Take Your Business Public: Anatomy of an S-1

Posted by | Posted in Marketing and Advertising | Posted on 20-03-2010

Your company is growing. Now you are ready to start raising serious capital and you here the public fund raising markets. Here are the basics of your S-1 filing. Know the lingo before you hire a consultant. Because companies must adhere strictly to SEC regulations, initial prospectuses are similar in their organization. Each S-1 generally consists of the following sections:

Front Section — An S-1 contains a small amount of information not available in a prospectus. In this first section, you can quickly find the issuing company’s phone number and get a vague sense of the future offering price.

Cover/Inside Cover — The prospectus cover outlines the general terms of the offering, including names of the underwriters, number of shares offered, and pricing information. The actual share price is absent from a prospectus until the day of the offering.

Read More

Easily Find Investors and Financing For Your Business, Guaranteed!

Posted by | Posted in Marketing and Advertising | Posted on 11-03-2010

Easily Find And Secure: Angel Investors, Private Investors, Institutional Investors And More! Raising capital for a start-up, corporation in expansion mode or a company in virtually any position presents it’s challenges and roadblocks. There has been no period in recent history that can simulate the difficulties that current entrepreneurs and executives are having when trying to achieve the procurement of venture capital. The standards have become more stringent and the cross-collateralization of personal and corporate assets as security for loans has virtually become a mandatory prerequisite for any type of funding, equity or loan based.

When initiating the process of raising capital one should take into consideration the use of a combination of funding options such as but not limited to: traditional venture capital, bank institutional, institutional equity investment, hedge fund lenders, private money lending, angel equity and loan investment, a private placement memorandum as the mechanism for raising capital distributed in shares, international equity based funding, the reality of taking your small business public on the OTCBB and many other concepts of capital raising that can be placed into a simultaneous strategy.

It’s a common mistake among entrepreneurs and executives to place all of their attention and time into one singular aspect of the above funding concepts. Instead, you should pick a multi pronged approach and go after multiple genres of financing for your business. Some avenues will yield success, some will not but you are more likely to achieve incremental funding successes as oppose to one gargantuan, be all and end all finance victory.

Read More

Massive Corporate Publicity That Will Transform Your Company Overnight!

Posted by | Posted in Marketing and Advertising | Posted on 10-03-2010

We get calls all day, every day from companies that talk about ‘wanting’ real corporate publicity that will transform their company but few have the stomach for what it really takes and even fewer have the financial dedication it takes to obliterate their competition and take their rightful place at the top of the food chain.

Of course it’s important to cater to the traditional media (TV, radio, newspaper, industry journals, etc) but the genre of publicity that wins every time is viral publicity consisting of video, social and news bookmarks, article submissions, press release submissions and photo/logo sharing sites. The reality is online publicity is where you’re going to completely annihilate your competitors and claim your rightful position.

When you take into consideration the ultra powerful medium and stealth of viral publicity, all other promotional genres cower in comparison. Online your pre public or post public company will claim instant viewers and a cult-like following that TV and radio can’t even remotely compare. Billions of searches take place every day and it is the viral publicists job to do what SEO and traditional publicists can’t do and that is get solid search engine ranking while simultaneously bringing in powerful results that are targeted and strategically placed.

Read More

Want To Raise Capital? A Must Read If You Need Investors!

Posted by | Posted in Marketing and Advertising | Posted on 03-03-2010

Regulation D, Under Sections 4(2) and 3(b) of the Securities Act of 1933, the SEC adopted Regulation D to coordinate the various limited offering exemptions and to streamline the existing requirements applicable to private offers and sales of securities. The Regulation establishes three exemptions from registration in Rules 504, 505, and 506.

Rule 504, which provides an exemption for non-reporting companies unless they are “blank check” issuers or certain “shells”, stipulates that: The sale of up to $1,000,000 of securities in a 12-month period is permitted provided that there is no general solicitation, the securities sold are restricted securities and cannot be resold except pursuant to a registration statement or exemption, and a notice must be filed with the SEC within 15 days after the first sale. Rule 504 does not provide an exemption under any state laws. In certain limited circumstances where an offering is conducted under state accredited investor exemptions, securities offered under Rule 504 may be freely transferrable. Unlike Rules 505 and 506, Rule 504 does not mandate that specified disclosure be provided to purchasers. Nonetheless, the business person should take care that sufficient information is provided to meet the full disclosure obligations which exist under the antifraud provisions of the securities laws.

Rule 505 was adopted by the SEC to provide small businesses more flexibility in raising capital than under Rule 504 – but without the uncertainty of determining the quality of the purchasers that generally is involved in using Rule 506. Rule 505 provides issuers a limited offering exemption for sales of securities totaling up to $5 million in any 12-month period.

Read More

Take Your Company Public: Hire a Turnaround Consultant First

Posted by | Posted in Traffic For Websites | Posted on 30-01-2010

Most companies who are on the venture capital trail are not set up properly to attract investors. When an investor looks at your business plan and private placement memorandum they are looking for certain things. Of course funding sources look for the obvious, a solid business model, positive cash flow, industry genre with solid future growth, recession proof business (if there even is such a thing) and minimal debt.

Countless companies are turned down for funding because they lack the basics such as: an advisory board, board of directors, solid executive staff with a well groomed pedigree, reasonable share price, business plan and PPM that spell out the risks for the investor and an original marketing strategy that covers all the angles. These are just a few of the most common mistakes that companies make out of naivety and by not taking the time to hire an expert to properly structure them to make the entity appeal to investors.

Seasoned expansion and turn-around consultants can step into a company and immediately zone in on the issues that will hinder a client’s investment magnetism. Often times it only takes 2 to 3 weeks to completely reorganize a company to make it stand out like a beacon in the turbulent finance industry. If you are seriously considering the idea of raising capital with a private placement memorandum, traditional institutional loans, venture capital or a public offering don’t be penny wise and dollar foolish.

Read More

Take My Company Public and Use Securities For Loan

Posted by | Posted in Marketing and Advertising | Posted on 07-01-2010

Many entrepreneurs and executives want to move forward with the process of going public merely for the ability to raise capital through the sale of stock. They usually don’t think of the strategies necessary to keep the momentum going such as how much equity to give up initially, how much equity to sell ongoing, how to capitalize off of the use of the securities as collateral for loans and lines of credit and so on.

One of the most profound strategies companies can use to retain company equity while capitalizing off of their public entity is to put up portions of their securities as temporary collateral for loans and to use securities to grow through acquisition of strategic alliances.

Stock should be looked at as cash and designated for appropriate purchasing strategies. Stock monetized through collateralized lending can work wonders as long as the exit strategy is in place and secure. Your attorney should be well versed in this activity and audit the contract for convertible aspects which could strip the transaction of its advantageous nature.

Read More