IPO: an exciting combination of finance and reputation
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An IPO is an exciting process that asks for a very thorough period of preparation. You will need to decide who will take the investor relations role. This can be taken up by a specialist, by the CFO in smaller companies, or by a corporate communication person who is sufficiently well versed in Finance. Obviously based on sound financial logic, engaging investors with a well constructed and motivating equity story is of crucial importance.
"An IPO is reputation management + finance" |
Reputation Management starts early
Financial logic is rarely enough. IPOs, like the stock market itself, are run on expectations, trust and confidence. You will need sound reputation management to start early, to build confidence in your company, but also to build confidence in your Board of Management. Investors look for a safe pair of hands and they do not like risks associated with your business, especially when they are hard to quantify like reputation risks.
Remember to take your people with you
IPOs are absorbing, some would say distracting to senior managers. Make sure you remember your internal communication. As the cliche goes, this is a marathon, not a sprint and you need to keep the business running.
Financial logic is rarely enough. IPOs, like the stock market itself, are run on expectations, trust and confidence. You will need sound reputation management to start early, to build confidence in your company, but also to build confidence in your Board of Management. Investors look for a safe pair of hands and they do not like risks associated with your business, especially when they are hard to quantify like reputation risks.
Remember to take your people with you
IPOs are absorbing, some would say distracting to senior managers. Make sure you remember your internal communication. As the cliche goes, this is a marathon, not a sprint and you need to keep the business running.