Global Star Capital Founder Rich Cocovich has been fortunate to meet and work with many celebrities and their investment teams.  Please view the new Public Appearance and Private Travel section of the website for more information.  Please scroll down for valuable blog information that will assist you in engaging our services and learning more on private funding. 

Global Star Capital Blog posted by Rich Cocovich,
Founder of Global Star Capital

"The Top 10 Reasons Funding is NOT Obtained
for Projects and Principals"

As the credit and banking crisis in the United States has now touched every corner of the world, private funding is back to being "King". Therefore, Global Star Capital has seen it's highest demand for services in 10 years. As you can gather from our website (http://www.globalstarcapital.com/), we are world's top intermediary/consulting firm in private funding with clients in 119 countries since 1991.

I am personally passionate in helping my clients achieve the success level of actually receiving funding. In order to help the entire cause within this industry, I have made the "The Top 10 Reasons Funding is NOT Obtained for Projects and Principals" list.
Rest assured, that if you do not have a high end professional intermediary/consultant such as myself working many hard hours for you, your project will not be funded. That is 20+ years of experience speaking to you.
Below is the list:

"The Top 10 Reasons Funding is NOT Obtained for Projects and Principals"
10. Your Project is not solvent or capable of making money. If I would tell you how many projects we see where the principal or team in adamant that their concept is the best idea since sliced bread, yet have no idea how they would make an investor money or be able to pay back a lender, shock waves would hit you. Literally hundreds a year.
Rule #1: Make sure your idea or project can actually work and make everyone money. This starts with proper planning, market research etc.

9. Your documentation is not well prepared. Assuming you have a great idea that can actually make money for all parties involved, your formal documentation (business plan, pro-forma etc.) needs to be perfect. Global Star Capital is in such high demand for our services because we present perfect, solvent projects to the decision making facilitating sources and back them up with our reputation and dedication.
Rule #2: Have great looking and highly informative documentation. Please remove the idea form your head that an executive summary is all that you will need. Part of our engagement process of Global Star Capital is arranging your documentation properly.

8. You have broad casted your Project around the internet too much. The worst thing you can do is broadcast your project around the internet to whoever will see it. Hear me loud and clear---there are only a handful of true lending sources outside of traditional banks (which have dried up) that will entertain your project. The underwriters at these sources do not want to see the same project brought to them by multiple people---that is a big red flag in their minds. These underwriters rely on a high end professional to entertain them with the project.
Rule #3: Do not broadcast or "shotgun" your project around the internet. A high end professional with services like Global Star Capital's is your only real chance. I am not speaking about any broker you will sign a non-exclusive agreement with either.

7. You have signed non-exclusive agreements with many "brokers". There are only a small percentage of "brokers" or intermediaries that can get a project closed. Never forget that. In fact, we formed a training program at Global Star Capital for serious and ethical "brokers" to properly vett a project and submit to our avenues through our full blown services. I am speaking to you point blank---the funding sources in the private funding world rely on underwriters from either internally or professional firms vett projects. Unless you have a professional intermediary/consultant such as myself, you will never be able to have your project's "story" be told right to those underwriters. Again that is 20+ years of professional services and clients in 1991 countries speaking to you.
Rule #4: Do not sign multiple non-exclusive "broker agreements", it will hurt your chances of success.

6. You are paying an attorney for advice on who to hire for professional intermediary services. "My attorney tells me never to pay fees". I hear that every day. My questions are simple in return: "How much money are you paying your attorney to give that advice?" "How many projects has your attorney funded on their own?" and, "Why is your attorney not the instrumental source in finding your funding?" My clients understand that I am a paid professional on the equivalent scale of a high end corporate attorney or CPA. I get results, therefore I am paid accordingly. I do not spend my own money to be reimbursed.
Rule #5: Never let an attorney stand in your way of working with other warranted professionals.

5. You are cheap and have your hand out for everything that is "free". I literally have had potential clients scan a handwritten concept and not arrange it via a word processor just "save money". I have also had many potential clients use the term "Angel investor" as they believe "Angels" exist and have no closing costs. In addition, I have had many potential clients say that they will only pay fees after the loan has closed and they want the fees embedded in their loan.
Rule #6: If you are cheap, have no collateral or money and believe that everything should be handed to you for free, quit now. You will never be funded if you are cheap and have those philosophies. "Angels" do not exist in the funding world. There are literally fees for every step with a lender etc. I make it clear to my clients that once we are engaged, we fight for you and represent you like the professional you need to lessen fees dramatically.

