There are more and more companies in our country now, some are well-known and some are newly established. Some companies can go public to earn more profits after meeting certain conditions. But there is also a time process for a company to go public, so how long does it usually take for a company to go public? Please follow me next.
1. How long will it take for the company to go public?
The time from enterprise restructuring to issuance and listing depends on the specific situation, which is generally more than one year. In general, the approximate time of each stage is as follows: it takes about 6 months from planning to restructuring to establishing a joint stock limited company, and the time for changing a standardized limited liability company into a joint stock limited company can be shortened; It takes about 3 to 4 months for intermediaries such as sponsors to conduct due diligence and issue application documents; Theoretically, it takes about 3 to 4 months from the examination by the CSRC to the issuance and listing, but the actual operation time is often around 10 months.
Second, the basic process of enterprise listing
Generally speaking, if an enterprise wants to be listed on the domestic securities market, it must go through three stages: comprehensive evaluation, standardized reorganization and formal start-up. The main work is as follows:
It is a complex financial engineering and systematic work to comprehensively evaluate the listing of enterprises in the first stage before listing. Compared with traditional project investment, it also needs to go through the process of pre-demonstration, organization and implementation and post-evaluation. But also faces the path choice of whether to list in the capital market and in which market. Listed in different markets, enterprises have to do different jobs, channels and risks. Only through the comprehensive evaluation of enterprises can we ensure that listed enterprises can operate correctly under the condition of controllable costs and risks. For enterprises, it is also a price to organize and mobilize a large number of personnel and mobilize all aspects of strength and resources to work. Therefore, in order to ensure the success of the listing, the enterprise will first conduct a comprehensive analysis and research on the above issues, and carefully give opinions, and then fully start the work of the listing team after getting a clear answer.
In the second stage, there are hundreds of key issues involved in the initial public listing of enterprises, especially in the current specific environment of China, there are many historical issues left by private enterprises, such as finance, taxation, law, corporate governance and historical evolution. And many problems in the later period are quite difficult to deal with. Therefore, it is very important for enterprises to deal with some problems in advance in a planned and step-by-step manner with the assistance of listed financial consultants on the basis of completing the preliminary evaluation. Through this work, it can also be done.
In the third stage, once the listing target is determined, the enterprise will begin to enter the practical operation stage of the external work of listing, which mainly includes: selecting relevant intermediaries, carrying out joint-stock reform, auditing and legal investigation, brokerage counseling, issuance declaration and issuance listing. Because the listing work involves five or six external intermediary service agencies working at the same time, the personnel involve dozens of people. Therefore, it is very difficult to organize and coordinate, which requires multi-party coordination.
After the company grows up, it may choose to go public for better development. Listing is actually public financing. In order to avoid harming the public interests, China has made strict regulations on the conditions for listing companies, so companies can't go public if they want to go public. As can be seen from the above introduction, the time required for a company to go public is uncertain and needs to be analyzed according to the specific situation. It usually takes a year to be short.