Tags |
|
|
Links |
|
|
Casual Articles - Expansion & Exit: Getting the Best Out of Your Golden Parachute
Negative self-talk and negative self-belief are the most common ways that can keep a person away from succeeding in business. Imagine that you are in business and you are working on it, and at the same time your mind keeps telling you that you will either fail or what ever that you are doing will not work out like you are planning it to.You MUST get your mind right and thinking in a positive way before you even think about becoming a success at anything. The ATTITUDE is AS Important as the ACTION taken.Let me give you a short example:If you have an online business and you are in the process of learning how to build it successfully, but at the same time there is a place in your head that keeps telling you that you will either fail or you won't make it. You keep feeding your mind that what you have being doing in the past and now is not worth it and y
He said, “The premise is that everyone should win. The business consultants get their reasonable fees. The Merchant Bank gets its reasonable fee. The company gets enough money to ensure success. The Investors make a profit. The insiders profit in 5 years (or less) when the company is taken over by an Industry Giant. The public profits because the share price remains strong (no insider selling or unjustified dilution) and makes money from periodic upward moves in the share price.”
Four Risk Factors
And what about the risk factors? There are four of them to be considered, any one of which could stop the process.
1. The Dow collapses in the middle of the process. If no one is buying at the top, no one will buy at the bottom.
2. There is a material misstatement of fact in the client’s business plan. Both the Merchant Bank and the investors will do their due diligence, and should such misstatements be found, they will end the process at that point and any fees paid up until that time will be forfeited.
3. Loss of key personnel. This can, if not provided for, effectively stop your business in its tracks.
4. SEC denial of the NASD application. It should be mentioned, howev
It’s just so impossible to imagine a life without electricity or electronic goods. Electronic goods have become such intrinsic part of our lives that we have started taking them for granted. Would not life be such an improbability without refrigerators, water heaters, iron, coffee maker, dryers, air conditioners and dish washers?!Though these items are easily available on high streets, yet owing to several factors, purchasing them always proves to be a harrowing experience. The electronic goods market in UK has reached such a crescendo that a customer is spoilt for choice and gets all confused before settling down with a product from one of the merchants. Best option available in such a scenario is to go in for various e-shops and cash back portals that helps its customers make as informed a choice as possible.These portals let you compare electr
For most entrepreneurs and business owners, there is a desire to expand their company to some point of success, then retire. Or move on to another business.
The Usual Solutions
There are generally two solutions: (1) Sell out directly or (2) do an IPO - the traditional Initial Public Offering - hope you raise some capital, wait a few years, then sell your stock... if it’s worth anything.
Selling out a privately held company usually results in a price 150%+ of profits. If you’ve been doing $1 million, look for about $1.5-4 million for your golden parachute. Minus taxes, of course. Not a terribly exciting prospect after all those years of work.
Solution #2 is daunting as well. You’ll spend close to $3 million doing an IPO. Much of your time, up to a year actually, will be spent doing “dog and pony” shows for prospective market makers and institutional buyers, often ignoring your business in the process. Your chances of raising your targeted funds are about 50/50 at best. And 98% of all small companies going public are not in business five years later. Doesn’t sound too promising either.
However, the major advantage to becoming a public company, among many others, is that your company is valued at a multiple of its price to earnings (P/E) ratio, normally far above sales. If it were possible to become such a company, raise needed expansion capital and build your stock value towards a major retirement nest egg - *without* having to do an IPO - you’d have a sane answer to your problem.
The Better Solution
It’s possible. There’s a Solution #3.
The key is to find a group willing to invest the amount needed for solid expansion, without giving up control of your company.
One such group, represented internationally by Capital Funds Group, does precisely this. It provides a simple and inexpensive method to bring you into the public sphere. It provides you with the SEC-required number of qualified shareholders. It also works with an offshore investment pool which will guarantee to purchase enough of your new shares to fund your company with enough to capitalize a major expansion. You will, however, need to follow their expansion strategy.
