Small Business Development Group, Inc. (PN) Company Description
Small Business Development Group, Inc. operates as a holding company, and as such, it may own either majority control or a minority position in the businesses it acquires. SBDG is actively acquiring businesses for its portfolio, and specifically seeks stable businesses that have demonstrated modest but predictable growth and profitability over time. In brief, SBDG is interested in acquiring boring tortoises rather than flashy hares. Holding companies such as SBDG offer a particular advantage to investors; the diversity of its holdings spreads the risk among several different business sectors. Consequently, an unforeseen collapse in one sector may be offset by gains in another. Accordingly, SBDG has targeted its acquisitions in such unrelated industry sectors as: chemical manufacturing; services and supplies to energy producers; media services for business; forest products; commercial and residential window, door and glass installation; specialty foods; HVAC installation and maintenance; merchant banking; and strategic business solutions consulting. Typical acquisition targets would be manufacturers or service providers that have been in business for twenty years; have demonstrated modest but stable profitability and growth; that have maintained sound business fundamentals; and that are owned by "baby boomers" seeking to retire with an exit strategy. This business structure is advantageous in that a current-information PINK operating as a holding company is allowed to acquire either privately-held or other publicly-traded corporations, including those trading on higher-level exchanges, while avoiding the expense of compliance required of a fully-reporting company under SEC regulations. Any PINK corporation like SBDG is, however, fully accountable under SEC Rule 10b-5 which defines and governs illegal and unethical practices.