveyed for opinions, and with as many as a million shareholders in each online offering, can be tremendous sources of revenue from merchandise sales.
 

Film producers who are interested in licensing our business method to raise a minimum of $10 million, and who already have a financeable package, and at least $500,000 in development funding for their project, may contact Gene Massey by e-mail: info@cinemashares.com or by calling (in U.S. area code 310) the number 476-3668.