Rebirth: Stockbroker, I have market data

Chapter 516: Here comes the money

Wang Xi was stunned for a moment when he heard this, and then he understood that this was Xiao Jin wishing him a bigger and bigger business.

You know, the current rule is that one sponsor representative can only handle two cases a year, and one case requires two sponsor representatives. Now his sponsor representative configuration can only handle two cases a year. .

When Xiao Jin said there were not enough sponsor representatives, didn't he mean that his business would be more and more in the future?

So how much does it actually cost for a company to go public?

In fact, this is really difficult to explain clearly.

In summary, it can include explicit costs and implicit costs.

The explicit fee is the intermediary agency fee.

The three major intermediaries of A-share IPOs, securities firms, accountants, and lawyers, are familiar to the general public. However, in fact, A-share IPOs may involve up to 26 intermediaries, namely:

1.ipo顾问、2.募投咨询顾问、3.券商、4.会计师、5.中国律师、6.海外律师、7.评估师、8.行业顾问、9.ipo信息服务提供商、10.内控顾问、11.it审计机构、12.市场调查公司、13.股权激励顾问、14.pre-ipo私募融资顾问fa、15.财经公关、16.媒体事务服务机构、17.舆情监测和危机公关服务、18.知识产权顾问、19.高新技术企业咨询顾问、20.商业背景调查机构、21.环保中介机构、22.保险机构、23.质量检测机构、24.翻译机构、25.印刷商、26.电子底稿服务商。

Numerous intermediaries also indicate that A-share IPO is a highly professional and systematic behavior.The first issuance of shares and listing of a company is a milestone for a company to achieve excellence and is of great significance; in the overall preparation stage, forming good profitability and standardized operating systems, and selecting excellent and suitable intermediaries are important factors for the success of the IPO.

Among them, securities dealers, accountants, and lawyers are the three most important institutions.

The main tasks of a securities firm include:

1. As the core of intermediaries, securities firms are the general coordinators of intermediaries in restructuring and listing matters.

2. In the restructuring stage, its main role is as a financial consultant, responsible for the overall design of the restructuring plan;

3. During the issuance application stage, its role is as sponsor and lead underwriter, responsible for organizing application, communicating with regulatory authorities, organizing feedback, inquiry and pricing, and sales; after listing, according to legal requirements, securities firms must also perform ongoing Supervision obligations;

4. Some securities firms implement the "investment + investment banking" linkage model, but must meet relevant firewall principles.

Based on a certain proportion of the financing amount, many securities firms also require guaranteed fees, with the median underwriting rate being 8-9%.

The payment progress is made in installments, with the main part paid for successful listing. The initial fee before listing is generally not less than 200 million yuan.

The focus and difficulty of the IPO review are financial matters, which involves accountants.

1. Accountants are mainly responsible for the audit of financial statements;

2. Based on the determined asset boundaries and in accordance with the requirements of accounting standards, issue a three-year financial audit report;

3. Assist the company to improve its internal control system;

4. Issue special reports including internal control assurance reports or internal control audit reports;

5. Assist enterprises and securities firms to respond to feedback from regulatory agencies;

Brokerages are large and small brokers with sponsor qualifications across the country, and there are many accounting firms, including: PricewaterhouseCoopers, Ernst & Young, Deloitte, KPMG, Lixin, Tianjian, Dahua, ShineWing, and Rongcheng , Grant Thornton, Tianzhi, Zhongshen Zhonghuan, Daxin, Zhonghui, Zhongxinghua, Huaxing, Tianheng, Zhonghua, Zhongxing Caiguanghua, Notary Tianye, Asia Pacific (Group), Zhongtianyun, Shanghui, Zhongxi , Sichuan Huaxin, Zhongqin Wanxin, Sigma, Lixin Zhonglian, Yongtuo, Zhongshenhua, Zhongshen Asia Pacific, Suya Jincheng, Beijing Xinghua and so on.

IPO audit fees are generally 500 million to 800 million, and are also paid in installments. The initial fee is generally not less than 200 million yuan.

Next is the lawyers, including Chinese lawyers and foreign lawyers, depending on the business coverage of the listed company.

1. Lawyers are mainly responsible for the drafting of legal regulations and relevant legal documents for the overall restructuring and listing work;

2. Issue legal opinions and lawyer work reports for restructuring and listing;

3. Assist issuers to improve their corporate governance structures;

4. Drafting of relevant legal documents and information disclosure documents;

5. Assist enterprises and securities firms to respond to feedback and inquiries from regulatory agencies;

6. A few projects may involve special legal advisors on historical evolution;

7. For permanent legal counsel after listing, the contract must be signed additionally.

The main organizations in the industry are:

King & Wood Mallesons, Zhonglun, AllBright, Guoco, Guofeng, Deheng, Kangda, Junhe, Jingtian Gongcheng, Xinda, Qiyuan, Tianyuan, Jiayuan, Tiance, Tianyin, Century Tongren, Tongshang, Huashang, Tongli, Tianhe, Junzejun, Bank of China, Haiwen, Dacheng, Guangfa, Yingming, Chengyi, Galaxy, Hairun, etc.

IPO lawyer fees are generally 300 million to 500 million yuan, which are also paid in installments. The initial fee is generally not less than 200 million yuan.

In addition to the above expenses, the main expenses include tax costs, social security costs, listing preparation expenses, etc.

There was a lot of tax avoidance before companies were restructured into joint-stock companies, which was a common problem before corporate listing regulations.

For example, due to business-level reasons, some taxes are underpaid, or the company's financial management system is not standardized, cost expenditures, revenue recognition, etc. do not comply with tax laws, or the company's related-party transactions are handled carelessly, etc., which may cause tax costs for the company.

Social security costs are particularly common in labor-intensive enterprises, and there are problems with irregular labor employment within the enterprise.

For example, the social security base is reduced, the number of employees is falsely reported, etc. The issuance review committee has very strict requirements for enterprise labor and employment standards. Enterprise IPOs generally need to carry out social security regulations and pay higher social security costs.

Overall, the key issue in the IPO process is how to choose a securities firm.

The cost of an IPO is high. Excluding the above capital costs, time costs and opportunity costs of success are also factors that companies must consider.

Therefore, companies should make systematic planning on how to choose a securities firm for an IPO and what preparatory actions need to be taken before filing.

These are extremely professional things. In addition, original stock transactions are subject to 25% corporate income tax and 20% personal income tax, as well as various taxes such as stamp duty of 0.3% of the transaction amount.

Haha, it is not so simple for a company to go public. Often, if a company wants to go public, for example, if it raises 1000 million yuan, it will probably spend nearly [-] million yuan in fees. The cost is very high.

Of course, the main purpose of going public is to make money. The money raised after going public is much lower than the cost of borrowing from banks before, and the money does not need to be repaid.

This is also the reason why many companies are flocking to it, and as the most important securities firm, it is natural to make a lot of money. It can make a big profit after the company's IPO, and all participants can get a lot of income.

So, when Wang Xi found Xiao Jin, he just came to give Xiao Jin money!

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