A prospectus is the primary tool used by a company to promote the sale of its securities. It also serves as a legal document that proves investors were presented with all of the company's important facts: business operations, financial condition, management information and risk factors. Financial statements are available in a company's Annual Report as well as on Forms 10-K and 10-Q filed with the Securities and Exchange Commission (SEC). The 10-K form is filed annually, and the 10-Q form is filed quarterly.

Most companies have a Web site with an Investor Relations (IR) section. Investor information can be downloaded or requested through most sites. Most company Web sites will include the most current Annual Report and possibly the 10-K and 10-Q financial documents, which are more detailed. If the 10-K and 10-Q are not available on the company's Web site, they should be available on the SEC Web site.

Most companies send new investors a prospectus by mail. Additionally, investors receive an information packet along with a proxy card before the annual shareholders meeting. This packet usually contains a prospectus and/or Annual Report.

In addition to the company Web site, investor information can be obtained from the SEC's EDGAR database, or from the Secretary of State's office or Securities Administrator in the company's state of incorporation. Microcap companies may not have elaborate reports. However, they should be able to send potential investors information when requested.

Visit the SEC Web site for additional information regarding accessing company reports (at http://www.sec.gov/answers/companyinfo.htm) and microcap company reports (at http://www.sec.gov/investor/pubs/microcapstock.htm)