Four things to consider when listing your company in Finland
Taking a company public is one of the most significant steps a business can take. It opens doors to new growth opportunities and increases visibility, but it also comes with challenges. For many leaders, the IPO process can feel overwhelming, with its legal, financial, and communication requirements. However, with the right preparation, it doesn’t have to be that way.
Sonja Siggberg, Partner at Hannes Snellman, and Tiina Olkkonen, CEO of communications consultancy IR Partners, share their insights into how leaders can successfully navigate the IPO journey. Discover the four key factors to keep in mind when preparing to list your company:
1. Systematic improvement of organisation's readiness to operate in a listed company environment
Sonja Siggberg emphasizes the critical need for early preparation when planning an IPO. “An IPO isn’t just a financial transaction—it’s a transformation of the entire company. Leaders should start preparing well in advance, addressing everything from governance structures to financial processes. It’s never too early to lay the groundwork,” she explains.
In fact, IPO readiness can begin as early as the drafting of shareholder agreements. Ensuring these agreements are designed with a potential IPO in mind can prevent future obstacles and streamline the process when the time comes.
The company must be ready to operate in a listed environment, which involves implementing robust internal systems, such as financial reporting and compliance frameworks. Training employees to understand the expectations and responsibilities of working for a public company is also essential.
“This preparation phase is the perfect time to tackle any underlying issues,” Sonja advises. “Many companies have skeletons in the closet—whether it’s outdated contracts, governance gaps, or operational inefficiencies. Addressing these issues early avoids complications during the IPO process.”
Another critical step is reviewing contracts and governance structures. For instance, change-of-control clauses in contracts may need updating to reflect the realities of operating as a listed company.
Conducting a thorough risk assessment during the preparation phase also helps identify vulnerabilities that could impact the IPO or future operations. “Cleaning up these areas well ahead of time ensures the company is not scrambling to resolve them in the middle of the IPO process,” Sonja says.
By systematically improving readiness across governance, compliance, financial processes, and employee awareness, companies can position themselves for a smoother IPO journey and long-term success as a public entity.
2. Developing a compelling equity story
A compelling equity story is critical for a successful IPO, serving as the narrative that explains why your company is a good investment. This story should align with measurable business metrics (KPIs), showcasing your vision, market potential, unique strengths, and growth strategy. However, the story must remain credible and rooted in facts. Tiina Olkkonen, CEO of IR Partners, notes, “Your equity story isn’t just about investors—it defines your public identity. But it must always be grounded in reality to inspire trust.”
The process of crafting this story should begin early, with input from communications professionals, financial advisors, and legal advisors to ensure consistency and compliance. Sonja Siggberg, emphasizes the importance of legal alignment, explaining, “Everything you include in your equity story must match the information disclosed in your IPO prospectus. Any discrepancies or unsubstantiated claims can lead to serious legal and reputational consequences.”
Starting the process at least six to twelve months before the IPO allows time to refine the message and ensure it reflects the company’s strengths and opportunities. This collaborative effort ensures the story is both inspiring and realistic. Tiina adds, “Investors need to feel your vision is believable. Overselling or exaggerating will only erode trust.”
Tiina also emphasizes the importance of visibility for IPO candidates: “During the IPO process, the visibility of your company and top management among investors is critical. Introduce your key personnel well in advance, as recognition doesn’t happen overnight – it requires time, strategic planning, and consistent effort. Well-planned and executed communication helps your company gain investors’ attention and trust, allowing you to stand out as a strong IPO candidate, even in a competitive market. Furthermore, it is important to note that building visibility during the IPO process must comply with applicable regulations.”
For leaders, the transition to a public company requires careful attention to transparent communication. CEOs must adapt to a stricter environment where every public statement must align with official filings.
3. Establishing and enforcing compliance procedures across all functions and geographic locations
Compliance is not merely a regulatory obligation—it’s a cornerstone of trust and stability for any company preparing for an IPO. While compliance may be viewed as a cost or burden, its value becomes apparent in the risks it mitigates and the confidence it builds among investors and stakeholders.
As Sonja Siggberg, points out, “A strong compliance framework isn’t just a regulatory requirement. It’s also a form of insurance for the business. Ensuring robust systems and well-informed teams safeguards the company’s reputation and long-term value.”
Failing to prioritize compliance can lead to catastrophic outcomes. If critical processes aren’t in place, the consequences can include regulatory penalties, reputational damage, and even a sharp drop in the company’s stock price. Sonja warns, “If a compliance issue emerges post-IPO—whether related to for example employee conduct, data protection, or environmental regulations—it can destroy value almost instantly. This risk must be addressed long before the company goes public.”
The management and board play a pivotal role in enforcing compliance. Governance structures should ensure that reporting mechanisms and internal controls are effective. Board members should regularly question management about how compliance processes are organized and maintained. “As a board member, even dedicating a 15-minute agenda item to this can make a significant difference,” Sonja explains. “It demonstrates diligence and reinforces the importance of compliance as part of company culture.”
The compliance process is often tested during the IPO’s due diligence phase, usually led by financial advisors and legal advisors. This is the time to identify gaps and rectify them before going public. Whether it’s updating contracts, reviewing internal procedures and policies, improving data privacy measures, or training employees, addressing these issues early ensures the company avoids surprises later.
Compliance is also directly tied to transparency. IPO documents must clearly outline any risks relevant to the business. “The prospectus must provide accurate and sufficient information,” Sonja says. “If risks are understated or overlooked, it can lead to investor distrust and even legal liabilities for the Board.”
4.Realistic budgeting of resources
Effective resource planning is equally important. Leaders must assess what needs to be done and identify where external support might be required. Common areas for external assistance include financial reporting, contracts, and communications. Ideally, preparation should start at least 18 months before the IPO, but earlier is always better.
Internal capacity often becomes a bottleneck during the IPO process. As Sonja notes, “Companies rarely have enough resources to manage everything internally, especially alongside day-to-day operations. Early planning ensures that there’s enough time to address gaps without overwhelming the team.”
Effective resource management is crucial for a successful IPO. The process demands significant time, effort, and financial investment, requiring leaders to carefully plan and balance these needs with ongoing business operations. Without proper resource allocation, companies risk overburdening their teams and derailing both the IPO process and day-to-day operations.
Sonja Siggberg highlights the importance of preparation. “Resource constraints are one of the most common challenges during an IPO. Companies must ensure their teams have the capacity to manage the project alongside maintaining business continuity. Often, this means supplementing internal resources with external expertise to alleviate the strain,” she explains.
To manage this effectively, companies should assign dedicated IPO project teams. Cross-functional groups that include financial, legal, and communications advisors can handle the specific demands of the IPO while allowing other teams to focus on their core responsibilities. “Clear roles and responsibilities are key,” Sonja adds. “A structured approach ensures tasks are prioritized correctly, avoiding unnecessary confusion or delays.”
Communication plays a pivotal role in resource planning, and this often requires specialized expertise. Tiina Olkkonen, emphasizes the importance of planning for communication efforts. “An IPO isn’t just about getting the numbers right—it’s also about telling your company’s story effectively,” she explains. “This requires dedicated communication resources, whether it’s training leadership for investor presentations, preparing for media interactions, or managing public messaging during the process.”
Tiina notes that having an experienced communications advisor is invaluable. “Bringing in external support for IPO-related communications can relieve pressure on internal teams while ensuring the messaging aligns with regulatory requirements and resonates with stakeholders. Poor communication can undermine trust, which is the last thing you want during an IPO.”
Many companies find it beneficial to hire interim professionals or consultants to manage workload spikes. External experts can assist with specific tasks such as due diligence, prospectus drafting, financial modeling, communications strategy or media outreach.
If you’re preparing for an IPO and need guidance:
Legal Counsel:
Reach out to Sonja Siggberg, Partner (Capital Markets, Corporate and M&A) at Hannes Snellman for expert legal advice
Mobile: +358 40 837 6967
Email: sonja.siggberg@hannessnellman.com
Languages: English, Finnish, Swedish
Communications and investor relations support:
Get in touch with Tiina Olkkonen, CEO & Partner at IR Partners.
Mobile: +358 40 827 8844
Email: tiina.olkkonen@irpartners.fi
Languages: English, Finnish, Swedish
