Issuing Bonds
What does it take to issue bonds that won't be publicly traded? And can it be done without an investment bank?
also, can private shares be issued in a non-profit and would the non-profit still be held to the 499 investor rule?
Need help asap!
Thank you all
I believe the bonds still qualify as investment securities and as such a private placement is required (and all that entails). A lawyer would have to draft offering documents. (you can do really simple documents if the amount is small...i.e. let's say I wanted to borrow $50K from you, then I could basically write that up myself lol)
No idea as far as the non-profit.
Is there a minimum bond value?
What I mean is, can I issue 50 dollar face value zeroes for a total of 500k-1mm total issuance in the quick draft fashion(lawyer or personal issue)?
Also, would they still qualify as investment if the rate was zero?
Do you think that at that level issuing a promissory note and then bundling a large amount together under one loan agreement might be a better move?
sorry guys, have to bump this. The question is not a troll or theoretical - I need to do something like this in practice really soon so any more advice would be awesome.
Thanks again.
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