ET Brutus buys worthless stock
ET Brutus allows private equity and venture capital funds, corporations, and individual investors to legally, conveniently, and inexpensively recognize investment losses in the tax year of their choice. ET Brutus buys stock of dead or dying private companies for $1, charging a service fee of $25 per position.
Read what the Wall Street Journal said about ET Brutus in 2011 and then again in the Wall Street Journal in 2013.
How does ET Brutus work?
1) Email firstname.lastname@example.org. In the email, attach a scan of the stock certificate, or first page of the note or warrant. Include the name of the person authorized to sign the legal agreement for your investing entity.
2) We will email back the legal agreement. Sign and return two copies of the agreements along with a check made out to ET Brutus and the original, endorsed stock certificates, notes or warrants to:
ET Brutus, LLC
PO Box 1605
Los Altos, CA 94023
3) After we receive the signed legal agreements, payment check, and the original documents (endorsed stock certificates, notes, or warrants), we will countersign and issue a check to the investing entity for $1 for each position. We will notify the portfolio company of the transfer of ownership.
Frequently asked questions
How long does this transaction take?
Normally, less than a week if the US Postal Service is used. With overnight delivery, the transaction can be done in 24 hours.
How do I know if the tax loss should be recognized this year or not?
Please refer to your tax advisor to determine if you should recognize the tax loss this year. ET Brutus does not provide any investment or tax advice.
What will ET Brutus buy?
Any US or foreign private company stock, note or warrant.
Why should I sell to ET Brutus?
Not all investments are winners. Sometimes the entrepreneurs just walk away from their company and never formally close the company. Perhaps your preferred stock was converted to common, and is now worthless. Since the company is still in operation, it can be time consuming, difficult, and expensive to try to prove a tax loss, and may be subject to an audit. If the stock has been sold to ET Brutus, this is a definitive transaction that will survive any audit scrutiny.
Some companies may take a year or more to officially close. With ET Brutus, you can recognize the loss in the tax year of your choice.
How safe is this transaction?
ET Brutus has been buying worthless stock from investors since 1999. We know how to quickly handle these transactions so that there are no tax issues.
What is the cost?
We charge $25 per position, and will send you a check for $1 for each position we buy.
What is a position?
Each stock series for a fund/investing entity is one position, i.e., all Series A owned by one fund/investing entity is a position, all Common stock for owned by a fund /investing entity is another position. Each note is a position, each warrant is a position.
I still have questions, can I talk to someone?
Yes, call 650-862-6797 or email email@example.com.
Read what the Wall Street Journal said about ET Brutus.