Ownership Changes Everything™
To Everyone:
It seems that the economy and jobs creation are on everyone’s mind. At LOYAL3, we believe
that people
make a difference. We believe in the bedrock principle of equal opportunity for everyone. And we believe
that getting
more people back into the markets is an important way to support the Middle Class and benefit our
economy.
We've developed a technology platform where people can buy stock in their favorite companies on Facebook or
the web in 3 easy steps, invest as little as $10 and pay no fees, really. We have eliminated the friction points
of investing, to make stock ownership easier and more affordable for everyone. If you can buy a product
on the web, you can now buy stock.
Making Stock Ownership Easy and Affordable
Today, 81.5% of American families don't directly invest in public company stock. There are many reasons
including an enrollment process that is too confusing, minimums that are too high, and fees that are too steep.
Consequently, institutional ownership far exceeds individual ownership, which we believe is unhealthy, as it
concentrates capital formation, creating increased volatility.
LOYAL3’s proprietary, highly scalable platform delivers low-cost individual investors to companies. Our
technology
removes significant costs and automatically accounts for fractional shares. This enables us to offer both
the $10 minimum
and our “fee-free” principle. Together, these features allow us to make stock ownership uniquely easy and
affordable
for everyone.
No Fees — What’s the Catch?
There is no catch. And no hidden fees. It’s a principle of our business model. Rather than charge fees to
users,
we perform services for companies, and charge them for those services. Like helping raise capital, lower
costs of
individual shareholders and increase brand engagement. So, users on our platform always buy and sell stock
fee-free.
This changes the game.
During our market research, we found users to be remarkably inspired with our vision, but cynical that there
must
be hidden fees, an “asterisk” somewhere invalidating “free.” Well, we invite you to look closely at LOYAL3,
because there are no conditions to “fee-free.” We are built to scale, and we want to make it possible for
millions
of people to “own what they love™”.
Ownership — Creating Value for Companies
Traditional retail shareholders are expensive for companies to service on many levels, which has caused heavy
concentrations of institutional shareholders, even though some institutions “short” stocks, and many cause
volatility
through short-term ownership cycles. The LOYAL3 platform delivers to companies low-cost individual
shareholders,
who hold shares, on average 5 years.
The “loyalty effect” of ownership creates profound added value. People care more about things they own than
things
they don’t. Companies have long used ownership to align employees, and now they can use ownership to align
other
important stakeholders. This is the natural progression of ownership as a unique and powerful acquisition,
loyalty and brand engagement currency.
Our platform is an innovative way for companies to create more valuable stakeholders — and the benefits of
ownership
are not only intuitive, they’re measurable. According to Bain & Company, owners spend on average 54%
more, refer
twice as many people, and increase visits 68% more than non-owners. In short, when individuals become
shareholders,
great things happen.
New Opportunities Ahead
Small individual investors will soon be able to use the LOYAL3 platform to participate in IPOs. We sometimes
refer to
this platform as a “Social IPO” because of your ability to purchase shares from the company’s Facebook page
or website, and because of the social tools within our application. You can also Browse IPOs,
as available, from our website and Facebook page.
You can now buy stock in your favorite publicly-traded companies, fee-free, including brands such as Amazon,
Berkshire
Hathaway Inc., Coca-Cola, Facebook, Apple and Starbucks, to name a few, by
clicking Browse Stocks.
By May, we anticipate having at minimum, fifty of some of the most well-known brands available for your
purchase.
Ownership Changes Everything
We’re excited to introduce large numbers of people to the pride of ownership. It is the American dream. Our
platform removes
user friction, and some companies will provide owners with special promotions, including free Stock
Rewards™, as
part of their loyalty and brand engagement programs. We believe we’ll forever change the way companies
connect with their
shareholders.
Ownership changes everything. Companies win with more loyal and valuable stakeholders, broader liquidity and
increased
brand engagement. Individuals win with an easy and affordable way to buy stock in companies they know and
trust. And we
all win with a stronger Middle Class and a more diverse, healthier economy.
Sincerely,
Barry Schneider
Chairman & CEO
LOYAL3 Holdings, Inc.
