LISTING AS A SOURCE FOR EXPANSION FUNDING

Various companies from different parts of the world which arecurrently going through rapid growth and are in search of equity funding are turning to listing their stocks through the process of an IPO (Initial Public Offering) in order to raise funding for sustaining their growth and expansion of their operations. 

This expansion funding is reliable source to improve the business capability of the company and secure its business from any failures. The funds raised help these companies to set off capital investments, operational training, and enable them to generate and hold jobs

By opting for a listing a company goes from the status of private (no general shareholders) to public (a firm with general shareholders).

Swift expansion for a company means that it needs to employ more workers, provide more office space and possibly lease new accommodations. Since these are typically time bound requirements, the companies need to invest in expansion given the probability of consequential rise in sales and earnings, thereby requiring cash before it can expand its business.

The main aim for a Company seeking to raise growth capital or funding (either working capital funding or project funding) through listingis to explore an option to grow and enhance their business. When considering the available financing options, the following factors are frequently cited as the key benefits of listing as a source of expansion funding:

1.Providing access to growth capital, enabling companies to raise finance for further development (aka expansion funding), both at the time of admission and through further capital raisings.

2.Creating a market for the company’s shares thereby broadening the shareholder base.

3.Placing an objective market value on the company’s business

4.Encouraging employees’ commitment and incentivising their long-term motivation and performance, by making share schemes more attractive.

5.Increasing the company’s ability to make acquisitions, using quoted shares as currency.

This shows that listing is considered as an imperative source of capital to fund their expansion plans in the growth trajectory.

Contact us for all your equity funding through listing requirements.

 

Financial Products

Total Capital Solutions Ltd has strong relations with various Financial Institutions and can help companies acquire letters of credit, bank guarantees, proof of funds and performance bonds.

Credit Facility

A Credit Facility is a flexible financing structure in which GPG commits to purchasing shares of common stock directly from a company, at prevailing market prices, over a multi-year period - contact us for more information.

Prospectus Preparation

Our legal associate can prepare Prospectus both in English and German and handle the BaFin or FSA approval process.