Ability to Attract Better Employees High quality

Ability to Attract Better Employees
High quality employees are attracted to employers that have name recognition and visibility. Stock exchanges can help companies become household names and better attract employers capable of making the company more profitable. Because of the increased access to capital, companies are also able to better compensate employees to keep them from moving to competitors.
Increased Value
Companies listed on stock exchanges are often valued higher than their privately held counterparts. This higher valuation can help with the retirement planning of all shareholders as the shares they hold will reflect the higher valuation. The increased valuation can also allow companies to offer more lucrative share option packages to employees.
Ability to Maintain Control
Companies not listed on stock exchanges typically rely on capital provided by venture capitalists. In exchange for purchasing shares of a privately held company, venture capitalists usually insist on having some degree of control of the company, including having members appointed to the board. Stock exchanges allow companies to maintain more autonomy and control, because people who purchase the shares of a publicly traded company only have the limited rights afforded to all shareholders.
Reduction of the Cost of Other Capital
Going public reduces the costs of obtaining capital through bank loans. Banks view publicly traded companies as less of a credit risk than their privately held counterparts, because publicly traded companies have access to other capital.
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