IPO readiness services
The path to an initial public offering (IPO) is complex and requires considerable time to plan and execute to succeed.
Whether preparing for a traditional IPO, a direct listing, a special purpose acquisition company (SPAC) merger or a spinoff, large to middle market companies need an operationally sound, in-the-trenches business advisor to help ensure they have the necessary frameworks in place to meet, and withstand, the scrutiny of public markets. In these cases, companies should look to begin the process of achieving their goals well in advance of the offering date.
RSM has the immediate resources and brings a collaborative team across functional domains and industries to support any transaction that necessitates public company readiness. We work with U.S.-based filers and foreign registrants, offering specialized accounting and advisory services tailored to your regulatory requirements. Our priorities are to ensure we assist you in navigating the challenges of this process so that your public debut is successful.
The RSM difference means unparalleled experience
Largest
U.S. provider of assurance, tax and consulting services to the middle market
100+
Capital market transactions (IPOs, SPACs, etc.) over the past five years
16,600
Professionals in 81 cities in the U.S. and six cities in Canada
1,000+
Accounting, finance and business risk professionals
Understand your exit strategy with an IPO readiness evaluation
Walk the IPO process. Let us guide you through the IPO process and answer any questions you have on timelines, key milestones, and the ins and outs of becoming a public company.
Assess current state. We conduct a comprehensive assessment evaluating accounting and financial reporting, corporate governance, internal controls, operations, and regulatory compliance to identify gaps that could affect your IPO journey. Our assessment prioritizes an evaluation of the above areas as well as considerations of internal resource availability, communication protocols with third-party advisors and readiness to manage the provided roadmap from start to finish.
Financial reporting. We will discuss your company’s historical accounting with a focus on what’s expected of you from an SEC financial reporting perspective as you prepare for becoming a public company (e.g., accounting policy elections, close timeline, compliance with Regulation S-X).
Process and control maturity. We will meet with key process owners and information technology governance teams to assess the current maturity around key areas that can require significant uplift. If these areas are not prioritized, material weaknesses can result. Areas include user access review (privileged access), software development lifecycle, entity level controls and controls related to significant accounting estimates.
Priorities deep dive. Experience customized discussions focused on your specific company’s capabilities regarding key areas of IPO readiness like your equity story and Sarbanes-Oxley Act (SOX) compliance.
Roadmap development. Set a path forward toward an IPO as we collaborate with you to develop a high-level roadmap based on results of the readiness assessment.
Strategic preparation is key to success
Are you ready to meet tougher regulatory requirements, manage increased scrutiny and withstand the pressures of being a public entity?
IPO readiness services tailored to your organization’s needs
Managing the IPO process is complex and includes a number of internal and external stakeholders. As such, establishing a governance structure that includes mechanisms such as steering committees, communication protocols and defined project managers is critical early on. Our team can help by being a central hub for information sharing and by managing interactions between stakeholders as well as third parties.
Services include:
- Steering committee and governance structure set-up
- Enterprise-wide engagement/management structure creation
- Project tracking; dashboard reporting; risks, assumptions, issues and dependencies (RAID) tracking
- Information sharing across service providers (e.g., external auditors, investment bankers, legal counsel)
- Roadshow material generation
Navigating complex financial reporting requirements can be challenging. We can help by converting private company financial statements to those that comply with public company standards, conducting audits and preparing regulatory filings, all while evaluating the time to close—critical to ongoing reporting requirements.
Additionally, we can streamline your financial planning and analysis (FP&A) function, enhance forecasting accuracy and help ensure regulatory compliance by developing key performance indicators, establishing efficient budgeting cycles and improving financial reporting.
Services include:
- Annual and quarterly SEC Regulation S-X financial statement preparation
- Technical accounting position papers
- Management’s discussion and analysis (MD&A) development
- SEC comment support
- 03-05 financial statement support
- Pro forma financial statements and selected financial data preparation
- US GAAP/IFRS conversion for both U.S.-based filers and foreign registrants
- Financial statement close process optimization
- Equity story and business plan development
- Transaction modeling and business valuation
- Key performance indicator development and analytics
Our teams can help companies prepare the environment to meet the corporate governance requirements of being a public company, including considerations such as SOX, exchange listing requirements, board and committee member composition and best practices, and whistleblower programs. Further, with sustainability requirements evolving, our teams can support compliance efforts.
Services include:
- Exchange listing requirements assessment and future state design
- COSO control framework implementation
- Governance structuring and best practice training programs
- Internal audit program design, implementation and program management
- PCAOB audit readiness and support
- Control framework implementation and testing for SOX 404 requirements
- Process and control documentation creation
- IT and information security governance and compliance strategy advisory
- Sustainability requirements and reporting
- Climate risk integration
We can help minimize your tax liability, optimize your tax structure and ensure compliance with complex tax regulations. Our services include tax planning, M&A tax, international tax and transfer pricing.
Services include:
- Transaction structuring
- Analysis of federal, state and international tax positions
- Umbrella partnership C corporation (Up-C) structuring with tax receivable agreement
- SEC required tax disclosures, FIN 48 reserves and proforma needs
- Review of requirements and tax implications around incentive-based compensation arrangements
Preparing your human resources function for the demands of a public company can be complex. We can help develop compensation plans, implement HR systems and ensure compliance with SEC regulations.
Services include:
- Policy development (e.g., handbook, code of conduct)
- SEC executive compensation requirements and disclosure preparation
- HRIS assessment
- Talent management and skills analysis
- Evaluation of compensation committee and structure
- Total rewards strategy
Aligning your information technology strategy with business goals, enhancing cybersecurity capabilities and improving operational efficiency is essential to success. We can help develop IT strategies, migrate your system to the cloud, conduct cybersecurity assessments and ensure data privacy compliance.
Services include:
- Current state technology stack assessment
- Enterprise resource planning system selection and implementation
- Managed IT and security
- GRC implementation services including ServiceNow, AuditBoard, Workiva and others
- Data automation
Take a practical approach to going public
Work with a highly responsive team that provides insights into the unique challenges of your market and offers a hands-on approach tailored to support your success.
Going public on an accelerated timeline with a conglomerate
SPAC mergers and going public: Hyliion's path to the NYSE
Biotechnology company keeps growing and evolving
Successful IPO execution requires a multidisciplined approach
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