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Engineering Your Path to Substantial Capitalization
Late-stage operating companies seeking substantial capitalization
We excel in architecting companies and preparing them for institutional capitalization and broker-dealer readiness, employing a cost-effective fixed fee and minor equity model. Our services transcend traditional venture capital fund activities by removing the risk of investor capital through technology, opening the door for substantial capitalization.
Our comprehensive service includes developing essential technology infrastructure, detailed financial modeling, and preparing securities offering documents following regulatory requirements. We also produce professional presentation materials and video content to support the offering.
Leveraging advanced technology across our in-house proprietary platform through decades of Wall Street, regulatory, and legal expertise, we offer a streamlined, regulatory-compliant route to substantial private and public market capitalization. Our approach aligns with strategic corporate goals and maximizes the potential for successful IPOs or liquidity events, empowering founders to achieve unparalleled success.
Discover more about our Blue Chip Program™ below.
Operating Company Categories
We accept qualified clients from the leading business categories in America on a select basis, often seeking substantial amounts of private or public market capital. These categories include Technology, Biotechnology and Pharmaceuticals, Healthcare, Industrial Manufacturing, E-commerce and Retail, FinTech, Transportation & Mobility, Food and Beverage, and Media, Entertainment, and Telecommunications.
If you believe your company may qualify for our services, please get started by applying for your Broker-Dealer Readiness Rating™ as your first step in determining if your company is ready for substantial capitalization.
Capital Market Tiers
We encourage operating companies to familiarize themselves with the market classifications outlined below, which will help them identify their position within the broader market framework when seeking capitalization.
At Commonwealth Capital, we generally engage clients who are classified within Tier 1 or Tier 2, and may selectively consult Tier 3, based on the results of their Broker-Dealer Readiness Rating Report™. This approach ensures that our partnerships are strategically aligned with each company's market position and capitalization objectives.
Tier 1
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Broker-Dealers: ($1B+, public capital markets)
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Corporate Investors/Acquirers: ($1B+)
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Private Equity: ($100M+)
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Venture Capital: ($100M+)
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Family Offices: ($100M+)
Tier 3
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Broker-Dealers: ($5-25M+)
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Corporate Investors/Acquirers: ($5-25M+)
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Private Equity: ($5-25M+)
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Venture Capital: ($1-25M+)
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Family Offices: ($1-25M+)
Tier 2
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Broker-Dealers: ($100M+, public capital markets)
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Corporate Investors/Acquirers: ($100M+)
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Private Equity: ($25-100M+)
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Venture Capital: ($25-100M+)
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Family Offices: ($25-100M+)
Tier 3 Other
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Affinity Groups: ($5-25M+)
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HNW/UHNW Individuals: ($5-25M+)
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Angel Investor Groups: ($500K-25M+)
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Friends & Family: ($50K-5M+)
Qualifying Standards
Operating Companies pursuing private or public market capitalization must first undergo a comprehensive diagnostic analysis via our Broker-Dealer Readiness Rating System™. This process evaluates their rating and readiness for broker-dealer engagement. To be eligible for consideration by our Investment Policy Committee and qualify for our Blue Chip Program™, businesses must meet our stringent criteria and the following three minimum Qualifying Standards.
Minimums
Capital requisites must align with the minimum thresholds established for Tier 1 or Tier 2. Additionally, companies must achieve a minimum BB grade on the BDR Rating™, which is derived from our Broker-Dealer Readiness Rating System™ diagnostic analysis. Notably, companies with lower ratings may still be considered, subject to other compensatory qualifications.
Proceedings
It is requisite that the company, its officers, nor its directors be involved in any criminal or major civil legal proceedings at present or within the preceding year. This critical requirement ensures the integrity and full regulatory compliance of potential partners, strictly aligning with our stringent corporate governance and ethical standards.
Regulatory
No administrative actions have been imposed by any regulatory body against the company currently or within the last year. This stipulation is crucial to maintaining compliance and upholding our high standards of corporate conduct, ensuring that all potential partners meet the rigorous regulatory expectations set forth by governing authorities.
Navigating the Path to Capitalization
Mitigating Risk, Ensuring Regulatory Compliance, and Maximizing Value
No matter the scale of private or public capital sought, the process of capitalization is grounded in five critical professional functions essential to every securities offering. These functions are designed to meet rigorous standards of regulatory compliance and market expectations, serving as the cornerstone of a successful capital raise.
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Senior Management Team: Responsible for producing a robust business plan and ensuring all SEC-required disclosures are comprehensive and transparent.
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Investment Banker: Assigns a valuation to the company both pre- and post-capitalization and structures the securities to align with current market demand.
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Accountant: Develops pro forma financial projections and maintains accurate historical financial records.
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Attorney: Drafts all necessary legal disclaimers, prepares securities offering documents, and provides a legal opinion letter.
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Stockbroker: Facilitates the sale of securities to both individual and institutional investors.
It is important to note that the roles of the Investment Banker and Stockbroker are regulated under an SEC-registered, FINRA Member broker-dealer. These professionals cannot be simply hired; a formal legal and contractual engagement with a broker-dealer is required to utilize their services.
At Commonwealth Capital, we specialize in guiding Senior Management teams through the complexities of preparing for and securing broker-dealer engagements. Our strategic advisory extends beyond mere compliance; we craft and deliver regulatory compliant securities tailored to empower companies to directly solicit accredited investors, enabling access to the U.S. Private Securities Markets without the mandatory engagement of a broker-dealer.
For companies aiming to enter the U.S. Public Securities Markets via a public exchange listing, engaging a broker-dealer remains a legal requirement and standard practice. This decision rests with the issuer but is strongly supported by our expert guidance.
Whether your path leads through private placements or public offerings, Commonwealth Capital is equipped to provide the expertise and professional services essential for achieving optimal capitalization.
Engage with us to harness the full potential of your capital-raising efforts, ensuring compliance, value, and success in your financial ventures.
Capital Sources
