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VistaWEB.COM is the latest company to enter the online investment banking fray. VistaWEB.COM was founded in 1994, but has opted to remain quiet until they have finalized their patent-pending system. They are far from ordinary. VistaWEB is truly trying to change the capital formation process on a global basis by providing a total end-to-end portal solution for technology companies looking to raise capital online through both private placement memorandums (PPM) and initial public offerings (IPOs). Ultimately, this end-to-end solution should benefit both individual investors and emerging high tech companies during the entire offering process, from the creation and distribution of the prospectus, to the road show, to share distribution, to aftermarket analysis and support, all via the VistaWEB portal. We spoke with Donald Rinaldi, the spirited Chairman and CEO of VistaWEB.COM this past month. "VistaWEB targets emerging technologies companies with a proprietary advantage. We conduct both private placements and initial public offerings." Are you ready for this, they "do not charge underwriting fees, or stockbroker commissions from the issuing companies." The technology companies keep 100% of the offering proceeds. This concept is not only new, its revolutionary. So if VistaWEB does not make money from underwriting, how do they plan on making money? Answer, they make money through investments up to $1,000,000 in private placements offerings and initial public offerings. Vistaweb.com patent pending portal system will provide high tech companies an overall package consisting of interactive marketing, web casting, online distribution of shares, and investment. We visited the web site and originally found it fairly difficult to exactly understand what was going on. We spent some time and broke the services down for you into sections so you could grasp the overall global mission. The first two sections are the most important and relevant for investors. The first and most important section of the web site is called the Beta Portfolio. You can click on the link to the Beta Porfolio from the main home page. The Beta Portfolio is a listing of companies that have registered with VistaWeb and have received "merit approval." "Merit approval" basically means that VistaWeb is willing to invest and help the company grow. Once the company receives "Merit Approval" the portfolio company receives assistance from VistaWEB in the form of "corporate development, technology R&D, manufacturing sales and marketing licensing and distribution." The Portfolio companies may also receive equity to jump-start their growth. Does VistaWEB sound like an Internet incubator? Yes they do in a way. The unique aspect of VistaWeb's business model is that they are combining venture capital with underwriting and operating the entire process online. VistaWeb is also focusing on building a database of global investors. The key here is the word "global"; not just investors from the United States. Think about that for a moment, a database of investors from all over the world. Talk about buying power. The second most important section is called The IPO Spotlight. Companies in the IPO Spotlight section have emerged from the Beta Portfolio incubation period and are then ready for capital investment from the public. The capital is raised online through the VistaWEB Internet site. Capital is raised throughout the world from thousands of global investors. VistaWEB does not charge any underwriting fees, and Vista Capital Growth guarantees to invest up to $1,000,000 in purchase warrants. The VistaWEB.COM Marketing section is more geared towards portfolio companies rather than investors but it is interesting to see how the "all in one" portal solution is presented. VistaWEB marketing creates online and offline advertising, marketing and public relation campaigns for the issuing companies. VistaWeb Broadcast Channel- The web broadcast channel is in development and will focus on syndicating multi-media presentations on the technology news associated with the beta portfolio companies. The channel will also interview industry leaders, entrepreneurs and experts in the field of high technology. The web casts will also conduct online road shows. The webcasting will enable VistaWEB to conduct the entire offering online from marketing and advertising to the underwriting and final distribution or allocation of shares, to aftermarket support. In the last chapter of our book "Trade IPOs Online" we discussed the future of online investment banking and we predicted that new online investment banks would radically change the current online banking model. We see VistaWEB at the forefront of radically changing the capital formation process. We also believe VistaWeb would make a great acquisition. If the system they are building does get patent approval don't be too surprised to see one of the larger players like a Goldman or Morgan Stanley swooping in and trying to buy the infrastructure. VistaWEB has two deals in the works. Currently VistaWEB.COM is looking to raise $200,000,000 for Nustar.com and $4,000,000 for VistaWeb both private placement deals. At the time of this article there were no IPO opportunities for individual investors. Accredited investors that join the IPO membership can buy shares in private placements through the VistaWEB.COM web site. We will keep in contact with VistaWEB as they continue to bring new deals and development to the online investment banking arena. In the meantime you can register for their IPO membership by clicking on the link in the upper left-hand side of the home page.