Which Broker Dealers does Manhattan Street Capital work with?
We work with Broker Dealers and their Syndicates and with Underwriters and Private Placement firms.
When a company that we are assisting elects to use a broker-dealer, we introduce you to brokers that are relevant to your needs and help you get a fair deal with them. We will help you prepare your pitch to them if needed.
The most popular arrangement is to work with a broker-dealer to allow easy access to investors from the US States that are not cooperating with the SEC. For this we have a broker that we work with regularly that charges a 1% fee.
The so-called "Problem States" are these: Texas, Florida, Washington, New Jersey, Nevada, Arizona and North Dakota. As a group they account for ~18% of the US online active investing market with Texas (6%) and Florida (4%) in the number one and two positions. Of course, all investors from outside the USA are allowed to invest even when you do not have a Broker-Dealer.
Using a Broker-Dealer in a Regulation A+ offering is optional. If you use a national FINRA Broker-Dealer, then you are automatically allowed to raise capital from all US States.
It is possible to work with a securities attorney and file for your company in all or some of the "problem states" - but this journey takes time and effort. When started early in the Reg A+ process, this can result in a cost-effective solution that does not require you to pay broker-dealer fees. We will get you on this path if you select this method.