• Commonwealth Capital
    Venture Funding

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Commonwealth Capital, LLC Read More…is a hybrid venture capital management company comprised of former Wall Street investment bankers and stockbrokers, as well as current experts in corporate, tax and securities governance; fraud prevention; deal-structuring and compliance matters related to creating and selling securities; and IT innovators of crowdsourced incubation.

Commonwealth Capital has created the first ever utility that employs standard corporate engineering protocols to effectively solve the six major problem issues within the private capital markets industry—simultaneously.


CONTINUE ON TO DISCOVER…

CURRENT PROBLEMS WITHIN THE PRIVATE CAPITAL MARKETS

&

COMMONWEALTH CAPITAL’S TOTAL SOLUTION

1. The Problems for Entrepreneurs.

There are Only 2 Ways to Legally Raise Capital in the United States:

  • 1.) Produce a Business Plan and submit it to Financial Institutions for Capital; or
  • 2.) Conduct a Securities Offering in Compliance with U.S. Federal and State(s) Securities Laws, Rules and Regulations.

For those start-up or early stage companies that produce a business plan and submit it to institutional sources of capital, typically Venture Capital & Private Equity Firms (VC & PE), historically, only 1.5% receive it and 98.5% do not. Read More… For the 1.5% who do receive funding from VCs, only 0.77% of companies seeking “seed capital” receive it and they only receive 1% of all venture capital available. These companies often sacrifice too much equity ownership and control to make the funding worth it. The VC& PE firms normally take a large equity share from start-up or early stage companies and demand control, until return of their original investment plus a benchmark Return of Investment (ROI) is realized. If one assumes success of the start-up or early stage company, VC Capital is, by far, the most expensive form of capital.

For those who produce a marketable deal structure and sell securities-offering properly, the success rates are substantially higher depending on the avenue of delivery, i.e. selling directly to investors or to investors through a broker-dealer. Selling directly to investors, success rates are generally in the lower 70% range. Broker dealer success rates are typically in the upper 90% range. However, the initial expense and time involved to produce a securities-offering is cost prohibitive for most start-up and early stage companies…until now.

The Solution for Entrepreneurs. Through diligent risk mitigation, creative deal structuring and proper securities offering document production, Commonwealth Capital’s Corporate Engineering Conservatory™ enables Entrepreneurs to increase the probability of obtaining capital to the highest degree possible, while lowering the entry cost of a securities offering by up to 95%. The time to market has also been significantly reduced, as well. There are many processes involved in raising capital through a properly structured and well-orchestrated securities offering of a correctly-engineered company. Many of those processes used to take days or weeks to complete. With the Corporate Engineering Conservatory™ they now only take hours to complete. Enter our Capital Access Portalabove.

2. The Problems for Professional Service Providers for the Small Business Community.

Most professional service providers, such as; attorneys, accountants, commercial banks, insurance agents, etc. attempt to grow their businesses competing directly with each other vying for the same existing companies that can actually afford or qualify for the products or services they offer. This battle is a zero-sum game. Read More… Since most start-up or early stage companies have little to no revenue or working capital to begin with, these professionals simply cannot afford to waste their time talking to them.

The Solution for Professional Service Providers. As Alliances of Commonwealth Capital, these professional service providers can now create their own quality deal flow, organically, with no effort, risk or cost. By simply placing a Commonwealth Capital tracked banner private invitation link from their website to ours they seamlessly refer companies for direct capitalization from our VC Fund or self-incubation through our Corporate Engineering Conservatory™. Once the standardized corporate engineering process is completed, these newly well- capitalized companies return to the Alliance to engage them with the proper retainers and qualifications. Enter the specific category from the Alliances Tab above.

3. The Problems for Angel & Individual Investors.

In a classic Catch-22, the failure rate for start-up and early stage companies at 85% is due to a lack of capital, and that deters investment capital, thereby furthering that failure rate. Read More… But even well capitalized companies can and do fail. Most investors view investments in privately held companies, as a gamble and hence simply don’t bother. For angel and individual investors that do invest, they often lock up their investment capital indefinitely or worse they simply lose it.

