“Alvin Donovan” Equity Line Funding Part Two

“alvin donovan” Alvin Donovan Equity Line Funding Part Two Alvin Donovan: Equity Line Funding Part 2 I am Alvin Donovan and one of the main benefits is that the company has control over the timing of draw downs, which is one of the benefits of using an equity line. A number of terms and conditions are used to give the company additional control over the draws down. They include the following: – agreed upon discounts based on closing bid prices of the company’s common stock; – cancellation notices if a certain minimum price is not maintained; – the company controls the amount requested in each draw down; and – the company controls when the draw down notices are given (which can only be given by the company). Some companies use an equity line funding to have it in place when they need capital, even if they don’t necessarily need capital at the time they file the registration statement. I am Alvin Donovan and raising capital through a equity line funding is sometimes preferred by companies over a convertible debenture for two main reasons. Firstly, pursuant to the terms of an equity line funding the company is the one that controls when to request capital and sell shares of its common stock. In a convertible debenture financing, although capital is provided to a company up front, if there is no floor on the conversion price it becomes a toxic convertible and can be highly dilutive since the debenture holder can keep converting into the company’s common stock and selling into
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