This is not a traditional IPO. While you are allowed to use a Reg A+ offering to take your company public and list it on the NASDAQ or the NYSE, that is not a requirement, and it is not the path most companies will take because the reporting costs from being public on the big boards are very high. An advantage of using Regulation A+ to take your company public to the NASDAQ or NYSE is that you can set a zero minimum for the Reg A+ itself and then if you do not meet the minimum listing capital raise for the NASDAQ or NYSE you can still complete the raise and get the capital. Then the option to uplist exists for a later date.
A more cost effective route is to list your company on the OTCQB, or the OTCQX; see below for more on this. Some companies are taking this route with a plan to uplist when they are more established. Continue reading “Is Regulation A+ an Initial Public Offering – IPO?”