Which of the following might be a disadvantage (or challenge)of an initial public offering?
A) It can be expensive.
B) The entrepreneur will lose some control..
C) It may be difficult to properly value the company.
D) Public companies are subject to more scrutiny.
E) All of the Above

Question

Quizplus · Accepted Answer

All of the options listed are considered potential disadvantages or challenges of an initial public offering. Going public can be expensive, with fees and other costs associated with the offering process. Entrepreneurs may also lose some control as shareholders demand a voice in company decisions. Valuing a company for the purposes of an IPO can be difficult, and public companies are subject to increased regulatory and financial scrutiny.

Which of the Following Might Be a Disadvantage (Or Challenge)of