Why OTC Companies Lack Liquidity & How IR Can Help

Why Some OTC Markets’ Companies Lack Liquidity

OTC or over-the-counter companies, like their name implies, trade outside of traditional exchanges. Most in the United States trade on The OTC Markets and a few trade on the Nasdaq. While they offer numerous benefits, such as decreased costs, less stringent listing requirements, and greater flexibility, they also suffer from a lack of liquidity when compared to their exchange-traded counterparts.

Liquidity is the ability to quickly and easily buy or sell a security without significantly affecting the market price. Companies listed on exchanges usually have a high level of liquidity as buyers and sellers have access to the same information and the same price. This is not the case for OTC companies.

The lack of liquidity for OTC companies is due to a few factors. First, the investor base for OTC companies is often small and not as well-informed as those investing in exchange-traded stocks. This is especially true with Pink Current companies trading under the Alternative Trading Reporting standard, where many do not need audited financials and have less stringent reporting requirements. As a result, there may be fewer buyers and sellers, leading to wider bid-ask spreads.

Second, OTC companies are not required to report their financials in the same way as exchange-traded companies, making it difficult to assess their value and thus making investors less likely to buy and sell their stocks. Again, under the Alternative Reporting Standard, some companies are not required to disclose their quarterly or annual financial reports via audited financials. This means that accounting irregularities can exist and it may lead to making an informed buying decision harder than it would be if the company used certified GAAP reporting metrics and was audited by a PCOAB accounting firm.

Finally, OTC companies may not be as actively traded as their exchange-traded counterparts due to their limited visibility. This could be because retail investors were never made aware of the company or because market markers refuse to hold or make a market for the particular security. This can lead to fewer buyers and sellers, resulting in less liquidity.

In summary, OTC companies lack liquidity due to their small investor base, lack of financial reporting, and limited visibility. This lack of liquidity can make it difficult for investors to buy and sell shares in these over the counter traded companies.

How Investor Relations Done Right Can Help OTC Company’s Stock Liquidity

Investor relations is an important tool for any publicly traded company, but it is especially important for companies that trade on the over-the-counter (OTC) markets. OTC stocks are not listed on a major exchange, making it difficult for investors to access information about the company, evaluate the stock and make informed decisions. As a result, OTC companies often have less liquidity than their counterparts on the major exchanges.

Investor relations is a process that connects companies to their shareholders and potential investors. Investor relations professionals work to establish and maintain relationships between the company and its shareholders and potential investors, provide information about the company and its stock, and ensure that the company’s stock is properly valued in the marketplace.

By increasing the visibility of the company’s stock and providing detailed information about the company’s operations, financials and strategies, investor relations can help increase the liquidity of OTC stocks. This is because potential investors will have more confidence in the company’s stock and its ability to generate returns. It also helps to attract more investors to the stock, which can increase the volume of trades and the liquidity of the stock.

In addition to providing information, investor relations professionals can also help to build relationships with investors and brokerages. This can help to increase the number of traders interested in the stock and increase the volume of trades.

Finally, investor relations can also help to ensure that the company’s stock is correctly valued in the marketplace. This is important because an incorrectly valued stock can cause investors to lose confidence in the company and lead to a decrease in liquidity.

In summary, investor relations is an important tool for OTC companies. It can help to increase the visibility and liquidity of the company’s stock by providing detailed information and building relationships with investors and brokers. By doing so, investor relations can help to ensure that the company’s stock is properly valued in the marketplace and that investors have the confidence to trade in the stock.

Why OTC Companies Lack Liquidity & How IR Can Help
Posted in Investor Relations, Micro Cap Investor Relations, Penny Stock Investor Relations, Small Cap Investor Relations | Tagged , , , | Comments Off on Why OTC Companies Lack Liquidity & How IR Can Help

Why Investor Relations is Important for Small Public Companies

Investor relations is a critical component for any small public company looking to raise capital and build relationships with potential investors. Investor relations (IR) is the practice of providing up-to-date financial information and other details to existing and potential investors. The purpose of having an effective investor relations program is to build a strong relationship between the company and its investors and to provide them with regular updates on the company’s progress.

