I have to write a paper about an organization's decision to go public. I'm looking for both sides of the argument; advantages and disadvantages. As usual, I'm just looking for 200-300 words to get off and running.
.© BrainMass Inc. brainmass.com March 22, 2019, 2:03 am ad1c9bdddf
There are a few main advantages and disadvantages in this area. The main advantage is that it gives the company an opportunity to attract investors. The company then has more capital to work with, and the company's stock begins to increase in value. As long as management can maintain positive growth in gross revenues, the upward trend of increased investments from investors generally continues. Issuing an IPO or "going public" also helps the company from a creditor standpoint. Creditors are more likely to extend higher lines of credit to companies that are ...
This solution discusses an organization's decision to go public.