The group does more than just fund you. They will teach you how to make your stock support program work effectively...and inexpensively. They will guide you in expanding onto other markets internationally. They will protect you from short sellers. They will advance more funds as necessary if you’re following their expansion strategy. And much more.
Benefits to the Business Entrepreneur
Before taking such a step, consider the benefits of becoming a public company.
a. Private placements are easier if you are a public company, as the investors can trade their stock on the open market.
b. When it comes time to sell, your company is priced on its share value times the number of issued shares, generally far exceeding the balance sheet value of a private company.
c. Banks prefer public to private companies when considering loans.
d. It’s easier for a public company to expand into the Global Village.
e. You will become more attractive as a potential acquisition or merger target.
f. You will have sufficient funds with which to market and distribute your goods or services nationally or globally.
What Kinds of Companies?
What kinds of companies are being sought? These would be the general parameters:
1. Investment (or sales) of at least $500,000 in the company, net assets of $500,000 and a pretax profit of $300,000 (reinvested in the company).
2. In business for one year or more. (No startups.)
3. Manufacturing and/or service industries, high tech, biotech, internet, etc.
4. A major potential national and/or international market to be expanded into. If you are already in the international marketplace, all the better.
5. Proven management.
6. A NON-US company.
7. A desire and willingness to work the process through for five years.
Well, you knew there had to be a catch. What’s that about? You have to agree that all your insider stock - which, by the way, constitutes the controlling interest in your company - will be pooled and not traded for a full five years, or until an offer of buy out or merger is tendered by an industry giant. There will be no dilution of stock value by insider trading. In this way, the Investors and Merchant Banker can help you control and maintain the growth of the stock in the marketplaces, ensuring a positive result for all investors and, not incidentally, a powerful one for the hardworking insiders who stand to make $60-80+ million at buyout time. (It should be mentioned here that the Merchant Banker’s shares are also pooled and vaulted along with yours. Thus, they have a vested interest in your success.)
The Program Goal
I asked the man whose contacts and expertise created this expansion concept, what his overall goal was?
He said, “The premise is that everyone should win. The business consultants get their reasonable fees. The Merchant Bank gets its reasonable fee. The company gets enough money to ensure success. The Investors make a profit. The insiders profit in 5 years (or less) when the company is taken over by an Industry Giant. The public profits because the share price remains strong (no insider selling or unjustified dilution) and makes money from periodic upward moves in the share price.”
Four Risk Factors
And what about the risk factors? There are four of them to be considered, any one of which could stop the process.
1. The Dow collapses in the middle of the process. If no one is buying at the top, no one will buy at the bottom.
2. There is a material misstatement of fact in the client’s business plan. Both the Merchant Bank and the investors will do their due diligence, and should such misstatements be found, they will end the process at that point and any fees paid up until that time will be forfeited.
3. Loss of key personnel. This can, if not provided for, effectively stop your business in its tracks.
4. SEC denial of the NASD application. It should be mentioned, howeve
The decision on whether or not someone will read your brochure is usually decided in the first 5 seconds they look at it. What kind of message are you communicating in that five seconds? Will you make a favorable impression with your prospect? Will you move your prospect closer to the sale?There are really only two key elements that will determine how well your brochure is received by prospects. These two elements will ultimately make the difference in your brochure being a tool that makes you money, or just something else that costs you money.What are those two all-important elements: 1. the Image or look 2. the MessageThis is part 1 in a two-part article. In part 1 we will discuss what you need to ask for from your printer to make sure that your brochure looks top notch.Here are 5 things you should keep in mind when you are evaluati
The Better Solution
It’s possible. There’s a Solution #3.
The key is to find a group willing to invest the amount needed for solid expansion, without giving up control of your company.
