after a 10-year period of recession in the United States and Europe finally raised a wave of an IPO of science and technology. Index Ventures can already through our to Arista Networks, Criteo, Etsy, Hortonworks, Just Eat, King and Zendesk to sniff out the boom in the company’s investment of ci.
a few weeks ago, we invited a part of the creation of listed companies “and their consultants to our London office to share their work experience, practice communication with emerging enterprises. This was invited to the London stock exchange, the famous investment Banks and law firms of CFO, chief counsel, staff, and a public relations consultant. The communication to our finance, operations and communications colleagues well.
we agree that it is necessary and is considering an IPO of people with lofty ideals to share the following what I learn valuable experience,
you have to do preparations before IPO
listed is like marriage, the wedding is important, but the marriage itself is more important to maintain. by the same token, the IPO is the most important is not listed, but after the enterprise as the operating performance of listed companies.
business absolutely not distracted. although the IPO for enterprise is a big deal, but only when the enterprise management team to focus on it only as a project and do not ignore the note business, IPO is the most effective.
prior to the IPO, you have to start enterprises think of yourself as a listed company, of course you can’t think too far. too many companies eager to break into the market just because all of a sudden market situation is good or have opportunity can grasp and so on. However, you should slow down and calm down, in the present business conditions of listed before you project. Not everyone need to do this, of course, but there is no doubt that your management team, accounting, and corporate counsel you trust need to consider the status of the post-marketing. They need to prepare for an IPO in advance, ensure that financial transparent, and audit as early as possible.
before starting operation, understand the bankers and select the public investors. keep in mind, and bankers communication dialogue as soon as possible. Want to know, and some bankers pleasant maintaining good relations is very important. Early for you in a few years to build the harmonious relationship is the advantage of the listed in the future. This can let the buyer know in a few years the development of the enterprise, gradually gain trust. At the same time, keep options, do not appear only at early stages and the possibility of a consortium of cooperation.
to choose the appropriate consultant is the key. The key to the whole process of trading is to choose the appropriate advisor – is a lawyer at the beginning, and then the banker. You are very clear what you need from consultant. For example, if you need a lawyer to help you understand technical experience and industry knowledge, that would be just the reverse, a pain, no gain. You have to ensure that the tacit understanding between you and your advisor, and harmonious coexistence, after all, who also don’t want to hate people work to the middle.
select analysts and select bank is just as important, but few people realize. because analysts are outsiders, but involves the trading company, and you don’t need to employ the most just don’t know these blank analysts. So, choose bank half the reason is also to ensure that they are excellent analyst can help you.
when you listed company, your company will be close to the KPI (key performance indicator). the more data provided to analysts, the more they can reach a consensus, this is a good thing. KPIs negative effect is the data you provide, the more the more you one of them is likely to be disappointed. So there is a balance, on the one hand, you have to let them enough insight into your business and then give them a good impression, on the other hand don’t let them thoroughly he who sees through the workings of your business, otherwise you are doing it.
period of the shareholders in the IPO and try to reach a consensus on the move. raising pre-ipo financing especially when you are in the final stages, whether written or oral, by, and will try to advance agreement about how to shareholders in the IPO. This will avoid the shareholders endlessly explore whether quantity decide the price or the price decision.
shares the first day of the performance is one of the focus of attention. Where is compared with an IPO, when released plans to release quantity and price, how stock performance is more important. if the share price started his promise was realized in this and the company, then people will be on the small flaws in the process of tolerance, but if once, on the other hand, it is hard to recover.
listed company law of the survival of
first, “will have a bearing, your word”. if you as a listed company, do not have a socket, and your word, you’ll soon be discredited. This loss is difficult to repair. But if you did, company will also gain credibility for a long time.
the following three kinds of people is you need most in operations listed companies : one able to communicate with analysts unobstructed head of investor relations (IR). Second, you need an excellent enterprise external public relations consultant, help you will investors into the media information, because the attitude of the media for the most part can affect the investors. In the end, you’ll need at least a trusted advisor (is likely to be a broker), can be into your inner circle and participate in the discussion of any transaction.
limit of time you spend to cope with external affairs. when you are in the operation of the listed company, you should spend most of their time with analysts and the meeting of shareholders. So the best way is to plan in advance. Set aside a specific time of the year abroad, some important moment for example: in the first quarter or half year report; And you have to do not meet with other irrelevant personnel in foreign period.
can choose the person to help you on the strategic level as non-executive directors (non – execs). you don’t need to be control, all you need is a man of rich experience and familiar with the business. All you need is predictable and can help you to stay away from trouble. Most importantly, a non-executive director should do is to fill the vacancy of the board of directors. Review the knowledge and skills you have, can with you mutually complementary.
the author Ben Holmes yes partner. His areas of focus are games and e-commerce. He made investments in the aspect of the game from us, including the King, Playfish (has been EA) and Mind to invest on the Candy. In addition, he also invested iZettle, Just Eat, Notonthehighstreet, Rebtel, Secret Escapes, Shapeways and Trustpilot.
to learn more knowledge, entrepreneurial innovation quickly add hunting cloud network micro letter public account: