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A Clearer Path to Private Investing: Carofin’s Unique Approach to Evaluating Issuers

As an accredited investor, you know that direct private investing can be a lucrative way to grow your portfolio.  However, with the vast array of investment opportunities available, how do you know which ones to choose?  At Carofin, an investment bank, we take a unique approach to evaluating issuers that we believe sets us More >

A Clearer Path to Private Investing: Carofin’s Unique Approach to Evaluating Issuers2023-05-31T09:47:08-04:00

Another Successful Closing — Corrosion Innovations, LLC

Carofin Completes Multi-million Dollar Financing for Corrosion Innovations LLC. Carofin and CFS Announce Successful Acquisition Financing for Corrosion Innovations’ Purchase of Chlor*Rid™, a Division of Milliken & Company... BREVARD, N.C., April 27, 2023 (GLOBE NEWSWIRE) -- Used on high profile projects such as the Coolidge Dam, the gantry for NASA’s Langley Research Center and More >

Another Successful Closing — Corrosion Innovations, LLC2023-04-28T12:15:54-04:00

Lies, Damned Lies, and Spreadsheets: A History of Financial Calculations

For over 100 years there has been debate among historians, and a few eccentric mathematicians, over the origin of the quote “there are three types of lies: lies, damned lies, and statistics.”    If you’re English, you could go with the 1st Earl of Balfour in 1892 or Benjamin Disraeli, a leading politician at More >

Lies, Damned Lies, and Spreadsheets: A History of Financial Calculations2023-05-24T15:04:52-04:00

Care Is In The Details – The Career Path of AZZLY’s Founder and CEO, Coletta Dorado  

By Nash Roberts    The road to starting a company often takes many turns.  It took Coletta Dorado, founder of AZZLY, Inc., an addiction treatment and behavioral healthcare software company, two careers, the loss of one relative, and the persistence of Job to settle on her mission.  Here is the story of a founder, More >

Care Is In The Details – The Career Path of AZZLY’s Founder and CEO, Coletta Dorado  2023-03-29T11:00:55-04:00

Flying High, Commercial Aircraft Parts Distributor Nails Safe Landing for Investment Returns Despite Turbulence 

Carofin and CFS Announce Successful Redemption of Commercial Airplane Parts Investment  Brevard, NC – February 27, 2023 -- Carofin and Carolina Financial Securities are pleased to announce that DSC Trading, LLC has redeemed in full their investors’ capital and coupon in 11% Senior Secured Notes.  Based in Branson, MO, DSC Trading has been a More >

Flying High, Commercial Aircraft Parts Distributor Nails Safe Landing for Investment Returns Despite Turbulence 2023-03-28T09:18:18-04:00

Getting the ‘Why’ When Making a Private Investment

Many years ago, I was asked to finance a start-up company that wanted to create a cigar vending machine business for sports arenas.  I quickly passed.  Didn’t get it.  Couldn’t see why the world needed it. I’ve yet to see one at a ball game, so maybe I called that one right.  I wish More >

Getting the ‘Why’ When Making a Private Investment2023-02-17T17:07:32-05:00

Carofin’s Year To Remember

2022 was, in many ways, a validation of internal investments in technology and process management.  It also helped set the direction of where we’re going as an operating company. Here are the results: Total from Investors: $96,388,000 Number of Meaningful Investments: 33 Companies Provided Vital Capital: 24 Industries included: MedTech, Aviation, Agriculture, Mining, B2B More >

Carofin’s Year To Remember2023-05-24T15:05:34-04:00

Measuring Private Investment Returns

How should you measure investment returns?  This should help you decide.  The pricing of private securities is obscured by several factors: each is unique, analyses available for public securities don’t exist privately, and easy comparisons don’t exist. Let’s make sure that, when we’re talking about a Return on Investment (ROI, return or yield), we’re More >

Measuring Private Investment Returns2023-06-01T15:41:35-04:00

Carofin Completes $2M Equity Financing for TxtSmarter, LLC

Carofin and CFS Announce Successful Financing of TxtSmarter, a secure pipeline for full communications capture across private messaging applications, platforms, and services. Brevard, N.C., December 13 , 2022 – With record-breaking fines facing major financial services firms, Carofin and Carolina Financial Securities are pleased to announce they have successfully raised a total of $2,020,000 More >

Carofin Completes $2M Equity Financing for TxtSmarter, LLC2022-12-09T14:59:47-05:00

Another Successful Closing — Paradigm Parachute & Defense, Inc.

