Government Agencies as Lenders Economic Development Loans are available through Economic Development Agencies, or Community Loan Funds. Usually tied to Job Creation. May have specific loan use restrictions.
IPO & Private Placement Initial Public Offering (IPO) For General Public. Strict SEC Regulations. Will become Publicly Traded Stock. Private Placement For More Sophisticated Investors. Governed by Regulation D. Rule 505 permits $5 Million unregistered securities to be sold in 12 month period, and can be sold to “any” 35 Investors & UNLIMITED Accredited Investors. Remains Privately-Held Stock.
INTRO GROWTH MATURITY & DECLINE 2ND STAGE FINANCING (SERIES B) Cash XXX X BanksXX X StockXX X VCX X AngelXXX X PRE MARKET 1ST Stage Seed Capital 3RD & 4TH STAGE (Bridge Loans or Mezzanine Financing* TYPE Initial Start- up, Prototypes, etc. Type of Financing by Stage of Business Temporary Funding– for expansion or - IPO * Backed by Stock LATE STAGE FINANCING Acquisition & Buyout SalesProfits Asset Purchases, Inventory, Working Capital