Editing 1course Stock Market (section)

== Why Companies Go Public ==

=== 1. Raise Capital ===
The primary reason companies go public is to raise significant capital. This influx of funds can be used for expansion, debt reduction, or other corporate needs.

=== Example: Uber’s IPO in 2019 raised $8.1 billion, which it used to enhance its technology and global presence. ===

=== 2. Increase Visibility and Credibility ===
Going public enhances a company’s visibility and credibility in the market, attracting more customers, partners, and top talent.

=== Example: Becoming a publicly traded company can boost a firm’s reputation, making it more attractive to potential business partners and employees. ===

=== 3. Provide Liquidity ===
An IPO provides liquidity for the company’s founders, early investors, and employees, allowing them to sell their shares and realize gains.

=== Example: Early employees of companies like Google and Amazon were able to sell their shares post-IPO, turning stock options into significant wealth. ===