A revolutionary way to raise capital for SMEs
Direct Trading, LTD
IPO is a common but not so easy choice for raising capital
Direct Trading, LTD
LiveTrade DIPO’s Exclusive Fundraising Model is a Smart Solution for SMEs
Billions of dollars have been raised to foster smart ideas and innovative business models that can change the world.
LEWES, Del., November 02, 2021 (GLOBE NEWSWIRE) – LiveTrade Token (LTD), Never has technology been so integrated into all areas and aspects of life, and there is no doubt that it is in making huge changes to society. In fact, the economy has always been the fastest to change, and entrepreneurs who stay on top of new technologies are the ones who will win.
How traditional businesses raise funds
Most companies have acquired funds from IPOs, loans, or are struggling to find support from venture capital funds. These roads are superbly constructed: they look smooth and level, but require huge fees and countless administrative procedures to get an entrance ticket.
For example, the cost of an IPO is affected by a number of factors, such as the complexity of the IPO structure, the size of the company and the proceeds of the offering, as well as preparing a business to operate as a public company. Regardless of the nuances surrounding turning a private company into a public company, all IPOs share a common thread: a substantial investment of time and resources. Companies must be large enough to attract the attention of investors; they have to spend years preparing, applying and waiting for approval; and it will cost no less than $ 300,000 to start. So most businesses choose to stay private rather than going public, but this actually prevents them from growing.
Another option for improving financing for the growth of a business is debt capital. A conventional bank loan is a very common choice in most businesses, but the downside is that it can be more difficult to obtain. New businesses can have a hard time getting loans because banks are usually reluctant to finance an unproven business. If a business is too new and too small to qualify for a traditional business loan, an unsecured personal loan may be a good idea for those with an affordable rate. In addition to benefits such as maintaining ownership and obtaining tax deductions, debt capital presents barriers that can affect the long-term expansion of a business. To secure loans, they have to sacrifice periodic cash flow and use a large chunk of their assets as collateral.
How will the DIPO model impact
DIPO (Digital Initial Private Offering) is a fundraising solution for SMEs and startups by allowing them to issue tokens on the basis of their real assets. This is an exclusive model of LiveTrade LTD, with a registered trademark and patent pending from the United States Patent and Trademark Office.
As “Bitcoin” becomes one of the most common words in everyday conversations these days, more and more investors are entering the cryptocurrency market, and more and more change makers are using this advantage to seek financial support for their solutions. You may have heard of Ether from Ethereum – a coin that was sold for fundraising for $ 0.31 apiece in 2014, is now over $ 3,128 as of September 27, 2021. You can also hear about Nexo, a project that gives the original instant crypto-backed loans around the world that successfully launched its security token offering in the first quarter of 2018 with over $ 52.5 million lifted. They have raised funds from individual investors all over the world, only through the internet. These examples show that you don’t need much to fundraise other than a cutting edge idea and a sounding pitch deck. But a regulated business needs more than money: compliance.
One of the features that differentiates DIPO from typical methods of raising capital in the digital asset industry is the audit process before the offer is made. By applying blockchain technology, DIPO enables companies and projects to raise capital easily, quickly and economically, making it easier to focus on their main drivers: product development and reimbursement to users and investors.
Until the time of this article, the model has managed to raise a total of around $ 30 million for ten projects, with a record market cap of over $ 200 million. These projects fall into various fields: finance and investment, technology, payment, real estate and even filming and entertainment. With a large user base of over 3 million users in its network, LiveTrade has connected companies with investors around the world, proving to be an exceptional financial solution for companies and brand new products. investment for investors from all walks of life.
DIPO uses a much simpler procedure for projects and companies to secure resources: Application – Audit (for existing companies) – Assessment and approval – Tokenization – Token Sale. DIPO is a smart substitute with a total cost less than 10 times the typical cost of an IPO. The model also helps companies maximize their value by maintaining healthy cash flows that are not pre-allocated to service bank debt. As an SEC compliant solution, DIPO strives to meet all the strictest regulations of jurisdictions and expand the network so that every SME and every investor is one step closer to long term mutual success.
The world is witnessing dramatic changes in the way we live, work and play, all due to the catastrophic consequences of the COVID-19 pandemic, but at the same time, those who survive the most difficult times will seize all the strengths and resources to go forward and flourish. DIPO can be the exit from this labyrinth, offering a bright future for companies with good products and services but which suffer to continue.
On Direct Trade
LiveTrade LTD is a FinTech company established in Delaware, USA in 2019 with the aim of becoming a hub connecting global financial markets. Its main products include the Digital Initial Private Offering (DIPO) model, LiveTrade App – a commission-free equity trading mobile application, Digital Asset Banking and a multi-channel DeFi platform. The company provides diversified financial and business services as well as technological and legal support to clients wishing to enter the dynamic international market.
Learn more about LiveTrade at livetrade.io