One such group, represented internationally by Capital Funds Group, does precisely this. It provides a simple and inexpensive method to bring you into the public sphere. It provides you with the SEC-required number of qualified shareholders. It also works with an offshore investment pool which will guarantee to purchase enough of your new shares to fund your company with enough to capitalize a major expansion. You will, however, need to follow their expansion strategy.
The group does more than just fund you. They will teach you how to make your stock support program work effectively...and inexpensively. They will guide you in expanding onto other markets internationally. They will protect you from short sellers. They will advance more funds as necessary if you’re following their expansion strategy. And much more.
Benefits to the Business Entrepreneur
Before taking such a step, consider the benefits of becoming a public company.
a. Private placements are easier if you are a public company, as the investors can trade their stock on the open market.
b. When it comes time to sell, your company is priced on its share value times the number of issued shares, generally far exceeding the balance sheet value of a private company.
c. Banks prefer public to private companies when considering loans.
d. It’s easier for a public company to expand into the Global Village.
e. You will become more attractive as a potential acquisition or merger target.
f. You will have sufficient funds with which to market and distribute your goods or services nationally or globally.
What Kinds of Companies?
What kinds of companies are being sought? These would be the general parameters:
1. Investment (or sales) of at least $500,000 in the company, net assets of $500,000 and a pretax profit of $300,000 (reinvested in the company).
2. In business for one year or more. (No startups.)
3. Manufacturing and/or service industries, high tech, biotech, internet, etc.
4. A major potential national and/or international market to be expanded into. If you are already in the international marketplace, all the better.
5. Proven management.
6. A NON-US company.
7. A desire and willingness to work the process through for five years.
Well, you knew there had to be a catch. What’s that about? You have to agree that all your insider stock - which, by the way, constitutes the controlling interest in your company - will be pooled and not traded for a full five years, or until an offer of buy out or merger is tendered by an industry giant. There will be no dilution of stock value by insider trading. In this way, the Investors and Merchant Banker can help you control and maintain the growth of the stock in the marketplaces, ensuring a positive result for all investors and, not incidentally, a powerful one for the hardworking insiders who stand to make $60-80+ million at buyout time. (It should be mentioned here that the Merchant Banker’s shares are also pooled and vaulted along with yours. Thus, they have a vested interest in your success.)
The Program Goal
I asked the man whose contacts and expertise created this expansion concept, what his overall goal was?
He said, “The premise is that everyone should win. The business consultants get their reasonable fees. The Merchant Bank gets its reasonable fee. The company gets enough money to ensure success. The Investors make a profit. The insiders profit in 5 years (or less) when the company is taken over by an Industry Giant. The public profits because the share price remains strong (no insider selling or unjustified dilution) and makes money from periodic upward moves in the share price.”
Four Risk Factors
And what about the risk factors? There are four of them to be considered, any one of which could stop the process.
1. The Dow collapses in the middle of the process. If no one is buying at the top, no one will buy at the bottom.
2. There is a material misstatement of fact in the client’s business plan. Both the Merchant Bank and the investors will do their due diligence, and should such misstatements be found, they will end the process at that point and any fees paid up until that time will be forfeited.
3. Loss of key personnel. This can, if not provided for, effectively stop your business in its tracks.
4. SEC denial of the NASD application. It should be mentioned, howev
If one factor is to be named on which today’s business world stands it is undoubtedly the data management system of organization. The significance of data captures and interpretation is such that many make and break of most business organizations and big corporate houses depend on efficient data management. Collecting data known, as capturing data at the first place is indispensable for any business house. All type of trading needs data, to manage both the internal and eternal working of the company. Information about details of products dealt by organization, employees working for the growth of company and the marketing opportunities available each aspect need to be studied carefully and analyzed for business promotion, expansion and even day-to-day normal running of business.Data manipulation and interpretation has been an integral part of enterprises since lon
Benefits to the Business Entrepreneur
Before taking such a step, consider the benefits of becoming a public company.
a. Private placements are easier if you are a public company, as the investors can trade their stock on the open market.
b. When it comes time to sell, your company is priced on its share value times the number of issued shares, generally far exceeding the balance sheet value of a private company.
c. Banks prefer public to private companies when considering loans.
d. It’s easier for a public company to expand into the Global Village.
e. You will become more attractive as a potential acquisition or merger target.
f. You will have sufficient funds with which to market and distribute your goods or services nationally or globally.
