AS WALL STREET COLLAPSES IS IT IRONICALLY TIME TO “GO PUBLIC”

BUSINESS

AS WALL STREET COLLAPSES IS IT IRONICALLY TIME TO “GO PUBLIC”

AssociatedNews.US

Is It Time To "Go Public"?

(AN) – As America reels in the wake of the collapse of several giant institutions, as business declines in many and varied sectors, reports are emerging that the number of entrepreneurs wishing to go public is on the rise.

Artfield Investments, a consulting investment banking firm that specializes in taking small emerging companies public reports that their business is on the rise.

“When Wall Street collapses,” says Charlene Kalk, President of Artfield Investments, “the emerging investment banking community gets busy. All the shrewd players know that when the markets hit bottom there will be another wave up. Everyone wants to get ready to ride that wave.”

Apparently, it takes nine to twelve months to do the filings to take a small business public. So those who get started now anticipate emerging into the pubic market in about a year from now when emerging markets should be on the rise again.

Moreover, for those who want a faster route, reverse mergers can get a company public in as little as weeks to months.

Why would you want a faster route?

Well according to Charlene Kalk, “The emerging markets are not in as bad a shape as Wall Street. There is a lot of money right now for the right deals. People have pulled money out of the markets, which has contributed or even caused the collapse; however, those people still have the money and are looking for something to do with it.”

Can or should a small business consider going public?

“Definitely,” says Charlene Kalk, “We take emerging companies public that have from less than $100,000 in revenues on up to mid size companies that have $20 to $40 million dollars in annual revenue.”

Some of the reasons found on Charlene’s web site, ArtfieldInvestments.com, for small businesses going public are:

  • It is easier to raise money. Especially at times like these when money is hard to get from banks.
  • Principals will give up less equity to investment bankers than to venture capitalists, or angel investors.
  • Valuations are usually many times higher for a public company than for a private company.
  • Your ownership is liquid and provides an easier exit strategy.
  • It is easier to get and keep quality personnel.
  • You will have increased prestige in the eyes of those with whom you do business.

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