Capital Raising

Whether you are a start-up, an investor, a University or an inventor we can assist you with your capital raising and commercialisation of intellectual property.

We have acted for several entities with new technology and been privileged to assist them to grow. We’ve also been there to see inventors and early investors make a successful exit after years of hard work.

What we do

Our services include:

  • Preparing term sheets and information memorandums;
  • Drafting confidentiality & exclusivity deeds for any due diligence period;
  • Assist with due diligence;
  • Advise on Corporations Act 2001 (Cwth) requirements;
  • Advise on Section 708 raisings;
  • Advise and negotiate private equity investment;
  • Share issues without disclosure
  • Employee share plans;
  • Liaising with security holders and financiers;
  • Drafting subscription agreements, convertible notes, shareholder agreements and other similar arrangements;
  • Buy backs and capital reductions

The MV difference

  • We have a strong focus on teamwork, both within MV and with your accountants, financiers and other advisors to provide a seamless service to you.
  • Our approach is commercial and we will present your options to you in a clear straightforward manner.
  • Bringing people together to convert ideas and research into a successful product makes our day!

FAQs

Section 708 of the Corporations Act 2001 (Cwth) sets out several circumstances where a disclosure document is not required. These include personal offers made to fewer than 20 persons in the previous 12 months raising no more than $2 million in that 12 months. There are other grounds as well, which may be relevant to your circumstances.

A prospectus has the broadest information requirements. While an offer information statement may seem attractive due to its reduced disclosure regime, the amount of capital that can be raised under it is capped (currently $10 million).

A term sheet is an effective way to negotiate the terms of an investment with several potential investors at the same time. A term sheet helps the parties to reach consensus on the key terms in a less formal and non-binding format. Once these key terms are agreed, it is usually much quicker to produce the formal agreements.

Under a convertible note the investor provides a loan to the company which has the option to convert to shares on a predefined trigger or date. There are several issues to determine with a convertible note: will it automatically convert, is there interest, what is the term of the loan, what is the conversion rate and is there security for the loan.

Resources