16 - various forms: long-term sales agreements; through-put contracts, leases or ship charters; performance bonds; government guarantees against expropriation or loss of convertibility on foreign exchange; and so on. The form in which the investor will receive his reward for risk-taking depends upon the type of income that is acceptable to him. There are those investors who are tax exempt and have no objection to ordinary income, while those individuals who are in high tax brackets shun ordinary income like the plague but will be very receptive to the type of proposal that lends itself to a capital gain. The wealthy individual will also welcome the proposal where his losses can be deducted as ordinary losses while his profits may be realized on an advantageous tax basis. Many a wildcat well has been financed because of this appeal, and the principle has wider applications. The corporate investor has little objection to inter-company dividends and finds them even more appealing than capital gains. Because the tax impact determines in large measure the degree of interest of any particular class of investor, you should recognize the tax effects of your proposal and take it to the investors to which it will be appealing. Because the wealthy individual dislikes dividends and finds promising capital gains situations hard to come by, he represents an ideal source of equity funds for a growing business with good management. Remember, too, that some investors may give weight to collateral benefits such as assuring a market for their products or a source of supply for their plants. The reward may go beyond the return that the in-