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Story time, and looking for insight.
So for the past 8 years, my father has been building a business from the ground up. This business deals in machines that melts down tires, and refines them back into their basic components, which he sells. He's spent probably around a few million getting it started, getting the machines working, getting worked over by investors, and finally the machines are in their final stages of completion, and his dream is coming into fruition.
Recently, the company CAT has shown interest in buying the machines for melting down tires specifically, for $15million. A pretty decent amount, but he doesn't exactly want to sell out so soon, and to a company like CAT. His other options were people offering $40k a month for pretty much forever, but they weren't looking on expanding the machines and making more of then. CAT has the option to expand, but my father wants to keep the machines and the jobs they'll be creating inside the USA, and he's afraid CAT will outsource jobs elsewhere. It's my personal dream to someday be more heavily involved in the business, and I want to move the machines outside the US to countries that have extreme tire pollution problems and shit.
Now, he owns the patent for the machines, but only 20% of the company that his current investors started for them, so he doesn't get too much of a say in if they sell out or not. $15million is enough to start making more machines to melt down things other than tires (which I don't know much about so I won't expand on), so it's not selling out completely since he'll still be able to make machines, but $15million still seems a little light for something as big as he's been working on these past 8 years. He expected the payout to be much higher, and is afraid selling out isn't the best idea.
What's /biz/'s opinion? I hope I didn't put in too much information. I'm thinking about buying The Art of the Deal for him.
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(cont).
Also, our family hasn't been in a great spot for the past 4-5 years either. All of our money has gone into getting the machines to work, and I've had to get a part time job while going to college for a software engineering degree, so the money he'd get from selling out would take us out of our depression, and be able to pay off the debts he owes, and then more than enough to make more machines, which will continue to expand in growth.
We're just trying to weigh out the pros and cons of selling out vs seeing what he can do with the investors he has currently. They said money in the hand is always the best option, but he disagrees.
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