In this remarkable moment in history, the U.S. regulatory environment, its capital markets and the innovation that drives those markets are simultaneously on the threshold of dramatic change. We are currently witnessing the embryonic period of a cutting-edge stock market just as we usher in a new era of mass media. At the same time, new legislation aimed at facilitating capital formation is being introduced to support this modern infrastructure. There has never been a more opportunistic time to capitalize on change.

1. Utilizing Hindsight To Rebuild The Capital Markets Infrastructure

4. MKT. VALUE AT IPO: $438M
MKT. VALUE AT IPO: $58M
MKT. VALUE AT IPO: $123M
MKT. VALUE AT IPO: $165M
MKT. VALUE AT IPO: $52M
MKT. VALUE AT IPO: $188M
MKT. VALUE AT IPO: $519M
MKT. VALUE AT IPO: $226M
•All IPO’d well under $1B in market cap (average: $217M)
•Average raise at IPO: $37M
•Combined market cap today in excess three quarters of a trillion dollars
•Average 44,443% in investor appreciation
•Employ over 500,000 individuals (532,860 as of February 2012)
•Laid the groundwork for the next evolution of technological innovation

5. Support System
Back Analyst
office
Investment
Banker
Marketing
Institutional & Retail
Sales force
Market
Maker

6. THE SPREADS
• Provided After-market
support
• Paid for small cap research
• Incentivized brokers
• Forced longer-term
investment strategies

7. “The Crown Jewel of Capitalism”

8. Reckless Abandonment

9. Current Flow of Capital
The Circle of “BIG”

10. The Changing Regulatory Environment
• H.R. 2930 – Crowdfunding bill
• H.R. 2940 – removal of the
solicitation ban
• H.R. 2167 / S 1824 – change
shareholder threshold as well as
shareholder definition
• H.R. 1965 – changes shareholder
threshold for a bank or bank holding
company
Now bundled into:
H.R. 3606 - Jumpstart Our Business
Startups Act (the JOBS Act) – Passed
the HOUSE on March 7, 2012 - 390 to
23 – DON’T LET IT DIE IN THE
SENATE!

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12. “Those who cannot learn from history are
doomed to repeat it.” G. Santayana

14. 1929 1987 2001 2008

16. Innovation in Mass Media
Catalyst for Stock Market Growth
NASDAQ
+629%
DJIA +517%
DJIA +657%

17. Days It Took To Reach 50M Users
14000
12000
10000
8000
13870
6000
4000
4645
2000
1460 1325
88 21
0

19. And How We Pay For Our STUFF

20. and HOW WE
PAY FOR IT

21. The Olden Days

22. The Roaring 20s

23. The Great Depression

24. The Longest Bull Market in History
1947 to 1957

25. The 60’s and 70’s

26. The 1980s

27. The 1990s – Internet 1.0
The Dress Rehearsal

28. Nowadays

29. Our Public Markets

30. PRIVATE COMPANY VS. PUBLIC COMPANY GROWTH IN 2011
590%
490%
390%
290%
PCM NASDAQ
190%
90%
-10%

31. FACEBOOK PHENOMENON

32. TODAY’S SOCIAL AND MOBILE REVOLUTION
Living Outside a bubble
The Bubble

33. Not Your Daddy’s Dot Com
 Today’s Social Media company is generating real revenue and in many instances PROFITABLE
 Facebook will generate $4.27 billion in revenue this year, more than double the billion made in 2010
- EMarketer Inc.
 Zynga is expected to generate $1.2 billion in revenue this year, doubling the $597M it made in
2010 - Greencrest Capital
 Today online advertising is the reality not the hope
 Social media advertising spending will increase from $2.1 billion in 2010 to $8.3 billion by 2015 -
Direct Marketing News
 Facebook will get $3.8 billion from advertising this year, up 104 percent from $1.86 billion in 2010 -
EMarketer Inc.
 Virtual Goods Market is exploding
 The global market for virtual goods, which more than tripled from $2.3 billion in 2007 to $7.1 billion
in 2010, is expected to double by 2014 – In-Stat
 Facebook is expected to make $470 million from Facebook Credits, a virtual- currency program that
lets users buy items in games, more than triple the $140 million it made last year - EMarketer Inc.
 Zynga generated approximately $364M in virtual good sales in 2010 and is expected to top $804M
in virtual good sales in 2011 – Greencrest Capital

34. SUPER BOWL ADS SAY IT ALL
Instead of spending money on ads, today’s Internet company is profiting from them
Ads of yesteryear Ads today
It’s all about SOCIAL and
“We just wasted $2M” CONNECTIVITY

35. The PCM - Not Your Daddy’s Stock Market
NOT A CREDIT-FUELED BUBBLE
No Margin
No Shorting
No Derivatives
No Manipulation
Just a pure growth market comprised of real
revenue generating companies whose prices
are based on supply and demand!

36. Tomorrow

37. THE GRIM HEADLINES
“Statistics Offer No Solace To Those in
Jobless Line”
– NY Times February 13, 1994
“New Data Suggest Slow Economic Growth”
– NY Times July 2, 1994
“More Hints Of Economic Slowdown”
- NY Times August 31, 1994
“Pessimism Takes Hold On Wall St.”
- NY Times September 22, 1994

38. “Every two days there is more
information being created
than between the dawn of
civilization and 2003.“
Lee Odden, TopRank

39. Evolution of Mass Media
sound Sight & Search Social
Sound
SPECIALIZED
CUSTOMIZED
PERSONALIZED
Tell Show and Tell Search Social sharing

40. The “Do-Over”

41. The time is NOW for the
Private Company Marketplace (PCM)
A Different Market
A Fairer Market
A Better Market

42. URL: NOWSTREETJOURNAL.COM
FACEBOOK: NOWSTREET JOURNAL
LINKEDIN: PRIVATE COMPANY MARKETPLACE (PCM) NETWORKING
TWITTER: @THENEXTSTREET