Over the last 30 years, AIM (the Alternative Investment Market) has earned a reputation as a flexible, growth oriented public market for dynamic UK and overseas companies. With the current macro-economic landscape, regulatory pressures and alternative exit routes available, some question whether undertaking an IPO still holds its place in a founder’s or CFO’s ambition. At HaysMac, we believe AIM remains a compelling path, provided you prepare wisely, choose the right team, and understand the tradeoffs along the journey.
The AIM story in numbers
- Since its launch in 1995, AIM has supported over 4,000 companies to raise nearly £136 billion in equity capital¹.
- Over the past decade, AIM has accounted for 53% of all capital raised across European growth markets, reinforcing its position as a leading platform for funding².
- With companies spanning 68 countries across 41 sectors³, AIM is a vital hub for international enterprise.
These figures remind us that AIM is not just a financial construct; it is deeply embedded in the UK growth economy. Yet the market has evolved. The number of companies listed on AIM has declined from its peak of nearly 1,700 in 2007 to 557 as at 30 September 2025⁴. De-listings, takeovers and cost pressures have all contributed to this contraction. So, the question is: in this environment, does AIM still make sense for an ambitious growth company? We argue yes – with caveats and thoughtful execution.
Why AIM remains a compelling route in 2025
Despite the challenges facing public markets, AIM continues to offer a unique and powerful route to growth for the right kind of business. For ambitious companies that are scaling fast, building recurring revenues, and seeking external capital without giving up control, AIM can still provide a sweet spot between flexibility and visibility.
It remains particularly attractive to founder-led businesses, PE-backed scale-ups and innovation-driven companies in sectors like technology, healthcare, industrials, financial services and clean energy, all of which have historically flourished on AIM. For CFOs navigating the tension between long-term strategy and short-term liquidity needs, AIM offers not only access to capital but also a path to profile, credibility, and discipline.
A listing on AIM is more than just a transaction; it is a strategic decision that reshapes the way a business is perceived, governed and funded. And while market conditions have evolved, the fundamentals of what AIM offers – adaptability, investor alignment, and growth-stage readiness – remain as relevant today as they were 30 years ago.
Here is why AIM still deserves serious consideration from leadership teams in 2025 and beyond:
- Flexibility and lighter regulation (relative to Main Market):
AIM offers more relaxed requirements around trading record, free float thresholds, and governance standards versus Main Market, making it more accessible to growth-stage businesses.
- Speed to market and cost efficiencies:
The ability to list more swiftly with fewer mandatory steps is a major advantage for companies that want to capitalise on momentum or create liquidity for shareholders.
- Investor base alignment:
Many growth investors, VCs, EIS/VCT funds and specialist small-cap funds are comfortable in the AIM space, giving companies access to capital aligned with high-growth profiles.
- Tax incentives and shareholder appeal:
AIM-listed shares have historically benefited from 100% Business Relief for Inheritance Tax purposes after two years, making them especially attractive to long-term, tax-sensitive investors. From April 2026, this relief is set to reduce to 50%, and AIM shares will no longer count towards the £1 million Business Relief allowance. While this may change how some investors structure their portfolios, AIM continues to offer compelling benefits, including growth potential, liquidity, and access to secondary fundraises, that appeal to experienced investors looking for active participation in the UK’s scale-up economy. The market’s resilience and adaptability mean AIM is likely to remain a core component of many wealth and tax planning strategies, albeit with a more balanced focus on fundamentals, transparency and long-term value creation.
- Governance discipline and credibility:
The process of becoming IPO-ready forces management teams to adopt investor-grade controls, forecasts, audit trail discipline and reporting rigor, improving internal strength. For many scale-ups, that governance maturity is itself a competitive differentiator.
- Graduation and optionality:
A well-executed AIM IPO can serve as a stepping stone. Some companies eventually migrate to Main Market when they meet the thresholds but do so backed by public market experience and credibility.
What investors in 2025 expect from AIM candidates
Investors in AIM have become more selective, more sophisticated, and more focused on fundamentals. After a lengthy period of macroeconomic uncertainty, volatile valuations and inconsistent post-IPO performance, the bar for new listings is higher, not just in terms of financial metrics, but also in transparency, credibility, and investor engagement. Companies looking to list on AIM in 2025 and beyond need to demonstrate more than growth potential: they need to earn investor trust from day one. Here is what today’s institutional and retail investors expect:
- Clear, credible financial forecasts with sensitivity analysis:
Investors want to see not just strong top-line projections, but forecasts grounded in evidence, with transparent assumptions, sensitivity scenarios, and clarity around margin progression, cost control and working capital dynamics. Forecasts must reflect a clear understanding of market drivers and show how management will respond to headwinds.
