Mike Zani

Actually, it's pretty well refined.

There's been about 150 search funds run.

It works in two parts.

This is a search phase.

If I approached you, say you were a high net worth individual, I'd say, why don't you put in $25,000 and there's going to be 10 of you.

So we take that $250,000 to fund the search.

After we find the company, we go back to the same 10 people and say, we're going to buy this company for, say, $10 million.

Five million of debt, five million of equity.

Do you want to put in your pro rata $500,000 share?

And let's just say you go, I love this company.

If anything's left over, I want it.

You'll have one investor who steps up and says, I love this company.

I want a big piece of it.

Some will pass and say, I don't like it.

And each one of them have different capacity.

Some of our early seed investors, the only thing they had was maybe $100,000 to put in.

because they weren't as high net worth as some of the others.

So it really is a pass-the-hat model.

And as we've been successful, they've mentioned it to their cousins and business associates, and we've sort of grown our pass-the-hat pool from 10 to probably about 20 individuals.

Interesting.