Question

Why might a corporation want to raise long-term capital through a private placement rather than a public offering?

Answer 1

It has less burdensome requirements, reduced cost and time, the company still remains a private entity

Step-by-step explanation:

A corporation might want to raise long-term capitals through private placement rather than a public offering for a number of reasons which includes;

1. It has less burdensome requirements

2. Reduced cost and time

3. The company still remains a private entity