Section 50.3001 - Other DefinitionsIn this Article:
(a) "Member," when used with respect to an applicant which is an old corporation, has the meaning set forth in Financial Code Section 31950(a).(b) "Old corporation" has the meaning set forth in Financial Code Section 31950(b).(c) "Promoter," when used with respect to an applicant, means:(1) Any person who, alone or in conjunction with one or more other persons, directly or indirectly takes the initiative in founding and organizing the applicant; or(2) Any person who, in connection with the founding and organizing of the applicant, directly or indirectly receives in consideration of services or property, or both, 10% or more of any class of securities of the applicant or 10% or more of the proceeds from the sale of any class of such securities. However, any person who receives such securities or proceeds either solely as underwriting commissions or solely in consideration of property shall not be deemed to be a promoter if he does not otherwise take part in founding and organizing the applicant.Cal. Code Regs. Tit. 10, § 50.3001