You worked hard to build your business and now it is time to take it to the next level with an initial public offering, don’t let choosing the wrong IPO transfer agent ruin your plan. With the right IPO transfer agent, you do not have to have a great understanding of securities laws. Your transfer agent does, and they and your securities attorney will protect you. Your transfer agent will also make sure things flow smoothly for you with closing calls, issuance and distribution of shares, and handling inquiries from your most important investors.
The Trust
There is a lot of distrust in the financial markets, unfortunately with good cause. After the financial crisis in 2009, trust became difficult to muster, however, there are still some really great, established transfer agents that have come out of that situation completely unscathed because they always stood on principle, used good judgement and made ethical business practices a priority. Finding those trusted stock transfer agents depends on looking for these three qualities:
- Established and experienced business
- Historical practices
- Service to the clients and shareholders alike
An Established and Experienced Business
A transfer agent that has been established with good experience as a trusted agent is the company you want to do business with. Experienced companies have gone through all the initial growing pains and have matured into a company that moves with transparency. An established and experienced business is honest in their business dealings, has an expert understanding of security law and requirements and protects both their clients and shareholders by helping them stay in compliance.
History can Speak Volumes
The right firm will have an untarnished history. Their name has not been splashed in the headlines with negative press and they have a litany of satisfied clients. Historical performance can be a good indicator of future performance.
Service is Key
A trusted transfer agent is good at servicing its clients and the shareholders throughout the entire IPO process. They are well versed in all the security laws and work within those limits. They are dedicated to see your initial offering to fruition. Colonial Stock Transfer is that transfer agent!
