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CONTACT US: 908-234-9398  | FINPRO@FINPRO.US     
Form CRS – Customer Relationship Summary
 
Introduction

FinPro Capital Advisors, Inc. is an SEC-registered broker-dealer and FINRA member. We do not offer brokerage services to retail customers. Our focus is exclusively on capital raising and mergers & acquisitions (M&A). There are free and simple tools are available to research firms and financial professionals at www.investor.gov/CRS, which also provides educational materials about broker-dealers, investment advisers, and investing.

What investment services and advice can you provide me?

We advise companies on capital raising through private placements, debt, and equity offerings. We also assist with M&A transactions, including buy-side and sell-side advisory and fairness opinions. Unlike traditional brokerage services, we do not offer investment advice or manage investment accounts. We do not provide investment advice, manage accounts, or hold customer funds or securities. Our services cater to investor groups, businesses and institutional clients involved in these transactions.

 

Types of Capital Raising Services Offered

  • Private placements
  • Debt offerings
  • Equity offerings

Scope of M&A Services

  • Buy-side advisory
  • Sell-side advisory
  • Fairness opinions

Additional information about our services can be found on the Firm’s website at www.finpro.us/fca.

Questions to Ask Us:
  • What specific experience do you have with capital raising or M&A transactions in my industry?
  • How will you tailor your services to meet the unique needs of my business?
  • Can you provide examples of similar transactions you have successfully completed?


What fees will I pay?


Our fees are transaction-based, meaning you will pay fees each time you engage in a capital raising or M&A transaction with us. These fees are milestone-based success fees, which means they are tied to specific milestones achieved during the transaction process.


Fee Structure

  • Upfront initial consulting fees
  • Milestone-based success fees
  • Some fees may be based on a percentage of the overall transaction value

The fees can vary depending on the complexity, size, and type of transaction. We will provide you with a detailed fee schedule before you engage in any transaction, so you understand the costs involved.


Questions to Ask Us:

  • Can you explain the fee structure in detail?
  • Are there any additional costs I should be aware of?
  • How are fees calculated for different types of transactions?

What are your legal obligations to me when acting as my financial advisor? How does your firm make money and what are the potential conflicts of interest that you may have?


Since we do not provide investment advice or services, we do not provide recommendations. However, our compensation structure may create conflicts of interest. Here are some examples to help you understand what this means:

  • Transaction Volume: Each time you undergo a transaction, we will be paid according to the terms of the engagement letter for that specific transaction. Since capital raising and M&A activities are not frequent for most companies, the risk of conflicts due to transaction volume is limited.
  • Transaction Size: Success fees are often based on the size of the overall transaction. Larger transactions might result in higher fees, but given the infrequent nature of these activities, this risk is also limited.

Questions to Ask Us:

  • How do you manage potential conflicts of interest?
  • Can you provide examples of how you have handled conflicts in the past?
  • What measures do you take to ensure my interests are prioritized?

How do your financial professionals make money?
 
Our firm earns fees from completed transactions. Financial professionals receive a base salary and discretionary bonus, partially tied to firm performance. While this could incentivize larger transactions, the infrequent nature of M&A and capital raising minimizes this risk. We are committed to transparency and acting in your best interest.
Questions to Ask Us:

  • How are your financial professionals compensated?
  • Are there any incentives for recommending certain types of transactions?
  • How do you ensure that my interests are aligned with those of your financial professionals?
Do you or your financial professionals have legal or disciplinary history?

No. None of our financial professionals have any legal or disciplinary history. You can visit www.investor.gov/CRS for a free and simple search tool to research our firm and our financial professionals.

Questions to Ask Us:

  • How can I find out more about the legal and disciplinary history of your firm and professionals?
  • What steps do you take to ensure compliance with regulatory requirements?
Additional Information

Capital raising and M&A transactions each carry a certain level of inherent risk.

 

Risks Associated with Capital Raising:

  • Market volatility
  • Regulatory changes
  • Liquidity issues

Risks Associated with M&A Transactions:

  • Integration challenges
  • Cultural differences
  • Regulatory hurdles

 

You should understand the risks associated with a given transaction or strategy before contemplating any such transaction or engaging us.
Questions to Ask Us:

  • What are the specific risks associated with my transaction?
  • How do you help mitigate these risks?
  • Can you provide examples of how you have managed risks in past transactions?

For more details, visit www.finpro.us/fca or call us at 908-234-9398 for a copy of this disclosure or additional information.