We Assist Companies With Their Documentation and Capital Raising.

PPMs,  Regulation A+, S-1, Pitch Decks, Subscription Agreements, and More

Breaking News... We are advising companies to consider going straight to Nasdaq with an S-1.  The Regulation A has bogged down.

We assist companies in raising capital through PPM, Regulation A+, Reg D, crowdfunding, and other legally approved methods.  We write the documentation and work hand in hand with either your legal team or ours. This saves you money as our billable rate is less than half that of most attorneys.  If you have begun writing your document we are happy to provide referrals to trusted lawyers and accounting firms to push your docs through the SEC.

Please call Robert Merrill Fletcher, ChE at 213.500.7236 for immediate answers to your questions and to determine if we are a fit.

Our process can be defined as a strategic management responsibility that is capable of integrating finance, communication, marketing and securities law compliance to enable the most effective two-way communication between a company, the financial community, and other constituencies, which ultimately contributes to a company's securities achieving fair valuation. 

To begin, let me start with references from the attorney group that I work with.  This should show you that if we say it will get done, it will get done.  Here a series of examples of both Reg A+ and more traditional  IPO registrations.  The Xspand Reg A+ is generally considered one of the most successful Reg A+ to date.

Please keep in mind that in most cases a Reg D precedes the Reg A.  We can discuss that further if you call or email.
  

https://www.sec.gov/Archives/edgar/data/1731348/000119312518219032/d545137ds1a.htm
 

https://www.sec.gov/Archives/edgar/data/1054476/000114420418049880/tv503002_partiiandiii.htm
 

https://www.sec.gov/Archives/edgar/data/1656472/000104746918002317/a2235060zf-10a.htm
 

https://www.sec.gov/Archives/edgar/data/1717556/000114420418022443/tv492037-1apos.htm

https://www.sec.gov/Archives/edgar/data/1721980/000114420418037008/tv497591-s1a.htm

https://www.sec.gov/Archives/edgar/data/1054476/000114420418049880/tv503002_partiiandiii.htm

Working together we can almost guarantee a successful registration with solid cost efficiencies.  

Here is a brief overview of our service package(s) and how we approach this relatively complex subject.

First let’s agree that every company has a different niche, and a different need, and a different fact pattern as to what they can do, can’t do, and desire to do as relates to raising money. 

Next, let’s agree that there are certainly different types of money, i.e. loans, equity and combinations thereof.

And after that, let’s explore what a company needs to raise money, no matter what type of money is to be  raised.

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Types of Money:

To provide the best possible solution to the clients we work with, I am part of an Advisory Group of professionals that have access to various types of capital.   Our team includes:

• A professional who deals with companies financing needs AFTER they are public. This can be as simple as basic stock promotion or as complex as working out infractions with the SEC and FINRA.
• We have associates that will lend money on public stock, often called a ‘stock loan’.  Interestingly Pink Sheet companies can do the Reg A too.l
   
• I personally help pre-public companies that think they may wish to ‘go big’ use the Regulation A, Reg D, Reg CF (Crowdfunding), or PPM legal documents to legally raise money.  Each of these documents fits a certain scenario for a certain type of company.
   
• We have associates that provide commercial lending, mainly asset based.  Some of these lenders will take a risk for a higher return, some won’t.
• We have VC/Fund associates that will take equity investments.  
    
• And there are endless variations…

Overall, we will assist you in determining the right combination of funding sources so as to minimize what you have to give up for the money. 

And assuming that your company can complete the proper steps and requirements as shown below, then we will introduce you to our funding sources.  This means that at the same time we are helping prepare you for raising capital, we are vetting you so that we can be confident about your company when talking to our money sources.

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Common Elements That Every Company Must Have When Raising Money:

No matter what style, or type of money the client seeks, there are a few elements that MUST be in place.

1. There must be a succinct presentation about the company. This is typically referred to as a PITCH DECK.  These have gotten smaller and tighter over the years as people’s attention spans have diminished and we have all gotten busier.  Sometimes a simple PDF will suffice.  Often a company will have “something”.  Often that ‘something’ works against them not for them if it does not fit the current standards that money people expect to see.
2. Financial Data must be available whether for equity or loan financing.  Loans to the company might be the easiest to ‘paper’ but often the company doesn’t have any asset to place the loan against.  We see commercial loans at the lowest percentage if the company has two years of audited financials, assets, etc… just like getting a mortgage the diligence is quite exhausting, but for some clients, they are a great way to garner capital without giving up equity.  Of course, if the company is selling equity, then a proforma plus whatever financials are definitely required.
3. A legal document to accept the money properly is one of the most important elements that any company should have as they raise capital.  A loan document is quite simple to visualize.  A PPM (Private Placement Memorandum) can be used if the number of investors is small, and they are typically known to the company.  Perhaps a Convertible Loan is called for. Or, if the company is really going to seek outside sources of capital (beyond warm handshakes) then we begin to discuss the intricacies of Crowdfunding, Reg D, and Reg A.
4. Investor Relations and Marketing the Investment is one step that most companies tend to not think about.  Who is going to answer the calls and answer questions if and when interested parties come in?  The founder?  Is there a process to recontact leads?  Is there regular communications about the company to interested parties, clients, and others?  How is the investment marketed?  (And what legal constraints apply).

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Conclusion: What do we do?

Our Capital Advisory Group makes sure that you can raise money legally and as cost effectively as possible.  We make the process as streamlined and legal as possible so that you can sleep well at night.  We help you with the presentation, arrange your financials, providing the legal documents you need, and then, if desired, we help you manage the entire process of bringing in investors.

Are there any guarantees about raising money? You know the answer to that one.  All we can say is that the more professional you appear, the better the likelihood of success will be.

"I cannot over-stress the importance of taking charge of investor expectations, managing the valuation numbers, and taking control of the investment negotiation. As soon as we contract for a Reg A+, you can make the statement, “We have put the wheels in motion to prepare for a public listing and raise $50MM.   The instant that Press Release goes out, your valuation goes up, and it allows you to put the closing hammer on any fence-sitters.  You can say, “you’d better make a decision now, because when this gets going, you will never get this pre-IPO-money valuation again”.  It works, believe me".

We work in all industries including leading edge markets such as cannabis and cryptocurrency.  For more information on our Canna focus please visit www.TheCannaUnicorns.com .