An IPO is a significant event in the history of a technology company and represents value for its founders, employees, and customers. However, it also comes with a whole new set of rules, regulations, and standards that the company may not have been https://designdataroom.com/it-due-diligence-checklist-for-further-developing-processes/ held to as a private enterprise. To succeed, you must be prepared. This starts with a thorough ipo checklist.
The first step is to have an operational system that allows the company to keep an impeccable financial report that can stand in the eyes of regulators and shareholders. This is a major concern for the CFO team and should be taken care of long before the IPO timetable. This typically means implementing an automated reconciliation process to eliminate any errors made by hand in the data, as well as ensuring that the company is on track in achieving IFRS and US GAAP compliance, and creating the necessary committees for the board, such as the audit special finance, compensation, and audit.
Another critical point is having a strong management team that is able to execute the growth plans of the company as it moves to becoming public. This is typically the most important non-financial aspect to consider when preparing for an IPO. Investors want to see a capable leadership team with proven experience.
An experienced advisor or auditor should conduct an IPO readiness evaluation to assess the current state of internal controls practices, accounting and other issues that need to be addressed prior to the IPO. This assessment should be conducted early in the IPO to allow any flaws to be rectified prior to being disclosed to investors or the SEC.