Let us Assist with your Prospectus
Preparing and properly writing a Preliminary Prospectus (aka Red Herring), a Final Prospectus or a specific type of Offering Memorandum for a startup venture or existing business enterprise that is seeking to raise working or expansion capital is the most critical step for those focused on a seamless funding formation process.
Whether your company is planning a private placement offering available to a select universe of friends and family, qualified investors or an initial public offering (IPO) via an exchange listing, a prospectus or offering memorandum is required by your investors and industry regulators that govern securities offerings.
Who Reads the Prospectus?
Investors of all types, including venture capital and private equity firms, angel investors, qualified institutional buyers (QIBs) to accredited or experienced investors, as well as a respective stock exchange designated to list your company’s shares via a public offering will require a prospectus. The Prospectus.com team of securities industry professionals, expert consultants and attorneys can draft your prospectus in a timely, cost effective manner. Our team has produced literally thousands of preliminary prospectus (red herring) and final Offering Memorandums for private publicly listed companies.
Where We Operate
Prospectus.com has staff and offices in most of the world’s major financial hubs. We assist companies domiciled in all major countries across the globe with prospectus and offering circular writing. From New York to Hong Kong, from the United Kingdom to the Cayman Islands, from Singapore to Seattle and most other regions in-between, Prospectus.com professionals have addressed the capital formation document needs for industry leaders across virtually every industry category and sector.
What is a Prospectus?
A prospectus is a document that is provided to prospective investors and outlines the company’s structure vis-à-vis the business model, financial plan, securities information, management team and more. The company seeking investment capital will be offering investors some form of securities in consideration for the capital provided to the company, either in the form of debt or equity. The prospectus will outline the terms of this offering. For example, if a company is offering common stock in return for a capital infusion from investors, the prospectus will detail the type of common stock and the terms attached to the securities, such as voting rights, preferred vs. convertible, dividend schemes (if any), restriction on shares, etc. For a debt or bond offering, the Issuer company is typically offering a note or a bond or a convertible bond (one that converts into equity shares subject to corporate actions). The prospectus, whether a preliminary (red herring) or final prospectus will also outline the interest payment, maturity date and more. For any investor, institutional or high net worth, the Offering Prospectus is the ultimate road map that states how the company plans on being successful and how the investor will realize return on capital as well as projected profit on the investment.
A properly-prepared Offering Prospectus should be easy on the eyes; crisp, clear and succinct without flowery or misleading narrative. While the length in terms of number of words and pages within a prospectus can vary from public entities to private entities, there is one theme that remains: verbiage and narrative that flows properly and demonstrates professional focus on the presentation.
The prospectus document should flow in a systematic order that conveys the message of the company and its offering. There should be a “birds-eye view” of the company in the form of a summary, followed by detailed analysis of the company, the industry and market, the company’s management team, and of course, a clear description of the investment offering details. The prospectus should be viewed as an opportunity to tell the Issuer’s story in a proper format, not as a “boring-must-give to investors” document.
The prospectus, and by extension the private placement memorandum or offering documents allow a company to accomplish the following goals and objectives:
- Convey your message and your company’s business opportunity in a clear and concise manner.
- Showcase your intellectual property aka IP, or unique product or service offerings
- Highlight your team’s leadership capabilities and relevant experience in your industry
- Detail the company’s current and future business plans and strategies
- Discuss your exit strategy and how investors will be repaid and make a profit.
What Prospectus.com Offers to Issuers of Securities and Those Raising Capital:Prospectus.com’s team are seasoned industry experts and fluent in best practices with regard to preparing a professional offering prospectus, offering memorandum and/or related services needed by both public and private companies.
Our value proposition is straight forward and easily embraced by accomplished entrepreneurs and corporate executives: We offer one of the fastest turnaround times for document creation and the most competitive pricing in the overall global market. Our practice areas address the following services, along with our providing expanded services in each category:
- Prospectus writing Services
- Preliminary and Final Prospectus writing (public and private companies)
- Offering Circular (public & private companies)
- Private Placement Memorandum Writing
- Listing and Initial Public Offering Services (IPO) (documentation-specific)
- Information Memorandum
- Explanatory Memorandum
- Registration and Filing Services (i.e. S-1 Statements)
- Equity and Debt (144A/Reg S) Structure
- Mergers & Acquisitions
- Venture Capital and Private Equity Assistance
- Crowdfunding, Regulation A+ and Regulation D assistance
- Company and Fund Formation Services
- Shareholder and Operating Agreements
- Securities Law and General Business Legal Advisory