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Venture Capital Alternative Reg A+

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www.TheSecuritiesAttorneys.com
Venture Capital Alternative Reg A+

Venture companies valued at over $1 billion are called Unicorns. The number of Unicorns is growing. There were 80 unicorns in 2015 and 229 in 2016.

However, Unicorns depend on more and more new money from venture capitalists. That VC money is getting harder to get.

If venture capitalists flee, some companies could fail.

Venture capital sharks are trying to take advantage of this by using toxic or “dirty” term sheets. They offer money at the high valuation wanted by the company but on bad terms. Dirty terms include guaranteed IPO returns, ratchets, PIK Dividends, veto rights and superior preferences and superior liquidity rights.

Generally, these terms provide that the venture capitalist gets a great return first and everyone else is second.

One of the problems is that once you take dirty term sheet money, no later investor will look at your deal. The best solution is to go public with an intitial public offering. The best way to control your own future is with an IPO. This puts the founders in control and liquid. The new Regulation A+ makes this even simpler, faster, and cheaper.

Give me, John Lux, a call to find out what is possible for you. www.TheSecuritiesAttorneys.com Questions – email me at John.Lux@ Securities-Law.info, call me at (202) 780-1000/

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Venture Capital Alternative Reg A+

  1. 1. www.TheSecuritiesAttorneys.com Venture Capital Alternative – Reg A+
  2. 2. Disclaimer  This is not legal or investment advice of any kind  Seek competent advice from qualified attorneys and investment bankers  Your situation may vary  The more you know about finance and business, the more you can profit
  3. 3. Venture companies valued at over $1 billion are called Unicorns
  4. 4. The number of Unicorns is growing
  5. 5. There were 80 unicorns in 2015, 229 in 2016
  6. 6. However, Unicorns depend on more and more new money from venture capitalists
  7. 7. That VC money is getting harder to get
  8. 8. If venture capitalists flee, some companies could fail
  9. 9. Venture capital sharks are trying to take advantage of this by using toxic or “dirty” term sheets
  10. 10. They offer money at the high valuation wanted by the company but on bad terms
  11. 11. Dirty terms include guaranteed IPO returns, ratchets, PIK Dividends, veto rights and superior preferences and superior liquidity rights
  12. 12. Generally, these terms provide that the venture capitalist gets a great return first and everyone else is second
  13. 13. One of the problems is that once you take dirty term sheet money, no later investor will look at your deal
  14. 14. The best solution is to go public with an intitial public offering
  15. 15. The best way to control your own future is with an IPO
  16. 16. This puts the founders in control and liquid
  17. 17. The new Regulation A+ makes this even simpler, faster, and cheaper
  18. 18. Give me, John Lux, a call to find out what is possible for you
  19. 19. www.TheSecuritiesAttorneys.com  Questions – email me at John.Lux@ Securities- Law.info  (202) 780-1000
  20. 20. Get my books on Amazon.com How the Shorts Raid Your Stock, Destroy Your Company and What to Do About It
  21. 21. Get my books on Amazon.com Bash the Stock Bashers!
  22. 22. Get my books on Amazon.com How to Find a Home Run Stock

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