OTCBB ShellsWritten by William Cate
Over-the-Counter Bulletin Board (OTCBB) Shell Prices By William Cate Published July 1999 [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]You can't buy a clean public shell in North America. I doubt you can buy a clean shell anywhere in World. I offer a startup spinoff service because your spunoff public company is clean. Also, spinoff format allows me to arrange a European Million-Dollar Private Placement for your newly spunoff public company. My startup spinoff fee is equal to retail price for an OTCBB shell. I offer a better deal. However, since most entrepreneurs think OTCBB shell and not spinoff, I'm not overwhelmed with clients. As noted above, [Spinoff Interest] I can't handle more than four startup spinoff clients a quarter. To date, I've never had four new clients in any quarter. In 1998, OTCBB shell price was US$125,000. In January 1999, OTCBB shell price moved to US$150,000. The increase was explained by shell sellers "as expectation that 3,400 non-reporting companies, being delisted from OTCBB, would rush to buy OTCBB shells." The rush didn't happen. Most non-reporting companies are being delisted from OTCBB, without a whimper. However, I moved my startup-spinoff fee to US$150,000. The attorney receives US$75,000, auditor earns about US$15,000. Incidental expenses are about US$10,000. I'm paid US$50,000. In past two weeks, an experience OTCBB shell buyer appears to be offering US$350,000 for OTCBB shells. He's a stock broker, who has worked with shell buyers for over a decade as an agent. He should know value of an OTCBB shell. I'll contact several more professional shell sellers. I intend to confirm doubling of shell price before I adjust my startup-spinoff fee. Assuming OTCBB shell price has gone to US$350,000, I'll seek an explanation for more than doubling of OTCBB shell price, in past six weeks. If OTCBB shell price is now US$350,000, you can expect that I'll double my startup Spinoff/Private November 1, 1999. The reason that I added this article was to give you advance warning of probable increase in costs of doing a startup spinoff with me. If you have any interest in doing a startup spinoff with me, I strongly advise you to arrange a fee consultation with me this month. Otherwise expect to pay more if you wait until November.
| | SpinoffsWritten by William Cate
Spinoffs By William Cate Published August 1999 [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/] Doing a spinoff is ten times better than buying a shell. Your spinoff will be clean. You'll retain a higher percentage of your stock. It costs you less. If you doubt me, send me a self-addressed stamped envelope and I'll send you my spinoff articles from "Time" and "American Venture." I work with two public companies willing to spinoff private companies. 1. Company A will spinoff almost any sound company with competent and honest management. They'll consider a well-designed startup. They are my default solution for private companies seeking to buy a shell. The cost is $25,000 less payment by public company for your stock. You should add legal and accounting costs. I would recommend this company's auditors who usually charge less than $20,000 for their audit. I would recommend my California Securities Attorney who will want a $25,000 retainer against a $75,000 flat fee. This will bring your total costs to under $115,000. You'll be responsible for stock support and finding your Private Placement financing. 2. Company B is selective. They require that company have at least two million dollar gross revenues with at least five hundred thousand reinvested pretax profit. The company must have an international market for their product or service. They arrange up to a $10.4 million Offshore Private Placement financing for their clients. They'll pay your legal costs and your brokerage costs for Private Placement. They'll supply supplemental funds for your Stock Support Program. They want to be involved with your company for at least five years. They'll want a seat on your Board of Directors. You must be willing to pool and vault insider stock for five years. They charge $225,000 with a $60,000 retainer and 100,000 shares of your stock. It's a cost effective turnkey service for companies that meet their requirements.
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