This section of the Venture Associates Web Site provides supplemental information to the book:
Everything You Need to Know to take your Company Public, including Internet Direct Public Offerings
James B. Arkebauer, founder of Venture Associates, is the author of various business books including "GOING PUBLIC : Everything You Need to Know to take your Company Public, including Internet Direct Public Offerings" (Dearborn Financial Publishing - $29.95 - 348 pages - limited availabilty at book stores across the country) Review the (Detailed Table of Contents). This book has been called the bible on the topic of taking a company public.
The Question Is: Can I raise money by selling stock in my company over the Internet?
The Answer Is:
The Qualifiers are:
If you understand the process.
If you understand the rules.
If you have a quality company.
If you work hard with patience.
Internet Direct Public Offerings (DPOs) offer many advantages over conducting Direct Public Offerings prior to the Internet. These advantages can be summed up under three primary areas: increased efficiency resulting in decreased costs and greater exposure
Increased Efficiency: because the process of advising the general public of the availability of your company's DPO is less cumbersome.
Decreased Costs: because of the savings in printing and payment of broker commissions.
Greater Exposure: because of the worldwide reach of the Internet.
You need a team - preferably in addition to your present management team with an attorney, accountant, and a DPO advisor.
You need to develop a DPO strategy - to address the pros and cons - to determine if your company qualifies - to decide who is going to do what.
You need to determine what vehicle (SCOR, Reg A, SB-1) is best for your circumstances.
You need to prepare a comprehensive business plan.
You need to prepare the proper documents.
You need to obtain regulatory approvals - both state and federal.
You need to "package" your DPO marketing.
You need to "market" your program.
You need to "close-the-sale."
You need to establish secondary market trading for your stock.
You need to operate a successful, profitable, growing enterprise - to increase shareholder value.
When you become involved in conducting a DPO, you are immediately subjecting yourself and your company to a wide range of regulatory bodies. These include the Federal Securities Exchange Commission (SEC), the National Association of Securities Dealers (NASD), the various securities exchanges or markets, and each individual state Securities Commission. As if these multiple regulatory bodies aren't enough, they are constantly changing the rules. You are strongly advised to have legal counsel assist you in reviewing your documents and the current filing procedures.
State SCOR Filings
Companies using the SCOR program must file Form U-7 in each state where they will be selling securities. Individual state's rules vary and you should check with each state's security agency for any variation they may have in the filing procedure.
It is believed that the following states HAVE NOT yet recognized the Form U-7 filing.
Alabama - Delaware - Florida - Hawaii - Minnesota - New York
This is the primary site for the North American Securitites Administration Association NASAA. It includes listings for the offices of the Security Commissioners in all states and for Canada and Mexico.
This is the key site for the Financial Industry Regulatory Authority
FIRA which is the self-regulating group which oversee the trading activity of United States broker/dealers.
This is the main site for the Securities and Exchange Commission
SEC. It includes proposed rules and a great deal of information relating to the Federal regulations.
Additional information - on the subject of taking a company public and public company operations can be obtained by reading the book "GOING PUBLIC : Everything You Need to Know to take your Company Public, including Internet Direct Public Offerings" (Detailed Table of Contents.) written by James B. Arkebauer, founder of Venture Associates, and published by Dearborn Financial Publishing. This 348 page book is available for electronic download ($20) from Venture Associates Going Public ebook website
VENTURE ASSOCIATES CONSULTING
The principals of Venture Associates have a great deal of experience in taking
companies public and public company mergers and operations. If you would like to discuss the availability and costs for services, please make contact via the following information: