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FinancingsNow

7
Dec

Common Share vs. Unit Offerings

Both common share and unit offerings are different types of purchasing options for stocks and securities of a company. Common share offerings are the most known and frequently purchased stock options, whereas unit offerings are a more complex and grouped security purchasing option.

7
Dec

What is an Escrow Release?

You can’t run before you learn to walk (though some of you out there may think you can do anything), and it’s almost impossible to understand what an escrow release is before learning what an escrow itself is. An escrow is a financial agreement between two parties that make financial transactions secure by using an escrow account. An escrow account is a neutral third-party used to release a sum of money inside of an account once the terms on both ends of an agreement are met.

7
Dec

What is a Subscription Agreement?

A subscription agreement is a firm handshake between a private or public company and a private investor—no “dead fish” handshakes allowed. A subscription agreement (also known as a private placement) ensures a specific number of shares are sold at a specific price.

7
Oct

Shell Corporations

Not to be confused with the oil and gas company of the same name, shell corporations are businesses—sometimes sketchy, other times not—that are not as established and function without solid operations and without large assets. Shell corporations are most commonly used for start-up businesses, companies looking to raise capital, and businesses interested in going public on the stock market. While not as common, shell corporations can be used to hide illegitimate companies’ suspicious business practices.

7
Oct

CPC vs. SPAC

CPC (Capital Pool Companies) and SPAC (Special Purpose Acquisition Corporations) are two different formats of raising capital for business owners and investors alike. Because both CPCs and SPACs are publicly traded on the stock market yet vary in how they are formed, their rules, and what they include overall.

30
Jul

Why Do Public Companies Raise Money?

Why Do Public Companies Raise Money? A simple question with a simple answer: Public companies raise money often because it is an easier source to raise capital through. Many companies (especially start-ups or unicorn companies) that go public typically need more money and funding to implement new ideas and continue building out their businesses post-IPO. Case Study - Uber Uber,
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30
Jul

Financings vs. Buying in Open Market

Financings vs. Buying in Open Market There isn’t a clear-cut advantage in doing financings versus buying in the open market. A lot of it has to do with preference. However, if you’re given the opportunity to assess what stage a company is at in its development, sometimes gaining access to financings gives you benefits. These benefits can include discounts on
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30
Jul

Shell Corporations

Shell Corporations Not to be confused with the oil and gas company of the same name, shell corporations are businesses—sometimes sketchy, other times not—that are not as established and function without solid operations and without large assets. Shell corporations are most commonly used for start-up businesses, companies looking to raise capital, and businesses interested in going public on the stock
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30
Jul

RTO vs. IPO

Taking the easy way out isn’t only reserved for doing tasks that are less than desirable (like shoveling snow off the driveway but then deciding you’re better off just making tire tracks) or attempting to put an argument with the in-laws to rest—they also have to do with finances. In the world of money, many companies look for easy ways

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30
Jul

Flow-Through Financing

April 15 is a grim day—no one likes taxes, getting taxed, or paying taxes. That’s just the truth. In the United States, taxes are everywhere from grocery shopping to personal services. But Canada is doing something right. Flow-through financing (or flow-through investments) are typically dedicated to the Canadian market. Flow-through financing is simply a financial instrument where the investor receives

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