Public Offering - Exiting a Business

The video tutorial explains the process of public offerings, focusing on Initial Public Offerings (IPOs) and Direct Public Offerings (DPOs). It details the role of the United States Securities and Exchange Commission (SEC) in the registration process, which ensures that investors receive all necessary information to make informed decisions. The tutorial contrasts IPOs, which involve underwriters and investment banks, with DPOs, where companies sell shares directly to the public. It also covers the commitments underwriters make during IPOs, such as firm, standby, and best efforts commitments, and the importance of creating a market for the shares on stock exchanges.

What is an IPO and how does it differ from a direct public offering?

What role do underwriting firms and investment banks play in the IPO process?

Describe the registration process required by the SEC before selling shares to the public.

What is the significance of the SEC's Edgar search database in the public offering process?

How does a direct public offering differ from an IPO in terms of selling shares?

What are the different types of commitments that underwriters can make during an IPO?

Explain the concept of a roadshow in the context of an IPO.