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by MyNewAccount99 5075 days ago
why did facebook need all that money from the IPO anyway?
2 comments
leothekim 5075 days ago
Not clear that they needed the IPO money. I think they had to have an IPO due to SEC regulations.

http://www.pehub.com/146588/the-%E2%80%9Cfacebook-problem%E2...

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ramblerman 5075 days ago
As a private company there is a 500 shareholder limit. This made it difficult to use stocks to 'incentivize' employees.

The second argument I've heard is that it allowed Zuckerberg and some of his closer companions to cash out a large chunk of cash for the first time.

Facebook itself did not need money to my knowledge

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