The Solutions for Angel & Individual Investors. As Alliances of Commonwealth Capital, these investors can now create their own quality deal flow to invest in, organically, with no effort, risk or cost. By simply referring potential companies to a Commonwealth Capital Managing Director, they seamlessly refer companies for direct capitalization from our VC Fund or self-incubation through our Corporate Engineering Conservatory™ for standardized corporate engineering prior to investing. In addition, by re-engineering and re-capitalizing their previous older investments in privately held companies, these Angel and Individual Investors can be rescued by recapturing a return of all or a portion of the original capital invested. Enter the specific category from the Alliances Tab above.

Also, as Platinum Accredited Investors (Co-investors) with Commonwealth Capital, any Accredited Investors can now invest in new companies, that have mitigated downside investment risk and maximize upside investment return potential through proper corporate engineering, with confidence. Enter the specific category from the Investors Tab above.

4. The Problems for Venture Capital & Private Equity Firms.

The basic problem with venture capital and private equity firms seeking quality investments (also known as “quality deal flow”) is that there are too few qualified portfolio company candidates that meet the typical venture capital firm’s risk profile to invest in. Read More…There’s more venture-capital and private equity money currently available than at any other time in world or U.S. history; however, the money is not being invested due to a lack of quality deal flow. In the VC or Private Equity industry, this reality is called “capital overhang.”

The term Capital Overhang refers to the amount of capital committed by investors to venture capital and private equity firms for investing purposes. When VC and private equity funds are created, most have limited lifetimes. That means that fund managers typically have 5-7 years to invest the private equity overhang, or they must send the capital back to their investors. Over the decade of 2007-2017 the Capital Overhang in the U.S. private equity markets have hovered around the $500 Billion dollar level in the U.S. and it’s getting close to $1 Trillion Globally. Yes,, that means that the U.S. VC and private equity industry will give their U.S. investors back around $500 billion dollars, due to the lack of quality deal flow, each year.

The Solutions for Venture Capital & Private Equity Firms. As Alliances of Commonwealth Capital, these institutional investors can now create and filter their own quality deal flow, organically, with no effort, risk or cost. By simply placing a Commonwealth Capital tracked banner private invitation link from their website to ours they seamlessly refer companies for direct capitalization from our VC Fund or self-incubation through our Corporate Engineering Conservatory™. Once the standardized corporate engineering process is completed, these newly well- capitalized companies return to the Alliance to engage them with the proper qualifications for further investment. In addition, by re-engineering and re-capitalizing their previous older investments in privately held companies, with illiquid securities, these Venture Capital & Private Equity Firms can be rescued by recapturing a return of all or a portion of the original capital invested. Enter the specific category from the Alliances Tab above.

Also, as Platinum Accredited Investors (Co-investors) with Commonwealth Capital, these Venture Capital & Private Equity Firms can now invest with confidence into companies that have mitigated downside investment risk and maximize upside investment return potential through standardized corporate engineering. Once the proper corporate engineering is completed, these new well-engineered companies return to these Co-investors for additional funding, if necessary, from a more qualified position. Enter the specific category from the Investors Tab above.

5. The Problems for Securities & Capital Markets Industry Professionals.

Most securities & capital markets industry professionals, such as; stockbrokers, financial advisors, financial planners, and registered investment advisors are faced with an ever increasing punitive-regulatory environment and endlessly shrinking margins. These highly qualified individuals are victims of electronic automation and the litigious nature of the consumer markets side of the securities industry. Read More… They too seek to attract investors away from other like type professionals with little differentials in their ability to offer products or services. This battle is also a zero-sum game. With well-educated millennial’s ability to learn and manage their financial affairs on-line this is the most vulnerable of all professions to artificial intelligence applications, now and for years to come.