Parachute Manufacturer Lands Safely With Help From Carofin Carofin and CFS Announce Successful Financing of Global Military Grade Parachute Manufacturer BREVARD, N.C., Sept. 20, 2022 -- Carofin and Carolina Financial Securities are pleased to announce they have successfully raised a total of $7,500,000 in Senior Secured Debt and Participating Preferred Equity for Paradigm Parachute & Defense, More >

Another Successful Closing — Paradigm Parachute & Defense, Inc.2022-11-17T15:03:10-05:00

Another Successful Closing — InfoTouch Corporation

Carofin Completes $2.5M Growth Financing for InfoTouch Corp. Carofin and CFS Announce Successful Financing of Industry Leading Point of Sale Software Provider BREVARD, N.C., Nov. 17, 2022 -- Carofin and Carolina Financial Securities are pleased to announce they have successfully raised a total of $2,500,000 in Senior Secured Promissory Notes for InfoTouch Corporation. The funds were sourced More >

Another Successful Closing — InfoTouch Corporation2022-12-09T15:12:53-05:00

Another succcessful closing — Berry Capital Management, LLC.

Blueberry Farmer is Anything but Blue Carofin and CFS Announce Successful Financing of Organic Blueberry Farm BREVARD, N.C., June 22, 2022 -- Carofin and Carolina Financial Securities are pleased to announce the firm has successfully raised $2.2M in Participating Preferred Membership Interests for Berry Capital Management, an SPV which provided working capital for a More >

Another succcessful closing — Berry Capital Management, LLC.2022-11-17T14:44:16-05:00

Carofin’s Due Diligence Checklist

When conducting Carofin’s and its affiliate's due diligence on a prospective issuer (and consequent private offering), Carofin’s investment bankers and analysts follow a process that has been codified over the last 25 years. The following Due Diligence Checklist is our template that we’re delighted to share. Download Due Diligence Checklist More >

Carofin’s Due Diligence Checklist2022-10-11T09:03:53-04:00

Carofin Raises $5 Million for Leste 5P Multifamily US Feeder, LP

CFS and Carofin are pleased to announce that they have advised in the placement of $5M for Leste 5P Multifamily US Feeder, LP. Issuer: A real estate limited partnership formed for the purpose of investing in the acquisition of a portfolio of five multifamily apartment properties in Texas and the Southeast U.S. (Website). Opportunity: To More >

Carofin Raises $5 Million for Leste 5P Multifamily US Feeder, LP2022-10-24T14:07:30-04:00

The Next Cold War Has Begun

March 2022 For anyone who thinks that Putin’s invasion of Ukraine represents an isolated incident -- simply a despot extending his buffer zone – rather than a global threat, think again.  The next Cold War has begun. A word of caution: the following is a summary from one of Arthur Bavelas’ Family Office Insights More >

The Next Cold War Has Begun2022-10-11T09:39:40-04:00

Liars Aren’t Trustworthy — Surprise!

Our parent company has decades of experience structuring private credit for investors, so we sourced a few suggestions for those looking to capture high returns by lending money to companies.  Several years ago, a small import/export consumer goods company approached us to raise capital to build inventory.  In the course of conducting our due diligence, we discovered that the More >

Liars Aren’t Trustworthy — Surprise!2022-06-23T15:06:29-04:00

Considerations for Family Offices in Direct Private Investing

Why Direct Private Investing (DPI)? More and more family offices are including Direct Private Investing in their overall investment portfolio. DPI means investing directly in the equity or debt of a private company (the “issuer”).  Thus, the investors have complete control over what issuers they support, and the returns from the investment are specifically tied More >

Considerations for Family Offices in Direct Private Investing2022-01-12T13:01:22-05:00

The U.S. Craft Distilled Spirits Industry — Positive Prospects

The Unites States Craft Distillers market has been growing more rapidly than the equivalents in beer and wine. And the pace is likely to accelerate. This article examines the principal drivers of the market’s growth and its prospects.   DEFINITION According to the Spruce Eats, distilled spirits are alcoholic beverages that have been “distilled from More >

The U.S. Craft Distilled Spirits Industry — Positive Prospects2021-07-19T13:51:27-04:00

Announcing Major Enhancements for Carofin Investors! 

