Most shareholders do not know or understand how IR and IA (Investor Awareness) companies work. Shareholders tend to blame a stock price’s sudden fall on the only visible source, meaning the accountant, the lawyer, the company, the CEO or the IR, to name a few. This is not about who’s to blame but rather to understand how the system works.
For this demonstration we will use “airplane flights” and a “code share” scenario. Oddly enough, IR campaigns are also called flights.
To that end, just like airplane flights, IR/IA service “flights” range in length. Typically, a short term flight breaks the ice, the midterm flight preserves the new volume, while a long term flight like Mina Mar stays in.
Short term flights provide huge volume. These firms can take an illiquid stock with no volume or movement, have it trading hundreds of millions of shares in one day, and create a huge spike. They do this by “burning” lists - obtaining 50,000 to 100,000 names from Google and Yahoo ads and emailing these lists “stock alerts.” Once their position is sold and they have broken the company’s “frozen status,” the firm stops its flight. Short term firms charge $50,000 to $100,000 per week in cash. They constantly hound investors via telephone and online, and they look for about $50,000 to $100,000 dollars in stock from a 3rd party (non-company) to support their flight.
Unless immediately followed up by a midterm flight, this tactic can be construed as a “pump and dump.” After the frenzy of the short term flight dies down, affected issuers' stock will return to zero volume and traders will get frustrated, especially if forced to sell at a loss. The way to avoid this scenario is to immediately launch a midterm flight (or a code share flight) and have that firm work, with the long term firm always working concurrently in the background.
Midterm flights work their lists (after the ice has been broken), preserving the volume created by the short term flight and absorbing the rapid, short term stock dump. This is where the technicals start showing up: Fibonacci reports, MACD, candlestick plays and of course, the good old stock bashers, to name a few. If the bashers are successful at this point or during a short flight, this is where everyone loses out (Everyone except the stock bashers who earn a living in wages getting paid to post nonsense, and of course their employers the short sellers and certain organizations that make profits by “protecting investor,” and short selling). Its a dog eat dog world out there indeed!
Long term flights involve answering IR-related calls from shareholders and prospective investors, and keeping investors constantly informed through newsletters, quarterly reports and the like. Most IR companies avoid long flights, as they are a target of bashers and critics, to name a few. We by design created a long flight IR and take the bullet for the issuers more than once in our 12 to 18 month flights. We have for many issuers acted as a mid-flight without having our name mentioned, as only long flight IR’ get posted on OTCMarkets (Pink Sheets) official web site.
Mina Mar Group prides itself on being one of the few companies offering long term flights to both non-reporting Pink Sheet and reporting OTCBB companies. We do not take stock for our services. We never sell stock as we have no stock to sell. We occasionally do take stock as security when the issuer is caught short in their cash-flows to meet payroll, pay suppliers, etc. Once our debt is repaid the stock is returned to the issuer and never deposited in any brokerage account. We believe we are the only IR - IA - MA company offering the long flight level with end to end solutions that helps otherwise stranded companies reach their objectives and continue to report to their shareholders.