valuation of Agloco

The most hours I have spent on Agloco is finding out how much money its members are worth (on a specific time). Because Agloco won't be on the stock exchange until the fourth quarter 2007, it is impossible to calculate what members are worth now. On the internet, I found the 'simmons report', this is a report based on various calculations and statistics. Realistic business models were used to find the numbers and I think that this is the most objective report on Agloco.
I'll spare the details on how they got to such results (you can read that on the site of the simmons report) and I'll give you a brief summary;


The valuation conclusions are based on AGLOCO reaching two million users in a two year time span:

A user who has no referrals should receive ownership in AGLOCO worth on average about $150. (plus monthly cash distributions)

The average value of an AGLOCO user’s referral network should be $30 each in ownership shares plus the referrer’s share of monthly cash distribution.

The average AGLOCO direct referral should be worth in excess of $3,000 each (see example below for details)

The analysis also shows a range of monthly cash distributions of between $5 and $15 a month per user.
The AGLOCO business model looks theoretically sound – (assuming they get to a decent size quickly - at least 500,000 users within nine months to a year)


The image shows clearly how important it is to reffer people to Agloco if you really want to gain a huge positive cash flow.

Ofcourse, these numbers are just the result of smart guessing. Maybe Agloco will not be such a succes and maybe they won't reach the 2 million members in 2 years... I sure do hope so, and with nothing to lose, I'd be dumb not to try.