Florida companies face SEC probe

[CSykes]

That is an easy question to answer. But first I will pose a question to you. Do you know all the requirements, legal steps, financial steps etc.. to take a company public and raise money through the public markets? If you didn't know these things would it make you a bad businessman?

The majority of businesses that go public must hire an outside consultant or firm to assist them in going public. The process itself isn't complicated, however it can seem overwhelming to somoene who has no experience in doing so. As is with any service provider, some will give you a great service and others will rob you blind. Almost all of them will convince you the process is extremely complicated so they can justify their fees.

Lets do a quick practical exercise. Go to Google and type in "Go public". http://www.google.com/#hl=en&q=%22go+public%22&aq=f&aqi=&oq=&fp=74f5ed7994d722e7

There are 3 sponsored adds and dozens of others. A quick survey and I count at least 13 consulting firms to assist you in going public on the first page alone. The market is saturated with these consultants. Why? Because it is EASY MONEY! Worse than a used car salesman. These guys just need one client every few years to make hundreds of thousands of dollars. It is the biggest gimmick on Wall Street.. these guys are nothing but middlemen that combine and mark up the required services to go public.

You need two professional services, an attorney and an auditor. In most cases, these middle men make more than the two professionals combined.. and for doing what? Nothing.. just simply pointing you in the right direction and making you feel better about spending the money. Once your public.. they typically rape you with their "no money down" toxic debentures you signed for... not realizing what you were doing. After all, you hired these guys because they were suppose to "assist" you.

I could go on and rant for hours on this subject alone. I haven't even gotten to the 504 funding guys like Mazuma and TJ Management that will call you with the intensity of a debt collector begging you to do some financing.

Very few companies ever get legitimate consultation when going public. The majority of the people who have the knowledge to do so are also the same people who would steal from their own grandmother. Ultimately it is Wall Street at its core.. greed ridden and corrupt.

Of all the pinksheet companies I worked for, every single one of them got shafted by the consultant who helped take them public... every last single one of them. As a result I went into business providing that consulting and have done well by providing an honest service.