Just to add to my previous post regarding listing on NASDAQ I thought it might be helpful if we could see those requirements in detail. As shareholders we should be knowledgeable as to what Rene and Mark are facing in getting listed. Actually the MM are helpful in meeting the number of shares transacted in a day. Yes they affect the daily price but we are all after the big dollars.
I feel the biggest factors are the sales and cash flow as defined in item 1.
Have fun trying to determine the biggest challenge.
•The Nasdaq has four sets of listing requirements.
•Each company must meet at least one of the four requirement sets, as well as the main rules for all companies.
•In addition to these requirements, companies must meet all of the criteria under at least one of the following standards.
•A company has four ways to get listed on the Nasdaq, depending on the underlying fundamentals of the company.
In addition to these requirements, companies must meet all of the criteria under at least one of the following standards.
Standard No. 1: Earnings
The company must have aggregate pre-tax earnings in the prior three years of at least $11 million, in the previous two years at least $2.2 million, and no single year in the prior three years can have a net loss.
Standard No. 2: Capitalization with Cash Flow
The company must have a minimum aggregate cash flow of at least $27.5 million for the past three fiscal years, with no negative cash flow in any of those three years. Also, its average market capitalization over the prior 12 months must be at least $550 million, and revenues in the previous fiscal year must be $110 million, minimum.
Standard No. 3: Capitalization with Revenue
Companies can be removed from the cash flow requirement of the second standard if its average market capitalization over the past 12 months is at least $850 million and revenues over the prior fiscal year are at least $90 million.
Standard No. 4: Assets with Equity
Companies can eliminate the cash flow and revenue requirements, and decrease its marketing capitalization requirements to $160 million if their total assets total at least $80 million and their stockholders' equity is at least $55 mil
