Core Viewpoint - The article outlines the process and requirements for companies to go public on NASDAQ, emphasizing the importance of proper accounting practices and compliance with U.S. standards to avoid complications during the IPO process [1][3]. Group 1: Listing Requirements - Companies can list on NASDAQ if they have a net profit of $500,000 after tax or a net asset exceeding $5 million [1]. - The article aims to share the entire operational process for listing under the new policy [1]. Group 2: Accounting Practices - Companies must adhere to U.S. accounting standards, especially for Chinese companies that often follow different accounting principles [3]. - Many small and medium-sized enterprises in China face challenges with financial management, leading to discrepancies in their financial statements [3][4]. - Issues such as improper revenue recognition and non-compliant invoicing practices are common, which can complicate the listing process [3][4]. Group 3: Importance of Professional Accounting - Engaging a professional accounting team is crucial to eliminate potential issues before the audit process begins [4]. - U.S. auditors require clean financial statements without reservations; otherwise, the reports may not be accepted by NASDAQ and the SEC [5]. - A clean audit report is essential for gaining recognition from investment banks during the IPO process [5]. Group 4: IPO Process and SEC Review - The IPO process consists of 13 steps, with the initial accounting phase being critical as it influences the number of SEC review rounds [5][9]. - The first round of SEC questions often involves financial matters, which can lead to multiple rounds of review if not addressed properly [6][8]. - Companies may face significant delays if they receive numerous financial questions in the first round, potentially extending the IPO timeline from one year to two years [5][9].