- Buying an OTCBB Shell
- Buying an OTCBB Shell – Part I
- Buying an OTCBB Shell – Part II
- Buying an OTCBB Shell – Part III
- Buying an OTCBB Shell – Part IV
- Buying an OTCBB Shell – Part IV
- Buying an OTCBB Shell – Part V
- Buying an OTCBB Shell – Part VI
- Buying an OTCBB Shell – Part VII
- Buying an OTCBB Shell – Part VIII
- Buying an OTCBB Shell – Part IX
- Buying an OTCBB Shell – Part X
- Buying an OTCBB Shell – Part XI
- Buying an OTCBB Shell – Part XII
- OTCBB Shells – Buyer Beware – Part 10
Lets first discuss what your needs are. When buying an OTCBB shell you first have to determine what you are trying to accomplish. Do you just want to get your company public and trading? Do you need to raise capital? Are you trying to give liquidity to investors? There are a multitude of questions to ask before embarking on this journey. I suggest you make a list, starting from most important to least important, to ascertain the type of OTCBB shell that fits your situation. Here are a few questions should be asking:
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Are you going to pay cash for the shell and if so how much have you allocated for that purchase?
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Have you considered exchanging equity in lieu of cash for the purchase of the shell?
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What percentage of the shares do you need deliverable? Will 51% work or do you need a 99% delivery shell?
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Is it important that free trading shares from non affiliates be included as part of the shell purchase?
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How many shares do you want to remain in the float?
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Are there any investors in the float that have a large block of stock?
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Do you plan on reversing the shares or forward splitting the shares of the shell you are purchasing?
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Have you determined the post effective capitalization of the shell?
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Are you planning on raising a round of financing through a PIPE transaction?
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Does that capitalization take into consideration the effects of dilution if you are going to need additional funding?
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Have you determined the pricing range of the shares of the shell?
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Have you considered the pricing of the shares for your PIPE financing?
These are just a few of the questions you need to ask yourself before you proceed with your shell purchase.










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