Understanding Initial Public Offerings
Growing your business requires a number of separate factors to work together. As you enter a new company into the marketplace, whether you are attempting to carve a place for your brand in an existing business sphere or to establish an entirely original concept, you are largely at the mercy of things beyond your direct control.
Economic conditions in a particular community or across the entire nation fluctuate constantly in response to global concerns, and public sentiment shifts with the wind. To prepare your business for the long haul, it may be beneficial to gain capital through an initial public offering.
If you are considering offering shares to the public for the first time but are unsure about whether doing so is in your best interest, consulting with an experienced attorney is absolutely indispensable. Contact the Des Moines business lawyers of LaMarca Law Group, P.C. at (877) 327-2600 to learn more about this important decision.
Getting the Facts
When the news media reports on the initial public offerings (IPOs) of large privately held companies, such as Google, there is often a frenzied pitch to the discussion. After all, those enterprises have already been proven on a broad scale so they constitute a fairly limited risk for investors.
For smaller businesses, such as your own, there is no guarantee that an IPO will generate as much investor interest or cash influx as you might hope. By granting ownership of your company to public shareholders, you will surrender much of the flexibility that you had when it was solely the interest of you and your partners. But there are many possible benefits, including:
- Gaining significant financial capital
- Establishing a broader and more well-regarded public reputation
- Appealing to desirable executives and employees
- Easing the process of taking control over other businesses
There are many other possible financial benefits as well, but an improperly timed or priced IPO can spell doom. Contact the Des Moines business lawyers of LaMarca Law Group, P.C. at (877) 327-2600 for experienced legal counsel.