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| | Offering
Memoranda - Drafting, Business Consulting & Capital Finance Planning
Whether
it is a commercial
real estate syndication or private placement offering, offering
memorandums ("memoranda" being the correct use of the term) are your ticket to raising capital and
 there is only one place where
the price, timing and added-value components can be all brought together for
your benefit - and that place is Rainmaker Marketing Corporation.
Rainmaker
Marketing Corporation's
approach is designed to address the key issues facing each sponsor regarding
their pending syndication:
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Time.
You don't have "all day" to sit around and wait for the
attorneys to get off their butts and draft the memorandum shell and/or get
the required revisions accomplished. |
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Cost.
Some law firms are now charging more than $100,000 to draft the
memorandum - that's right, over a hundred grand - and deliver it whenever
they feel like it. Your development timetable could be blown all over
the place. |
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Value.
Most attorneys and consultants couldn't care less about the issues facing
the sponsor and that means added-value opportunities are just not there -
right when you need them the most! |
Rainmaker
Marketing Corporation provides the alternative you have been waiting for. We DO NOT provide
LEGAL ADVICE, but;
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We
will prepare a draft of the offering memorandum (for the purposes of
convenience and not as legal advice) in as little as 14 days, but never more
than 21 days. The draft will be ready for final review and addition of
your specific exhibits when we are through with it. This document will
include all the disclosure boilerplate information as well as the
information that you need to have in the offering memorandum to cover
yourself and an investor subscription agreement draft. The final
review by a securities attorney should cost less than $20,000 with $12,000
being the median cost we have seen in the market. Most reviews take
less than 30 days and that means your total waiting period for delivery will
be around 51 days using the Rainmaker approach (versus 120 days or more
using the standard approach). |
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In
most cases, the draft of the offering memorandum will cost less than $10,000
with $7,500 being the median cost. If the memorandum will cost more
than $10,000 we will tell you beforehand so you can decide. At $7,500,
it is affordable. If you can't afford $7,500 then you shouldn't be
thinking about a syndication, you should be thinking about a bankruptcy
workout plan. |
Additional Matters...
What
kind of syndication do you need to be undertaking? If you are sponsoring
the development of a housing project, health care project, retail project or
hotel/motel project, then you should compare the costs, benefits and dilution
potential of a commercial real estate syndication versus a private placement
offering of equity securities.
Why?
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Because
commercial real estate syndications do not require the developer to accept a
massive equity dilution hit. |
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Because
commercial real estate syndications generally have a lower cost of capital
than private placement offerings of equity securities. |
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Because
enticing institutional investors may be easier if you give them deeded
ownership instead of potentially worthless pieces of paper. |
Get
the facts before you jump. Talk to a Rainmaker consultant today. | |
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Do
You Know The Secret?
When it comes to commercial real
estate development finance, it doesn't matter whether you need to raise
$5 million or $50 million, the out-of-pocket costs, advance fees and
project due diligence costs will always require the same relative
investment dollars the promoters have to fund. Do you know what
that amount is? Do you know the Secret? |
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