While the handbook extends to almost 50 pages, here is a brief summary of findings and suggestions. It includes proven tips from those in the private sector who have already created plain English disclosure douments. A full copy of the handbook can be obtained by calling 1-800-SEC-0330 or on the SEC Web site at http://www.sec.gov.
Know Your Audience
--What are their demographics --age, income, level of education, and job experience?
--How familiar are they with investments and financial terminology?
--What investment concepts can you safely assume they understand?
--How will they read the document for the first time? Will they read it straight through or skip around to different sections?
Read Through an Outline of The Existing Content
--Is the language at a level that investors will understand? Does it meet and resolve questions?
--Have you eliminated redundant information?
--Have you used defined terms sparingly?
Discuss the Cover Page and the Summary
--Give investors some key facts about your offering, without telling everything all at once.
--What would be helpful for investors to see on this page?
--Does your summary orient the reader, highlighting the most important points that are presented in greater detail in the prospectus?
--Does the language highlight information that is important to investors? What information is missing?
--Does the document include information that is not legally required and will not help investors make informed decisions?