For small public companies, investor relations is especially important. Small public companies often have fewer resources than larger firms, so they must use their IR program to maximize their visibility in the investment community and attract potential investors. This can be done by providing accurate and timely information on the company’s performance, strategy, and competitive positioning.

A successful IR program can also help small public companies build relationships with institutional investors and analysts. Institutional investors are often the largest and most influential investors in the market, so building good relationships with them can be beneficial for small public companies. By providing accurate and timely financial information, small public companies can demonstrate their commitment to transparency and build trust with these important investors.

An effective IR program can also help small public companies build relationships with their existing shareholders. By providing ongoing updates on the company’s performance and strategy, small public companies can demonstrate their commitment to their shareholders and encourage them to remain invested in the company. This can help small public companies maintain the loyalty of their existing shareholders and attract new investors.

In conclusion, investor relations is an essential component of any small public company’s business strategy. By providing accurate and timely financial information, small public companies can build relationships with existing and potential investors, demonstrate their commitment to transparency, and encourage their existing shareholders to remain invested.

Posted in Investor Relations, Micro Cap Investor Relations | Tagged , | Comments Off on Why Investor Relations is Important for Small Public Companies

Investor Relations Roadmap Sample

Businesses that leave investor relations to chance stand no chance of getting either retail or institutional support for their publicly traded stock. A solid investor relations roadmap must be put together that shows exactly how a public company will bring awareness to their securities offerings.

All investor relations roadmaps should be tailored specifically to the public company’s business model, executives and budget. The same thing that works for a Nasdaq company will not work for an OTC company. And even more specific, the same thing that works for an NYSE SaaS company may not work for a Nasdaq traded manufacturing business. Understanding exactly who you will target to maximize the equity portion of your business is important at the beginning of any investor relations roadmap.

One of the 7 Habits of Highly Effective People, a written in the book by Dr. Covey, says to Begin With the End in Mind. The goal of any investor relations campaign is to integrate finance, communication, marketing and securities law compliance to enable the most effective two-way communication between a company, the financial community, and other constituencies, which ultimately contributes to a company’s securities achieving fair valuation.

Defining who the “financial community, and other constituencies” are at the beginning make them easier to target.

One of the common mistakes is to think any person, group, fund or bank with deployable capital is the target. This is wrong. Try going to your neighborhood real estate millionaire and present them with an with OTC stock in the water business and you will find out quickly that you would of been better off targeting former executives of Pepsi or Coca Cola.

Once you understand who the business is targeting, it is easier to get in front of the right investors; retail and institutional. Need help? Contact us today.

Posted in Investor Relations | Tagged , | Comments Off on Investor Relations Roadmap Sample

3DX Industries Inc. (OTCM: DDDX) Provides Update on Government Contracts Division

3DX Industries Inc. (OTCM: DDDX) (“3DX” or the “Company”) an advanced manufacturer specializing in 3D Metal Printing and advanced additive manufacturing technologies, announces an update on its Government Contract Division.

The Company has successfully completed registration in the DIBBS system. The Defense Logistics Agency (DLA) Internet Bid Board System (DIBBS) provides automated access to 85% of DLA’s solicitations, which support America’s combat logistics. Being in the DLA bid board system allows 3DX access to more business opportunities, making it easier to submit secure Requests for Quotations (RFQs) and participate in government contract opportunities. We are working on the final steps required to complete the NIST (National Institute of Standards and Technology) self-assessment and the JCP (Joint Certification Program).

3DX Industries Inc. is looking to support the DOD (Department of Defense) through Binder Jet Additive manufacturing. Binder jet 3D printing is widely regarded as the fastest additive manufacturing method for hi-volume output of highly dense and functional precision parts. Currently the DLA only has 2 metal printing contractors and is aggressively working with 3DX to help with their backlog of parts needed to be printed.

