Initial Public Offerings are the ultimate liquidity event for an entrepreneur or company. Typically initial public offerings generate significant wealth for the owners and key management of the company as they sell at a much higher valuation than they would as a private company, and depending on the percentage of the company sold to the public, owners can often maintain control over the business. In addition to the increased liquidity for current equity holders, once a company has executed an Initial Public Offering and is listed on the stock exchange, it has the ability to issue more shares (generating more capital) without incurring any debt, thus giving the company a cheaper access to capital and an easier engine to acquire other companies. Going public also gives a company greater prestige, and makes the ability to attract talent easier. Some of the disadvantages of going public are the cost of reporting and compliance, and required disclosures of key business and financial information of the company. With less than 7,000 publicly traded companies listed on the two primary stock exchanges in the United States (NASDAQ and NYSE), less than 1% of companies will ever become public.
Small and mid‐sized companies looking to raise capital intuitively turn to investment banks for help. In fact, many growing companies view working with a well known investment bank as an attractive milestone that signals their company’s success and future potential. However, CFOs should be aware of the significant fees involved when working with an investment banker, and more importantly, conflicts of interest with investment banking which can undermine the best interests of the company.
Lantern Capital Advisors, as an hourly based corporate financial planning firm and corporate financial consultant, is an alternative to investment banking. Just like an investment banker, we help our clients comprehend the mandatory steps required to go public. We help clients identify, interview and select numerous quality underwriters. Once our clients select their underwriters, we assist our clients during the due diligence phase, and monitor the company’s progress to ensure our clients realize their initial objectives post IPO.
Not only does the event create a dramatic liquidity event for business owners and current investors, it also can appear daunting and unattainable. If our client’s objective is going public, Lantern Capital Advisors makes sure it happens.
- Cost Effective
Our Capital Raising Services
Lantern Capital Advisors helps growing companies raise capital through initial public offerings (IPO) or go public. As an hourly based corporate financial planning firm, Lantern is an alternative to investment banking. We help our clients identify, interview, and select numerous quality underwriters, assist in due diligence, and monitor progress post IPO.
Our Corporate Financial Consulting Services Include:
What’s the old saying, “Adversity brings innovation”? As the financial markets began to unravel, many financial institutions stopped making new investments, those that were lending and investing were constantly changing their investment parameters. In order to give clients (and ourselves) peace of mind, we reengineered our approach to capital raising and found not only a solution for a challenging market, but a process that likely works best in any market.
Abstract: Innovations and trends continue to develop which improve financing alternatives for established, entrepreneurial companies. These include continued new product innovation, increasing nationwide competition, bigger disparities between banks, and increased funding for owners’ personal liquidity (cash dividends). Each of these trends is discussed below and illustrated with a recent example.
Abstract: Small and mid‐sized companies looking to raise capital intuitively turn to investment banks for help. In fact, many growing companies view working with a well known investment bank as an attractive milestone related to their Company’s success and future potential. However, CFOs should be aware of the significant fees involved, and more importantly conflicts of interest which can undermine the best interests of the Company. This white paper describes investment banking services and fees, common conflicts of interests, and suggests an alternative approach that has worked well in other professions.
Abstract: Given their job title, private company CFOs are often expected to be able to raise capital for their company, yet many feel unprepared or under qualified. This white paper addresses the steps necessary to effectively manage the capital raising process. By utilizing these guidelines, CFOs from all levels of experience can become decisive leaders that serve the best interests of their company and its owners while potentially creating more wealth for themselves and their management team.
To most, the words corporate finance or corporate financial planning especially when used in the context of high growth companies is just a fancy way of saying ‘raising capital’. But corporate financial planning plays a key role in unlocking and managing growth that goes far beyond just looking for capital
Abstract: A fast break play in basketball occurs when a team races down the court and scores a goal as quickly possible. Loosely translating that to business, fast break strategy means an approach that maximizes an owner’s goal (i.e. like running up the score), or achieves a desired goal as quickly as possible.
WE ARE NOT A BROKER. WE ARE NOT AN INVESTMENT BANKING FIRM. We are a corporate financial consulting firm that specializes in corporate financial consulting, specifically geared towards raising capital for established growing companies. We don’t accept referral fees, broker fees, or equity as any compensation from any client or institution.
Our Services Offerings Include:
- Corporate Financial Planning
- Refinance Company Debt
- Acquisition Financing
- Management Buyout and Leveraged Buyout
- Raise Capital
- Business Plans
Our methodology is very efficient, effective and proven. We can very quickly package a company for the market, confidentially solicit institutional interest, and negotiate proposals – clients can expect term sheets as soon as three to five weeks after engaging Lantern to manage the corporate debt refinancing process, and financing in as little time as eight weeks.
We pride ourselves on being FAST, TRUSTED, and COST EFFECTIVE.
It is no surprise that a growing company may be alarmed that the financing that they have in place today may not available tomorrow. Established companies may want to consider refinancing corporate debt facilities should they feel their current lenders credit capabilities are compromised, either now or by the time those lines mature.
Lantern helps companies CONFIDENTIALLY explore corporate debt refinancing alternatives in order to replace current institutional lenders, management buyout opportunities, acquisition finance strategies, or raising growth capital in order to support the business plan.
Lantern Capital Advisors believes that a company’s best interest is to look for and secure financing separately from (and not alongside) the current lender, as the company can time the transaction on their terms and not based on the broker dealer ‘referral fee’ protocol.