{"id":27491,"date":"2026-05-19T09:02:31","date_gmt":"2026-05-19T09:02:31","guid":{"rendered":"https:\/\/wp-api.pocketful.in\/blog\/?post_type=ipo&#038;p=27491"},"modified":"2026-05-23T06:59:46","modified_gmt":"2026-05-23T06:59:46","slug":"mainboard-and-sme-ipo-eligibility-criteria","status":"publish","type":"ipo","link":"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/","title":{"rendered":"Mainboard &amp; SME IPO Eligibility Criteria"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Over the past few years, the IPO market in India has witnessed rapid growth, particularly within the SME IPO segment. Consequently, an increasing number of companies are now opting for the stock market route to facilitate business expansion and raise capital. However, not every company can launch an IPO, as doing so requires fulfilling specific mandatory regulations and financial criteria established by SEBI, the NSE, and the BSE. In this blog, we will explain in simple language the eligibility criteria for Mainboard and SME IPOs, covering aspects such as company age, minimum net worth, profitability, and other essential requirements.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#What_Is_an_IPO\" title=\"What Is an IPO?&nbsp;\">What Is an IPO?&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#Why_SEBI_Has_IPO_Eligibility_Rules\" title=\"Why SEBI Has IPO Eligibility Rules?\">Why SEBI Has IPO Eligibility Rules?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#Mainboard_IPO_Eligibility_Criteria_in_India\" title=\"Mainboard IPO Eligibility Criteria in India&nbsp;\">Mainboard IPO Eligibility Criteria in India&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#SME_IPO_Eligibility_Criteria_in_India\" title=\"SME IPO Eligibility Criteria in India&nbsp;\">SME IPO Eligibility Criteria in India&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#Mainboard_SME_IPO_Listing_Requirements\" title=\"Mainboard &amp; SME IPO Listing Requirements\">Mainboard &amp; SME IPO Listing Requirements<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#Mainboard_SME_IPO_Filing_Process_in_India\" title=\"Mainboard &amp; SME&nbsp;IPO Filing Process in India\">Mainboard &amp; SME&nbsp;IPO Filing Process in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#Conclusion\" title=\"Conclusion&nbsp;\">Conclusion&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/wp-api.pocketful.in\/blog\/ipo\/mainboard-and-sme-ipo-eligibility-criteria\/#Frequently_Asked_Questions_FAQs\" title=\"Frequently Asked Questions (FAQs)\">Frequently Asked Questions (FAQs)<\/a><\/li><\/ul><\/nav><\/div>\n<h2 id=\"h-what-is-an-ipo-nbsp\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_Is_an_IPO\"><\/span>What Is an IPO?&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">An IPO (Initial Public Offering) is the process through which a private company issues its shares to the general public in the stock market for the very first time. Following an IPO, the company gets listed on a stock exchange, such as the NSE or BSE. Companies raise funds through an IPO to finance business expansion, launch new projects, reduce debt, and enhance their brand value.<\/p>\n\n\n\n<h3 id=\"h-main-types-of-ipos-in-india\" class=\"wp-block-heading has-medium-font-size\">Main Types of IPOs in India<\/h3>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th>IPO Type<\/th><th>Suitable For<\/th><th>Listing Platform<\/th><\/tr><\/thead><tbody><tr><td>Mainboard IPO<\/td><td>Large Companies<\/td><td>NSE \/ BSE Mainboard<\/td><\/tr><tr><td>SME IPO<\/td><td>Small &amp; Medium Businesses<\/td><td>NSE Emerge \/ BSE SME<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 id=\"h-why-sebi-has-ipo-eligibility-rules\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_SEBI_Has_IPO_Eligibility_Rules\"><\/span>Why SEBI Has IPO Eligibility Rules?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Before investing in an IPO, it is essential for investors to have confidence in the company. To uphold this trust and ensure that only credible companies enter the market, SEBI has established a set of eligibility rules.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>To Safeguard Investors: <\/strong>If a company&#8217;s financial health is weak or its track record is questionable, investors&#8217; capital could be put at risk. Therefore, SEBI conducts a thorough scrutiny of the company beforehand.<\/li>\n\n\n\n<li><strong>To Provide Opportunities Exclusively to Robust Companies: <\/strong>Not every company is permitted to launch an IPO directly. It is mandatory for a company to possess a sound business track record, profitability, and regulatory compliance to ensure that only trustworthy entities are listed on the market.<\/li>\n\n\n\n<li><strong>To Ensure Accurate Information Reaches Investors: <\/strong>Prior to an IPO, companies are required to publicly disclose details regarding their income, debt, risk factors, and business operations. This enables investors to gain a comprehensive understanding of the company before making an investment decision.<\/li>\n\n\n\n<li><strong>To Maintain Confidence in the IPO Market: <\/strong>When market regulations are robust, it fosters increased confidence among both retail and institutional investors. This is precisely why India&#8217;s IPO market continues to expand steadily.<\/li>\n\n\n\n<li><strong>SME IPO Regulations Are Now Stricter Than Ever: <\/strong>Over the past few years, SEBI has updated several regulations pertaining to SME IPOs. The focus has now shifted beyond mere revenue generation to place greater emphasis on profitability, cash flow, and corporate governance.