What Kinds of Companies?
What kinds of companies are being sought? These would be the general parameters:
1. Investment (or sales) of at least $500,000 in the company, net assets of $500,000 and a pretax profit of $300,000 (reinvested in the company).
2. In business for one year or more. (No startups.)
3. Manufacturing and/or service industries, high tech, biotech, internet, etc.
4. A major potential national and/or international market to be expanded into. If you are already in the international marketplace, all the better.
5. Proven management.
6. A NON-US company.
7. A desire and willingness to work the process through for five years.
Well, you knew there had to be a catch. What’s that about? You have to agree that all your insider stock - which, by the way, constitutes the controlling interest in your company - will be pooled and not traded for a full five years, or until an offer of buy out or merger is tendered by an industry giant. There will be no dilution of stock value by insider trading. In this way, the Investors and Merchant Banker can help you control and maintain the growth of the stock in the marketplaces, ensuring a positive result for all investors and, not incidentally, a powerful one for the hardworking insiders who stand to make $60-80+ million at buyout time. (It should be mentioned here that the Merchant Banker’s shares are also pooled and vaulted along with yours. Thus, they have a vested interest in your success.)
The Program Goal
I asked the man whose contacts and expertise created this expansion concept, what his overall goal was?
He said, “The premise is that everyone should win. The business consultants get their reasonable fees. The Merchant Bank gets its reasonable fee. The company gets enough money to ensure success. The Investors make a profit. The insiders profit in 5 years (or less) when the company is taken over by an Industry Giant. The public profits because the share price remains strong (no insider selling or unjustified dilution) and makes money from periodic upward moves in the share price.”
Four Risk Factors
And what about the risk factors? There are four of them to be considered, any one of which could stop the process.
1. The Dow collapses in the middle of the process. If no one is buying at the top, no one will buy at the bottom.
2. There is a material misstatement of fact in the client’s business plan. Both the Merchant Bank and the investors will do their due diligence, and should such misstatements be found, they will end the process at that point and any fees paid up until that time will be forfeited.
3. Loss of key personnel. This can, if not provided for, effectively stop your business in its tracks.
4. SEC denial of the NASD application. It should be mentioned, howev
Everyone wants to know how to build a website online and work from home. Well, here's five tips that helped me do it successfully.Build A Website Online Tip #1 - Work In A Niche You EnjoyFirst of all, for true success, you want to build it around a subject that you enjoy. This may seem obvious to you, but many people get caught in the trap of basing their site on "internet marketing" because of all the gurus out there preaching in that area.Why in the world would you want to spend the next few months writing about something you have no experience in and will, most likely, find you can't stand?Doesn't it make sense to do what you love to do? Absolutely.Take myself, for example. I love football, so I put up a site about football. You want to be in a smaller niche anyway so you have a chance to compete in the search engines.
4. A major potential national and/or international market to be expanded into. If you are already in the international marketplace, all the better.
5. Proven management.
6. A NON-US company.
7. A desire and willingness to work the process through for five years.
Well, you knew there had to be a catch. What’s that about? You have to agree that all your insider stock - which, by the way, constitutes the controlling interest in your company - will be pooled and not traded for a full five years, or until an offer of buy out or merger is tendered by an industry giant. There will be no dilution of stock value by insider trading. In this way, the Investors and Merchant Banker can help you control and maintain the growth of the stock in the marketplaces, ensuring a positive result for all investors and, not incidentally, a powerful one for the hardworking insiders who stand to make $60-80+ million at buyout time. (It should be mentioned here that the Merchant Banker’s shares are also pooled and vaulted along with yours. Thus, they have a vested interest in your success.)