3DX Industries Inc. is working with NavalX, NW Tech Bridge and is currently in discussions with the Naval Undersea Warfare Center in Keyport, WA. The company will support the DLA on both the aviation side (Air Force) and the naval side (Navy). Management will continue its conversations with both agencies regarding our capabilities and how 3DX can best support their requirements.

About the Company: 3DX Industries, Inc. (OTCM; DDDX) is an OTCM traded advanced manufacturing company capable of producing a wide range of products using additive and subtractive manufacturing processes. Our growth strategy includes utilizing cutting edge technology to enhance manufacturing techniques combined with consolidating the manufacturing sector through additive manufacturing.

Safe Harbor

3DX encourages those interested in our Company to rely only on information included in our filings. Statements released by 3DX Industries, Inc. that are not purely historical are forward-looking within the meaning of the “Safe Harbor” provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the company’s expectations, hopes, intentions, and strategies for the future. Investors are cautioned that forwardlooking statements involve risk and uncertainties that may affect the company’s business prospects and performance.

The company’s actual results could differ materially from those in such forward-looking statements. Risk factors include but are not limited to general economic, competitive, governmental, and technological factors as discussed in the company’s filings. The company does not undertake any responsibility to update the forward-looking statements contained in this release.

For additional information please contact:
3DX Industries, Inc.
6920 Salashan Parkway Suite D-101
Ferndale WA 98248
Telephone: 360-366-8858
Email: info@3dxindustries.com

Posted in Press Release | Tagged , , , , | Comments Off on 3DX Industries Inc. (OTCM: DDDX) Provides Update on Government Contracts Division

Client Profile: BioLife Sciences, Inc. OTCM: BLFE

BioLife Sciences (OTCM: BLFE) has focused its long-term plans on the aggressive expansion of its copperinfused product line, as well as launching a new division focused on orthomolecular and natural health products. BioLife completed an acquisition of Health Box LLC in early 2022. Health Box LLC was an Arizona-based company which provided a diverse mix of natural health products founded in extensive research focused on medicinal botanicals, micronutrients, dietary supplements, proprietary herbal blends, and apothecary style subscription services.

Utilizing technology and insight brought on from the acquisition of Health Box LLC, as well as the hiring of its former CEO, Nika Jakšić, BioLife intends to launch a line of high-quality herbal, homeopathic and natural food supplements which fuses modern science with ancient herbal remedies. Ms. Jaksic will assist in the sourcing and introduction of new innovative products including a line of hemp-based cannabidiol products.

BioLife intends to offer expertly crafted botanical and nutritional products that encourage optimal health, vitality and resilience, while addressing a variety of health concerns and conditions.

BioLife Sciences is a commercialization accelerator, licensor and developer of innovative and disruptive technologies for the healthcare, beauty and food and beverage industry sectors.

Posted in Client Profile | Tagged , , , | Comments Off on Client Profile: BioLife Sciences, Inc. OTCM: BLFE

Forming an LLC in Nevada

Forming an LLC in Nevada 1Forming an LLC in Nevada 2Forming an LLC in Nevada 3Forming an LLC in Nevada 4Forming an LLC in Nevada 5Forming an LLC in Nevada 6

Posted in Business Formations | Tagged , , | Comments Off on Forming an LLC in Nevada

OTC Markets Metal 3D Printing Company Announces Share Buyback

Yesterday, Oct. 03, 2022 via NewMediaWire, 3DX Industries, Inc. from Ferndale Washington (OTCM: DDDX) (“3DX”), a state of the art advanced manufacturer specializing in additive 3D Metal Printing and advanced subtractive manufacturing technologies, announces a share buyback program.

The company has been scaling operation for the better part of this year and continues to take action to increase shareholder value. The Board of Directors of 3DX Industries, Inc. authorized a new share repurchase program of up to 7,266,666 shares of the Company’s common stock over the next 11 months with a maximum price of $25.00 per share.

Earlier in the year the company launched a government contracting division and new offices in Connecticut. In addition to attending several industry conferences, the company looks like it has a foothold in additive manufacturing on the west coast.

