DTC Chill Removal; There is More to it It is cl

DTC Chill Removal; There is More to it

It is clear from speaking to management of quite a few DTC chilled companies that the answer on the street to getting your DTC chill removed is to find a “participant” or a sponsoring broker-dealer to go to bat for you with the DTCC. Well, from going through the experience firsthand, I can tell you, there is more to it than that.

I had a lengthy conversation with one CEO yesterday who is clearly frustrated with the entire process. He has been to other entities that stated they could remove DTC chills. He has worked with a few of them but ended up in the twilight zone as he stated. These entities finally admitted that they really could not help him. Meantime he had spent valuable time looking for an answer that for all practical purposes does not exist.

The truth is that only one who has been through the DTC chill removal process can possibly know what the DTC is looking for.

The DTCC has no interest in helping small companies regain their DTC eligibility. This is why they have not posted a set of instructions such as “getting your DTC eligibility back” on their website. This is a business decision by the DTCC. The DTCC has over 1,100 employees and only 2 devoted to their “chill department”. They are overwhelmed with requests for information etc.

Broker-dealers that deal with micro cap companies are overwhelmed as well. One popular broker-dealer of micro cap companies appears to be waving the white flag with regard to helping micro cap companies that are chilled get their DTC eligibility back.

Part of the reason that the process is difficult for micro cap companies is that it takes time to get your DTC eligibility back. There is no switch for purchase that can reinstate DTC eligibility. Many if not most of the CEOs of chilled companies I have talked to have been at it for several months to over a year and are no closer to getting their DTC eligibility back than they were the day they found out they were chilled…

However, if you know exactly what the DTC is looking for, it will greatly reduce the amount of time you will spend getting your eligibility back. That is what separates our service from all others. We have been through the process and know what the DTC wants and we will help you put it all together so that you can get your eligibility back in the shortest possible amount of time.


http://dtcchill.com/dtc-chill-removal-there-is-more-to-it