Moving towards an initial public offering often seems like a great idea. It allows founders, employees, and investors to cash out, and is a significant source of new funding.
But there's a downside too, according to a working paper from John Asker and Alexander Ljungqvist of NYU's Stern School of Business and Joan Farre Mensa of Harvard Business School—and it goes beyond the possibility of an embarrassing Facebook or Groupon style collapse.
To read the full, original article click on this link: New Evidence That IPOs Are Bad For Growth - Business Insider
