Tag Archives: Toxic Financing

The Workout Group LLC Shares Three OTC Microcap Case Studies

Sponsored The Workout Group LLC (TWG) may be one of the only groups of professionals that have led successful restructurings of microcap companies in the last 2 years. They were known as OTCWORKOUTS, LLC but changed their name to better reflect what they do. Below are three case studies where TWG recapitalized the company and remediated its’ debt that resulted

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Update on MicroCap Toxic Debt Class Action Lawsuit

In September, two New York law firms, The Basile Law Firm P.C. and Phillipson & Uretsky, LLP announced that they have opened an investigation into a potential class action lawsuit against New York based lenders of short-term loans to microcap companies trading on the OTC Market.   We checked in with Mark Basile, Esq. (of The Basile Law Firm P.C.)

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What Should You Do If Your MicroCap Company’s Stock is Being Promoted?

Last week, OTC Markets Group released their updated policy on stock promotion. “Improving investor transparency and setting market standards with clear expectations for how reputable public companies should respond to misleading and manipulative promotion encourages management teams to more proactively address and dispel unfounded rumors and correct misinformation that can lead to unusual market activity,” said Liz Heese, OTC Markets

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Toxic Debt: What is it and How Can Micro-Cap CEO’s Avoid it? [Guest Post]

Guest Post By: Mike Starkweather The term toxic debt gets tossed around regularly in the micro-cap space, and yet most people don’t understand what it means or why a CEO would accept a loan with such volatile terms. First, it is important to understand what the term toxic debt indicates before we can break down how debt becomes toxic and why

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Law Firms Announce Investigation of Potential Class Action Against Microcap Toxic Lenders

Today, two New York law firms, The Basile Law Firm P.C. and Phillipson & Uretsky, LLP announced that they have opened an investigation into a potential class action lawsuit against New York based lenders of short-term loans to microcap companies trading on the OTC Market. The class action being investigated and considered is on behalf of OTC Market public microcap

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4 Reasons Why Restructuring Is A Better Route Than Litigation For MicroCap Funders & CEOs

In a recent post on LinkedIn, Tom Allinder discussed “Why an Alternative to Litigation is better for Lenders and Funders.” Allinder says the primary reason a funder should choose restructuring over litigation is because, through a restructure, funders have a much greater chance of receiving a return of capital (and a profit). For direct microcap investors, Allinder says restructures are

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MicroCap Toxic Debt – A Guide For MicroCap CEOs

Toxic debt is a very important topic for microcap professionals but it is seemingly taboo to discuss microcap toxic debt in public (on the internet). There are few reliable sources of information on microcap toxic debt online. We have compiled some of our best content on the topic and will continue to add links to this post as we add more to our website. 

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