Why Panda Express stocks are not for sale yet? That is why there is no stock for Panda Express, for now, no matter how much you may want them to be.
Is Panda Express Stock Up for Sale? Every investor intends to make money. By putting your money into a business, you get to gain money. Before you put money into a venture, what do you ask yourself? That and more is what this is all about.
About Panda Expresses
It is a fast-food restaurant that offers food of Asian origin. The privately-owned company has been in operation for over 25 years, and in those years, they have managed to open over 2,000 branches worldwide. If you were to count successful companies, the company is among them.
According to Forbes, the founders of Panda Express’s net worth is $3.1 billion. From a humble beginning in Pasadena in 1983 to where they are now, it is clear that it is the ideal company you would want to buy stock from, right?
The unfortunate thing is that it is impossible now to buy stocks from the Panda Express company with the cash you have. That is because the company is private. That means individuals own it and have no intention of selling their stock to the public.
When a company is private, like Panda Express, the founder has decided to remain with the ownership. At Panda Express, the founders own 80% of the company. And with 20% left for the company workers to buy.
What makes a company remain private? With so many potential investors willing to buy their stock, what makes a company decide to stay privately owned and not sell its stock to the public? Read along and know why.
Why Panda Express Stocks Are Not For Sale Yet
There was a time when they had decided to franchise the business but later changed their mind. That brings us to the question of why? The following are why a company may remain private and not sell its shares to the public.
They Have The Capital To Run The Business
A company’s primary goal in selling stock is to get capital. When is a company like Panda Express doing well and financing itself? What will they need the funds for? Panda Express has been proliferating, with its net profit increasing each year, and there is no need to raise capital to expand.
That is why there is no stock for Panda Express, for now, no matter how much you may want them to be.
Not The Right Time
The co-founder Peggy Chieng does not rule out the possibility of ever selling their stock to the public, but she says it is not the right time. The company needs to expand and grow in service delivery and human resources management.
That shows that there is a possibility of going public in the future but not. They are concentrating on more important things now. They have demonstrated the potential of offering 20% of their stock to their workers to buy.
Want To Remain With The Ownership
When the company is private, the founders get to keep ownership. Panda Express says that they have a personal bond with the company. They even call it their baby and wonder how to sell their baby to someone else.
Keeping ownership makes them feel more responsible. They will work hard day and night to make it work. They want their passion for the company to remain within them and not share their success with others.
Want To Be In Control
Selling a company stock means making the decisions of the business together. There is no single decision that the individual can make. Decision-making takes a long time in such a company, which Panda Express doesn’t want.
They want to oversee their business. To make all the decisions of the company without consulting anyone. Whether good or bad, they want to be the final decision-maker as far as Panda Express is concerned. They are solely responsible for what happens to the Panda Express venture.
They Want To Decide Who Will Invest In Their Business
Being private means Panda Express founders are the ones to decide who to invest buy their stock, and by how much. That is a decision that only can b made in a private company. If the time comes for them to allow outside investment, they are the ones who will decide who suits best for the chance.
Don’t Want To Run The IPO Risking
Putting stocks out here for sale is not an easy decision. The owner of the company doesn’t control how the stock will trend. They can trade positively or negatively. While the positive means more capital for the company, the negative may indicate a negative reputation.
As an investor, investing in stock can be a good decision if you approach it soberly. Do your research and know what company stocks are worth your investment. Though Panda Express stocks are not for sale, many other company stocks are available for you to buy.
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