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Read Also:<\/strong> <a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/sme-ipo-vs-mainboard-ipo\/\">Difference Between Mainboard IPO and SME IPO<\/a><\/p>\n\n\n\n<h2 id=\"h-mainboard-ipo-eligibility-criteria-in-india-nbsp\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Mainboard_IPO_Eligibility_Criteria_in_India\"><\/span>Mainboard IPO Eligibility Criteria in India&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">To <a href=\"https:\/\/www.pocketful.in\/ipo\/mainboard\">launch a Mainboard IPO<\/a>, companies must fulfill several financial and compliance rules prescribed by SEBI.<\/p>\n\n\n\n<h3 id=\"h-1-minimum-company-track-record\" class=\"wp-block-heading has-medium-font-size\">1. Minimum Company Track Record<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">A company is generally required to possess a business track record of at least three years. Additionally, audited financial statements for the preceding years are mandatory. If the entity previously operated as an LLP or Partnership firm and subsequently converted into a company, its prior track record may, in certain instances, be taken into consideration.&nbsp;<\/p>\n\n\n\n<h3 id=\"h-2-minimum-net-worth-requirement\" class=\"wp-block-heading has-medium-font-size\">2. Minimum Net Worth Requirement<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">For a Mainboard IPO, the company&#8217;s Net Worth must have been at least \u20b91 crore during each of the preceding three years. Net Worth is defined as the residual value obtained by deducting the company&#8217;s total liabilities from its total assets. This metric serves as an indicator of the company&#8217;s financial strength.<\/p>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">Requirement<\/th><th class=\"has-text-align-left\" data-align=\"left\">Mainboard IPO Criteria<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\">Minimum Net Worth<\/td><td class=\"has-text-align-left\" data-align=\"left\">\u20b91 Crore<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Track Record<\/td><td class=\"has-text-align-left\" data-align=\"left\">3 Years<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Financial Statements<\/td><td class=\"has-text-align-left\" data-align=\"left\">Audited Required<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 id=\"h-3-net-tangible-assets-requirement\" class=\"wp-block-heading has-medium-font-size\">3. Net Tangible Assets Requirement<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The company&#8217;s Net Tangible Assets must amount to at least \u20b93 crore over the preceding three years. This includes land, machinery, and other physical assets. Intangible assets such as goodwill or brand value are not included in this calculation.<\/p>\n\n\n\n<h3 id=\"h-4-profitability-requirement\" class=\"wp-block-heading has-medium-font-size\">4. Profitability Requirement<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">According to SEBI&#8217;s Profitability Route, the company&#8217;s Average Pre-Tax Operating Profit must be at least \u20b915 crore; this profitability must be demonstrated in at least three out of the preceding five years. For this reason, many loss-making startups are unable to launch an IPO through this route.<\/p>\n\n\n\n<h3 id=\"h-5-paid-up-capital-amp-market-capitalisation\" class=\"wp-block-heading has-medium-font-size\">5. Paid-Up Capital &amp; Market Capitalisation<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">For a Mainboard IPO, the company&#8217;s post-issue Paid-Up Capital is generally required to be \u20b910 crore or more. Furthermore, the company&#8217;s Market Capitalisation must not fall below approximately \u20b925 crore.<\/p>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">Financial Criteria<\/th><th class=\"has-text-align-left\" data-align=\"left\">Requirement&nbsp;<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\">Post-Issue Paid-Up Capital<\/td><td class=\"has-text-align-left\" data-align=\"left\">\u20b910 Crore+<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Market Capitalisation<\/td><td class=\"has-text-align-left\" data-align=\"left\">\u20b925 Crore+<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Issue Size Limit<\/td><td class=\"has-text-align-left\" data-align=\"left\">Up to 5x Net Worth<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 id=\"h-6-qib-route-for-loss-making-companies\" class=\"wp-block-heading has-medium-font-size\">6. QIB Route for Loss-Making Companies: <\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Some startups and tech companies are unable to meet profitability criteria. In such cases, they can utilize the QIB route. Under this mechanism, the IPO is launched through the book-building process, and it is mandatory to allot at least 75% of the issue to Qualified Institutional Buyers (QIBs).<\/p>\n\n\n\n<h2 id=\"h-sme-ipo-eligibility-criteria-in-india-nbsp\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"SME_IPO_Eligibility_Criteria_in_India\"><\/span>SME IPO Eligibility Criteria in India&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">To conduct an <a href=\"https:\/\/www.pocketful.in\/ipo\/sme\">SME IPO<\/a>, companies are required to fulfill certain essential financial and compliance regulations established by NSE Emerge and BSE SME. These regulations serve to determine whether or not a company is prepared for a public listing.