Types of Public Shells

A public shell is a company that has shareholders but has no or minimal assets or earnings. Public shells are also called a shell company or shell corporation.

In more formal circles they can be referred to as public shell company or public shell corporation.

4 Public Shell Types

• Trading Non-Reporting - Normally trades on the Pink Sheets (Pink Sheets is a privately owned quote service not associated with NASD and not subject to SEC reporting requirements.)
  
  A. Past reporting, a delinquent filer, no longer current with its SEC filings. May avoid SEC review if reporting is brought current.
  
  B. Never reporting. Company must file a registration statement to become a reporting company and will normally require a SEC review.
  
  May qualify for the "piggy back" exemption if the company becomes current and compliant with the SEC in its reporting requirements.
  
  C. Designated Pink Sheet Directed trading pink sheet, does not have a 15c211 on file with the NASD. No NASD symbol. On a level two quote, the market maker will quote the bid/offer 1 share by 1 share only.

• Reporting Non-Trading 12G companies, normally just filed a blank 10k with no business
  Usually one shareholder
  No symbol
  Gray sheet, an inactive symbol
  May or may not be reporting
  No active market maker
  Market maker must file a new 15c211 with the NASD to get symbol
  A shareholder base of 50 or more is necessary to get a symbol
  Reporting company will have an audit

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• Non-Trading Non-Reporting Normally only a shareholder base
  No symbol
  May or may not have been a reporting company
  Must file with SEC full business information and audits to become reporting
  Market Maker must file a new 15c211 with the NASD to get symbol This type of shell is least attractive

• Trading and Reporting - OTC/BB Reporting with the SEC, must file annual 10Ks with an audit, 10Qs and 8Ks.
  
  Can be a 15D reporting under the '33 Act, or a 12G reporting under the '34 Act.
  
  

For more information on going public through a reverse merger and details on public shells currently available, please contact Go Public Institute at 281-440-7530