It was recently discovered that companies preparing for their initial public offering (IPO) were being overcharged for printing and typesetting services, according to an article in the Wall Street Journal, making financial printing and typesetting the third largest cost in the IPO process. A trend like this can really hurt an issuer engaged in a stressful IPO. However, there is a way to avoid this. Printers that offer custom pricing packages and printing solutions for IPOs allow companies to stay within their budget.
An initial printing estimate can increase by several thousands of dollars by the end of the process due to ambiguous billing. Extra costs with confusing language and lack of transparency are a dangerous combination, but printing firms that offer fixed fees and custom pricing are the silver lining. For instance, the Edgar Agents fixed rate for IPOs consists of one price for printing the initial registration statement, amendments, correspondence filings and two print runs. With fixed fees or even custom pricing, IPOs can trust that the final bill will not be padded with unexpected charges.
Nevertheless, some issuers might still want to work with the larger firms because their lawyer or banker encouraged it. According to the WSJ article, companies preparing to go public normally choose a printer recommended by their lawyer or banker, and many times these professionals choose a printer because of their long term relationship with a sales person or customer representative. But before making a decision, issuers should know about fixed priced printing solutions like the single source processing option available from Edgar Agents.
With single source processing, Edgar Agents can streamline the entire printing procedure as all outputs are updated instantaneously, increasing efficiency and accuracy. The single source web-based editor and real-time editing assures everyone is always working on the most current version, even simultaneously. Changes flow through the entire document and the system is always highly secure.
Private companies engaged in an IPO cannot afford to be taken advantage of and need partners they can trust to deliver the highest quality service at affordable prices. As the WSJ article points out, going with the largest printer might not be the right partnership for your company. The Edgar Agents philosophy is to always provide the best solutions possible at minimal burden to the client. For more information about Edgar Agents, visit our site www.edgaragents.com or simply call an Edgar Agent representative at 732-780-5036.
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