How Do I structure an equity infusion into my commercial real estate of brokerage company?
There are a number of issues that should be considered when structuring an equity infusion and/or a strategic alliance. The first question is always, what is the regulatory issue associated with the business or new business plan? When setting up the business structure for the equity infusion, are there limitation on what type of entity must hold the license? We also need to ask whether the investors will want governing responsibilities. Do we need to set up a new company, or subsidiaries to effectuate our business plan? Are there already bank loans? If so, we will need the consent of the lender to our new investment structure. If the company is a public company, are there any reporting issues?
As legal counsel, it is essential to be aware of the legal and regulatory benefits that may be available. For example, certain commercial developments may offer incentives to the developer, thus offering an easier path to approval and fewer transactional costs. Also, if we are setting up an advertising partnership in, for example, the fintech lending space, are there any advertising guidelines we need to address? Please contact us to explore our innovative strategic alliance and/or Regulation D packages.