WHY GO PUBLIC?
The simple answer is that you will be able to raise more funds to expand your business after the successful listing of your company. As a publicly listed company (1) you have access to funds worldwide (2) build credibility, better image, and brand equity (3) ability to attract more qualified and top talents to your company (4) ability to expand your business due to the perceived image and credibility of a listed company (5) create more jobs for your communities (6) acquire other companies through the stock (7) attract the attention of mutual and hedge funds, market makers and institutional traders (8) reduce the huge burden of having to borrow money from the banks and paying high-interest rates each year.
WHY LIST ON THE OTC?
If your company intends on raising more capital or is looking to provide liquidity to your current shareholders, then listing a company on the OTC Markets is the way to go. The OTC Markets attracts investors from across the world. It can raise your company profile and funds at the same time.
The United States capital markets offer a tremendous opportunity for growth and expansion to start-up companies as well as long-established companies, and especially for international companies that hope to gain access to the international investor capital.
MAJOR COMPANIES ON OTC
There are many well-known companies that started on the OTC before moving to the larger stock exchanges such as NASDAQ and NYSE (New York Stock Exchange): Adidas, Allianz, Danone, Deutsche Bank, Glaxo, Infineon, Nissan, Novartis, Roche, Shiseido, Siemens, Shell, Toyota, Volkswagen, Yamaha.
FROM OTC TO NASDAQ
Listing on the OTC offers a less stringent, faster, and more affordable route as compared to bigger exchanges such as NASDAQ, NYSE, or AMEX. You may opt to list on NASDAQ, NYSE, or AMEX at a later stage once your company has grown significantly and has the means to manage the stricter listing compliance of NASDAQ or NYSE.