Private
Placement Offerings...
In the commercial real
estate development finance market, private placement offerings represent
the most common route to
funding out capital funding plan proposals for
developers who are not interested in commercial
real estate syndication plans services from Rainmaker Marketing
Corporation.
Most private placement offerings are for debt securities, but equity
floats are becoming more commonplace due to the impact of the Internet on
the syndication process. The net result is a dramatic increase in
the amount of funds raised using the exemption allowed under the
Securities Act of 1933 (15U.S.C.§77a, et. seq). Each new
private placement offering issue requires the issuer (that's you if you're
the developer or sponsor) to provide a private placement
offering memorandum.
This
section of the Rainmaker corporate web server provides some basic answers
to questions regarding the filing requirements, due diligence and
expectations the issuer (that's you) must understand in order to access
and use this powerful tool that accounts for more than half of all capital
funding plan proposal financings in the United States. Links are
used to provide more detailed explanations of certain terms and the
discussion of the issues, risks and limitations of the offering process on
a more in-depth basis. Please bear in mind that there are a variety
of complex legal issues in play that should be the basis of discussion
between the issuer and the issuer's legal counsel. This information
is not legal advice and you should always consult legal counsel regarding
a private placement offering.
But
one need not commit to the high cost of a road show that private placement
offerings seem to require; real estate syndications offer an alternative
that doesn't include an equity dilution that you would otherwise face with an
equity securities sales syndication.
This
discussion continues
on the following page.