Harvard Club Equity Conference ??? Part 4

Your company???s current status will determine which course of action to take when it comes to going public.?? I suggest an S1 registration statement over a reverse merger when the company is a startup or still in the developmental stage process (non-revenue producing).?? The reasons are as follows:

1. Most startups need to conserve their finances for developing their company.
2. The price differential between an S1 and a reverse merger are substantial.?? An S1 will cost between $50K and $150K - a reverse merger $700K to $1MM.?? These numbers exclude audit fees.
3. It is difficult to raise capital for a startup company.?? By taking the S1 route a company can raise an initial small round of funding and gather the 40 plus shareholders it will need to qualify for trading status when it files its 15c2-11 with FINRA.