There is growing speculation that the ASX will make it much harder for tech companies to float their respective businesses on the exchange. The "profit test" and "asset test", may increase from $3M to closer to $10M and the spread requirements may rise to $5,000 per investor (all yet to be verified). The implications would mean that early-stage companies may have to go elsewhere to raise their capital. The trend towards early-stage tech listings has escalated recently, with four of the upcoming six tech company listings on the ASX having less than $140,000 revenue. The consultation paper addressed concerns that companies were listing on the ASX too early in their development, without significant funds behind them. Tech company investors see appetite for IPOs (initial public offerings) as a crucial exit opportunity for their early-stage punts, but are equally concerned that a spate of failed listings could poison the well and raise broader fears of a tech bubble. Could the Newcastle exchange benefit from these changes? You would think so.....