No, Elon Doesn’t Live in a Boxabl.

Boxabl's Casita (from their Facebook page)

​No, Elon Doesn’t Live in a Boxabl.
Investors Ask Natalie.
 
While I was on holiday/sustainability research in England last week, a new acquaintance asked me about investing in Boxabl. She was very excited about the opportunity based upon Elon Musk living in a Boxabl casita. She told me that the U.S. government had purchased hundreds of them. I’ve been a fan of prefab housing for quite a while. I was so impressed with the first platinum LEED rated home in the US, which was a prefab Living Home (now Plant Prefab), that I used to offer tours of it. It was the first I’d heard of Boxabl, so I decided to do a little digging.
 
The first thing I turned up was this Elon Musk tweet.

​No, Elon doesn’t live in a Boxabl, although he does have a prototype (which he might have been given). Elon lives in a competitor’s tiny home, which he claims he purchased for less money than the Boxabl costs. If you look in the fine print of the posts by Boxabl, you’ll see a disclaimer, “Elon Musk is not affiliated with Boxabl and has not endorsed the Boxabl securities offering.” However, it’s easy to get excited about a YOLO* investment, when you see 5 posts of Elon and one of Kanye West on Boxabl’s Instagram. (Who reads the fine print?)
 
Boxabl Gets an A in Marketing
Boxable has done a number of things right, mostly in its marketing. Getting Elon Musk to accept a prototype is quite an achievement.
 
The idea behind the design is cool, until you stop to consider just how small 375 square feet is, and just how expensive shipping costs of $10/mile from Vegas can be. As one Reddit user wrote, “I’m clueless on everything that would go into this, but I have lived in a 375 square foot apartment, and I must say it sucks ass.” (The factory-made LivingHome was about 2400 square feet – a real beauty.) There are no posted reviews (or pictures) from anyone who actually lives in a Boxabl casita because the company hasn’t received regulatory approval to sell to the general public yet (according to an email sent to me by Boxabl on Sept. 20, 2022).
 
Millennials are starting families. The real estate trend has been toward the purchase of larger homes and multigenerational housing. Although in theory a small dwelling should be more affordable, there is still the problem of the high cost of land. Cheap, tiny homes have been around for decades and haven’t really taken off.
 
Should We Invest?
While the hype is intoxicating, there are lots of red flags about investing in this company. It’s important to remember that even a good company with a popular product doesn’t always pay off for investors. Beyond Meat investors loved the company at $200 a share. It’s not as popular today at $16. Sometimes, big companies (like D.R. Horton) bet on unicorns that never get out of the gate (like WeWork). Great companies always start with a popular product (something that is still unproven at Boxabl), and a team that can deliver, while making a profit.
 
So What Are the Red Flags?
 
One of the biggest red flags is that I have sent multiple emails asking for a profit and loss statement, and I still haven’t received it. Investors are buying in without knowing how much money goes into the founders’ bank accounts versus operations, how much cash has already been burned through, and with no say or oversight in the matter. 100% of the voting is held by Paolo Tiramani (74%) and  Galiano Tiramani (26%). Additionally, Galiano has a history of serial startups – the last being a cryptocurrency exchange that ended in March of 2019 (red flag).
 
The Focus is on Investing, Much More Than Orders
On the home page, there’s a large tab to click and invest. After my search for Boxabl began, I started seeing ads everywhere luring me to invest.

Crowdfunding & Private Equity
Crowdfunding and private equity often fly under the SEC radar, so investors must do 10 times the due diligence. The marketing pitch deck makes no mention of a pathway to profitability. Homebuilding is a low margin business, so it’s important to understand how Boxabl is going to compete and stay in business.
 
More Red Flags
In addition to the troubled entrepreneurial track record and lack of financials and business plan, which would be reason enough to avoid investing, note the following concerns.
 

