Look what I found: Business Description Baro
Post# of 16816
Look what I found:
Business Description
Baron Capital was created to service small-cap markets, valued at over $100 billion dollars through the OTC market on an annual basis, but Wall Street is backing away.
Over the past several years, regulatory changes that were meant to help protect investors have caused small-cap companies to hit a wall when attempting to raise capital.
Here are a few facts most investors do not know:
Online trading firms do accept penny or subpenny stocks to be deposited into your account either by certificate or electronically.
Mainstream firms on Wall Street do not accept subpenny stocks and will only accept penny stocks if you have large cash balances on deposit ranging from $500,000 to over $1,000,000.
Some firms no longer accept stock certificates at all.
Depository Trust Clearing Corporation (DTC) is the only entity with the power to make securities DTC eligible and move through their electronic system, known as DTC FAST or DWAC.
DTC does not approve subpenny stocks and approves very few penny stocks.
Currently there are less than a handful of clearing houses that will accept penny stocks or subpenny stocks and more stop taking them every day.
Those that do accept these stocks have restrictions on the amount of shares they will carry in-house and may also enforce sale limitations.
The new and ongoing stumbling block has been the regulation placed on the small-cap market in general. Through these obstacles millions of dollars have been lost attempting to get certificates cleared, and the problems have become more serious since the fall of 2009.
Baron Capital, through its wholly owned subsidiaries, will create a ?one stop shop? for small-cap companies and investors to use the public markets to raise capital and trade the stocks of companies at this market level.
Baron Capital will grow and change within this new environment from which it must develop, but as it prospers, so will the opportunities for investors and companies.