1. financing demand: enterprises can raise funds by issuing stocks to support their expansion, innovation and mergers and acquisitions, thus promoting their development. After listing, enterprises can further raise funds by refinancing and issuing bonds.
2. Enhance the visibility and brand value: Listing is a kind of recognition and affirmation for the enterprise, which can enhance the visibility and brand value of the enterprise, thus attracting more talents, partners and customers.
3. Motivate employees: Enterprises can motivate employees through listing, and link employee compensation with the company's stock price, so that employees can pay more attention to the company's long-term development.
4. Improve the level of corporate governance: after listing, enterprises need to follow strict information disclosure and corporate governance requirements, which is conducive to improving the management level of enterprises and reducing operational risks.
5. Providing liquidity for shareholders: Listing provides an exit mechanism for corporate shareholders, which can be realized by selling shares to improve the return on investment.
Of course, listing also means that enterprises need to bear more responsibilities and obligations, such as information disclosure and compliance costs. Enterprises need to comprehensively consider various factors, including their own development stage and market environment, to decide whether to go public.