Skip to content

Buyback Process

Executing Your Exit

Overview

The buyback process transfers full ownership from Studio3's container model to the founding team through NFT repurchase.

Step-by-Step Process

1. Initiation (Days 1-7)

Requirements

  • Formal buyback request
  • Financial proof of funds
  • Legal entity verification
  • Team agreement signatures

Actions

  1. Submit buyback proposal
  2. Schedule valuation meeting
  3. Notify all stakeholders
  4. Begin due diligence

2. Valuation (Days 8-21)

Spark NFT Valuation

  • Original mint price
  • IP value appreciation
  • Market comparables
  • Innovation premium

Signal NFT Valuation

  • Performance multipliers
  • Milestone achievements
  • Community metrics
  • Growth trajectory

Final Pricing

Total Buyback = Spark Value + Signal Value + Transaction Fees

3. Negotiation (Days 22-30)

Key Terms

  • Payment structure
  • Transfer timeline
  • Warranty provisions
  • Non-compete clauses

Stakeholder Alignment

  • Echo holder vote
  • Anchor approval
  • Legal review
  • Final terms

4. Execution (Days 31-60)

Payment Processing

  1. Escrow Setup: Secure funds transfer
  2. Smart Contract: Automated execution
  3. NFT Transfer: Ownership migration
  4. Verification: Blockchain confirmation

Documentation

  • Purchase agreement
  • Transfer records
  • Tax documentation
  • Compliance certificates

5. Completion (Days 61-90)

Genesis Wallet Transfer

  1. Multisig update
  2. Key ceremony
  3. Access verification
  4. Backup procedures

Halo NFT Unlock

  • Automatic upon completion
  • Soulbound to founders
  • Sovereignty symbol
  • Alumni benefits

Payment Options

Direct Purchase

  • Full payment upfront
  • Immediate transfer
  • Clean break
  • Preferred method

Structured Payment

  • 3-12 month terms
  • Milestone-based
  • Interest applicable
  • Collateral required

Revenue Sharing

  • Percentage of future revenue
  • Time-limited (typically 2-3 years)
  • Performance triggers
  • Audit rights

Token Swap

  • Exchange for venture tokens
  • Vesting schedule
  • Liquidity provisions
  • Market pricing

Entity Structure

  • Corporation formation
  • Equity allocation
  • IP assignment
  • Governance setup

Compliance Requirements

  • Securities regulations
  • Tax obligations
  • Reporting duties
  • Jurisdiction rules

Intellectual Property

  • Full IP transfer
  • Patent assignments
  • Trademark rights
  • Trade secrets

Common Challenges

Valuation Disputes

Solution: Third-party valuation expert

Funding Gaps

Solution: Bridge financing options

Timeline Pressure

Solution: Extension provisions

Stakeholder Conflicts

Solution: Mediation process

Success Tips

Preparation

  • Start planning 6 months early
  • Secure funding commitments
  • Align team incentives
  • Document everything

Communication

  • Transparent updates
  • Regular stakeholder calls
  • Clear timelines
  • Manage expectations

Execution

  • Follow process exactly
  • Meet all deadlines
  • Over-communicate
  • Celebrate milestones

Post-Buyback

Immediate Actions

  1. Update corporate records
  2. Notify customers/partners
  3. Transfer all assets
  4. Close Studio3 accounts

First 30 Days

  • Establish operations
  • Update contracts
  • Implement governance
  • Plan growth strategy

Resources

  • Buyback Calculator
  • Legal Templates
  • Process Checklist
  • Expert Network

Next Steps

Post-Graduation - Life after Studio3 → Ascension Planning - Review preparation