Earlier this month, an attorney at a large law firm got a call from a representative of Midtown Partners, a boutique investment bank in New York and Chicago that sells public equities to private investors. The caller began by asking if the attorney knew what a “unicorn” was. He then asked whether the attorney would be interested in investing in private tech companies like Lyft and Snapchat, for a minimum of $20,000.
Cold calling potential investors about private tech stocks is on the rise, as the secondary market for such stocks heats up. The calls even come with presentations that contain either historical data or projections on the companies being pitched.