Taking Your Company Public – Advantages Of Taking Company Public

On July 13, 2010, In business for sale, By James Scott

When the principles of a company make the decision to go public there are many things to take into consideration. First and foremost, trying to wade through the pariah infested waters of the OTCBB, Investor Relations and strategic growth strategies on your own is a guaranteed suicide mission and you’ll fail. Find a consultant who understands your business and has the contacts to create a turnkey solution to take you from public to private and all the other necessities you’re company is going to need to make it.

As part of your consultant pre qualifications here are the niches you’re the consultant absolutely must be well versed in order for your company to succeed with the public offering and a solid trading volume post public. Better yet, here is what you’re going to need so you can measure your questions against this list when qualifying the consultants to see who is the best fit.

First you’re company will need structuring. What I mean by structuring is that you’ll need to put a sturdy skeletal structure together to carry around your corporate bag of bones, an iron clad skeletal structure would consist of: board of directors with esteemed educational and professional pedigrees and proven track records for assisting companies in your particular genre with getting to the next level from the level your company is currently at pre public. You also need powerful strategic alliances that will increase your name recognition and overall market awareness by affiliations with inter-industry powerhouses. Use strategic partners for promotion, expansion, resellers, referrals, service and product brokering, name recognition, and more.

Talk to your accountant about your corporate structure. Delaware C corporations are a sturdy home state for public companies as the states statutes go back to the original 13 colonies and offer optimal protection and case law to support a growing public company. Some oversees companies prefer Nevada for their quick fix to the foreign owned company problem but ask your accountant and attorney to give you the pros and cons. Statutory domicile will be the advantage to the home of your corporation but if you are operating in another state you’ll still need to file locally while the state of incorporation can offer legislative support from previous case law history. Don’t believe that you won’t have to pay taxes if you incorporate in Nevada, this simply isn’t the case. Read up on this and then get the real deal from your attorney.

Every public company needs solid CEO, CFO, COO, Board of directors, Board of Advisors, Strategic Partnerships to start off. Now, when you have the above you need to start working on monetize-able purchase orders and offering net terms to your clients, in other words start building your book of business aggressively by offering credit terms. This will make you a stronger company and when investors see your mountain of purchase orders they’ll be impressed and will be more apt to invest. General signed contracts will typically have too many contingencies to have an impact as contracts are not very enforceable whereas purchase orders are like currency and can be monetized if your company finds itself in a crunch. This shows investors that you’re prepared for the ups and downs ahead.

Now after you’ve gone through the s1 comments with the SEC and the 15c211 has been filed by a market maker with FINRA, let’s assume you have your trading symbol and you’re ready to start selling shares. You are going to need a powerful, expensive, rock solid investor relations and market build strategy. Don’t use a pump and dump house as if you do so you will never recuperate. Instead your IR strategy should include: phone room support for announcing your company to industry insiders to create awareness (not selling stock), solid, opt-in email alerts to seasoned, accredited investors looking for stock in your industry, press releases should go out to announce everything from a new executive hire to an new contract to a new strategic partner and anything else that will give you a reason to notify the public on your company’s growth. Expert panel reviews for your C level executives to talk about the industry as an expert insider promote the company to the masses where they will get to see first hand the massive knowledge you possess about your industry which may prompt listeners to investigate your stock for a potential purchase. Don’t forget about viral publicity through high pr video, social bookmarks, blog entry, articles and the prototypical twitter, facebook, myspace and Linkedin properties.

Going public should be part of an overall strategy for expansion as opposed to having a go to just ‘go public’ to raise money.

Follow us on Twitter Princetoncorps , Take Your Company Public and Globalize Your Business call Princeton Corporate Solutions at 267-233-0183 Free Video Take Your Company Public and Expand Globally FAST We Can Make Global Growth Happen For Your Company

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Globalization Consultants – Mergers And Acquisitions – When Organic Growth Isn’t Enough

On May 8, 2010, In business for sale, By James Scott

In a perfect world public and large private companies could experience rapid growth by simply treating their client base right and taking and gradually making more transactions to increase revenues to subsidize the additional costs of more locations, employees etc. This is fine if you’re only trying to build a company worth a few million and then fold up when you’re ready to retire.

But if you are looking to build a legacy company that you can hand down to generations, create jobs, expand globally and constantly have a steady stream of purchase and merger offers as a safety net, you need to grow through acquisition and the best way to raise the capital for this process is to go public.

Going public is a technical process where the post public promotion referred to as IR or Investor Relations is the key to stabilizing and growing your share price. Limit the volume of shares for public consumption, pump out maximum publicity, make brokers and investors comb the planet to find available shares and force the price to grow by leaps and bounds by creating demand.

When you need funding use PIPES and pay off the loan so the PIPE firm doesn’t liquidate the shares onto the market, get those shares back. I had a client email me a letter he got from a Do It Yourself investor relations firm. They claim to be able to train CEOs of public companies to take care of the IR campaigns for companies on the London, OTCBB and Pink Sheets. The claim that they can teach you to never need the services of an IR firm again and my response to this client was….Um…Are you an idiot? I guess I was a little upset since I own five percent of the company that he was proposing this DIY solution for IR.

Here is the deal. You need to three basic things to have a solid investor relations campaign. First you need a Pump solution. Don’t confuse pump with pump and dump. Remember, you always want to limit the shares put out to the public but you need to pump public demand and hunger for your shares to keep the price where it’s high enough to use as collateral for loans to subsidize growth without having to release more shares onto the market.

Next you need volume. Keep the shares that are in the market place moving. Hold corporate shares to your chest and keep the shares in the public moving, without volume you won’t be able to do anything with your stock. Don’t mistake the concept of creating volume with releasing shares into the public to create cash. Last but not least you need to be in the public eye. You need to have a publicist that will get you on industry expert panels on radio, tv, blogs, podcasts and every publicity medium in between. Get your CEOs face, company name and trading symbol on the bottom corner of everything including but not limited to the bicep and forearm of every sales executive in the company. Ok maybe that’s a bit much but my point is an organization that stands together behind their CEO is an organization that will survive and thrive.

These were just a few of the points that one needs to consider when going public, trying to stay public and promoting a public company. In this industry the old conviction of . . . Believe none of what you hear and half of what you see is the golden rule.

For Corporate Turnaround Services or Investor Relations and Publicity, call Princeton Corporate Solutions at 267-233-0183Take Your Company Public the easy way!

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