When you want to take your company public, it is recommended you consult the experts to ensure you get the best possible results. In the world of initial public offerings, a great result would be over-subscription of the shares offered to the public. You also want high share prices to ensure your company is valued appropriately by the market. Another result you want is stable share prices weeks, months or years after the IPO. Nobody wants share prices that fluctuate too much as they can go in the wrong direction.
By looking for reliable IPO advisory services, you can be assured of getting the best possible outcomes during and after the IPO. Since every consultant is different, it is recommended you take time to conduct the necessary research to find the best advisory firm for your needs. When commencing your search, be sure to make a list of IPO advisory firms in the city. You can then search the web for information that can help you compare these firms and pick the best firm for your needs. In this regard, the following are key factors to consider when searching for a suitable advisory firm:
Registration & Licensing
Only service providers that have been registered with the authorities and possess a valid license to offer IPO advisory services should be considered. Before getting registered and licensed, service providers often have to prove that they have met all the minimum legal and professional requirements to work in the industry. This means, therefore, that they are suitably qualified to offer the services you require. When making your shortlist, therefore, licensing and registration should be the most crucial factor of consideration.
There are three key factors to look into when considering the experience of a firm. First and foremost, you must look at the number of years they have been in the IPO advisory industry. Secondly, you need to check the number of IPOs they have worked on in the past. Be sure to also check the types of firms they have helped to take public. If you are in the manufacturing industry, therefore, you should give special consideration to firms that have taken dozens of manufacturing companies public. When you get advice from an experienced firm, you can be assured of getting quality services and best outcomes when your IPO goes live.
The reputation of an IPO advisory firm must be taken into consideration. This is because you want to be represented by a trusted and reliable firm that has been in business for a long time. By reading a couple of reviews and checking ratings, it will be possible for you to identify a firm that has a proven track record. Be sure to also read testimonials before you make your final decision.
There is no doubt that going public costs money, so it’s recommended you compare the rates charged by different firms before making a decision. The upfront costs quoted by the shortlisted firms must also be compared because you do not want to go broke while trying to take your company public.