An IPO short review is a short term financial investigation conducted for the purpose of identifying issues that may arise during the IPO process. In pursuing an IPO, it is important to develop an organizational structure to ensure organizational management and a framework to ensure timely disclosure. These frameworks are examined by securities firms, and stock exchanges.

At BDO, experienced certified public accountants conduct IPO short reviews in order to understand various issues that may arise during the IPO process. Examples of issues include the following:

1. Establishment of business management system
   Status of the establishment of corporate organizational system/internal check-and-balance system, including the Board of Directors and Audit & Supervisory Board, and various rules
2. Establishment of profit management system
   Status of the establishment of budget system to develop an annual/mid-term budget (mid-term business plan) and analyze the difference between budget and actual results
3. Establishment of business management system
   Status of major operations such as sale, purchase, and cost management
4. Establishment of accounting management system
   Status of investigation of important accounting policies, understanding of issues, implementation of monthly/annual financial reporting required for timely disclosure
5. Establishment of a framework for related-party transactions
   Development of methods to understand the details of and resolve transactions with related parties that may become a problem during the IPO process