This week, I had several MUNCmedia “IR 101” conference calls with a few of our long term clients. By no means were these strategic IR consultation discussions on issues: ie “should you offer quarterly of annual guidance” or “the value of stock-buy-back programs.” It was a tad simpler: ie “where the hell is your Investor Relations website?”
One important facet of my joining MUNCmedia was to introduce real “tactical expertise” to the hundreds of smaller market-cap clients we serve. The very FIRST thing I do when we sign a new client is I review their IR website ( I have a deeeeeeeep knowledge in that topic ). I was surprised by how many small cap companies have no IR website. Some do link to random stock pages, but a large percentage have nothing. Bad PubCo, bad bad!
Every investor – retail and institutional – ABSOLUTELY EXPECT to find an IR website about your company. In their eyes, iIt validates the “IR product” exactly as shopping consumers expect “more information” about a company’s products and services. “Without an IR website,” I merely state, “you are losing sales leads out of your sales funnel.” Funny. When I switch from IR vocabulary into Sales lingo, the CEOs tend to understand and take action.
I also suggest to them… don’t get buried in the sales mire of available features. Just start with a crisp, professional presence, but the key point is to start. Make your “financial brand” at par with your marketing brand. There are many important reasons to have a great IR website, but for small-cap companies remember: Investors need to buy the story before they will buy the stock.
Have a great day.