<\/p>\n\n\n\n<h3 id=\"h-1-minimum-net-worth-amp-capital-requirement\" class=\"wp-block-heading has-medium-font-size\">1. Minimum Net Worth &amp; Capital Requirement: <\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">For an SME IPO, a company&#8217;s Paid-Up Capital must generally be \u20b91 crore or more. Additionally, its Net Tangible Assets must amount to at least \u20b93 crore. These criteria serve as indicators of the company&#8217;s financial stability and asset strength.<\/p>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">Requirement&nbsp;<\/th><th class=\"has-text-align-left\" data-align=\"left\">SME IPO Criteria<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\">Minimum Paid-Up Capital<\/td><td class=\"has-text-align-left\" data-align=\"left\">\u20b91 Crore+<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Net Tangible Assets<\/td><td class=\"has-text-align-left\" data-align=\"left\">\u20b93 Crore+<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Post-Issue Paid-Up Capital<\/td><td class=\"has-text-align-left\" data-align=\"left\">Up to \u20b925 Crore<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 id=\"h-2-minimum-business-track-record\" class=\"wp-block-heading has-medium-font-size\">2. Minimum Business Track Record: <\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">It is considered essential for the company to possess an operational track record spanning at least three years. Furthermore, the company must have maintained a positive net worth over the preceding two years, thereby demonstrating that the business has been operating on a consistently stable basis.<\/p>\n\n\n\n<h3 id=\"h-3-clean-financial-amp-compliance-record\" class=\"wp-block-heading has-medium-font-size\">3. Clean Financial &amp; Compliance Record: <\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The company&#8217;s audit record must be unblemished. Additionally, there should be no instances of major loan defaults, serious legal disputes, or regulatory actions against the company. This serves to bolster investor confidence.<\/p>\n\n\n\n<h3 id=\"h-4-stock-exchange-listing-requirements\" class=\"wp-block-heading has-medium-font-size\">4. Stock Exchange Listing Requirements: <\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">In addition to SEBI regulations, platforms such as NSE Emerge and BSE SME have their own specific listing norms. These include requirements regarding minimum offer size, mandatory disclosures, and compliance obligations, all designed to ensure that the IPO process remains highly transparent.<\/p>\n\n\n\n<h3 id=\"h-5-mandatory-market-making\" class=\"wp-block-heading has-medium-font-size\">5. Mandatory Market Making: <\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">In the context of an SME IPO, the appointment of a Market Maker is mandatory. The primary objective of this requirement is to maintain liquidity in the shares following their listing, thereby facilitating ease of trading both buying and selling for investors.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Read Also:<\/strong> <a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/ipo-application-eligibility-criteria\/\">IPO Application Eligibility Criteria<\/a><\/p>\n\n\n\n<h2 id=\"h-mainboard-amp-sme-ipo-listing-requirements\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Mainboard_SME_IPO_Listing_Requirements\"><\/span>Mainboard &amp; SME IPO Listing Requirements<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Merely possessing profits and a substantial net worth is not sufficient to launch an IPO. A company must also fulfill specific mandatory listing regulations stipulated by the Stock Exchange and SEBI.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Minimum Share Capital: <\/strong>For a Mainboard IPO, a company&#8217;s Paid-Up Share Capital is typically required to be \u20b910 crore or higher. This serves as an indicator that the company possesses a robust business and financial foundation.<\/li>\n\n\n\n<li><strong>Minimum Shareholder Requirement: <\/strong>Prior to an IPO, it is considered mandatory for the company to have a minimum of 7 shareholders. This constitutes one of the fundamental prerequisites for a Public Limited Company.<\/li>\n\n\n\n<li><strong>Audited Financial Reports: <\/strong>The company&#8217;s financial statements for the preceding three years must be duly audited. Furthermore, the Audit Report should not contain any material irregularities or significant adverse remarks.<\/li>\n\n\n\n<li><strong>DRHP Filing: <\/strong>Before launching an IPO, the company is required to submit a DRHP (Draft Red Herring Prospectus) to SEBI. This document provides comprehensive details regarding the company&#8217;s business operations, financials, risk factors, and the IPO itself, thereby ensuring that investors have access to accurate and complete information.<\/li>\n<\/ul>\n\n\n\n<h2 id=\"h-mainboard-amp-sme-nbsp-ipo-filing-process-in-india\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Mainboard_SME_IPO_Filing_Process_in_India\"><\/span>Mainboard &amp; SME&nbsp;IPO Filing Process in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Launching an IPO is a lengthy and regulatory-intensive process for any company. It involves several critical stages, ranging from documentation to obtaining SEBI approval and listing.