• Only 3 board members, and not one has any prior homebuilding experience.
• Family board. (The board is Paolo, Galliano and their 74-year-old CPA.)
• Inexperienced executive team. (Founder/director of engineering was in college just a few years ago. His only jobs have been with Paolo Tiramani).
• No financials provided.
• Illiquidity. (Who will buy your shares for more than you paid? Bear markets tend to squash IPOs.)
• Franchise model.
• Do people really want to live in a little box?

 
 
Bottom Line
Boxabl is excelling at the hype game. Whether the company can build, deliver and make money by selling affordable, tiny homes is not clear yet. Beyond that, whenever you have a family business bringing in beaucoup investment dollars with no oversight or accountability, that often turns out very badly for the undiscerning wallet holders, and very well, in the near term, for the people who can put their hand in the cash kitty without anyone slapping it away.
 
 
*You only live once.


If you're interested in learning 21st Century time-proven investing strategies for protecting your wealth and managing the bear market from a No. 1 stock picker, join us for our Oct. 8-10, 2022 Financial Freedom Retreat. Email [email protected] to learn more and to register. Click on the banner ad below to discover the 18+ strategies you'll learn and master, to get pricing information and to read testimonials Get the best price when you register with friends and family. Register now to access your free 4-part Protect Your Wealth Now webinar that will get you started immediately.
 

Join us for our Financial Freedom Retreat. Oct. 8-10, 2022. Email [email protected] to learn more. Register with friends and family to receive the best price and a free 4-part webinar (which you can access to protect your wealth now). Click for testimonials & details.

Natalie Wynne Pace is an Advocate for Sustainability, FinancialLiteracy & Women's Empowerment. Natalie is the bestselling author of The Power of 8 Billion: It's Up to Us and is the co-creator of the Earth Gratitude Project. She has been ranked as a No. 1 stock picker, above over 835 A-list pundits, by an independent tracking agency (TipsTraders). Her book The ABCs of Money remained at or near the #1 Investing Basics e-book on Amazon for over 3 years (in its vertical), with over 120,000 downloads and a mean 5-star ranking. The 5th edition of The ABCs of Money was released on September 17, 2021. 
​​
Natalie Pace's easy as a pie chart nest egg strategies earned gains in the last two recessions and have outperformed the bull markets in between. That is why her Investor Educational Retreats, books and private coaching are enthusiastically recommended by Nobel Prize winning economist Gary S. Becker, TD AMERITRADE chairman Joe Moglia, Kay Koplovitz and many Main Street investors who have transformed their lives using her Thrive Budget and investing strategies. Click to view a video testimonial from Nilo Bolden.

---

​Check out Natalie Pace's Apple Podcast.
Watch videoconferences and webinars on Youtube.

