Harvey has invested all of his money in his thriving business. He would like to recoup some of his investment but not completely sell off his business. This might be a good time for him to consider selling stock to the public in a(n)

Question

Quizplus · Accepted Answer

Selling stock to the public in an initial public offering (IPO) would allow Harvey to recoup some of his investment without completely selling off his business.

The other options are not applicable in this scenario:
- ESOP (employee stock ownership plan) is a retirement plan that allows employees to own stock in the company they work for. This would not help Harvey recoup his investment.
- MBO (management buyout) involves the current management team buying out the company from its current owner(s). This would involve Harvey completely selling off his business.
- LBO (leveraged buyout) involves using borrowed funds to buy a company. This would not be relevant for Harvey as he is the current owner, not a buyer.

Harvey Has Invested All of His Money in His Thriving