4. You refuse to provide the lender with additional documentation when requested. I have had clients who have been 10 days away from a closing who refuse to release requested documentation to the lender such as tax information (as an example) despite being coached properly and perfectly by me personally. Hear me loud and clear. If a lender wants to know the color of your underwear and they are willing to invest in you millions of dollars---plus close the deal---you need to follow through. In today's market, there are hundreds of projects that can be entertained by the lenders. One big red flag is not supplying requested documentation.
Rule #7: In order to close and receive funding, please know that the professionals working for you such as the underwriters and myself personally must provide the investor (he or she who has the money) with all of the requested documentation. All requests are 100% legitimate and realistic---just do it.

3. You have too many partners or principals on your team. A majority of rejections to projects I give result from too many people on the team looking for funding. On one call recently for a project in Charleston, SC there were 9 partners on the phone with me. Within 5 minutes I had them disagreeing and fighting over their own idea. In addition, I have had potential clients with a team of "advisers" on calls. These are usually attorneys or "brokers" or people who leech onto projects claiming to be the most intelligent human in the field--yet have zero money. I can assure you that the only people who should make decisions and speak to the professionals in the investing avenues are the head principals. Everyone else will screw up the process royally and paste a black eye on your project.
Rule #8: Make sure there is one deciding contact person on your project. Make sure that this one person has the ability to answer the major questions that will be asked on the project. Basically, your front man or woman should do most of the talking and dealing.

2. You cannot communicate in a timely fashion. I have had clients in the past who literally took two days to return my call or write back to me. They also took several days to gather information for the underwriters. They put themselves in a situation whereas we do not know if they seriously believe in their own project. I cannot stress the importance of communication. When investing avenues call or write, take the time to respond. After all, your project is what needs funded for your dream to become a reality.
Rule #9: Communication is the key to success.

1. You are a "know it all" who's disposition irritates even the mildest mannered people. What irks me and all of the professionals in this industry the most are people who try and tell us how to run our companies or business because they "know it all". Basically, "know it all" types really do not know anything when it gets right down to my profession. Whether they try and express how successful they have been or how I am to be compensated to where I should "shop" their project etc., nothing kills a project more than a "know it all". A "know it all" could also be in the form of an attorney giving you that overpriced paid worthless advice. You must comprehend that if you actually knew how to acquire proper funding for your project, my professional services would not be needed. It is very comical to see projects come back around to my desk 6 months or more after I declined them because somebody was a "know it all". There is a project in Wyoming dealing with Oil Shale that has been floating around for 50+ months. The principal is a "know it all". I achieve much enjoyment for myself by sending him e-mails alerting that a "broker" has tried to rekindle his project and has tried dump it on my desk again. This man tried to tell me how to run my corporation on several occasions---he deserves it.
Rule #10: You do not "know it all", so be prepared to follow the proven steps of the protocol.

You can read more about Rich Cocovich in the EXECUTIVE section of the Global Star Capital website (http://www.globalstarcapital.com/). Global Star Capital is your key to project funding and is top rated by DUN and BRADSTREET DUNS 147151315 from the parent Global Star company down through it's subsidiaries.

Global Star Capital Blog posted by Rich Cocovich,
Founder of Global Star Capital

"Can You or Your 'Broker' Really Acquire Funding
or An Equity Partner?"

I have been experiencing the most productive stretch in my entire career that has been in place since 1991. When banks fail or cannot lend, private money is paramount.
There is plenty of money available in the private sector. From new trust funds that have $3.8 Billion to lend, to existing sources that have stepped up their lending sums of $300 Million per month, the whole way to Private Individuals who will lend at ridiculously low interest rates---sometimes 1.625% interest. Again, read carefully, the money is there for your project and I work with these avenues daily.

Now, the question is: Can you or your "broker" really acquire funding or an equity partner? More than likely, the answer is DEFINITELY NOT. The reason is because you or your "broker" do not have any relationships in place with the "powers that be" who literally control this money. In addition, your documentation and approach are not up to speed which will get you nowhere. On top of the above, you may have your hand out for free services. All of these factors will deter you from finding true funding and speaking with real sources and decision makers. Trust me, I have seen it all in my career spanning over two decades and services clients face to face in 119 countries.