Carofin is pleased to announce that you now have a complete view of your Carofin investments. Thanks to significant platform enhancements, you have secure access to comprehensive records across your portfolio of private Carofin investments. The Investor Dashboard presents your investment history (including cash flows) as well as issuer updates.     You can access the exclusive, password-protected Dashboard to dive More >

Announcing Major Enhancements for Carofin Investors! 2022-01-19T09:51:13-05:00

Breaking News from the SBA: EIDL Program Expansion!

  The CARES Act passed in 2020 as a source of relief through liquidity for small businesses or individuals and kept many businesses afloat throughout the height of the pandemic.   The SBA (Small Business Administration) has acknowledged that businesses are still struggling with the logistical fallout and changes in consumer behavior, so Carofin will More >

Breaking News from the SBA: EIDL Program Expansion!2021-11-15T16:08:02-05:00

Activate Your Money — Invest to Grow Your Wealth and Build a Better World

This is an interview by Nash Roberts, Carofin’s Vice President of Sales and Syndication, with Janine Firpo, author of “Activate Your Money” and investor in Carofin offerings. In it, Janine shares her ongoing personal journey to align her investment portfolio with her values and make a difference in this world. Key Takeaways: Challenge your worldview More >

Activate Your Money — Invest to Grow Your Wealth and Build a Better World2021-11-15T16:10:08-05:00

Be selective. It’s your money.

A young company approaches you. “Invest in us,” they say, “and your shares will be worth millions.”  What are they offering, and does the structure make the most sense for you and the company? For the past quarter-century, we’ve been approached by companies – some little more than concepts – that showed promise.  Many satisfied More >

Be selective. It’s your money.2022-02-09T09:01:34-05:00

Reducing Expenses and Minimizing Taxes

Last week, my daughter asked for advice (obviously, she’s no longer a teenager): how can I balance my budget? I told her, among other tips, to control two things – reduce your expenses and minimize your taxes. What works for my family works for others.  That’s why Carofin encourages setting up a Self-Directed IRA custodian More >

Reducing Expenses and Minimizing Taxes2021-03-23T08:43:30-04:00

Lessons from a Pro Player Turned Entrepreneur

Would you expect a pro football player to become the CEO of a successful cosmetics company?  We didn't.  But, then, we listened to his story.  And it made sense. This is an interview by Bruce Smith, Carofin’s Vice President of Investor Development, with Chris Kolodziejski, CEO and Founder of Mosaic Distributors, a developer and distributor More >

Lessons from a Pro Player Turned Entrepreneur2022-06-23T15:10:51-04:00

Direct Private Investments: Why Invest in Them?

Investing directly in private companies can give you more control over your investments, help small businesses across the nation, and add balance to your traditional investment-heavy portfolio. And it might also provide tax benefits. Here are two things I hope you take away from this article: Develop a basic understanding for Direct Private Investments More >

Direct Private Investments: Why Invest in Them?2023-04-27T09:19:23-04:00

What do you mean by “Private Equity?”

Investors are increasingly drawn to alternative investments[i] to make them less vulnerable to market volatility and to achieve “absolute returns” (investment returns more directly tied to the underlying company’s financial performance). Within alternative investments, “Private Equity” investment opportunities abound, but what this really means can be confusing.  In this piece, we’ll try to demystify More >

What do you mean by “Private Equity?”2023-03-28T09:17:39-04:00

First Principles (#2): What Opportunity is being pursued?

Consistency is critical in our business. When it comes to investment analysis, this “First Principle” – “What primary business opportunity is the issuer pursuing?” – is the first question successful investors apply in their consistent approach to company analyses. Have you adopted this principle?    Identifying the fundamental rationale for an enterprise is central to More >

First Principles (#2): What Opportunity is being pursued?2020-12-17T14:17:01-05:00

Energy Storage: 5 Failures, 10 Lessons Learned

By: Chris Wedding, PhD | Iron Oak Energy Capital “You miss 100% of the shots you don’t take.” Depending on whether you are from the South or the North, you’ll think that quote was attributed to Michael Jordan or Wayne Gretzky. With two degrees and a professorship at UNC Chapel Hill, I’m definitely going with More >

