Evaluate

Are you truly ready to go to public?

Weigh your options

Is going public the right choice? Are there other ways to achieve your objectives, such as a bank loan or private equity?
Deciding where to list is crucial. Consider your company’s industry, location, and life stage.

Where are you now and how will you move forward?

Identify critical gaps in your workforce and the expertise needed, including legal, financial reporting, audit, tax, governance, and risk management capabilities.
Perform due diligence of publicly listed comparable companies to help identify additional key gaps.

Begin as much as 36 months beforehand, to issue the offering at the most advantageous time. Plan adequately for group structural and financial reporting considerations.
Prepare to adopt public company practices (consider internal and external reporting timelines and standards, internal controls, enhanced business planning, performance management, and mock earnings calls).
Develop a board skills matrix to identify gaps and potential candidates for both the going public process and life as a public company.
Identify M&A opportunities to optimize the going public offer price and perform buy-side due diligence as needed.

Establish a strong foundation for long-term success.

Assess the corporate structure and jurisdiction. Plan for changes and optimize the tax structure for your business, existing owners, those who will exit upon listing, and future investors.

Financial statements compliant with International Financial Reporting Standards (IFRS) or U.S. Generally Accepted Accounting Principles (GAAP) for the last three years are generally required. Interim statements may be needed in some cases. Consider the need to convert financial statements previously prepared under Accounting Standards for Private Enterprises (ASPE) or U.S. GAAP.

Review internal management reporting, financial processes, controls, and IT structure. Are the procedures appropriate for a public company? Can you produce accurate financial statements and MD&As within required timelines?

Begin preparing your listing documents. Develop a business plan and engage advisors for help with a valuation, value enhancements, sell-side due diligence, and roadshow materials.

Everything that will make or break the deal happens now.

For reverse takeovers, perform due diligence on your target listed shell companies as well as necessary negotiations.

Review your integrated working capital model to ensure enough cash flow for the next 24 months.
Determine the audit and review requirements for the purpose of the filing. Engage a public accounting firm to audit your IFRS or U.S. GAAP financial statements.
Draft the MD&A to provide investors with a meaningful, deeper understanding of your company.
Work with your legal team to draft necessary agreements and coordinate the final filing document.

This is your chance to pitch potential investors. Consider hiring a PR firm to assist.

The work of your accountants, legal team, investment bankers, underwriters, and other advisors culminates here.

Compliance, protocols, and transparency are the watchwords.

Help ensure corporate policies align with both board strategy and industry best practices.

Professional advisors can assist with accounting, tax, valuations, and compliance matters.

Align board strategy and initiatives with ongoing performance measurement and internal and external reporting. Establish appropriate processes and tools for business planning, budgeting, and forecasting (including models and dashboards).