IPO Preparation Checklist

An IPO is a major milestone in the life of a tech company and is a source of value for its founders, employees and customers. However, it also comes with an entire new set of rules, regulations, and standards that the company may not have been held to as a private business. To be successful, you must be well-prepared. This begins with a thorough IPO checklist.

The first step is a fully-functional system that see this page allows the company to maintain an unblemished record of financial performance that is able to withstand the scrutiny of regulators and shareholders. This is a major concern for the CFO team and must be addressed long before the IPO timeline. This includes implementing an automated reconciliation process to remove errors in data, making sure that the company is compliant with IFRS and US GAAP, and setting up committees for board members such as the audit and compensation committees, as well as special finance.

A strong management team is also essential. They will be able to manage the growth plans for the company when it goes public. This is usually the most important aspect aside from financial, to take into account when preparing for an IPO. Investors are looking for a leader team that has demonstrated their capability.

An experienced auditor or advisor is required to conduct an IPO readiness test to determine the state of internal control practices, accounting and other issues that must be addressed before the IPO. The assessment should be carried out early in the IPO to allow any shortcomings to be addressed before they are reported to investors or the SEC.