An IPO is a significant event in the development of a tech firm and represents value for its founders, employees and customers. It also creates new rules, regulations, and norms that may not have been enforced on the company when it was an individual company. To be successful, you need to be well-prepared. This begins with a thorough ipo checklist.

The first step is a fully functional system that enables the company to keep an unblemished record of financial performance that can stand up to the scrutiny of regulators as well as shareholders. This is a top priority for the CFO’s team, and should be addressed well before the IPO date. This includes implementing an automatic reconciliation process to eliminate any errors in data, as well as ensuring that the company is in compliance with IFRS and US GAAP, and setting up board committees such as the audit or compensation committee, as well as special finance.

Another important aspect is having a solid management team that will be able to execute the expansion plans of the company as it moves to becoming public. This is typically the most important factor in addition to financial, to be considered when planning for an IPO. Investors are looking for a leadership team that has shown their capabilities.

An experienced auditor or advisor should conduct an IPO readiness test to determine the current state of internal controls accounting procedures, internal control as well as other issues that need to be addressed prior to the IPO. It is recommended to conduct this assessment early in the IPO process so that any deficiencies can be addressed prior to being revealed to investors and the SEC.

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