Probably the biggest disadvantage of "going public" to the entrepreneur is the:
A)dilution of ownership interest.
B)diminished corporate image.
C)future threat of being acquired through the use of stock.
D)loss of key employees.

Question

Quizplus · Accepted Answer

When a company goes public, it usually issues new shares of stock, which can dilute the ownership interest of the entrepreneur. This means that the entrepreneur might have a smaller percentage of the company's ownership than they did before, which could lead to a loss of control and decision-making power. Additionally, going public can require significant regulatory compliance and transparency, which can be time-consuming and expensive. However, it could also bring in a lot of capital for business expansion.

Probably the Biggest Disadvantage of "Going Public" to the Entrepreneur