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Initial Public Offering (IPO)

A good source of equity funding is to sell stock to the public by staging an initial public offering (IPO) which is the first sale of a company’s stock to the public and an important milestone for a firm for four reasons: it is a way to raise equity capital; it raises a firm’s public profile; it is a liquidity event, and it creates another form of currency (company stock) that can be used to grow the company.


Initial public offering (IPO) is the sale of stock to the public for the first time.


Initial public offering (IPO) is a type of public offering in which shares of a company usually are sold to institutional investors that in turn, sell to the general public, on a securities exchange, for the first time after a company is established.

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