What is an Initial Public Offering?

An IPO or Initial Public Offering Before an IPO is the initial sale of a company's stock to the public

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The company's stock is held privately and cannot be sold to a public startup

Companies raise funds to grow and expand their business. Other companies go public to expand existing products or services. 

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Other advantages of public companies are that they can raise capital without increasing

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public companies have increased reporting requirements for additional marketing.

Initial Public Offering 

allow existing shareholders to take over the company by liquidating their shares. But on the other hand, 

Accounting and legal costs How a company first goes public An investment bank helps a company underwrite a public offering of shares.