Replies to post #297736 on Spongetech Delivery Systems, Inc. (fka SPNGQ)

[puppydotcom]

this explains it best
imo

Every director, officer or owner of more than ten percent of a class of equity securities registered under Section 12 of the '34 Act must file with the Commission a statement of ownership regarding such security. The initial filing is on Form 3 and changes are reported on Form 4. The Annual Statement of beneficial ownership of securities is on Form 5. The forms contain information on the reporting person's relationship to the company and on purchases and sales of such equity securities.

Large Position Shareholders

Forms 13D and 13G are used to report positions by large shareholders, defined as any shareholder who owns more than 5% of the outstanding shares.

Form 13D is a required filing by any entity which becomes a 5% holder. This filing must be made at the time (within 10 days) the holder crosses the 5% threshold.

Form 13G is the same form, but used when the person or entity is making the purchase for "investment" only.) Additional purchases by this holder do not have to be reported on Forms 3, 4, or 5, until the holder crosses the 10% threshold.