The scheme doesn't mean one is a shareholder of the STG, the scheme is just like saying they will pay (it might not mean guarantee as well, depends on signed contract clause) 5% monthly on your RM3,000 'investment/prepaid'.

That's all, even STG make hundreds of millions, you still get the same amount.

You don't grow with the company as the scheme buyer, you only grow with the company if you are the shareholder whereby as shareholder of the company, every piece and asset of the company is belonged to the shareholders. Scheme buyer or membership is not.

---

Added on August 13, 2008, 9:23 amAlways this kind of answer. "Find out yourself".

Why can't have the answer, like 'yes, it has BNM or Securities Commission approval' or No, it doesn't need to, because under the law, stated xyz issue doesn't need BNM approval.

This post has been edited by cherroy: Aug 13 2008, 09:23 AM

[quote=cherroy,Aug 13 2008, 09:21 AM]
The scheme doesn't mean one is a shareholder of the STG, the scheme is just like saying they will pay (it might not mean guarantee as well, depends on signed contract clause) 5% monthly on your RM3,000 'investment/prepaid'.

That's all, even STG make hundreds of millions, you still get the same amount.

You don't grow with the company as the scheme buyer, you only grow with the company if you are the shareholder whereby as shareholder of the company, every piece and asset of the company is belonged to the shareholders. Scheme buyer or membership is not.

---

Added on August 13, 2008, 9:23 am


Sorry, i didn't make myself clear in the first place. I am not saying we are the shareholders, i do agree with you we only grow if only we are the share holder of the company. What i mean by growing is if you are the active person sharing about the STG business and grow with your network as the company opening more and more outlets. I would not think it's an financial investment as i do invest in shares and stocks but none of the STG business characters fit as a financial instrument. What we get monthly from STG is actually some form of advertising fee in return as agreed in the agreement.

That's becoming an MLM model already.

With giving 5% monthly, it somehow similar to those money game out there. Don't get me wrong, I don't say STG scheme is or not. Just the similarity raised a lot of concern, that's why people want to find out the legitimate issue of it. You only invest/preapid if fully clear of it, right? One of the reason of active of this thread.

Whether it is a financial instrument or not, it can be a grey area to be discussed. It is not up to we define, it is up to relevant authorities define it under the existing law avaliable.

So now the term has changed, from "investment" to "Advertising fees"

So if you don't advertise, you still get paid?

Money is already not in your hand, there is no safeguarding principals that looks after your interests. Should the company goes down, so will your money. You have no control. This is similar to MLMs.

Wow CHatwarrior is going beyond the call of duty.

He should have done that long ago instead of spamming in LYN

When you bought the vouchers/prepaid, certainly you'll take your time to have meal at STG outlet once in while. generally, people won't eat alone and would invite frens or family to eat together at STG. By doing so, it's actually a form of indirect advertisment for the company already. Advertisement is not just about you goin out and actively telling people around about certain product or services, it's about creating the awareness in the people's mind. With this, STG will get more visibility/publicity and in return pay some advertising fees ( as agreed ) to the member. Instead of paying to the big advertiser like astro, or using Tv-commercials or radio to advertise; STG choses this member royalty programme as part of their marketing campaign ( i'm no saying they won't use the traditional way of advertisement but this is what they are trying to do currently)

As for you to say that the money is not in you control, as far as i am concerned , there's always a risk in all kind of businesses/investments/schemes. My job is to do my due diligent, put some effort to do research, know more about the business/company and based on calculated risk, then i'll decide if i want to go in or not. As long as i'm comfortable with the risk and can cope with the potential loss, then i'm allright. Allow me to qoute the unit trust as an example here ( again, i'm not comparing it to STG, it's just an example) : when we invest in unitrust, we are basically investing into the stock market thru the fund manager who is managing our money with a service charge, so there's 2 things to talk about control here :

1) Since our money is managed by the fund manager, are we really fully in control? In control in a sence that we can control our return?
2) It seems we are in control of our money because we can invest more or decide when to withdraw take profit. But, the questions is, can we control our return again? we may be able to "control" our losses buy cutting loss early but we definitely dunno how the market will move!

I have a few frens lamenting aboout losing money in unittrust now as the market is really bad.......nevertheless, I believe unit trust is still a good investment for concervative or moderate investors as it's a slower but safer for medium to long period type of investment.

So much about Unit trust, let's go back to STG.

Qoute : Should the company goes down, so will your money. You have no control.

