I want to sell a coupon for a fixed amount of money that I will buy back at a point in the future for a price based on how much profit a product I sell makes.
For example, I want to sell 1000 coupons for $100, which I will buy back for 50% of the profit I make selling shoes for the next 12 months.
So assuming I sell 50,000 shoes and make $10 profit off each pair, I will buy back the coupon for 50,000 x $10 x 50% / 1000 coupons = $250.
Is it legal for me to sell such a coupon?
1 Answer from Attorneys
Yes. But beyond the low likelihood someone would purchase such a risky investment, you would need to be careful with the contract that goes along with it.
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