its stock. Financials do not need to be disclosed.
This scares off 99% of potential investors. The truth is many solid companies are covered in the Pink Sheets. It just takes a little extra research.
The OTCBB is just like the Pink Sheets, except it has a few more requirements.
You see, before 1990, the over-the-counter securities market was a Wild West show. Not complete lawlessness, but close to it. So that year, the SEC started the Over-the-Counter Bulletin Board as part of the Penny Stock Reform Act. The OTCBB’s main purpose was to bring more quotation and last-sale information.
By 1999, the OTCBB had evolved to the point at which every company had to report regular financial information. This sets it apart from other markets, specifically the Pink Sheets.