Small-cap investors have a short attention span.
Taking the show on the road is often what it takes to get a small public company back on their radar screens, said Kevin Holmes, chief executive of Chesapeake Group, a Towson-based investor-relations company.
“Small-cap companies are relatively unknown,” Holmes said.
The 35-year-old former stock analyst and his 13 employees help small-cap companies get their messages out to the financial community by meeting with brokers via phone and in person.
Founded during the height of initial public offering fever in 1996, Chesapeake survived the bursting Internet bubble and is cranking out $6 million to $8 million in revenue a year.
Holmes attributes his firm?s success to his ability to research companies and boil down complex concepts so they are easily understood.
“I take a company?s jargon and translate it into layman?s terms,” Holmes said.
This is one reason Great American Family Parks recently chose Chesapeake Group to tell brokers its story.
“A lot of people know nothing about us,” said Larry Eastland, president of the Boise, Idaho, amusement park manager.
Eastland believes his company?s stock is undervalued and hopes to raise more capital through Chesapeake?s efforts.
“Our long-term strategy is to buy and manage many more amusement parks,” Eastland said.
