Midtown Partners Capital Advisory Program for Small Cap Companies

THE NEED

Severely strained economic conditions have created unprecedented challenges for micro-cap companies:

• Depressed equity values
• Diminishing liquidity in the equity markets
• Difficulty in raising growth capital
  • Traditional sources of capital to unlisted, non-shelf eligible companies have diminished
• Limited institutional sponsorship

THE SOLUTION

Midtown Partners created a comprehensive program that addresses the critical corporate finance needs faced by unlisted public companies – Shareholder Visibility and Capital Formation. We have identified 10 critical areas that small, non-listed public companies need to address. As part of the program, Midtown will review your company’s financial condition and create a customized plan corresponding to the 10 areas of focus that will align your corporate finance goals with current market conditions. We will advise and assist you in taking the necessary steps to building your shareholder base and expanding shareholder visibility, while creating an attractive sustainable platform for future capital financings.

Presentation

• Design focused presentation materials
• Identify core message
• Develop corporate communications tools

Capital Structure

• Review existing capital structure & develop plan to optimize it
• Advise on restructuring and recapitalizations, if applicable

National Listing: Planning & Execution

• Create checklist of necessary action steps in order to meet national listing requirements
• Establish a realistic timeline to achieve a national listing to align management expectations with required action items
• Facilitate introduction to Nasdaq, Amex, and NYSE contacts to initiate dialog

M&A, Alliances, JVs

• Assist in developing long-term growth strategy
• Review existing business model and advise on potential strategic initiatives
• Review relevant joint venture candidates and alliance partners
• Assess prospective M&A universe and provide list of strategic M&A candidates

Shareholder Base

• Review current shareholder composition, identify, monitor, and review trends
• Advise on methods of expanding shareholder base & establishing goals and timeline for shareholder growth

Institutional Capital Markets

• Create Institutional Capital Markets action plan

Retail Shareholder Growth

• Create catalyst for retail brokerage involvement
• Advise management with respect to increasing retail shareholder base by leveraging relationships
• Design realistic, 12-month plan to grow retail investor base by leveraging Midtown’s retail brokerage contacts
• Utilize non-traditional means to generate retail investor interest

Market Makers

• Review current market maker list, create additional revenue streams for market makers to motivate future business

Service Provider Introductions

• Provide complete review of client’s securities-related vendors
• Advise on strategic vendor upgrades
• Facilitate introductions to new service providers
• Assist in developing annual budget for securities-related services
• Leverage Midtown contacts in negotiating best pricing

Investment Banking

• Review and revise current capital formation strategy
• Summarize and discuss all available financing options
• Leverage Midtown’s strong investment banking platform in negotiating best financing package
• Create 5-year capital formation plan that provides operational flexibility and maximizes shareholder value

While we believe all unlisted public companies should strive to list on a National Stock Exchange, Midtown cannot assure that clients participating in this advisory program will be able to attain a National Listing. Midtown makes no claims or representations that it can provide a listing as a result of participation in this advisory program.