Yes, i agree we do not have any control in STG ( but i've explained the "control" part using the example above).
Yes, i do agree with you that the company may go bust because no business or cannot sustain it self. However, here are my questions i asked myself when thinking about STG business long term :

1) What type business are they in?
Asw: it's F&B, and we know F&B is a profitable business, just to name a few like old town cafe, KFC, Mc D and etc. All of them all doin so well and raking millions of dollars.

2)Can they compete with the others? Are they goin to have good business?
Steven's corner has been selling mamak food for 31 yrs now and they are still selling it til today. What there are doin now is basically expanding and rebranding into Steven's Teagarden chain cafe - and they are the 1st mamak stall to start evolving into modern style mamak cafe, isn't it BLUE OCEAN? On the other hand, Malaysian are so well accustommed to mamak food already. Now with Steven's teagarden, they can expand their business further and faster.

3)Why do they need to change, isn't current mamak style already good enough?
Contant change is vital to ensure survivalibilty. Most of us are comfortable in our comfort zone and staying in it not daring to take risk or step out of the comfort zone or in other words CHANGE. The moment we stay status qou we are as good as dead, why? It's because if we keep staying in our comfort zone and do nothing, bear in mid that the world keeps changing in a fast pace. The moment you reliazed it, your are trapped as your COMFORT ZONE has turned into DANGER ZONE (World/Environment changing e.g. fuel hike recently that caught many people of guard). Another Example, don't we see more and more modern type Kopitiam mushrooming all over and is the hot topic and latest hang out place? Look at old town kopitiam, they are the 1st who started and doin very well till date. Same thing may just happen for STG or better ( due to membership programme)

4)What if the company go bust?
Again, we have to do all our due-dilligent 1st before we put our money at use. I would say there's a possibilily that STG would run out of business but what is the likelihood for it to close down? Go back to the Q1 to Q3, i would say chances is very low. Having said this, is the risk involved acceptable ? If yes, then i'm willing to take up the calculated risk.

All the above are just my personal opinion :-)

In term of UT comparison with STG scheme, it is a weak point to show rather a good example.

In investment or business world, return is something no one can control. The term of control part which most people talk about is the capital part.

1. In investment of UT, you have totally control on your initial investment, so whenever you don't wish to participate or invest anymore, then you can withdraw your money at any time (the initial fund is gaining of losing is another story, as we are talking of aspect of control).
But for STG scheme, based on information input by those had joined (not mine), you have no control on your initial capital as you can't withdraw it as any time you wish compared to UT.

2. Return rate control. In STG scheme, the return rate is all depended on sincerity of STG to give out the 5% as stated while UT return is depended on the stock portfolio they are investing in.

Above statement doesn't mean anything STG scheme is or not fully legitimate under BNM/Securities Commission issue. Just to discuss the control part and comparison.

for 1), you are giving examples of a few PROFITABLE F&B ONLY, while did not mention about many others that failed too.

for 2). Steven corner's been selling for 31 years, and they still selling today means during the last 31 years, the sustained BUT NOT IMPROVING especially in the quality of their food . If they are "strong" brand, the last 31 years should see them having opened at least 1 branch each in every state (at the very least). Why only AFTER the 30th year, they started this kind of scheme to expand?

From your rationale, if the 31 years are used as benchmark of stability , like how others said, they should be able to get bank loans to further expand their business,rather that collecting funds from the public members to do it.

Most business (if their owners are shrewd enough), after 3-4 years of stability and growth, they will try to expand. And if all goes well, the 30th year of expansion should see alot of branches. 30 years of "merely" opening 2-3 mamaks, does gives and impression that the owner is "not that a good" business person. Would anyone put $$$ and trust to the people managing this "3-mamaks-in-31-years-of-business" restaurant?

Try go survey the patrons of their current food and services, and see what's their comment.

This post has been edited by alanyuppie: Aug 13 2008, 11:27 AM

If u just look at the mechanism of payouts, it seems like a money game but if you understand the reason behind and the whole picture, then u'll see the rationale of the whole thing.

As far as i know, SC has classified it as non financial investment.

I don't know if it's a MLM scheme or not. But if we just discuss about MLM per se, i would say that MLM model is actually a very good business model as it has the power of leverage in it. The problem with MLM business in malaysia is the people in it that abuses the System ( i'm not saying all but i believe there are good and successfull MLM company out there). Some people in the MLM scheme becomes so greedy that they started to have their own money scheme and keep push people for products that they don't really need or want. This is the sad reallity happening in Malaysia MLM seen, where many people have been literally 'conned" and "burned" their pocket to those MLMers scammers.

Just to remind,

STG and Steven's Corner are separate entity, even though the boss or CEO or shareholders might be the same (I don't know, but it doesn't matter), they are totally independance with each others in term of company wise.

