As we head into the fall, Monomoy Advisors hopes that you had an enjoyable summer and are recharged to finish 2023 with a flourish. The Monomoy team looks forward to continuing to serve our clients.
Approaching year-end, the Monomoy team has identified several potential items for your consideration which we would be happy to discuss with you.
- For calendar year-end companies, now is the time to begin your audit preparation to ensure an efficient audit experience. Initiating this process as one heads into the third quarter close provides the opportunity to review financial records, organize supporting documentation, and to collaborate with the auditors regarding complex accounting matters and significant transactions which may be audited outside the normal year-end procedures. By starting early, companies can navigate potential challenges with poise, mitigate risks, and ultimately contribute to a more accurate and timely audit process resulting in more efficient audit.
- There has been an increase in optimism regarding the IPO market where the market may reopen in January 2024. Preparedness will be paramount to take advantage of a potentially limited window which is expected to be crowded and competitive given the backlog of prospective candidates. With this potential IPO window quickly approaching, those looking to complete a public offering should consider the following during the remainder of 2023:
- Timing and materials to support an all-hands organization meeting.
- Review of historical financial statements including interim period reporting and required financial statement enhancements to meet public company requirements.
- Assessment of the finance team, reporting timelines, and necessary changes not only to go public, but to operate as a publicly traded company.
- Early-stage venture backed companies continue to look at ways to optimize their cash runway by assessing their therapeutic program spend along the various stages of drug development including discovery, hit development, lead identification, in vivo data as well as development candidate and IND timing. In addition, companies are considering creative alternative financing such as venture debt from large established investment banks and collaboration arrangements with larger, more established companies.
- We continue to see private equity funded roll-up strategies where the investment in personnel, processes, and systems have not kept pace with the scaling of the newly combined entities. Acquiring these additional resources, prioritization of activities across finance, human resources and operations teams, and implementing rigorous project management will prepare these companies for the next phase of expansion.
We are proud to serve over 60 clients across various industries including Life Sciences, Technology / SaaS, Industrial, Consumer / Retail and Services ranging from public and private companies as well as venture capital and private equity backed firms.
We offer our thanks to our clients once again. We value our clients’ trust and realize that it has been critical to our success. We sincerely appreciate if you take a moment to “follow” our Monomoy Advisors LinkedIn page at https://www.linkedin.com/company/monomoy-advisors/. Our focus is thought leadership, insights, and other relevant content, including real-time updates on current events.
