I'm curious. Where was Auran Developments getting its money from in order to run its normal daily business?
Auran Holdings Pty Ltd
L 3 24 Macquarie St, Newstead, QLD, Australia
SIC:Offices of Holding Companies, NEC
Line of Business:Holding Companies, Nec, Nsk
What is a holding company you might ask?
A
holding company is a
company that owns part, all, or a majority of other companies'
outstanding stock. It usually refers to a company which does not produce goods or services itself, rather its
only purpose is owning shares of other companies. Holding companies allow the reduction of
risk for the owners and can allow the ownership and control of a number of different companies. Eighty percent or more of voting stock must be owned before tax consolidation benefits such as tax-free
dividends can be claimed.
Auran Games is owned by Auran Holding Pty Ltd. Auran Games' business model seems to be taking games created by someone else and putting them in a box with Auran Games on the cover and selling the game in the Far East market. Space Hack is an example. Created by RebelMinds and first released in Europe in 2003, Auran re-released in 2006. I bought a copy, great game. I've bought a lot of these games from Auran Games.
Developing games is a risky business so Auran Development was created to do the work. Smart move business wise. Keep it legally separated from Auran Games and from Auran Holding Pty. But everything developed by Auran Development became the property of Auran Holding Pty since it is the sole investor and stock holder. Another smart move.
Auran Development's money must have come from Auran Holding Pty in the form of venture capital. News stories indicate that Auran Development got loans and grants from the Federal Government to help with the cost of developing Fury and to promote other Aussie game developers' products. Loans have to be paid back.
Chapter 11 for Auran Development was a smart business move not an act of desperation. Auran Holding Pty is a healthy money making company and Trainz is but a part. If the Trainz Classics line is a money maker than it will continue. For that matter, the same is true for Fury. If you want to have a say then spend your money and support the product.
William