- Robust audit trails and internal financial controls:
Investors want assurance that historical financials are clean, reconciled, and fully traceable, and that your internal finance function is ready to handle the rigours of public scrutiny. They will look closely at your financial reporting systems, audit opinions, and ability to provide timely, accurate data post-IPO.
- Disciplined narrative around growth, risk and capital allocation:
Beyond the numbers, investors expect a coherent story that ties your past performance, current positioning and future plans together. This means explaining your growth strategy, capital deployment plans, customer concentration risks, and how you intend to scale profitably, all with honesty and commercial logic.
- Credibility of depth of the management team:
The people behind the business are just as important as the product or numbers. Investors are assessing the management team’s experience, decision-making track record, openness to challenge, and alignment with shareholder interests. Public company readiness isn’t just about governance; it is about communication, maturity, and leadership under pressure.
- Transparent disclosures, especially on adjusted metrics and non-GAAP measures:
Non-GAAP figures (e.g., adjusted EBITDA) are often key to the equity story, but investors expect transparency in how these are calculated and reconciled. Any aggressive adjustments, normalisations or exclusions will be scrutinised closely. Disclosure around tax structures, share schemes, related parties, and contingent liabilities must also be robust and consistent.
- ESG maturity and readiness to evolve:
Even on AIM, ESG has moved from a ‘nice-to-have’ to a clear investor expectation, particularly for institutional buyers, ESG-focused funds, or international capital. Investors want to see that ESG risks are understood, reported, and integrated into decision-making, whether that is environmental footprint, employee retention, supply chain transparency or governance standards.
- A proactive and credible investor relations plan:
Successful AIM companies do not stop engaging investors after IPO. They build trust through regular, transparent, two-way communication. Investors will ask about your IR strategy, who is responsible for it, how you handle announcements, investor Q&As, trading updates and feedback loops. A strong IR plan signals long-term commitment to market credibility.
In short: the financials are necessary, but not sufficient. Your story, transparency and delivery track record matter just as much.
Looking ahead: AIM’s role in the next decade
As AIM celebrates 30 years, the landscape is evolving. The market may consolidate further, regulatory alignment may deepen, and the pressure on liquidity and investor expectations may increase. But ambition, capital hungry innovation and the need for credible public exits remain, and AIM has a vital role to play.
For the companies that prepare themselves – with robust controls, a compelling narrative, and a trusted adviser at their side – AIM can still be a pivot point to growth, identity, capital access, and long-term success.
How HaysMac supports the AIM journey
If you are weighing AIM as a route (or re-evaluating your existing AIM status), HaysMac’s Equity Capital Markets team would be glad to partner with you all the way. From preparation to post-listing, here’s how we can help:
1. Pre-IPO readiness and health checks
We assess your financial controls, disclosure gaps, forecast robustness, tax structure, and organisational readiness well before you begin a formal IPO process. We help you prioritise fixes and mitigate surprises.
2. Reporting Accountant
During the IPO process, we coordinate with lawyers, NOMADs, PR and other advisors to streamline our reporting accountant workstreams, pre-clear red flags, and structure disclosures so they hold up to scrutiny. Our workstreams involve financial and tax due diligence, working capital reviews and a deep dive into the internal controls, processes and procedures that are currently operating within the business to ensure that these are suitable for life as a public company. We also provide audit services for the historical financial information if a company is currently unaudited.
3. Post listing – audit and due diligence on future acquisitions
Once listed we provide audit services to the newly listed company and can provide financial and tax due diligence services if the company is adopting an acquisition strategy post listing.
By combining technical strength with a disciplined, human-centric approach, we aim to make the AIM process more transparent, less stressful, and more value-protective. These businesses are just a small sample of the many that have already benefited from our expert support:
View more of our latest deals here.
Let’s build your IPO story; from scale-up to public success. Learn more about our Equity Capital Markets team.
1 Celebrating 30 years of AIM, London Stock Exchange, June 2025
2 & 3 London Markets Update, London Stock Exchange, 5th Edition June 2025
4 FTSE Russell (an LSEG business) Factsheet, FTSE Publications, 30 September 2025
