The Lock-Up Period Explained and What Happens After

A lock-up period is a contractual restriction preventing insiders of a company—including founders, employees, early investors, and venture capitalists—from selling their shares for a specified timeframe following an initial public offering (IPO) or other significant...

Red Flags to Look For in an IPO Prospectus

Overly Aggressive or Unrealistic Financial Projections A prospectus must present a company’s financial future, but projections veering into the fantastical are a major warning sign. Scrutinize the “Use of Proceeds” and “Management’s...