Other Blogs of Interest
IRAs Offer More Freedom and Protection Than 401ks.
Will There Be a Santa Rally 2022?
What's Safe in a Debt World? Not Bonds. 
Will Your Favorite Chinese Company be Delisted?
75% of New Homeowners Have Buyer's Remorse
Clean Energy Gets a Green Light from Congress. 
Fix Money Issues. Improve Your Relationships. 
24% of House Sales Cancelled in the 2nd Quarter.
3 Things to Do Before July 28th. 
Recession Risks Rise + a Fairly Safe High-Yield Bond
DAQO Doubles. Solar Shines. Which Company is Next in Line?
Tesla Sales Disappoint. Asian EV Competition Heats Up. 
10 Wealth Strategies of the Rich
Copper Prices Plunge
Colombia and Indonesia: Should You Invest?
10 Misleading Broker/Salesman Pitches.
Why are Banks and Dividend Stocks Losing Money?
Beyond Meat: Rare or Burnt?
Netflix Streaming Wars End in a Bloodbath.
Elon Musk Sells $23 Billon in Tesla Stock and Receives $23 Billion in Options.
Are You Gambling With Your Future?
ESG Investing: Missing the E.
Moderna & Biotech Trade at 2-Year Lows.
Bitcoin Crashes.
Crypto, Bold and Stocks All Crash.
The Economy Contracted -1.4% in 1Q 2022.
The Dow Dropped 2000 Points.
Is Plant-Based Protein Dying?
Should You Sell in April? 
The U.S. House Decriminalizes Cannabis Again.
Chinese Electric Vehicle Market Share Hits 20%.
The Risk of Recession in 6 Charts. 
High Gas Prices
How Will Russian Boycotts Effect U.S. Multinational Companies?
Oil and Gas Trends During Wartime
Russia Invades Ukraine. How Have Stocks Responded in Past Wars?
Zombie Companies. Rescue, Rehab or Liquidate?
Spotify: Music to my Ears. 
​Cannabis Crashes. 
2022 Crystal Ball in Stocks, Real Estate, Crypto, Cannabis, Gold, Silver & More. 
Interview with the Chief Investment Strategist of Charles Schwab & Co., Inc.
Stocks Enter a Correction
Investor IQ Test
Investor IQ Test Answers
Real Estate Risks.
​What Happened to Ark, Cloudflare, Bitcoin and the Meme Stocks?
Omicron is Not the Only Problem
From FAANNG to ZANA MAD MAAX
Ted Lasso vs. Squid Game. Who Will Win the Streaming Wars?
Starbucks. McDonald's. The Real Cost of Disposable Fast Food. 
​The Plant-Based Protein Fire-Sale
​What's Safe in a Debt World?
Inflation, Gasoline Prices & Recessions
China: GDP Soars. Share Prices Sink. 
The Competition Heats Up for Tesla & Nio. 
How Green in Your Love for the Planet?
S&P500 Hits a New High. GDP Should  be 7% in 2021!
Will Work-From-Home and EVs Destroy the Oil Industry?
Insurance and Hedge Funds are at Risk and Over-Leveraged.
Office Buildings are Still Ghost Towns.
Money Market Funds, FDIC, SIPC: Are Any of Them Safe? 
My 24-Year-Old is Itching to Buy a Condo. Should I Help Him?
The 12-Step Guide to Successful Investing.
​Gardeners Creating Sanctuary & Solutions in Food Deserts.
2021 Company of the Year
​Almost 5 Million Americans are Behind on Rent & Mortgage. Real Estate Hits All-Time High.
Rebalancing Your Nest Egg IQ Test.
Answers to the Rebalancing Your Nest Egg IQ Test.
Videoconferencing in a Post-Pandemic World (featuring Zoom & Teladoc).
Sanctuary Sandwich Home. Multigenerational Housing. Interview with Lawrence Yun, the chief economist of the National Association of Realtors. 
10 Budget Leaks That Cost $10,000 or More Each Year.
The Stimulus Check. Party Like It's 1999. 
Would You Pay $50 for a Cafe Latte? Is Your Tesla Stock Overpriced?
10 Questions for College Success.
Is FDIC-Insured Cash at Risk of a Bank Bail-in Plan?
8 Money Myths, Money Pits, Scams and Conspiracy Theories.
Why Are My Bonds Losing Money?
The Bank Bail-in Plan on Your Dime.

​
Important Disclaimers
Please note: Natalie Pace does not act or operate like a broker. She reports on financial news, and is one of the most trusted sources of financial literacy, education and forensic analysis in the world. Natalie Pace educates and informs individual investors to give investors a competitive edge in their personal decision-making. Any publicly traded companies or funds mentioned by Natalie Pace are not intended to be buy or sell recommendations.

ALWAYS do your research and consult an experienced, reputable financial professional before buying or selling any security, and consider your long-term goals and strategies. Investors should NOT be all in on any asset class or individual stocks. Your retirement plan should reflect a diversified strategy, which has been designed with the assistance of a financial professional who is familiar with your goals, risk tolerance, tax needs and more. The "trading" portion of your portfolio should be a very small part of your investment strategy, and the amount of money you invest into individual companies should never be greater than your experience, wisdom, knowledge and patience.  

Information has been obtained from sources believed to be reliable. However, NataliePace.com does not warrant its completeness or accuracy. Opinions constitute our judgment as of the date of this publication and are subject to change without notice. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors.