SANTA MONICA, Calif., July 15, 2013 /PRNewswire/ -- The The California Stock Xchange (Cal-X) and Cal-X Crowdfund Connect have selected EarlyIQ, Inc. of San Diego to provide enterprise management reports for use in vetting, diligence, and fraud detection services that will further help protect investors on future Cal-X platforms.
In partnership with MethvenLaw, Cal-X Crowdfund Connect helps guide companies through the California Qualification by Permit process, which is essentially fully legal equity crowdfunding, and assists them in raising up to $5 million. The program is limited to California-based corporations and investors only, and participants must meet certain accreditation requirements. In addition, Cal-X Crowdfund Connect collaborates with Cutting Edge Capital to help firms arrange Direct Public Offerings in 28 states. Working with select registered broker dealers and partners, Cal-X Crowdfund Connect also provides fee-based support services to companies or bundles of companies (accelerator graduation classes) for national 506D or A offerings of up to $50 million and 2,000 shareholders. These offerings may be duly listed on password-protected portals – such as Crowdfunder.com, EquityNet, AngelList, MicroVentures, Healthfundr and HealthiosXchange – to pre-qualified and verified, fully accredited investors with $1 million (or greater) in assets and venture funds.
The California Stock Xchange is preparing to file an application with the U.S. Securities and Exchange Commission (SEC) to become a full-fledged stock exchange featuring primarily B-Lab-certified companies that follow a conscious-capitalism model. Among the many features of this planned stock exchange are: no day trading; no short trading; high levels of transparency, with monthly shareholder meetings and no filter on shareholder questions; an emphasis on promoting local investing; a holistic, comprehensive research analysis of all companies from multiple sources; endorsing investors required; index-fund-type investment tools to spread risk for investors; a nurturing support system for listed companies; and many opportunities for investors and potential investors to meet company management face-to-face, in person.
"The California Stock Xchange mission is based on the principle that following conscious-capitalism tenets of treating people well and having a sense of purpose will attract and retain the best talent, thereby leading to more innovation, happier repeat customers, and steady profitability growth and return to investors," asserts Howard J. Leonhardt, founder of Cal-X and Leonhardt Ventures. "We believe that doing good is not just important for good's sake, it is also good business. This is a departure from Wall Street's overriding emphasis on short-term, net-profit postings that are often achieved at the expense of cutting research and development, employee pay and benefits, and commitment to long-term purpose, suppliers, and the community. We feel that investing in companies with a sense of purpose and care for people and community will be less of a roller-coaster ride for investors. We are setting out to prove this with solid supporting data over time. Companies and investors that believe in these principles will now have a home marketplace."
The history of the The California Stock Xchange movement was covered in a recent CrowdfundInsider article: http://www.crowdfundinsider.com/2013/03/12225-california-stock-exchange-crowdfunding. For additional information, visit http://www.calstockexchange.com and http://www.calxcrowdfund.com.
Cal-X – The California Stock Xchange (http://www.calstockexchange.com) – is in the early process of registering with the SEC to become the first conscious-capitalism stock exchange, emphasizing local investing and a comprehensive, holistic research analysis of companies. (SEC registration can take up to 36 months.) Cal-X aspires to be one of the three leading stock exchanges in the history of the United States, and future home of $8 million to $100 million IPOs of growing companies with a minimum of $20 million to $40 million in revenues. The organization's leadership seeks to prove with solid supporting data that doing good is not just good for good's sake; it is good business. Cal-X aims to be the marketplace for people and businesses that believe in these "doing well by doing good" principles. Cal-X supports a number of business resources:
Cal-X Crowdfund Connect (http://www.calxcrowdfund.com) is committed to becoming a premier equity crowdfunding portal and service provider in California, in partnership with EquityNet, Crowdfunder.com, and others. The organization seeks to be a leader in preparing and supporting companies for California Qualification by Permit offerings of up to $5 million and expanded 506D or A offerings of up to $50 million. Working with select registered broker dealers, password-protected accredited-investor portals, and MethvenLaw, Cal-X Crowdfund Connect aspires to be far more than just an ordinary crowdfunding portal or accelerator, comprehensively nurturing companies in every aspect of growth over years.
With a motto of "create to great in 108," Cal-Xelerator (www.calxelerator.com) is a 108-day startup launch business accelerator for life-science, technology, and social-good enterprises operating out of ROC Santa Monica.
Cal-X Stars (www.calxstars.com) is a 5-year business accelerator and venture fund portfolio focused on life-science (primarily stem cell and cardiovascular) and social-good enterprises.
Restricted to accredited investors only, Cal-X Funders Club (http://www.calstockexchange.com/cal-x-funders-club/) is an angel network for investing in Cal-X vetted startups through single-purpose vehicle limited liability companies. It is currently in beta test.
Cal-X Microloans (http://www.calstockexchange.com/calx-microloan-program/) offers microloan programs for small businesses in partnership with ZimpleMoney, Inventure, Lendio, and others.
About Leonhardt Ventures:
Founded by Howard J. Leonhardt in 1983, Leonhardt Ventures (http://www.leonhardtventures.com) has funded and developed numerous innovations, primarily in the cardiovascular life-science space. Over 200,000 patients worldwide have been treated with Leonhardt cardiovascular inventions to date. Leonhardt Ventures is the primary financial backer of the Cal-X companies.
Early IQ, Inc. is a San Diego, California-based, hosted information and analytics company serving early-stage capital markets, including the crowdfunding, peer lending, angel, accredited, private equity, and venture capital markets. Our core technology – Diligence 3.0 – revolutionizes transparency for early-stage decision support. As the #1 source for investors and industry-standard trustmark for ratings, research, and analysis on private start-up ventures, we facilitate efficient markets by providing information and services for crowdfunding portals and other professional investment markets. For more information, visit https://www.earlyiq.com or contact [email protected].
Howard J. Leonhardt
Leonhardt Ventures' Cal-X Stars Business Accelerator, Inc.
1531 6th St., Unit 401
Santa Monica, CA 90401
SOURCE Cal-X Crowdfund Connect