1. yes, i agree u have full control of your investment for UT for the initial investment ( depending on type of funds, some min 1K and some 5K) and withdrawing. But again, STG is selling prepaid food voucher so it's like once goods are sold then it's not refundable (of course, with few exceptions). That's why it's a different thing.

2. Correct, the rate of Return is variable in the investment world but STG is based on the agreement signed (5% as u mentioned). So, it's up to u to decide if you want to go in or not.

---

Added on August 13, 2008, 11:55 amYes, agreed. the bosses ( the steven's brothers ) are the same but Both STG and Steven's corner are sperate entity.

---

Added on August 13, 2008, 12:08 pm1)Yes, there are also many others that failed. So, it's up to you to see, only time will tell.

2)Ya, u can say 31 yrs is a long time for them to expand to only 3 branches so far. But you cannot deny that they are still making money after 31yrs and now the business is mainly managed by steven's brother and sons. Perhaps previously, Steven don't have the capability or resources to expend earlier ( just my asummptions )? If you feel, STG management is not up to your standard and they should be doing far-far greater than what they are doin now, then it's your call whether want to put $$$ or not?

I know there are complaints on the food and services but they still have business, that's something i am also puzzled about. Personally, i think their food is okok lo

nevertheless, i have also been to many food outlets that serves lousy food but yet still full of people ! I cannot understand but to scratch my head and keep wondering.....

This post has been edited by kirk08: Aug 13 2008, 12:38 PM

1st of all....shareholder do have burden if outlet collapse and they hv to fork out more capital to sustain and eventually if it fails u not only loose ur initial cap. but all the pump in money too....now u use ur rm3k to enjoy a piece of FnB's empire. STG makes profit of course bu they need to open outlet and run the business while u as a members just go there and eat.

2nd all those questions has been answer before and u still ask me all the same thing....pls dun ask me the same thing again n again...u wanna know any legal issue go read the agreement 1st lah!

---

Added on August 13, 2008, 12:38 pmso r u asking those questions coz u want to join ME..or u wanted to be a nice guy to help/warn others....come n visit the co. and directors lah....u always sit there for what? better go enjoy in STG outlet..chk out the food n the business.......

---

Added on August 13, 2008, 12:53 pmwhats wrong with MLM? u mean like Amway ?

This post has been edited by siliconwiper.com: Aug 13 2008, 12:53 PM

This does not make sense. Can you cite a single example where somebody who had invested in shares from the Stock Market are forced to fork out even more capital to sustain the company where they had bought shares in? Should a company goes under, its the same thing as well, they just lose whatever they had invested, and not more.

The liability is the same, however the potential profits is what that is capped.

Have been reading all that discussion re STG's mass invitation for membership via mthly cash returns and food vouchers. Many have invested bcoz of steven's corner 31-year survival reputation...personally i dunno much about this mamak restoran as i am crazy abt mamak food as yet. My friend has given me a copy of the application form and it's under STG Resources Sdn Bhd. It's another entity perhaps to protect the bosses/directors. Registration fee is rm100 per person, phew..if there are 20,000 members, they they would be able to rake in tons of ringgit just via registration alone. Nobody knows for sure if the project will sustain itself over the next 2 years, let alone 5 years. It tantamounts to a charitable no-interest loan to STG for the first 2 years because the member only recovers the capital sum in 20 months, plus some food vouchers to make them stay happy. It's interest-free loan plus free promotion/advertising. Sounds like a very viable marketing strategy but no one at this point in time can predict the progress/growth of STG.
Checked with bnm and sc, and if they do not have a licence to take deposits from the public, then it is not a legal business and i guess those who are very much involved in it including the members would have nothing to fight for if the whole project fails. But to be very kind, let's hope it works just for the benefit of those who have parted with thousands of ringgit for this 'lucrative food investment'. True, members who have joined would pledge their loyalty and can even show proof that they do get the returns and they even have their own account to log in at their website. This surely gives them a good pat and boost to their confidence in STG. Again in most MLM schemes it's always the first few layers who will stand to benefit but it may just be short-term. Anyway, good luck to all who have joined, and we wish STG well...and they must be aware that it's people's funds they are collecting and investing, and they have their human conscience to be accountable for. If it's a sincere expansion and rebranding programme, then we salute their ambitious vision and mission, and give them our blessings.

Wrong, shareholders only loss the money invested, liability in Sdn Bhd,, Bhd or limited company is tied to the capital input only. That's why people want to set up sdn bhd to limit the liability, after all that's why people called limited company.

2nd question, I already give example of only 2 possible answer. So your advice is still go out and find yourself, right?

