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promotional stock |
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promotional stock n. stock issued in a newly-formed corporation and given to a promoter (organizer) of the corporation in payment for his/her efforts in putting the company together and locating shareholders or other funding. Most states (and the federal Securities and Exchange Act) limit promotional stock to an amount reasonable for the effort since it is not backed by assets or money. (See: promoter) |
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The marketing campaign would include pre-announcements in mid-1999, the taking of a bulk sample of ore in the second quarter (already done) to recover gold and silver to manufacture promotional stock, a high profile launch in the fourth quarter coinciding with the first gold pour at the mine, and having in place a retailer network by year end. |
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promotional stock
