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YOUR BID WILL BE TO ANSWER THE QUESTION
Does a company have to register a business loan from an individual with the state – or division of corporations in a state? THE STATE IS DELAWARE.
Our company is based in NJ, incorporated in NC and has one person (only one) who lives in Delaware. This person would like loan us money (like $50k) and we will offer a conversion option to stock in the future.
Do business loans have to be registered in DE as a security like a company would have to register stock?
How about if it is a convertible loan – which can convert to a security at a later date at the discretion of the lender?
Someone has told me that a loan is a security and must be registered with the state.
I have been given conflicting information about this question.
I NEED A DETAILED ANSWER INCLUDING STATUES ETC.
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