What’s an ideal timeline for an IPO?

Will Tanem • January 29, 2025

Services: Technical Accounting, IPO Readiness


As IPO advisors, we frequently hear this question from companies considering going public. The transition from private to public status requires careful orchestration of strategic initiatives, complex processes, rigorous audits and extensive documentation. Understanding this timeline helps companies prepare effectively for each phase of the journey. 

Today, we will break down the IPO timeline and guide you through what to expect as you prepare your business (and your team) for this significant milestone. 

What is an IPO timeline?  

An initial public offering (IPO) represents a transformative milestone for any company, opening new opportunities for growth and capital access. The process demands extensive planning and preparation, making a well-structured timeline essential for success. 

The IPO timeline encompasses the sequence of events and activities leading to your company’s public debut. Successful companies begin their preparation 18-24 months before their target IPO date. This preparation spans everything from initial strategic planning to financial readiness to the eventual listing day. 

Each phase of the timeline requires strategic guidance from experienced advisors across multiple disciplines. At BPM, our Technical Accounting & IPO Readiness Team brings together specialists in SEC compliance, technical accounting, HR consulting, transaction advisory, corporate tax, business valuation services and risk assurance. We work alongside attorneys, auditors, investment bankers and other advisors to help companies navigate challenges, minimize risks and execute a timeline tailored to their unique IPO journey. 

Why is managing the IPO timeline important? 

Understanding and effectively managing this timeline is crucial for a successful public offering. As IPO advisors, we’ve identified several key areas that require thorough preparation: 

  • Regulatory compliance: Companies must meet stringent SEC filing and disclosure requirements and prepare extensive documentation to go public. Our team works alongside  attorneys, auditors and other advisors to ensure all documentation meets these complex standards. 
  • Financial reporting readiness: To meet public company reporting standards, companies must upgrade their financial reporting systems and processes. BPM’s advisors help assess and enhance these capabilities to deliver accurate, timely reports quarter after quarter. 
  • Operational adjustments: Transitioning from private to public status requires significant changes to how a company functions to improve efficiency and scalability – from organizational structure to process management to technology infrastructure. Our team helps identify and implement these crucial operational improvements. 
  • Investor relations: Companies must develop comprehensive investor relations strategies to communicate effectively with potential investors and prepare for increased scrutiny from investors and analysts. BPM’s approach to guiding companies through the IPO readiness process addresses each of these key objectives. Our team conducts detailed readiness assessments, benchmarking current operations against public company standards to develop a tailored roadmap. Through our knowledge in technical accounting, SEC compliance and operational transitions, we help companies navigate the complexities of the IPO process at every stage of their timeline. 

Detailed IPO timeline breakdown and key steps to IPO readiness  

An IPO timeline adapts to each company’s unique state of readiness – the process might span several months or extend beyond two years. Understanding what to expect at each phase helps companies prepare strategically for the transition. 

Here’s a comprehensive breakdown of the key stages in the IPO timeline: 

18-24 months before IPO – IPO Assessment Phase  

At this early stage, companies lay the groundwork for their public debut. Leadership teams commit to pursuing public markets and begin understanding how to align their operations with public company standards. 

As IPO advisors, we help companies conduct a thorough readiness assessment during this critical phase. BPM’s specialists evaluate various facets of operations and financial reporting, benchmarking them against public company requirements. Key activities: 

  • Performing a comprehensive IPO readiness assessment to identify gaps in resources, financial reporting, internal controls, technology and corporate governance 
  • Determining SEC filer status  
  • Evaluating current readiness for PCAOB audits 
  • Benchmarking accounting practices against public company standards 

By the end of this phase, companies have a detailed roadmap for closing identified gaps and achieving public company standards. 

6-18 months before IPO – IPO Readiness Phase  

With a clear understanding of required improvements, companies focus on implementing their IPO readiness roadmap. This phase involves significant operational changes and engagement with strategic partners. 

BPM’s advisors provide comprehensive support to help overcome key challenges: 

  • Uplifting financial reporting to meet public company standards 
  • Quarterization of financial statements 
  • Technical accounting assessments for complex transactions 
  • Implementation of new accounting standards 
  • Acceleration of month- and quarter-end close processes 
  • Completion of PCAOB audits 
  • Implementation of robust internal control frameworks 
  • Development of a strong executive team with public company experience 

During this phase, companies also begin forming their IPO Working Group, including investment bankers, securities counsel, auditors and other essential advisors. Our team helps manage various workstreams while supporting in-house teams with technical and operational projects, allowing core business leaders to maintain daily operations. 

1-6 months before IPO – IPO Execution Phase  

During these final months, companies navigate a complex regulatory landscape while preparing for life as a public company. This phase intensifies as companies enter the core of the SEC review process and prepare for investor scrutiny. 

BPM’s IPO Readiness specialists play a critical role during this crucial stage, serving as both technical advisors and project managers. We assist with: 

  • Drafting and reviewing Form S-1/S-4 filings 
  • Coordinating among management, securities counsel, external auditors and other service providers 
  • Managing the SEC filing timeline 
  • Responding to SEC comment letters 
  • Supporting the due diligence process 
  • Providing interim operational support to maintain business continuity 

Meanwhile, investment banking teams lead several parallel workstreams: 

  • Finalizing the offering structure 
  • Determining the company’s valuation and price setting 
  • Officially engaging lead underwriters 
  • Determining target offering and closing dates 
  • Preparing roadshow presentations 
  • Managing IPO pricing and effectiveness with the SEC 

Companies often face significant challenges coordinating these various workstreams while addressing regulatory inquiries. Our proactive approach helps anticipate and address potential regulatory challenges, streamlining the approval process. We ensure executives can focus on operations, roadshow presentations and investor engagement while our IPO advisors focus on the critical elements of project managing the IPO execution phase. 

Create your IPO timeline with BPM  

Taking your company public marks an exciting yet complex milestone. From initial readiness assessment through listing day, each phase of the IPO timeline presents unique challenges and opportunities. Companies that invest time in thorough preparation across all aspects of their business—from enhancing financial systems to developing a compelling equity story—position themselves for a successful public debut. 

BPM’s IPO Readiness Team provides comprehensive guidance and technical support throughout your entire IPO journey. Our interdisciplinary approach and commitment to long-term success make us your trusted partner in navigating the path to becoming a public company. 

Contact BPM today to learn how our IPO readiness services can help your company confidently navigate its IPO timeline. 

 

Profile picture of Will Tanem

Will Tanem

Partner, Technical Accounting & IPO Readiness
Technical Accounting Practice Leader

Will leads BPM’s Technical Accounting Group, advising public and private companies in Silicon Valley and the larger Bay Area. He …

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