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What are the pros and cons of IPO?

Pros and Cons of an IPO. Pros: Cons: An IPO, to recap, is when the company sells stock to the public. If a firm can convince people to buy stock in the company, it can raise a lot of money. The IPO is seen as an exit strategy for the company founders and early investors to profit from their early risk taking in a new venture.

What is an IPO company?

An initial public offering (IPO) is the first time that the stock of a private company is offered to the public.IPOs are often issued by smaller, younger companies seeking capital to expand, but they can also be done by large privately owned companies looking to become publicly traded. An IPO is also referred to as a public offering.

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