| From your snippet: > We may take advantage of these exemptions for up to five years or until we are no longer an emerging growth company, whichever is earlier. The definition of "emerging growth company", from https://www.sec.gov/smallbusiness/goingpublic/EGC > A company qualifies as an emerging growth company if it has total annual gross revenues of less than $1.07 billion during its most recently completed fiscal year and, as of December 8, 2011, had not sold common equity securities under a registration statement. A company continues to be an emerging growth company for the first five fiscal years after it completes an IPO, unless one of the following occurs: > - its total annual gross revenues are $1.07 billion or more > - it has issued more than $1 billion in non-convertible debt in the past three years or > - it becomes a “large accelerated filer,” as defined in Exchange Act Rule 12b-2 2020's gross revenue was 318m growing at 50-60m yoy from prior years. So, unless that growth is somehow compounding, the 5 years post-IPO is the most likely outcome. The biggest implications are relaxed requirements around explaining executive compensation, and that financial control auditing (SOX-compliance) is not required. It's not necessarily a bad thing for investors, but a trade-off. It means the company can focus more on growth and less elsewhere. |