INITIAL PUBLIC OFFERING
A Step by Step Process

WHAT IS INITIAL PUBLIC OFFERING
• IPO is short hand for Initial Public Offering
• Private company with private stockholders to Public company with “outsider” stockholders • 3 part Journey to Success

WHY MAKE THE TRANSITION?

Notoriety

Leverage
More Money
Better Managers

PRE-IPO

Restructuring

Staffing

Review Company

*Start the ground work for going public *Bring in management familiar in leading the change

*Make sure any potential growth for the company is reasonable and profitable TRANSITION

Let the Professionals
Handle It
*Hire a well known, accredited company to handle the transition.
The public will be examining everything! Beat Expectations

Persevere

*Exceed previously made transitioning goals.

*Remember that change takes time. Investors are cautious with their money and they want to know you are successful.

POST IPO

Fulfill Promises

Execute Business Plan

Settle In For The Long
Haul

Make sure all promises made to staff and stockholders are held accountable Make sure all goals are still being met and business ethics are still visible

Buckle down and show that your stock is valuable and success in long coming

COMMON TRANSITIONING CONCERNS
• The Cost of Going Public
• The Time it Takes to Go Public
• Failure To Succeed
• Failure To Keep Stockholders Informed Of Company Operations

CAUTIOUS SHAREHOLDERS

FAIR MARKET VALUE
“…the price at which the property will change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or to sell and both having a reasonable knowledge or relevant facts.”

SOLUTIONS AND SMILES

ACCOUNTING PROCESSES/PROCEDURES

Private
• Bound by GAAP

• Profit motivated
• Less restraints to maintain bottom line
• Decision