Investment & Financial Articles
Title: The Global Village Investment Club
Author: William Cate
Article:
The Global Village Investment Club By William Cate Published
November 2003 [http://home.earthlink.net/~beowulfinvestments/]
[http://home.earthlink.net/~beowulfinvestments/globalvillageinves
tmentclubwelcome/]
Angels like to "kick the tires." Angel investors are usually
living within fifty miles of your office. Because of this
policy. Angel investors want to reach out and touch their risk
capital investments. They'll want fifty percent equity in your
business for their money. It's a losing formula for the angels
because more than half of their investments fail. However,
touching someone doesn't protect the investor from loss.
Assuming an honest entrepreneur, a simple program to limit
investment risk works better.
Sophisticated Investors want to quickly recover their risk
capital. Profits and ownership are secondary to risk management.
I've taught this risk management principle to my my clients for
over for twenty years. For our money, we want a free ride on any
company's future success. We want our risk capital returned
within weeks of our investment. We'll wait years to take our
profit.
I'm creating the Global Village Investment Club on the same
principle. We'll invest in operating non-U.S. companies with a
national market for their product or service. Management should
be seeking money to expand their markets by asset acquisition or
globalization. The business plan must be clear and specific. The
upside potential in 5-7 years must be at least tenfold the Club
members investment.
WE WANT LIQUIDITY. This means the company must be willing to be
public in the United States. We'll expect the company to be
acquired by a multination in a few years. Beowulf Investments
will supply these companies the need public company services.
The Global Village Investment Club will do PIPE (Private
Investment in Public Equities) financings fund the companies
initial acquisition in a M&A growth strategy.
The Club will do the Private Placement investments using U. S.
Federal Securities Laws to protect our members against fraud.
This means the companies will be U.S. Public Companies.
Global Village Investment Club members will select their
investments based upon an email newsletter that supplies hard
data on the company and its plans.
If you are a sophisticated investor who understands that risk
management is more important that reward, we'd welcome you as a
member. Please visit:
[http://home.earthlink.net/~beowulfinvestments/globalvillageinves
tmentclubwelcome/]
The GVIC investment strategy will be to return our member's risk
capital quickly. Our members will bury their remaining stock in
the public company for several years. Meanwhile, the public
company will grow into a multinational super company using an
M&A growth strategy. We'll all exit the company when its
acquired by a major multinational corporation.
To contact the author: Visit the Beowulf Investments website:
[http://home.earthlink.net/~beowulfinvestments/] Or, visit the
Global Village Investment Club Website:
[http://home.earthlink.net/~beowulfinvestments/globalvillageinves
tmentclubwelcome/]
About the author:
He has been the Managing Director of Beowulf Investments
[http://home.earthlink.net/~beowulfinvestments/] since 1981 and
is the Executive Director of the Global Village Investment Club
[http://home.earthlink.net/~beowulfinvestments/globalvillageinves
tmentclubwelcome/]
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