How to determine your Offering Amount
Private Placement Memorandum.
Consulting and Preparation.
No Charge 30-Minute Consultation.
PPM Preparation Fee $4,800 - No Hidden Charges.
Financing of Fee Available w/ no interest if repaid within 6 months.
No Charge 30-Minute Consultation.
PPM Preparation Fee $4,800 - No Hidden Charges.
Financing of Fee Available w/ no interest if repaid within 6 months.
The Offering Memorandum is good for 12 months. After 12 months, you can renew it for another 12 months.
What does your pro forma show for the 1st, 2nd, and 3rd year? If you expect to be profitable and earn money by the end of the 1st year. Pause your Offering at an amount needed for your 2-year proforma and decide whether you need more capital; if so, can you qualify for bank financing?
Do you need to sell more of the company, or can you grow the company from internal cash flow? Consider the true long-term cost of additional capital when selling an interest in your company.
Your business plan should also support this decision. You will unlikely attract institutional investors until you have been profitable for several years and expect the terms they will demand will be onerous.