Energy Storage: 5 Failures, 10 Lessons Learned2022-01-12T13:01:03-05:00

Stock Markets and Safer Choices — There may be a better way

In a recent article in The Economist, the author bemoans the fact that today’s “low interest rates leave savers with few good options.” True, but a limited analysis.  Carofin suggests savvy investors, and particularly relative newcomers to private investments, look closely at private debt.  Let’s dig a little deeper. If they were planning for #retirement, More >

Stock Markets and Safer Choices — There may be a better way2022-07-01T11:15:28-04:00

Coronavirus: Investing 6 Feet Away, 7 Months later (Pt. 2)

How have different business sectors performed? Last month I reviewed how COVID-19 has affected us personally in our priorities, physical distancing, personal responsibility, etc. I share below how different business sectors have performed according to our research (Googling, really). As before, I’m using the “star system” to rate my predictions -  1 star = NOT,  More >

Coronavirus: Investing 6 Feet Away, 7 Months later (Pt. 2)2021-11-15T17:03:28-05:00

Coronavirus: Investing 6 Feet Away, 7 Months later (Pt. 1)

This past March, as COVID-19 was beginning to sucker-punch both the world economy and each of us at the most personal level (our physical survival), I began to offer my thoughts regarding societal influences and investment themes created by our new pandemic-dominated world. Many kindly expressed their appreciation for what, on balance, was meant to More >

Coronavirus: Investing 6 Feet Away, 7 Months later (Pt. 1)2021-11-15T17:04:04-05:00

“Vital Capital”

Vital – Absolutely necessary, essential Capital – Money used for a particular purpose After 25 years supporting financially under-served small to medium-sized American businesses through discrete private financings, we’ve honed the summary description of our businesses to: Meaningful Investments – Vital Capital Last month I addressed what Carofin means by Meaningful Investments.  Here I’d More >

“Vital Capital”2023-03-14T09:38:14-04:00

Are You About to Become “Accredited?”

On August 26, 2020, the SEC adopted amendment to the “Accredited Investor” definition, which determines who can participate in most offerings in the private capital markets. While the definition historically limited access to individual investors who met a specific income or net worth test, the amended definition now allows investors with sufficient knowledge and expertise More >

Are You About to Become “Accredited?”2022-07-01T11:16:54-04:00

Diversity can boost profits. But we’re still failing.

By Chris Wedding  In his latest article, Dr. Wedding, one of Carofin's investment bankers, speaks to a principle that I have espoused throughout my career. Diversity in the workplace (and our country) is not only the right thing to do... it's the most intelligent way to run any business. As you'll see below, the world's More >

Diversity can boost profits. But we’re still failing.2021-11-15T17:06:07-05:00

A Time for “Meaningful Investments”

The COVID years are proving to be a time for reflection – a relatively chaotic period that’s forcing us, both personally and professionally, to reconsider how and why we conduct our lives the way we do. Your investments are, obviously, an important reflection of your values and priorities. What Carofin offers, and why we hope More >

A Time for “Meaningful Investments”2022-03-25T15:43:54-04:00

Has COVID Killed Renewables? Consider These 6 Points.

by Chris Wedding If you only considered headlines like the ones below, you would think that COVID has obliterated the solar, wind, and related clean energy industries. Covid-19 Lockdown Could Kill 500k Cleantech Jobs (Forbes) Wind Energy Group Says $43 Billion at Risk from COVID-19 (Power)  Tesla to Reduce On-Site Staff at Nevada Gigafactory by More >

Has COVID Killed Renewables? Consider These 6 Points.2021-11-15T17:07:20-05:00

PPP Legislative Update: Terms Offer More Flexibility

In 72 hours, the first round of the Paycheck Protection Program exceeded the $350B capacity. In contrast, $120 Billion in loan capacity is still available after a month into Round 2. Congress interpreted this to mean that the loan forgiveness terms were too strict and passed legislation last night to add flexibility. Here we relay More >

PPP Legislative Update: Terms Offer More Flexibility2021-11-15T17:07:53-05:00

Thank God I chose the Right One

by Bruce Smith When I first began thinking about investing, it was easy to get excited about start-ups (not that it isn’t any longer, but I’ve had my share of broken bones along the way). The chance to get in on a Google, an Apple or an Amazon stock while in its infancy is More >

