How To Launch IPO? – Complete Process, Eligibility 2025
Published on 16/6/2022
🚀 Going Public in 2025? Launch Your SME or Mainboard IPO the Right Way
Launching an Initial Public Offering (IPO) is a major milestone for any business. Whether you’re a growing startup or an established enterprise, going public provides access to capital, enhances brand visibility, and unlocks expansion opportunities. But the IPO journey isn’t the same for all companies. Depending on your business size and financial standing, you can opt for an SME IPO or a Mainboard IPO.
In this blog, we’ll walk you through the complete IPO process in India, compare SME and Mainboard IPOs, discuss eligibility, and highlight how trusted IPO advisory services like Inspirigence Advisors can help you launch your IPO successfully in 2025.
✅ What is an IPO?
An Initial Public Offering (IPO) is when a private company offers its shares to the public on a stock exchange for the first time. This transforms the company into a publicly listed entity and enables it to raise funds from a wide pool of investors.
✅ What is an SME IPO?
An SME IPO is specifically designed for Small and Medium Enterprises (SMEs) with smaller capital requirements. These companies can list their shares on platforms like BSE SME or NSE Emerge with relaxed regulatory norms compared to Mainboard IPOs.
If you’re a startup or a small business seeking growth capital, working with experienced SME IPO Consultants is crucial for navigating the complex listing process. Firms offering SME IPO advisory services, like Inspirigence Advisors, specialize in making the journey seamless.
✅ What is a Mainboard IPO?
A Mainboard IPO is for larger companies that meet stringent eligibility criteria and are looking to raise significant capital. These IPOs are listed on the primary stock exchanges like the BSE and the NSE. Businesses going for a Mainboard IPO must demonstrate financial stability and operational track record.
Engaging in IPO consulting services ensures that your business aligns with regulatory norms and investor expectations. The Best IPO consultants in India, like Inspirigence Advisors, provide end-to-end support throughout this demanding process.
✅ SME IPO vs Mainboard IPO: Key Differences
| Feature | SME IPO | Mainboard IPO |
|---|---|---|
| Paid-Up Capital (Post Issue) | Up to ₹25 crores | More than ₹10 crores |
| Exchanges | BSE SME, NSE Emerge | BSE, NSE |
| Regulatory Norms | Relaxed SEBI guidelines | Stringent SEBI regulations |
| Investor Base Requirement | Minimum 50 investors | 1000+ investors (retail & institutional) |
| Track Record | Optional 3-year operational history | Typically, 3 years of profitability |
| Compliance & Reporting | Light reporting norms | Full SEBI & stock exchange compliance |
✅ Which IPO Route is Right for You?
Wondering whether to go for an SME or Mainboard IPO? Here’s a simple checklist:
Choose SME IPO if:
✅ Your company has post-issue capital up to ₹25 crores
✅ You want to raise smaller funds (₹2–25 crores)
✅ You’re a startup or MSME with future growth potential
✅ You’re looking for lighter compliance and quicker market entry
✅ You want expert help from SME IPO Consultants in Mumbai or pan-India
Choose Mainboard IPO if:
✅ Your paid-up capital is over ₹10 crores
✅ You have a 3-year track record of profitability
✅ You want access to institutional investors and large capital
✅ You’re aiming for national visibility and higher valuations
✅ You need support from the Best IPO advisory service in India
✅ Step-by-Step IPO Process in India
| Step | Description |
|---|---|
| 1. Appoint an Investment Bank or Underwriter | Hire a merchant banker or financial expert to help plan your IPO strategy. For SMEs, choose a partner with strong SME IPO advisory experience. |
| 2. Draft the Offer Document | Prepare a Draft Red Herring Prospectus (DRHP) or Red Herring Prospectus (RHP) as per SEBI norms. It includes financial statements, a business overview, and risk factors. |
| 3. SEBI and Exchange Approval | Submit the DRHP to SEBI and the respective stock exchange (BSE/NSE or BSE SME/NSE Emerge) for review and approval. |
| 4. Marketing via Roadshows | Create buzz among investors through roadshows, online forums, and investor meetings. |
| 5. IPO Pricing: Fixed or Book Building |
|
| 6. Opening & Closing of IPO Bidding | The IPO is open for subscription (typically 3–5 days). Investors place bids based on the lot size. |
| 7. Share Allotment | Based on demand, shares are allotted. In oversubscription cases, allotment is proportionate. |
| 8. Listing on the Exchange | After allotment, the company’s shares are listed on the stock exchange, and trading begins. |
✅ Eligibility Criteria
▶️ SME IPO Eligibility:
💰 Net tangible assets of at least ₹1 crore
🕒 Operating history of minimum 3 years (preferred)
👥 50+ investors required
🚫 No regulatory blacklisting
🧾 Securities must be in dematerialized form
🏦 Registered with a depository
If you’re planning an SME IPO, work with the right SME IPO consultants in Mumbai or any major city to ensure smooth compliance.
▶️ Mainboard IPO Eligibility:
💼 Paid-up capital of ₹10+ crores
📊 Post-issue market cap of ₹25+ crores
📅 3 years of profitability and audited financials
👥 Minimum number of allottees as per SEBI rules
🚫 No outstanding litigation or regulatory violations
To meet these conditions, seek guidance from firms offering the Best IPO consulting services in India.
✅ Types of IPO Offerings
📌 Fixed Price Offering
Investors know the exact share price before applying.
📌 Book Building Offering
A price band is declared, and investors bid within that range. The final price is decided after evaluating bids.
Both options are available for SME IPOs and Mainboard IPOs, depending on your funding goals.
✅ Why Choose Inspirigence Advisors?
Whether you’re launching an SME IPO or a Mainboard IPO, the support of experienced professionals can make all the difference.
👉 Inspirigence Advisors is one of the Best IPO consultants in India, offering:
- Complete IPO readiness evaluation
- Regulatory filings & documentation
- DRHP & RHP drafting
- Investor roadshows & pricing strategy
- Exchange approvals
- SME & Mainboard IPO execution
If you’re looking for reliable SME IPO advisory services or premium IPO consulting services, Inspirigence Advisors is your trusted partner.
✅ FAQs – Frequently Asked Questions
Q1: What is the minimum capital for an SME IPO?
A: ₹1 crore in net tangible assets and up to ₹25 crore post-issue capital.
Q2: Can startups go for IPO?
A: Yes! Startups can launch an IPO, especially through the SME platform, if they meet the eligibility.
Q3: What is the difference between SME IPO and Mainboard IPO?
A: SME IPO is for small companies with relaxed norms. Mainboard IPO is for large companies with strict SEBI compliance.
Q4: How long does the IPO process take?
A: On average, 4–6 months from planning to listing, depending on documentation and approvals.
✅ Final Thoughts
An IPO is more than just a financial event — it’s a growth leap. Whether you’re a dynamic startup aiming for an SME IPO or a well-established company going public via Mainboard IPO, you need the right guidance and strategy.
🎯 Inspirigence Advisors is your one-stop solution for both SME IPO advisory services and Mainboard IPO consulting in India. Let the experts lead your IPO journey in 2025 with confidence, compliance, and success.
📞 Ready to take your company public?
Contact Inspirigence Advisors – the Best IPO advisory service in India for SME and Mainboard IPOs.
