XML 40 R13.htm IDEA: XBRL DOCUMENT v2.4.0.6
Members' Capital
12 Months Ended
Dec. 31, 2012
Partners' Capital Notes Disclosure [Text Block]
(7) Members’ Capital –

For the years ended December 31, 2012 and 2011, the Company declared distributions of $1,033,938 and $944,330, respectively.  The Limited Members received distributions of $1,007,598 and $916,000 and the Managing Members received distributions of $26,340 and $28,330 for the years, respectively. The Limited Members' distributions represent $0.56 and $0.50 per LLC Unit outstanding using 1,812,131 and 1,827,736 weighted average Units in 2012 and 2011, respectively. The distributions represent $0.28 and $0.31 per Unit of Net Income and $0.28 and $0.19 per Unit of return of contributed capital in 2012 and 2011, respectively.

As part of the Limited Members’ distributions discussed above, the Company distributed net sale proceeds of $231,600 in 2012.

The Company may acquire Units from Limited Members who have tendered their Units to the Company. Such Units may be acquired at a discount. The Company will not be obligated to purchase in any year more than 2% of the total number of Units outstanding on January 1 of such year. In no event shall the Company be obligated to purchase Units if, in the sole discretion of the Managing Members, such purchase would impair the capital or operation of the Company.

During 2012, five Limited Members redeemed a total of 34,811.0 Units for $234,843 in accordance with the Operating Agreement. The Company acquired these Units using Net Cash Flow from operations. During 2011, the Company did not redeem any Units from the Limited Members. In prior years, one Limited Member redeemed a total of 5,000.0 Units for $38,225. The redemptions increase the remaining Limited Members’ ownership interest in the Company. As a result of this redemption payment and pursuant to the Operating Agreement, the Managing Members received distributions of $7,263 in 2012.

After the effect of redemptions, the Adjusted Capital Contribution, as defined in the Operating Agreement, is $10.22 per original $10 invested.