I am not in both. Just as moderator of this forum, I am asking question so that to point out the correct way of discussion in the neutral way and find out in depth of it in order to be fair to all aka to safeguard everyone interest in this forum. If STG scheme is fully legitimate and sincere, then no one (including scheme members) should be feared of being asked question on it, people just ask and pointed the curiousity and suspectibility of it, then if the scheme or prepaid is sincere and fully legitimate (like UT out there), then it is very easy to explain to others. Instead if those questions and suspectibility being answered then it only wil clear up the potential of doubtfulness which eventually increase the public confidence.



We don't want this forum become a place that provide wrong or mislead information input that potentially resulted in loss of other hard-earned money because of mislead information.
That's why legitimate of any scheme posted in forum is an important issue. What we want in this forum, is every truth and sincere information of it.
Personal opinion can be varied which is nothing wrong as it is up to individual view but information and truth behind is only in between yes or no.
Above statement has nothing to do with STG nor comment on STG scheme issue, just a general statement that pointed the importance of finding out correct and truth infomation in everything especially involved investment related product.

bro, y u guys like to compare this and compare that? Share is share , Food is Food? what happen to u all?wake up lah! u like to buy share u go buy share lah...u like buy food u buy food lah...why go compare and orange with an apple? aster being here for 2 mths u'll are turning round n round...doesn't u guys ired of asking the same questions ..oh! of course....now i understand coz u guys can;t think out of the box is it! (just a guess) so if u want all sc bnm legalise...so go for the product that u find everything is right for u....pls dun tell me the highest order of the country does not survive theyself in grey area..? even any monetary are been secure by funds...it is only ur money which is guarded..but in business what can the trustee do to make the business success? if not for the real magic in business is make high profit with minimum expense and to hv sustainability then a competitiveness to capture the market shares of the field...so by using team work by all members something works well since the scratch of the STG was nothing to so many thing now. So pls don't ask me anymore questions that doesn't help anyone here...if u want to help pls. go understand the business 1st then we talk...CAN?


*advertisement material wiped*

This post has been edited by fyire: Aug 13 2008, 01:28 PM

Despite that long rant, it still does not in anyway address the fact that the liability is the same as any other investments, however the potential profits is what that is capped, unlike what you had attempted to claim otherwise earlier.

This post has been edited by fyire: Aug 13 2008, 01:35 PM

So this thread should be all talk good only on it while others having contradict view and opinion can't post at all?

20,000 x 3,000 = it is potential 60 million money in stake, not Rm 60 bucks. Open 60 outlet also no problem. But one thing that to be fair to those 60 million money owner has the right to ask and ask and ask again before they commit the money.

yeah..and thats how they con ppl too with sdn bhd. right! my advise is if ur goin to ask me the same questions again and again....i guess it is been answered by devil2 before and he is not here bcoz wasting time answering and answering same questions....and may i know what happen with the images i posted and been wiped off? may i know what's wrong?

i guess if this is goin to be same it doesn;t serve any of my purpose nor yours too. legal or not legal it is still up to the members to judge as i'd told u guys many many time this is not any investment..as investment u will go to UT/share n FD's...this is a food business wer we buy a food package like time sharing hotel package...so nothing involving investment here nor whether do they need any SC..even this kind of question should been address to the owner and not me at the 1st place..if i'm trying to promote here then of course i must differentiate between legal or not legal,..but since i'm the messenger n a members better u move this thread to KOPITIAM as if i can do that i'll be off long tima ago to kopitiam and if not, better i'm off than to keep on updating new progress and yet no one will appreciate it and no one will bother if they have any progress with STG from start till now.coz all u guys concern is always the same thing.. like u'd decided to put in few thousand ringgit. if this goin like this just shut me down..i rather been shut down than vomiting blood entertaining same thing again n again...can't u all see we had been doin so many progress to make the business happen and if even an owner want to scam ur so called rm3k or even 3 million...this is so small money and time wasting too for a scammer even Sunshine,ipc, etc. can do better than this especially in this 2008 with all ppl so smart already ...still scam like this meh? can consider dumn scammer already...i know that u still goes back to the same old question is it legal or not.....right? coz u can't even think or guess what we are doin...coz u can just think base on what u learn n not what u'd not learnt. so pls look at the other side of the business ...i guess this is the last time i'll answer u guys. why so many forumers change their way of thinking after they really understand the mktg strategy by visiting us...they did not join but they realize and learn something new. pls dun ask them same old questions again....TQ.

This post has been edited by siliconwiper.com: Aug 13 2008, 02:18 PM