The Solutions for Securities & Capital Markets Industry Professionals. As Alliances of Commonwealth Capital, these securities & capital markets industry professionals can now position themselves as CFOs and or Independent Directors for one or more newly well-capitalized companies for substantial cash and equity compensation. They can hang up their securities licenses (temporarily or permanently) and provide needed guidance and assistance to capitalize these young firms. Getting in on the ground floor of well-engineered companies can lead to far greater wealth with less risk than continuing in a dying profession. Enter the specific category from the Alliances Tab above.

Most may qualify as Associates (Managing Directors & Managing Enterprises) of Commonwealth Capital. These securities & capital markets industry professionals can position themselves as Managing Directors of a Venture Capital firm in a relatively un-regulated industry. In these positions, to avoid conflicts of interest, they must hang up their securities licenses (temporarily or permanently). Associates provide Commonwealth Capital with acquiring deal flow of start-up and early stage companies. No selling of securities of portfolio companies necessary or allowed. No soliciting of investors allowed. Associates receive cash from document and online platform production fees for their efforts. More importantly, our Associates build their own private pool of preferred equity in the portfolio companies they invite into our VC Fund. These young companies need your help, and we’ll help you help them – Enter the specific category from the Associates Tab above.

6. The Problems for Wall Street Investment Banks/Broker Dealers & Corporate Acquisitions.

Wall Street and Corporate America have an insatiable appetite for what is termed “quality deal flow” meaning companies worthy of investment or acquisition. Wall Street investment banks need quality later stage companies to take public on stock exchanges. Corporate America, primarily Fortune 500 Companies, need to acquire quality later-stage companies to harness outside innovation for continued growth. VCs normally feed deal flow to Wall Street and Corporate America but in incredibly small amounts. Read More…For instance, there are over 3,700 Wall St. broker- dealers and there were only 190 Initial Public Offerings (IPOs) in 2018. Although the number of U.S. corporate mergers and acquisitions of 16,849 4 for 2018 seems significant, it’s paltry compared to the 28,000,000 Small Businesses in the U.S. In addition, exit valuations for company founders from mergers and acquisitions often run 1/5th of the valuations for IPOs.

The Solutions for Wall Street Investment Banks/Broker Dealers & Corporate Acquisitions. As Alliances of Commonwealth Capital, these institutional investors with a “tracked banner private invitation link” from their websites or email invitations, to ours, they seamlessly refer companies for standardized corporate engineering prior to investing. In addition, by re-engineering and re-capitalizing their previous older investments in privately held companies, with illiquid securities, these institutional investors and acquirers can be rescued by recapturing a return of all or a portion of the original capital invested. Enter the specific category from the Alliances Tab above.

Also, as Platinum Accredited Investors (Co-investors) with Commonwealth Capital, these institutional investors and acquirers can now invest with confidence into companies that have mitigated downside investment risk and maximize upside investment return potential through standardized corporate and social engineering. Once the proper corporate engineering is completed, these new well-engineered companies return to these Co-investors for – additional funding, if necessary, from a more qualified stance. Enter the specific category from the Investors Tab above.

In Summary.
1. Young companies need substantial amounts of investment and human-capital but most are simply too risky to attract it;
2. Most professional service providers simply cannot afford to talk to or engage these young companies that have no money;
3. Most angel investors often lock up their capital in stagnant or losing deals;
4. The venture capital and private equity industry has a huge capital overhang due to a lack of quality deal flow—and must return that capital to their investors;
5. Securities & capital markets industry professionals are constantly faced with an ever increasing punitive-regulatory environment and endlessly shrinking margins, making it increasingly difficult to make a decent living; and
6. Wall Street and Corporate America need quality later stage companies to invest in or acquire but they are few and far between.

There are huge gaps in all sectors…until now.
Choose your area of need from the top menu and get started today!

CAPITAL ACCESS

(RESTRICTED ACCESS: Must be invited by a Commonwealth Capital Managing Director)

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