how it works
1. A potential artwork buyer could open a Farjao application to invite other like-minded art lovers to co-own a piece of artwork. The number of potential co-owners in a Farjao group is only limited by the operational convenience. The initiator would be the champion for this particular Farjao. He/She can upload the picture and/or a video of the artwork and provide written information, provenance etc. on the artwork. The application will then be assigned a Farjao serial number (the FJ number) and be listed on the Farjao Host's site.
2. When the total required purchase amount has been met by other potential co-owners, the artwork will be purchased and stored and warehoused at a Farjao Host's chosen location. There will be fees of warehousing, transportation, insurance and operational expenses involved and will be pre-agreed by the co-owners.
3. The original champion could continue to become the manager for that specific Farjao structure. If not, Farjao Host will by default become the manager for that Farjao structure.
4. Any of the co-owners or third party collectors could rent it at a pre-agreed market rate to maintain posession of the artwork in his/her own residence. This monthly rental income will then be used by the Farjao manager to pay for the expenses involved and disperse the remaining income proportinately to the various co-owners.
5. The Farjao Host will charge a certain fee for providing its service to the co-owners of each Farjao structure to own each artwork.
6. A Farjao structure will only own one piece of artworks at a time.
7. A commingled Farjao structure that owns multiple pieces of artworks will be similar to a traditional art fund. It is not at the present time a goal of the Farjao Host.
8. Any third party art funds, conventional Wall Street hedge funds, insurance companies, pension funds, museums, municipalities, non-profit organizations, foundations, art collectors, investors or speculators could equally become a Farjao member to take advantage of the new value propositions of financing convenience, maintenance efficiency and investment yield producing features brought about by the new innovation of the Farjao structure to own art.