CEO’s love to discount the value of Investor Relations.
They get involved in a program or campaign and become disillusioned if the results aren’t instant.
Lesson #1 – there are no shortcuts to good investor relations
So: what needs to be included in an IR program:
1: Press releases to inform current shareholders
2: Complete effort to “brand your stock” all materials that are investor facing need to be quality and deliver a consistent message
3: A social media campaign that brings new eyeballs to your company
4: a Video that lets management tell the story to shareholders.
Based on our experience – the IRR of IR is about 400%. We are working on a whitepaper with some supporting numbers, but it works out that it is the best use of capital. These numbers pencil out based on the assumption that Growth Companies need capital, and that IR is important to maintain a liquid market in the stock, and also maintain an appropriate share price. Both of these factors allow a company to raise capital on the best terms. We have seen IR campaigns generate massive increases in liquidity, and increase share prices. But the effort needs to be consistent and long term for these programs to work. Contact us to learn more.