In February of this year the SEC inadvertently added verbiage to Rule 144 that now affects any company who was ever in its history a shell company by subjecting them to additional restrictions when investors sell unregistered stock under Rule 144. This change has been dubbed the “evergreen requirement”.
Brian Breheny, deputy director of the [...]

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Can it get any worse? Yesterday the Dow fell 445 points or 5.6% with the broad market hitting its lowest point since 1997. Over $8.3 trillion worth of stock market wealth has now been eradicated in the last 13 months. After receiving billions of dollars from the government financial stocks such [...]

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The heads of the big three automakers were ill prepared to answer questions posed by House Financial Services Committee over the past two days. The three automakers along with the president of the UAW sat arm in arm explaining why they needed the $25 billion bailout but they would not give specifics as to [...]

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President Elect Obama I have a plan for you to fix Social Security. This is my “big idea” for you:
There are almost 77 million of us baby boomers out there. Due to the recent collapse of Wall Street our retirement programs are down some 50%. Our ten year retirement plan is now a [...]

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So here are a few suggestions I have for Barack Obama – The New Deal:
1. Infrastructure – Implement your plan for rebuilding the infrastructure of America. Fixing roads and bridges is not sexy but it will create over a million new jobs. It’s been over 60 years since our forefathers developed our transportation system. [...]

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Though I am a staunch Republican I was actually relieved when Barack Obama overwhelming won the election. In my judgment he is better suited to handle the multitude of problems this country faces. He is facing similar conditions that President Roosevelt encountered during his term in office. The business community believes they [...]

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My prediction is reverse shell mergers will become the number one choice for companies to go public in the future. Last year over 220 reverse mergers were performed. 2008 will be the first year in history that reverse mergers will top the number of IPO’s.
With tier one underwriters disappearing from the landscape independent [...]

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Emerging growth companies will need to seek alternative methods to go public and gain access to capital. This can be accomplished in several ways. If a company has the time they can either file an S1 or Form 10 registration statement with the Securities and Exchange Commission (the “SEC”). This process, inclusive [...]

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Paradigm Shift for IPO’s
What private companies need to understand is the IPO marketplace is now experiencing a major paradigm shift. There are usually 55 IPO’s that are performed per quarter with the third and fourth quarters usually being the most active. The average IPO in the last five years raised $200 million. [...]

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Liquidity in the Marketplace
I have spoken to many funding sources that are sitting on huge amounts of money and the key word in all of the conversations is “liquidity”. Investors will fund deals providing there is a reasonable expectation for liquidity in the marketplace. However, who will underwrite the deals of the future? [...]

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