Methods for You to Buy Facebook Stock before IPO

Have you got the desire to purchase a part of the Facebook?
SecondMarket, the link that allows you to purchase private corporation stock, is your path into.
However you have got to qualify as an “accredited investor” for that at first.
In the terms of the SEC, an accredited investor is the one who can make up $200,000 in a year or alternatively has a hold of a minimum of assets worth $1 million.

If you fulfill those credentials and if you have passed the SecondMarket’s vicious desktop check, the probabilities of you acquiring a glob of the Facebook are slim still.
Second Market salesperson Mark Murphy says us the average deals on the serve is an enormous $2 million.
Apart from this, most of the investors are not people. They are group of people or institutions like the VC corporations and the hedge funds that the private firms opt to allow for investment with them.
Suppose you fulfill all the necessities to commence trading, the procedure is comparatively easy. You can also buy stock through the SecondMarket’s website optionally by way of a market specialist also.
As the Facebook establishes up 45 percent of the SecondMarket’s business concern, there is a particular procedure for merchandizing its fund.
Here is the working of it:
• SecondMarket assesses seller interest ahead of auction commencement.
• Now, the SecondMarket checks out for the possible interest of the buyer.
• When both the parties are fixed and share price is laid down, the tendering starts out. The auction stays open for 9 days.
• On the conclusion of auction sale, the utmost quoted bidder possesses the obtainable shares.
• Next the SecondMarket calls for a cut down amongst 3% and 5% of for each one of the transaction. The price is divided equally among the purchaser and vendor.
• Now you become the owner of the stock. These auctions of the Facebook takes place averagely on a regular basis, so there are lots of chances.
And that is it. When you can have enough money, you can possess stock in the most blistering company everybody wants a part of.