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The Investment Exchange
announces the formation of TIE Ventures Corporation
"TIE Ventures Corporation is formed to provide
start-up and emerging technology - based, entrepreneurial entities with
coaching, financial, technical and professional advice and the capital
they require to secure equity financing."
April 27, 2001 -- Over time, The Investment Exchange
has observed that most entrepreneurs looking to raise capital are both
unfamiliar with and ill prepared for that process. The expectations of
many customers of The Investment Exchange have been quite unrealistic
with respect to the time and resources required just to attract prospective
investor interest, let alone secure equity financing.
On the other hand, there are many
seed capital or early stage investment opportunities that warrant serious
investor consideration. The problem for entrepreneurs and investors alike
is that without proper preparation, due diligence and presentation there
are missing elements of trust and confidence in the venture, prerequisites
to investor participation.
At the same time, there are few
places for the entrepreneur to turn for advice and help in these areas.
Many "Fund-Seekers" have requested the help of The Investment
Exchange, knowing that we have the knowledge and experience to fill that
void. However, within its current mission and configuration, The Investment
Exchange is not equipped to provide those services.
To fill that gap in the market,
The Investment Exchange has created T.I.E. Ventures Corporation ("TIE
VC"). TIE VC is not an "incubator" or a "business
accelerator" in the sense that those terms have been overworked in
"the new economy." TIE VC is really an active shareholders'
representative on the management team or board of directors of its Client
Company, providing professional assistance specifically to help the entity
secure the total financing it is seeking.
In other words, TIE VC will not
play a long-term role in the management of the Client Company or even
in the formation of the venture. Rather, it is selecting as Client Companies
only those entities that demonstrate viability on their own. These companies
do not lack the know-how to run their own business, but rather the knowledge
and resources to find capital in the marketplace. Likewise TIE VC does
not intend to promote itself as an expert in the Client Company's industry,
but rather in the business of raising capital. At the point in time when
financing is secured, TIE VC's work is done.
The methodology employed is straightforward.
TIE VC will identify prospects from various sources, primarily The Investment
Exchange. TIE VC will propose a client relationship only to those pre-qualified
prospects. The relationship will be offered to the prospect, subject to
a due diligence process completed by TIE VC at the expense of the prospect.
Upon successful completion of the due diligence process, the prospect
will be accepted as a Client Company.
At that point, TIE VC will invest
the time, resources and capital (up to $100,000) required to assist the
Client Company achieve its funding objectives. TIE VC's activities could
include preparing amendments to the Client Company's business plan, an
introduction to prospective investors, preparation of proper investor
presentation materials and arranging presentations to prospective investors.
In return TIE VC would earn fees and an equity stake for its investment
and participation in the project.
For More Information Contact:
The Investment Exchange Corp.
#103, 3553 - 31st Street NW, Calgary, AB T2L 2K7
Tel: 403-299-1770
FAX: 403-208-2965
Internet: info@theinvestmentexchange.com
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