Small IPOs Boosted by Laws to Encourage Small Businesses
A new post by The Wall Street Journal looks at what many hope to be a renaissance in small IPOs as a result of Reg A+. Reg A+ is just on provision of the Jumpstart Our Business Startups Act passed by Congress in 2012 to encourage small-business growth.
The post discusses how "In the late 1990s and early 2000s, an ecosystem of bankers, lawyers and investors helped small companies go public. After the tech bubble burst, many small and midsize banks went under or were absorbed by bigger firms, which viewed small offerings as an inefficient way to earn fees."
Reg A+ is intended as a way to bring back small IPOs by making the IPO process easier, faster, and less expensive for smaller companies. The first handful of Reg A+ IPOs have begun trading in the last few months.
Click the link to read The Wall Street Journal article: "Small IPOs Boosted by Laws to Encourage Small Businesses"