Thank God I chose the Right One2023-02-15T13:55:32-05:00

Identify a Market Opportunity (1st principles of investing)

Consistency is critical in our business.  When it comes to investment analysis, this “First Principle” – “What primary market opportunity is the issuer pursuing?” – is the first question successful investors apply in their consistent approach to company analyses.   Identifying the fundamental rationale for an enterprise is central to helping retain your focus on the ball.  It’s what we consider first before bringing More >

Identify a Market Opportunity (1st principles of investing)2020-12-08T15:01:53-05:00

Articles of Innovation: Biomimicry as a Cure

By adopting a basic set of nature-informed rules as common practice, business owners can thrive to an even greater degree within the existing economic paradigm. While dyscalculia (in laymen’s terms, difficulty with math) often gets between me and the correct number, I have immense respect and appreciation for the concreteness of accounting—truly, even more so More >

Articles of Innovation: Biomimicry as a Cure2022-06-22T15:04:55-04:00

Recession (or worse): What we can do to fight back

While I now live in North Carolina, I’m originally from Kentucky where our state motto is “United we stand, divided we fall.”  An essential attitude for these times … When I hear doubts about the U.S. and its ability to get through this crisis, I’m not buying it.  We still, collectively, have enormous financial reserves More >

Recession (or worse): What we can do to fight back2020-12-08T15:13:25-05:00

Planning our Future

At this point, we’re probably each wondering what the world will look like when this crisis ends and whether we’ll get back to the “good ole days” of last month. I hope not. I hope not because, before COVID-19, the U.S. already had other major crises – we were just kicking those cans down the More >

Planning our Future2022-06-22T15:07:25-04:00

Time for Private Investors to Suit-up

The U.S. Treasury, the SBA and the Federal Reserve are moving quickly - trying to shore-up our economy. Nevertheless, private investment will soon be critical to our ability to respond to the “long tail” of COVID-19.   HNW individuals, family offices and private investment funds will soon become the investors (lenders and equity holders) of last More >

Time for Private Investors to Suit-up2020-12-08T15:17:16-05:00

What does it mean for longer-term investors?

As an investment banker for 36 years now, I’ve observed a significant number of world events during my career. I’ve always found myself wondering each time whether it’s signaled some new “world-order.” Usually, they didn’t, e.g., the 1987 stock market crash and various Recessions. But sometimes they did, such as the Berlin wall coming down, More >

What does it mean for longer-term investors?2020-12-08T15:18:42-05:00

$2 Trillion CARES Act Stimulus: Easier Said than Done

This CARES Act update sends two messages: If you have applied for any of the SBA stimulus programs, you aren’t crazy, and you aren’t alone. Odds are that you haven’t received the $10,000 grant that was promised in 3 business days -- and your application to the Paycheck Protection Program (“PPP”) has not been accepted, More >

$2 Trillion CARES Act Stimulus: Easier Said than Done2020-12-17T14:15:34-05:00

CARES Act Summary

  The CARES Act now offers much needed financial assistance to business owners, but it can be a confusing process to navigate. Below are summaries of the most important SBA programs, steps to follow, and the forms and other company documentation needed to successfully apply. Eligible recipients include U.S. businesses that: Have been affected by More >

CARES Act Summary2022-01-19T11:45:56-05:00

Overcome a Challenge (1st Principles of Investing)

We all have challenges to overcome. But, when it comes to private investments, understanding the challenges a business must overcome in order to capture a market opportunity is fundamental when considering an investment in that company. In our series of articles on First Principles, we show you how to easily define the basic elements of a More >

Overcome a Challenge (1st Principles of Investing)2021-04-20T09:07:54-04:00

What do Aristotle, Charles Munger, and Thomas Edison have in common?

They all use something called First Principles to simplify complex problems. We use them for analyzing private investment opportunities. You might be surprised at how simple, yet effective, it can be.  Investment analysis can be highly challenging.  Each Issuer of securities (the company seeking your investment) is likely rather unique and is different from the previous company you analyzed. More >

What do Aristotle, Charles Munger, and Thomas Edison have in common?2020-12-08T15:26:19-05:00
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