The benefits of listing a company are as follows:
1, listing can get a lot of money in the market, which can be used to further expand the scale of enterprises, develop their operations, and also promote the management level of enterprises to some extent. After becoming a public enterprise, the brand effect has also been amplified, and the visibility of the enterprise has been further improved. More importantly, after listing, companies can also use stocks or options to attract and retain talents, improve their loyalty and avoid becoming their own competitors in the future.
2. There are a series of strict requirements for listing, especially the corporate governance structure and information disclosure system of the company. In order to meet these requirements, enterprises must improve the transparency of operation and the level of corporate governance structure, so that enterprises can gradually evolve from a "rebellious enterprise" and a "family company" to a modern enterprise.
3. The process of enterprise restructuring and listing is the process of defining the development direction, improving corporate governance and realizing standardized development. Before the enterprise is restructured and listed, it is necessary to analyze the internal and external environment, evaluate the advantages and disadvantages of the enterprise, and find a correct position. Clarify the development strategy of the enterprise. In the process of restructuring, sponsors, law firms, accounting firms and many other professional institutions give advice to enterprises, and through a series of processes such as assets verification, help enterprises to clarify property rights relations, standardize tax payment behavior, improve corporate governance and establish a modern enterprise system.
Disadvantages of listing: after listing, an enterprise is no longer a private company, but is obliged to fully disclose information to the public (including competitors), including information on its main business and market strategy. Sometimes the media pays too much attention to a listed company, which also has some negative effects. After listing, in order to protect the interests of minority shareholders, the major business decisions of enterprises need to perform certain procedures, so some of the business flexibility enjoyed by private enterprises may be lost. Management will inevitably lose control of the enterprise. In order to achieve listing and listing, enterprises need to pay higher fees. Listed companies need to perform more obligations and assume more responsibilities than private enterprises, and the management will also bear greater pressure.