Special purpose acquisition companies

A special-purpose acquisition company can sidestep some hurdles that come with a traditional initial public offering. However, when companies go public, there are a few caveats to consider with financial reporting, such as compliance with U.S. GAAP.

Everybody’s talking about SPACs, and we can see why — there are several benefits to this creative way to go public. But before you take another step, make sure you’ve addressed these audit and accounting issues. 

As investors look to precious metals as a way to manage risk among market volatility, long development times or execution risks make conventional financing methods a challenge. Is a special purpose acquisition company (SPAC) a viable option to overcome these obstacles? 

SPACs are exploding, and we’re seeing valuations that make an IPO an enticing exit strategy. But preparing for a public offering requires key actions related to your audits, financial accounting, and internal controls. Here are steps to consider.