Primer on Business Capitalization & Financing

The most common questions I receive have to do with Business Capitalization & Financing. Many of them are from beginners, or people who have been in business but have limited experience in this subject area. Even experienced managers sometimes find that they need help in grasping the basics of some Capital & Financing schemes.

I’ve found a presentation, posted on the internet, that serves as a primer for those who want to learn about the various approaches; including Equity, Bank Financing, and Non-Traditional Financing. The article title states that it’s geared to the Recycling Industry, but the information is broad enough for any interested business person.

Link to Article

Taking the Back Door to Going Public

From CFO.com:

A small company offering a promising new technology needs financing to jump-start the drive toward financial success. Should it seek venture-capital funds? Make an initial public offering?

Balqon Corp. (pronounced bal-con), which makes electric-powered trucks used to unload freight containers from ships, didn’t like either of those typical options. The company’s founder had previous experience with ceding control of a new venture to VC investors that soured him on the idea. And the cost of doing an IPO, which can amount to several million dollars in auditing and attorneys’ fees, was more than the small, young firm could handle.

The company did, though, go public last October. The less-common path used was a reverse merger, which involved purchasing an existing shell company that was already public, merging Balqon into the shell, and changing the combined company’s name to Balqon. That process cost about half a million dollars, Bob Miranda, Balqon’s finance chief, told CFO.com yesterday at the CFO Rising West conference in Las Vegas.

Since then, $3.2 million has been lined up from private accredited investors, while company management has retained control of more than 70% of the 25 million outstanding shares. A total of about 6 million shares have been registered for public trading on the OTC Bulletin Board.

Go to Article

Developing a Business Plan – a Primer

Business Plan Guide

The Business Plan

Once you’ve honed your ideas, researched your markets and looked at how you will sell your product and finance your business, it’s time to pull all the strands together and draw up a business plan.

The business plan is a vital tool that brings your main business idea into focus and defines your long-term objectives. It provides a blueprint for using the business and a series of benchmarks to check your progress against. It is also vital for convincing your bank, key customers and suppliers to support you in possible expansion or diversification plans.

Download the briefing below to find out:

• How to structure a business plan
• What information to include
• How to present your financial forecasts

Guide to Writing a Business Plan

Link:  http://www.kentonmiles.com/pdf/business_plan.pdf

 

For more information, contact:

Walsh Enterprises   http://www.awalsh.us

A Kenton & Miles International Member Firm

Email: walshal1@aol.com     Phone: (714) 465-2749       Skype: al-walsh