The Program Goal
I asked the man whose contacts and expertise created this expansion concept, what his overall goal was?
He said, “The premise is that everyone should win. The business consultants get their reasonable fees. The Merchant Bank gets its reasonable fee. The company gets enough money to ensure success. The Investors make a profit. The insiders profit in 5 years (or less) when the company is taken over by an Industry Giant. The public profits because the share price remains strong (no insider selling or unjustified dilution) and makes money from periodic upward moves in the share price.”
Four Risk Factors
And what about the risk factors? There are four of them to be considered, any one of which could stop the process.
1. The Dow collapses in the middle of the process. If no one is buying at the top, no one will buy at the bottom.
2. There is a material misstatement of fact in the client’s business plan. Both the Merchant Bank and the investors will do their due diligence, and should such misstatements be found, they will end the process at that point and any fees paid up until that time will be forfeited.
3. Loss of key personnel. This can, if not provided for, effectively stop your business in its tracks.
4. SEC denial of the NASD application. It should be mentioned, howev
It’s never too soon to start saying thanks to your clients, vendors and referral sources for what they contribute to your business. Everyone loves to be appreciated and acknowledged, so start now and do something every month.Keep in contact with your clients and vendors by sending articles you have written or that would be of interest to them. Add a little "How are you?" note to these people and keep the lines of communication open. Include current information about any new value-added products or services, such as a newsletter, or tele-class you will be presenting.Marketing doesn’t have to be expensive. You just have to do it.Communication and relationship are the keys to marketing. Attending numerous networking meetings may be worthwhile to some, but that strategy doesn't work for everyone because, as someone once told me, the people who love yo
He said, “The premise is that everyone should win. The business consultants get their reasonable fees. The Merchant Bank gets its reasonable fee. The company gets enough money to ensure success. The Investors make a profit. The insiders profit in 5 years (or less) when the company is taken over by an Industry Giant. The public profits because the share price remains strong (no insider selling or unjustified dilution) and makes money from periodic upward moves in the share price.”
Four Risk Factors
And what about the risk factors? There are four of them to be considered, any one of which could stop the process.
1. The Dow collapses in the middle of the process. If no one is buying at the top, no one will buy at the bottom.
2. There is a material misstatement of fact in the client’s business plan. Both the Merchant Bank and the investors will do their due diligence, and should such misstatements be found, they will end the process at that point and any fees paid up until that time will be forfeited.
3. Loss of key personnel. This can, if not provided for, effectively stop your business in its tracks.
4. SEC denial of the NASD application. It should be mentioned, however, that as long as you meet all the requirements, and you will, this virtually never happens.
The Cost
Yes, I can hear the background question you’ve been asking all through this article. What’s it gonna cost me? The total cost will be under $200,000, or somewhere less than 1/10th of what such a normal process would be, with guaranteed success if your firm is accepted into the program. (The time? Two to three months.)
Step One
What’s the first step? If you feel your company can qualify, contact Capital Funds Group.
© 2005 Capital Funds Group
HTTP = HTML link (for blogs, profiles,phorums):
<a href="http://www.casualarticles.com/article/18373/casualarticles-Expansion--Exit-Getting-the-Best-Out-of-Your-Golden-Parachute.html">Expansion & Exit: Getting the Best Out of Your Golden Parachute</a>
BB link (for phorums):
[url=http://www.casualarticles.com/article/18373/casualarticles-Expansion--Exit-Getting-the-Best-Out-of-Your-Golden-Parachute.html]Expansion & Exit: Getting the Best Out of Your Golden Parachute[/url]
Related Articles:
Artists are Critical of Corporate Advertising in a Hypocritical Way
Finding Fulfillment at Midlife: The Second Chance Career
Michael Jordan's Got Nothing On You
Bookmark it:
|