Watermark understands that issuers are seeking investment capital that advances their business plans. They prefer their investors to bring more than money; for example, ideally, investors open doors in their market that are otherwise more difficult to open. Issuers also want patient investors. Issuers worry about the uncertainty of being successful in sourcing the necessary capital required to execute their strategy. They also worry about giving up too much ownership in the process. They need the capital in a timely fashion and grow concerned when a private placement process drags out too long. Lastly, they have heard stories about how difficult investors can be and fear that scenario could happen to them.
Watermark understands all these concerns and needs. We specialize in private placements that can be more difficult to source. Companies with EBITDA $5MM or less often find the capital markets to be much more challenging than companies with EBITDA greater than $5MM. Watermark brings a specialized process and market depth and breadth across groups of accredited investors. There are over 550 funds in the US that invest in private placements of companies with $5MM or less in EBITDA and also countless corporations that have an investment arm.
Our job is to find the investor or investors that will be the best partner for the issuer and their company, in the most time efficient process possible. We invest in sophisticated information technology that keeps us up to date on each of these funds and corporations, their investment parameters, appetite, and investment strategies. This allows us to move swiftly to get the issuer’s offering in front of the best and most appropriate accredited investors, no matter where they are located.
As a FINRA member broker-dealer, our processes must follow industry rules and regulations with regards to Reg D private placement offerings.