| |
| |
|
patsbusiness2.com
|
|
|
|
Going Public: The Process for Small and Mid-size Companies to Go Public
It's the dream of every person who starts a business to some day see it trading in one of the stock exchanges even after they are no longer associated with the company. The first step (#1) is simple since most small company are already incorporated and have a board of directors, so we will start with #2. Step. #2. Engage a consultant but not before doing a background check. This is a must because the consultant who is supposed to be working for you may be the very person to destroy your dream. Simply type the consultants name in Google and if nothing comes up, try the brokerage firm they were last associated with, to find out if they have been disciplined, or convicted of some crime by the Securities and Exchange Commission or some other regulatory body. Many individuals when barred from participating in any securities transaction or from acting as consultants still do so in a stealth manner. Hoping that you will be impressed with their sales pitch and not bother looking into their background. The reason most consultants do not have websites is because they do not want the regulators to find out that they are involved in stock market related activities. Step. #3. If you are not using a securities attorney, ask the consultant to recommend a good one, he will probably know several. A good attorney is critical since you want him to know the process and has done this many times before. Step. # 4. Have an audit done, this a requirement and must be done prior to any filing with the Securities and Exchange Commission. The CEO needs to take an active part in the auditing process since under the new corporate governance laws the he must affirmed the final audited financials as being accurate. Step. #5. The officers and directors of the company must decide what method they are going to use to achieve their goal of becoming a public company. This can be accomplish through a reverse merger and by doing a Regulation D (504) offering. A reverse merger is accomplished by the purchase of, and reverse merger into an existing public shell company. This is inexpensive compared with the conventional initial public offering (IPO), this is also a simplified fast track method by which a private company can become a public company. For more information on reverse mergers visit: www.genesiscorporateadvisors.com or read my article on www.ezine@articles.com under small business. Regulation D (504) offering: Under the Securities Act of 1933 any offer to sell securities must either be registered with the SEC or meet an exemption. Regulation D provides three exemptions from the registration requirements, allowing smaller companies to offer and sell their securities without having to register the securities with the SEC. While companies using a Regulation D exemption do not have to register their securities and usually do not have to file reports with the SEC, they must file what is known as a "Form D" after they first sell their securities. This offering is not exempt from State securities filing requirements. With an regulation D (504) offering you are permitted to raise up to a million dollars within a year but there is no minimum amount and in order to go public you must sell to minimum of 35-40 investors at least a round lot (100 shares) each. This offering is not exempt from the securities Act of 1933 anti fraud provision. (No securities are exempt from this provision). Step # 6. Have a broker dealer file a form 15c211. Again your consultant will introduce you to a broker who will file the 15c211 and be a market maker in the securities of the company. For more information visit: www.genesiscorporateadvisors.com Joseph D. Quinones Joseph D. Quinones, President of Genesis Corporate Advisors has spent over 25 years in the securities industry. In 1992 he founded JDQ Financial Group, Inc. and proceeded to build it up from a one man operation to the point where it employed many traders, advised numerous client and generate millions in revenues.
MORE RESOURCES:
Small-Business - Google News |
|
|
|
RELATED ARTICLES
Pressure Washer Concrete Cleaning Equipment Cleaning concrete is tough and there is an easy way and a hard way. There is one thing you need to understand when you are pressure washer cleaning concrete; the concrete cannot always be made to look brand new again after it has been stained. How to Promote Your Business by Entering Contests You are probably hard at work promoting your business (and if you're not, you should be!), but if you haven't submitted your profile to any contests yet, you may be missing a golden opportunity.Receiving an award for your business can increase your company's credibility. Small Business Ideas - Your Image Can Lose You Business What image do you and your people portray to your prospects and clients? Here's a situation that happened to me recently and hopefully you'll glean useful small business ideas that will make you money instead of costing you money.January is always a good time to grab bargains so when I noticed that two well-known blind companies were advertising 35% off their blinds, I decided to give them a call? and it was an interesting experience. Why Internet Shopping is the New Mall of the Future Last year, trillions of dollars transferred hands on the internet with regard to sales, or as the internet wishes to call it, eCommerce. The internet is becoming an increasingly complex manipulation of do's and don'ts. Debt Collection Techniques Here are some sound debt collection techniques that can be followed by businesses to mitigate the bad debt crisis:Sending a pre-collection letter. Hiring a collection agency. Who Makes the BEST Alliance What types of companies do you want to align yourself with?What is the best company to align with? It is a company that does not quite compete with your core business. By this we mean that the company has offerings that dovetail into what you have to offer. 5 GREAT WAYS to Gain New Contacts What are the 5 best ways to gain new contacts?There are many ways to use the media to promote your business. You must ultimately decide what is best for your business. 7 Habits of Highly Successful Small Business Owners Do you spend every waking minute in your business? Do you find it difficult to take time out for you? Are you constantly working in a mess?Unfortunately there are far too many business owners working too long and too hard. They tend to be involved in every aspect of their business from being the bookkeeper, marketer, human resources manager, mediator, customer liaison officer and cleaner. Pressure Washing and Hospital Accounts Most pressure washing companies never look into some of the best niche markets. One, which you may not have thought about is Hospitals and if you run a pressure washing company it can mean good steady income. Successful Small Businesses Use PR It's obvious when a small business has accepted the fact that its most important outside audiences need lots of care and feeding. They do something about it. Truck Wash Business Case Study Often smart entrepreneurs look for out of the way businesses, things out of the mainstream but businesses, which have a good customer base and steady incomes. This is an extremely interesting story. The End -- Fireworks or Fizzle? Seems as though there are a lot of business closings going around lately. Everywhere I look small businesses -- one on top of another -- are closing their doors. How to Remove Stress from Owning a Business... Forever! I meet and talk to hundreds and hundreds of business owners every year and do you know what I've discovered? Virtually all of them are regularly suffering from stress.It dawned on me while running a seminar one day. 3.5 Million People And A Possible UK Home Business Opportunity Has this ever happened to you.. Success Tips for Small Business Owners Running a small business requires many skills. However, to do this successfully you need to organize yourself first. A Look at Small Business Incorporating in Florida The choice to incorporate a small business in Florida has several advantages. Corporations are separate legal entities and, as such, the corporation rather than individual owners pay both the taxes and the liabilities. Never Burn a Bridge Why should you always maintain a good report with a business even when you are parting ways?It is human nature to get mad and then rant and rave about what is not going well at work. Many of us spend time gossiping and socializing with the main topic of what the problems are and who is responsible. Business Checks are an Added Cost to Your Small Business - Try Making Them Yourself! Starting and managing a small business is no fun chore, especially when it comes to the accounting. There are a few common sense ways that you can help that bottom line. The Game Plan - The Difference Between Small Business Success And Failure It is an American dream to own a business. But sadly, according to the U. Why are Reverse Mergers Often the Victims of Short Sellers? There is a great deal of abuse going on in the OTC Bulletin Board Market and a lot of money is being made as result of it. Regulators are trying to deal with the problem but are unable to put a halt to it, unless they take drastic steps which will be detrimental to the small and micro-cap market.
|
|
Small Business Information | Traffic Building Information Powered By: Work At Home With Google - FREE! |
| © 2006 |
