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I stress legal sellers, because there's no shortage of "Finders" willing to hunt investors. The "Finders" should talk to their attorney. They would learn that they can't act as a financial broker without being licensed. Part of
license requirement is that you are a member of
NASD. The reason that "Finders" rarely have a regulatory problem is they rarely find a speculator to investor in a RegD/SCOR offering. Over
past 20 years, I've seen hundreds of "Finders" come and go. They try to raise money for a year or two. They fail. They disappear. Someone else thinks that they can make money as a "Finder." It's a procession that goes nowhere.
Raising risk capital is a dangerous business. If you don't do it right, and something goes wrong, you may spend over one million dollars on legal fees. If I were seeking money for a private company, I wouldn't waste time and money on a RegD/SCOR offering.
My advice is create cashflow. Does your group have a limited budget? Do a turnaround to have cashflow. Take your company public via a spinoff. Strengthen your share price and use your strong share price to buy cash-producing assets. In a few years, seek to sell your company at Market Capitalization. It's
only formula that works well. It will work as long as we have a Bull Stock Market. This Bull will pass. Start now or suffer in
Bear Market that must follow. This is your golden opportunity for success. If you don't grab your brass ring soon, you probably won't get another chance in your lifetime.
To contact
author: Visit
Beowulf Investments website: [http://home.earthlink.net/~beowulfinvestments/] Or, visit
Global Village Investment Club Website: [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]
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He has been the Managing Director of Beowulf Investments [http://home.earthlink.net/~beowulfinvestments/] since 1981 and is the Executive Director of the Global Village Investment Club [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]