Why preparation should come before appointing an Approved Adviser or sponsor
An adviser’s time is expensive, and the first meetings are too often spent on problems rather than on the business.
Que Advisory · 13 Oct 2026
Approved Advisers and sponsors carry the regulated responsibility for bringing a company to market. Their role is essential, and it is priced accordingly. The difficulty for many SMEs is that the adviser is often the first professional to look at the company with a listing in mind — and therefore the first to find the gaps.
What happens when a company is not ready
The early weeks of the engagement turn into remediation: chasing missing audits, reconciling the share register, redrawing the group structure. That work is done at adviser rates, on the adviser's timetable, and it delays the work the adviser was appointed to do. In some cases the engagement stalls altogether.
It also changes how the company is perceived. A company that arrives with its records in order is assessed on its prospects. A company that arrives unprepared is assessed on its problems.
What preparation covers
- A readiness diagnosis across the financial record, corporate structure, governance, disclosure, business substance and capital structure.
- A prioritised plan that puts critical blockers first, because some issues — audit history above all — set the timeline for everything else.
- The groundwork itself: regularising shareholdings, mapping and simplifying the group, putting governance and internal controls in place, and drafting the documentation an adviser will need.
What preparation does not do
Preparation does not replace the licensed parties. Lodging a listing application and the regulatory responsibility attached to it remain with the Approved Adviser, principal adviser or sponsor. The aim is simply that, when they are appointed, they can spend their time on the listing rather than on reconstruction.
The practical benefit
A company that prepares first typically reaches the formal process sooner, spends less on remediation at adviser rates, and negotiates from a stronger position. For an SME, where every ringgit of professional cost matters, that difference can decide whether a listing is affordable at all.
This article is general information prepared by a private consultancy. It is not legal or investment advice, and regulatory references are indicative only. Confirm current requirements with a licensed Approved Adviser, principal adviser or sponsor before acting.