The press release announcing the share buyback can be see on Yahoo Finance and more information about the company may be found on their website https://3dxindustries.com/ or on their twitter account at https://twitter.com/3DXIndustries

Posted in Micro Cap Investor Relations | Tagged , , | Comments Off on OTC Markets Metal 3D Printing Company Announces Share Buyback

Government Proposal Writing Services

Ready to bid on a government contract? Have an RFP and need help writing? Our government proposal writing services have helped hundreds of entrepreneurs win government contracts. Why work with Cervitude IR? Here are just a few reasons….

Government Proposals Take Time, And We Save You Time

Many government contracts, RFB, RFP or RFI requests are lengthy and cumbersome. Our professional government proposal staff writers have years of experience and can get it done in a timely manner, without taking up too much of our clients time.

Government Proposal Writing Experience

Over 3 decades of combined experience is what we bring to the table. When you are writing a proposal for the government, you want to make sure you are speaking their language. Our team brings that to the table.

Cost Effective Government Proposal Writing Services

No matter how big or small the proposal you need written, Cervitude IR has consistently been a cost effective solution for companies to bid on government contracts.

We are Timely

Create tailored responses for proactive proposals, presentations, pitches, RFPs 5x faster. Get answers quickly and beat deadlines by creating proposals in days versus weeks.

Posted in Consulting | Tagged | Comments Off on Government Proposal Writing Services

Cervitude IR Retained by BioLife Sciences OTCM: BLFE

BioLife Sciences Inc. (OTCM: BLFE) today retained Cervitude Intelligent Relations to assist with investor relations, market awareness and investor outreach services.

BioLife Sciences is a commercialization accelerator, licensor, and developer of innovative and disruptive technologies for the healthcare, beauty, food, and beverage industries.

Back in July of 2022, BioLife Sciences Inc. (OTC: BLFE) announced it has successfully received the qualification of its offering statement on Form 1-A with the Securities and Exchange Commission (SEC) to raise up to $20,000,000 pursuant to Regulation A+. The Company is now publicly offering its stock at a price of $0.05 per share, according to a press release back in July.

The Company also seeks to finalize the release of its new line of copper-infused products to the marketplace. BioLife aims to begin distribution of the BioLife Copper-Infused Fabric Pot, BioLife Copper-Infused Gardening Gloves, and BioLife Copper-Infused Microfiber Towels in the near future. The Company aims to disrupt the gardening and cleaning sectors with these unique products.

More information about the company can be found on its website at https://www.biolifesciences.com/ and its Twitter account at https://twitter.com/Bio_LifeScience

Posted in Dealmakers | Tagged , , | Comments Off on Cervitude IR Retained by BioLife Sciences OTCM: BLFE

Cervitude IR Retained by Bell Buckle Holdings OTCM: BLLB

Bell Buckle Holdings, Inc. (OTCM: BLLB) today retained Cervitude Intelligent Relations to assist with investor relations, market awareness, executive & board development, business development, partnership scouting and investor outreach services.

Bell Buckle Holdings is a holding company that seeks investments and businesses in the the Youth Sports & Enrichment industry, a multi-billion dollar market with over 80 million participants every year in the United States. In June 2022, the company acquired Jump Start Sports (www.jumpstartsports.com), a leader in youth sports camps & programs. Bell Buckle Holdings will expand Jump Start Sports nationally via franchising. Our management team is actively seeking companies that we can scale utilizing technology, management and strategic partnerships

Back in June of 2022, Bell Buckle Holdings merged with Jump Start Sports and continues to expand its footprint in the youth enrichment space. The company is active on social media and engages with shareholders while it continues to grow their business.

More information about the company can be found on its website at https://bellbuckleholdings.com/ and its Twitter account at https://twitter.com/bell_buckle

Posted in Dealmakers | Tagged , , , | Comments Off on Cervitude IR Retained by Bell Buckle Holdings OTCM: BLLB