Taking a company public, or running an IPO is a complex and prolonged process. While many new and potential IPO candidates assume erroneously that the route to an IPO begins with a prospectus development and concludes on the day that the stock is open on the trade – the truth cannot be farther from that!
The IPO process begins long before the companies appear on stage. Companies must understand themselves, grasp their IPO aims, and take the challenging actions needed to fulfill the market expectations from a publicly listed company.
The IPOs market is highly dynamic and the chance window can only open for a brief while. Successful IPO needs alignment of organizational norms, robust controls, and improved technological agility.
The public listing of a company necessitates change – both systemic and cultural. Preparing organizations for disclosure obligations, transparency, compliance, and corporate governance is a complex process that requires time. Multiple measures need to be prepared, analyzed, and managed to get a company IPO ready in the best possible way.
The first major hurdle on the list is to be very clear and sure about taking the IPO route. Consider all the consequences for your company of public access and the best options.