Ask yourself these questions:

1. Is the business plan for your project in the acceptable style for a decision maker?

2. Do you really know what "acceptable style" the decision makers want in terms of documentation?

3. Do you have direct relationships with decision makers?

4. Do you understand that the only projects that are accepted by decision makers who control the money are actually presented by high end professionals (like the world' top intermediary--Rich Cocovich of Global Star Capital www.globalstarcapital.com?

5. Do you understand that real due diligence is performed ONLY after you speak directly to the source and in order to get to that phase, you must have the decision makers accept your project?

6. Do you understand that 99% of the time your attorney or staff legal adviser will deter you from real funding?

7. Do you understand that there are many pieces of true documentation that need completed as requirements for decision makers on your project that only those who are privy to that information can guide you on?

8. Do you know what those documents are in #7? No you do not unless you have a paid professional leading the way.

I could go on and on and on. Global Star Capital was built on relationships with the entities that can actually accomplish your goal. Lately, there have been projects resurfacing from past potential clients. Their projects are being submitted into our system or through truly trained brokers despite already having the opportunity to work with me personally at some point in the past. I just shake my head when I see these projects resurface. So much time and energy is wasted because people are either cheap and have their hand out for free services, or they just do not comprehend that the true way to actually accomplish the final goal takes professionalism and proper representation. Did you ever order a Big Mac at McDonald's and tell the cashier that you were going to eat it without paying? If you have tried that example---did it work?

I urge you to be a part of our process if you desire true results. 
 
You can read more about Rich Cocovich in the EXECUTIVE section of the Global Star Capital website (http://www.globalstarcapital.com/). Global Star Capital is your key to project funding and is top rated by DUN and BRADSTREET DUNS 147151315 from the parent Global Star company down through it's subsidiaries.

Global Star Capital Blog posted by Rich Cocovich,
Founder of Global Star Capital

"The Decline and Fall of Venture Capital and Hedge Funds"

I know the title of today's blog seems like a Roman History book that a professor would require as a reading assignment. However, it was the best title that I could think of in explaining what is happening out there in the "world of investment money".

As I have said to many of you in seminars world wide or on guest speaking appearances or even the telephone in the past, the VC and Hedge fund plays would hit a stand still or dry up completely. They did. One of the lead stories today as I type this around the web and on some financial television shows is the decline in VC and Hedge fund investing to a point of almost non-existence.

One of my best sources was a Fund located near Tarpon Springs, Florida. They were a great avenue for many different types of deals. Then, last November---poof! They disappeared and closed their doors. The manager called me personally to express his gratitude for the many solvent projects I had presented to his fund. He then proceeded to explain that they saw a trend coming in the "next year" where there would be trouble in the USA markets which would have ramifications all over the world (credit, mortgages etc.). Then at the end of the call........he asked me for a job!

Here is some more good information: I am also fortunate in being able to eat lunch with a retired executive of a multi-billion dollar corporation when I am not traveling. I eat with him daily on Hilton Head Island, SC. He is 76 years old and I honestly think he knows everything that can be imagined, he is that sharp. His son is one of the top level executives of a large financial firm in New York City with main offices in London. I get my valuable information from these lunches on the state of Hedge Funds and their problems that are almost impossible to overcome.

The shoot from the hip truth is that the VC's and Hedge Funds that are still alive will not look at your project unless presented properly in the first place. If you think just "shopping" your business plan etc. around through novice entities is going to work, you are mistaken to the point of utter possible embarrassment which will taint your entire project. In addition, the private investors that had money in the funds or backing the VC's are now out on their own looking for solvent and safe investments through professionals. "Shopping" your project without properly planning and utilizing professional services would be like letting a chiropractor perform brain surgery on you.

With all the above said, "The Decline and Fall of Venture Capital and Hedge Funds" has happened. Furthermore, when taking into context and applying the VC or Fund management philosophies plus billionaire's demand to knowing the solvency of individual projects, not even Caesar could resurrect the money through these avenues at this point to inject.

As I always state though, the money IS out there through the right avenues. You need a constructive plan and the proper professional to work hard for you. My clients average 7 days after meeting me face to face and fully engaging me while following our game planning to be in the hands of their funding investors on any type of lending.