
Ian Cooper
Taking your company public through an Initial Public Offering (IPO) on the London Stock Exchange (LSE) is a significant and transformative decision. Whether targeting AIM or the Main Market, preparation is crucial for ensuring a smooth listing process and long-term success as a public company. This guide provides a detailed overview of the steps required for IPO readiness, from early planning to post-IPO management, with a special focus on the LSE’s requirements and advantages.
Note: While you may also see references to ‘listing’ when referring to an initial public offering, strictly speaking, you only ‘list’ on the Main Market, which is why we use the term floating when generally referring to the process of an IPO.
Starting early is the key to a successful IPO. Companies must be fully prepared to meet the regulatory, financial, and operational challenges of going public. An IPO readiness assessment is a vital first step, offering an external view of your company’s strengths, weaknesses, and gaps. This evaluation covers critical areas such as corporate governance, financial reporting, and tax strategy.
We offer comprehensive and bespoke IPO readiness assessments, addressing governance, financial disclosures, risk management, and even Environmental, Social, and Governance (ESG) readiness.
Incorporating ESG factors into your IPO preparation is now essential, as investors increasingly seek companies that prioritise sustainability and corporate responsibility.
Why early planning matters:
Is your business ready for an IPO – Take our IPO Readiness Assessment now to find out.
The IPO process is multifaceted, involving collaboration with legal, financial, and regulatory experts. The London Stock Exchange offers distinct paths for companies of different sizes, from AIM, suited to smaller, growing businesses, to the Main Market for larger, established companies.
AIM:
Main Market:
During the IPO process, companies will need to manage:
We are experienced in supporting companies through this intricate process, offering due diligence services like working capital reviews, and long-form reporting for decades.
For more detail related to the key steps involved in the IPO process, read our IPO Readiness guide.
Floating on the London Stock Exchange provides companies with access to deep pools of capital, enhanced credibility, and a platform for growth.
The LSE also offers specific programs to assist companies through the IPO process. We work closely with the London Stock Exchange on their IPO Readiness programs which include workshops and roadshows, helping companies in meeting their regulatory requirements and to manage their post-IPO obligations.
Floating on AIM:
Listing on the Main Market:
Once a company is quoted, the journey does not end. Public companies face greater regulatory scrutiny, and it is essential to maintain compliance with corporate governance and reporting standards. We provide post-IPO support services, designed to help companies navigate the complexities of public reporting, risk management, and ongoing investor relations.
Post-IPO success involves:
In today’s market, ESG (Environmental, Social, and Governance) factors are increasingly important to investors. Companies that prioritise sustainability and social responsibility are more likely to attract investor interest and enhance their long-term value. Including an ESG readiness component in your IPO planning can help position your company favourably.
ESG Preparation:
Best Practices for a successful IPO:
In summary, the most effective strategies for success are:
For a more in-depth dive into getting your business IPO ready for a flotation on the London Stock Exchange, we have developed this IPO readiness guide. Alternatively, you can also take this quick IPO readiness assessment to gauge how ready your business is towards getting ready for a flotation. Want to save time; you can contact us directly by submitting your enquiry here.
By ensuring you address these factors in your IPO readiness process, you not only improve the chances of a successful listing but also lay the groundwork for long-term growth and stability as a public company.