How long does it usually take for a company to go public?

It usually takes more than one year for a company to go public. It takes about six months from planning the 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 prepare application documents. In theory, 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 month.

When a company goes public, it should choose a good intermediary and entrust an appropriate intermediary such as investment bank, law firm, accounting firm and asset appraisal firm to complete the listing task. It depends on whether the sponsor has a good record of cooperation with other well-known intermediaries and whether the sponsor is familiar with the industry fields engaged by listed companies. When planning the listing of a company, the intermediary agency should conduct detailed due diligence on the company under the overall arrangement of the sponsor, conduct a comprehensive diagnosis of the enterprise, and find out the gap with the listing conditions. In the past, most private enterprises existed in the form of non-corporate system, so before listing, it is necessary to carry out joint-stock reform and set up joint-stock companies through asset reorganization, so that the main business can be prominent and the growth can be strong, and the management can be strictly in accordance with the modern enterprise system.

Legal basis: Article 145 of People's Republic of China (PRC) Company Law.

A listed company must disclose its financial status, business operations and major lawsuits in accordance with the provisions of laws and administrative regulations, and publish its financial and accounting reports every six months in each fiscal year.