List Your Company in the States

Written by William Cate


List Your Company inrepparttar States By William Cate Published March 2000 [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]

The alternative to listing your shares onrepparttar 112466 OTCBB is to list them onrepparttar 112467 NYSE, AMEX NASDAQ or a Regional American Stock Exchange. The Target Company balance sheet and time argue against usingrepparttar 112468 New York Stock Exchange (NYSE). Target Companies could meetrepparttar 112469 American Stock Exchange (AMEX) listing requirements with their first acquisition. AMEX has an institutional investor following that NASDAQ lacks. AMEX is owned, but not operated byrepparttar 112470 NASD. It’s a better choice than NASDAQ. I believe that NASDAQ hasrepparttar 112471 structural problems ofrepparttar 112472 OTCBB/BBX. While I’m willing to work with a Target Company desiring to list on NASDAQ, I strongly advise against it.

The Regional Stock Exchanges includerepparttar 112473 Boston Stock Exchange,repparttar 112474 Chicago Stock Exchange (formerlyrepparttar 112475 Midwest Stock Exchange),repparttar 112476 Philadelphia Stock Exchange,repparttar 112477 Cincinnati Stock Exchange andrepparttar 112478 Pacific Stock Exchange. The NASD owns, but does not operaterepparttar 112479 Phila-delphia Stock Exchange. These five Stock Exchanges are aggressively seeking listings. You can list of any of them for about US$350,000. As with your Target Company SEC registration,repparttar 112480 primary costs involve your American attorney’s legal fees. I suspectrepparttar 112481 BBX will help these four stock exchanges expandrepparttar 112482 number of listed companies.

The greatest cost in going public isrepparttar 112483 cost of maintaining your share price. Unlike most sales,repparttar 112484 original seller is responsible for finding allrepparttar 112485 later buyers of their shares. It’s this cost that destroys public companies.

"Followrepparttar 112486 Swiss Currency Formula" isrepparttar 112487 first axiom of a strong share price. Don’t issue shares unless you receive cash-producing assets as benefits. Issuing stock to employees is a terrible policy. If your employees want to buy your stock, let them do so from their stock broker. Paying bills with your stock always costs your Target Company a multiple ofrepparttar 112488 face value ofrepparttar 112489 bill. Your creditor sells your stock and you become obligated to find allrepparttar 112490 buyers for those shares forrepparttar 112491 next several years. The cost of finding those buyers exceedsrepparttar 112492 face value ofrepparttar 112493 bill. At best,repparttar 112494 practice defersrepparttar 112495 bill payment for a year or two.

It costs less to keep your present shareholders than to find new investors to buy your stock. Your investor relations should focus upon keeping your existing shareholders. If you attract shareholders based upon an implied promise that your shares will appreciate in value, those shareholders will sell into that share price appreciation. Your shareholders must share your Target Company vision. You must offer them reasons for keeping their stock. For years, I’ve favored non-cash benefit program for shareholders. Secure discounts and deals on items and servicesrepparttar 112496 average small capital investor needs. This can range from fleet buying of cars to cruise ship discounts. Try to ensure thatrepparttar 112497 non-cash discounts equalrepparttar 112498 value of your shares torepparttar 112499 average shareholder every year. If you do so, very few of your shares will enterrepparttar 112500 Market.

Remember that stocks are sold, they aren’t purchased. This means that you have to find and pay people to sell your stock. There can be no assurance thatrepparttar 112501 Investor Relations staff you contract to use can sell your stock to anyone. Over a decade ago, an extremely successful American Investor Relations firm attempted to promote their stock. Their effort failed, badly. Almost nobody purchased their shares. They used techniques that had worked for their clients. If an Investor Relations firm can’t be certain to create buying for themselves, you can’t be certain they can create buying for you. Even if they can’t sell your shares, you will pay dearly for their efforts.

Making Money in Equity Finance

Written by William Cate


Making Money in Equity Finance By William Cate Published October 2001 [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]

Do you offer financial services to businesses outsiderepparttar United States? You could be earning an additional US$300,000/year taking your clients public inrepparttar 112465 United States.

Here are ten possible reasons why non-U. S. Companies should go public in America. 1. Their country lacks a stock exchange. 2. The country's stock exchange won't list "growth" companies. In several countriesrepparttar 112466 national listing requirements are modeled after those ofrepparttar 112467 New York Stock Exchange. This is true ofrepparttar 112468 Singapore and Kuala Lumpur Stock Exchanges 3. The local stock exchanges lack credibility. This is true ofrepparttar 112469 Vancouver and Alberta Stock Exchanges in Canada. 4. The company understandsrepparttar 112470 benefits of being valued in U. S. Dollars, instead ofrepparttar 112471 national currency. Currently,repparttar 112472 USD isrepparttar 112473 World's business currency. 5. The company that wants to be listed on stock exchanges in Europe and Asia and realizes thatrepparttar 112474 American filing isrepparttar 112475 key to cost savings elsewhere. 6. The company understands that they can no longer trade their shares inrepparttar 112476 States under a 12g Exemption. 7. The company realizes that their local investors would prefer to hold U. S. Dollar demominated stock. 8. The company suspects that there is a segment ofrepparttar 112477 U. S. Market that would buy their stock if it were easily available inrepparttar 112478 United States. 9. The company realizes that having a U. S. Dollar demominated stock allows management to make bargain acquisitions for their stock whenrepparttar 112479 national currency's exchange rate falls againstrepparttar 112480 USD. 10. Management is takingrepparttar 112481 company global and wants to save on taxes.

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