Startup Terms Glossary
What is a Private Offering?
Sometimes, startups who are issue shares in their equity don’t list them in the market in an initial public offering. Instead, they opt to market to private investors. A private offering is valuable to startups because they have less rules governing them from the Securities Exchange Commission. They are valuable to investors since they often offer a larger rate of return than public offerings have potential to offer.
Private Offering Examples
Examples of private investors:
- Example 1. Small business attorneys
- Example 2. Bankers
- Example 3. Personal business contacts
Learn about a private offering by checking out this page .
ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.
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