The purpose of an Initial Public Offering (IPO) is to allow a privately-held company to become publicly traded by selling shares of its stock to the public. This process provides the company with access to capital by issuing new shares and allows current shareholders to sell their existing shares. The proceeds from the sale of shares are used for various purposes, such as funding business growth, paying off debts, or providing liquidity for early investors. An IPO also provides a company with increased visibility and credibility, as well as opportunities for growth through greater access to capital markets. Additionally, an IPO can act as a way for a company to reward its employees through stock options or restricted stock units.

The primary purpose of an Initial Public Offering (IPO) is to raise capital for a company by selling shares of its stock to the public for the first time. This infusion of funds enables the company to finance growth, expand operations, invest in research and development, pay off debts, or pursue other strategic initiatives. Additionally, an IPO provides early investors, such as venture capitalists and founders, with an opportunity to realize their investments by selling shares to public investors. Furthermore, going public through an IPO can enhance the company's visibility, credibility, and market valuation, potentially attracting more investors and facilitating future fundraising.