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Appointment of Merchant Banker: <\/strong>Before initiating an IPO, the company selects a Merchant Banker or Lead Manager. These entities manage the planning, valuation, documentation, and the entire listing process of the IPO.<\/li>\n\n\n\n<li><strong>DRHP Submission:<\/strong> Subsequently, the company submits the Draft Red Herring Prospectus (DRHP) to SEBI. This document outlines the company&#8217;s business operations, financial performance, risk factors, and the objectives of the IPO.<\/li>\n\n\n\n<li><strong>SEBI Verification: <\/strong>SEBI scrutinizes all submitted documents and financial details. If any information is found to be deficient, the company may be required to provide clarifications or submit additional documentation.<\/li>\n\n\n\n<li><strong>IPO Opening &amp; Listing: <\/strong>Once approval is granted, the IPO opens for investors. Upon the completion of the share allotment process, the company&#8217;s shares are listed on the stock exchange, and trading commences.<\/li>\n<\/ul>\n\n\n\n<h2 id=\"h-conclusion-nbsp\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Both Mainboard and SME IPOs have their own distinct rules and eligibility criteria. For any company, possessing a strong financial record, ensuring proper compliance, and maintaining a clean business history are considered essential prerequisites before launching an IPO. If a company undertakes adequate preparation in advance, the IPO process can facilitate rapid business expansion and help build trust within the market. <a href=\"https:\/\/www.pocketful.in\/ipo\">Invest in IPOs <\/a>with zero brokerage on Pocketful. <a href=\"https:\/\/www.pocketful.in\/open-demat-account\">Open your Demat account<\/a> with Zero AMC charges and enjoy a seamless investing experience with advanced trading tools and smart market insights.<\/p>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">S.NO.<\/th><th class=\"has-text-align-left\" data-align=\"left\">Check Out These Interesting Posts You Might Enjoy!<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\">1<\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/pre-ipo-investing\/\">What is Pre-IPO Investing?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">2<\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/what-is-ipo-cycle\/\">What is the IPO Cycle \u2013 Meaning, Processes and Different Stages<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">3<\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/types-of-ipo\/\">What are the Different Types of IPO in India?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">4<\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/benefits-of-investing-in-ipo\/\">Why Invest in an IPO and its Benefits?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">5<\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/ipo\/best-apps-for-ipo\/\">Best Apps for IPO Investment in India<\/a><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 id=\"h-frequently-asked-questions-faqs\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions_FAQs\"><\/span>Frequently Asked Questions (FAQs)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div class=\"saswp-faq-block-section\"><ol style=\"list-style-type:none\"><li style=\"list-style-type: none\"><h3 class=\"\">What is the minimum company age for an IPO?<\/h3><p class=\"saswp-faq-answer-text\">Generally, to launch an IPO, a company must have a business track record of at least 3 years.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">What is the minimum net worth required for an SME IPO?<\/h3><p class=\"saswp-faq-answer-text\">For an SME IPO, a company&#8217;s Net Worth is generally required to be positive; in many cases, a figure of \u20b91 crore or more is observed.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">What is the difference between a Mainboard IPO and an SME IPO?<\/h3><p class=\"saswp-faq-answer-text\">A Mainboard IPO is intended for large companies, whereas an SME IPO is designed for small and mid-sized businesses.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">Is profitability necessary for an IPO?<\/h3><p class=\"saswp-faq-answer-text\">Yes, under several IPO routes, a company&#8217;s track record of Profit or EBITDA is considered a mandatory requirement.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">What is a DRHP in the context of an IPO?<\/h3><p class=\"saswp-faq-answer-text\">A DRHP is a crucial document that provides detailed financial and business information about the company.<\/p><\/ul><\/div>","protected":false},"excerpt":{"rendered":"<p>Over the past few years, the IPO market in India has witnessed rapid growth, particularly within the SME IPO segment. Consequently, an increasing number of companies are now opting for the stock market route to facilitate business expansion and raise capital. However, not every company can launch an IPO, as doing so requires fulfilling specific [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":27509,"parent":0,"menu_order":0,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[183],"class_list":["post-27491","ipo","type-ipo","status-publish","format-standard","has-post-thumbnail","hentry","category-ipo"],"acf":{"freelancer":"Harjyot"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v20.13 (Yoast SEO v21.2) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Mainboard &amp; SME IPO Eligibility Criteria in India<\/title>\n<meta name=\"description\" content=\"Planning to launch an IPO? 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