QBS-Box Hill™ provides a platform for smaller promising Australian companies where they can explore their potential to attract investment capital through a small scale offering of securities in an environment of commercial certainty that is cost effective.
QBS-Box Hill seeks to lessen major market inefficiencies that arise from the disjointed market for finance for small and medium sized enterprises and performs an important role in bringing information to the market place.
QBS-Box Hill, through its accredited Members, assists the efficiency and development of the economy through regional development and job creation without straining the public purse.
What types of small scale offerings does the QBS-Box Hill represent?
1. Equity Offerings
2. Debt Offerings
3. TIC Property Offerings (small scale syndication)
Large scale offerings to issue securities are expensive and time consuming and are made by substantial, well established, companies under proper disclosure (prospectus). Stock exchanges provide a platform for the trading of those securities.
A springboard to a stock exchange:
If you and/or your shareholders are looking to expand your Company’s shareholder base, then you could look at QBS-Box Hill as a springboard to acquire as many investors as allowed (under the Act), prior to having the Company graduate to a stock exchange listing.
A stock exchange provides listed companies with share price quotation. It facilitates unrestricted seller offers and buyers bids on the issued capital of a company. These are the QBS-Box Hill stocks that astute investors will be seeking to acquire.
At www.QBSecurities.biz you will find opportunities to invest in exciting smaller growth enterprises that are, or propose to become, unlisted Public Companies. Many have staged their capital raising to show notional share price increases of 50% or more in Round 2 or 3 of their capital raising.
These strategies take away the traditional reliance on “patient” capital, giving investors the potential to crystallize a profit much quicker, rather than having to wait until a Company produces dividends – which may not occur for two, three or five years or more.
“Anyone can see the value of an investment once it’s taken off. For the investor, the trick is identifying the potential before too many others jump on board and drive the price up.”
Access to finance is fundamental to business development. It underwrites innovation; take up of technology and exploration of new ideas. In Australia however, the Banks are generally too scared to lend to small to medium sized businesses.
The capital, or currency, of an individual is the cash they have in their wallet, purse, or as cash in the bank. However, an individual cannot print their own currency that would be counterfeiting which carries heavy penalties.
The capital (or currency) of a business enterprise however can be ordinary shares, redeemable preference shares, promissory notes, options etc. In contrast to an individual, a business or enterprise can print its own currency as legal tender, in the form of securities (shares, options debentures etc.)
A business can then use these securities as a type of “currency” to be swapped for cash, goods or services. As well as swapping shares for cash, an SME can also use its shares as a type of negotiable security or ‘bid currency’ for mergers, acquisitions or takeovers, unlike borrowing from a Bank, equity capital is contributed in return for a share of ownership. It is not repayable, demands no provision of security (other than issued shares) and bears no interest. An QBS-Box Hill Member plays an important (and not insignificant) role in capital raising for SME’s.
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