Capital Raises: Securities Offerings & the New Rules… 

The rules for raising capital have changed recently and you want to make sure your offering of securities complies with these new rules…


The SEC created the new Final Rule No. 33-10884 with small businesses, medium-sized businesses and commercial real estate sponsors specifically in mind.  The SEC had found these issuers faced stiff headwinds in accessing capital investment in our markets and decided to do something about that problem.

Capital raises are securities offerings.  Securities offerings can be extraordinarily complex and the regulatory framework remains quite ambiguous regarding what can and cannot be done.  Understanding the impact of the new rules will mean you have a decidedly different probability of success than those of us who raised capital for our projects and businesses prior to the rule change.  The core issue boils down to being able to advertise – called a “general solicitation”.

The New Advertising Rules for Capital Raises – Summarized

Prior to the rule change advertising a private placement offering was mostly a big no-no.  The rule change includes the new Rule 241 – a framework designed for you to advertise the fact you will be looking for capital in the future, but are not making any binding offers, and no money is changing hands.  On this basis, broad advertising is possible in most instances, thus allowing you to “troll for prospective investors” and then launch an offering based on the responses you get.  Essentially, you can calibrate your deal to the investment preferences of the capital markets before you spend hundreds of thousands of dollars on developing, deploying, and marketing your actual securities offering.  There is a WHOLE LOT MORE that goes into this so review your plans with the due diligence team (we hope you put us on your team) and your legal advisor before you do anything else. 


capital raises and securities offerings


Maybe you need a someone to help prevent your deal from becoming a dumpster fire, yet you don’t want to give away control of the future of the company or the lion’s-share of the profits your hard work suggests should be yours to keep. You need a map, a plan and someone with the experience to help you see around the corner and tell you what is likely to happen next.

Perhaps you need a business loan for a CRE project or other business venture and have everything riding on the deal, so you want to maximize your opportunity for a successful outcome by having institutional investment quality due diligence in back of your proposal – yeah, THAT paperwork.

Everything in life involves calculating risk-taking and that means every business faces the prospects of undertaking negotiations for the things they want or resolution regarding a thorny dispute that won’t go away.  You need someone who is experienced, creative, patient, and persistent in your corner – they have someone like us in theirs.



We manage our services delivery approach in light of your goals.

Nothing is easy and risk is always right in front of you waiting for the opportunity to pounce.  We deliver our services on a flat fee basis against a gross maximum price in most cases.  The goal is simple: our goal is to help you manage risk by managing deliverables, schedule, and budget – including our work.  Being an entrepreneur means you have to be an expert risk manager in today’s world.  We will help you get there.


Reach Out

If this sounds workable to you, then reach out to us. The initial consultation is not free, but is credited towards your services agreement.  If you do not enter into a services agreement, you will have your key questions answered and alternative pathways to resolution for your business matter as a product of your first consultation (whether you hire us or not).