What are some of the reasons a family-owned or privately-owned business may want to go public? What are some of the reasons that discourage such firms from going public?

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The Answer is Private or family owned firms are more likely to go public when valuations are high or are increasing. Companies also are inclined to go public when they anticipate an inability to finance future investment opportunities or the outlook for the future profitability is unclear. In contrast, private firms are less likely to go public because of the increasing reporting requirements of Sarbanes-Oxley and the SEC, as well as concern about interference from public shareholders. Private firms also are less likely to go public when the special privileges that accrue to the controlling shareholders exceed the anticipated benefits from going public.

What Are Some of the Reasons a Family-Owned or Privately-Owned