Step By Step Process of Buying Unlisted Shares

1. Buying unlisted shares is not as tricky as we think. The accessibility of intermediate platforms has made it very easy for the buyer and the seller. Moreover, its growing awareness has also informed and educated various investors about what it is, how it works, and what it holds for you. Unlisted shares are also called Pre-IPO Equity. Here is the step-by-step procedure to clarify what to do next to avoid any confusion or losses. 7 easy steps to buy unlisted shares Requirement of Demat and Trading Account. First of all, you require your Demat and trading account to be open to transactions for the shares. The unlisted market only accepts Demat accounts, not another authorized Indian system, because an unlisted market is not much reliable process as its shares are not listed on stock exchange websites. Choose the right intermediary. It is the most crucial step where your rightly chosen intermediary will be of great help to invest in at the right place at the right time. They will save your vital time in finding the right shares and guide you step by step on what to do in what way. Stock analysis.

2. Here is when your research requires. It is vital to get the stock analysis because the unlisted market is the game for the long term. Analysis for scope, quantity, quality, and value is necessary for a great deal. Healthy Negotiation. After finalizing what you are going to take, it's time to get the fair price of the share. Make sure it is not undervalued or overvalued only because you like it or dislike it much. Understandably, there are significant fluctuations in this market, but your thorough understanding can help you get the best value. Final order placement. Finally, you place the order and get your mind a little unbundled with worries of the right choice. Now you are buckled with everything you want for your future. Let's proceed to the next step. Needed Documents submission. During documentation, you need to get ready Aadhar card, bank account, PAN Card, or any other requirement. This step is very near to the end of the process as you share your documents only with the person of the dealer you trust and whom deal you liked the most. Remember, document submission can be the step before your order placement, depending on the circumstances and regulations of the company or dealer. Deal transfers and Payments Transfer the value demanded of the share through your bank account and received the receipt and your share. The process is entirely based on how much your dealer is reliable. 5 mistakes to avoid when buying unlisted shares Whether you are new to the investing field or a newcomer into an unlisted market, actions must be taken to avoid huge losses. Knowing them beforehand is the best solution to be aware of and end up with profit rather than unexpected losses. Let's readout to

3. make sure we are not blocking the capital or bearing the opportunity cost or undervalued by the top-performers. 1. Don't blindly go after someone. Research well about the company on your behalf as an owner. Completely understand what the company does, the value of its products, the future scope, its background, its growth pace, everything. 2. The price of the share is determined by its demand. If you find some share at the very lowest rate, don't think of it as an opportunity for you. However, consider why other investors did not put in their efforts and increased its value. Why others devalued, and it is on the lower rate at now. Whatever its circumstances are or another side of the coin is, does it suit you or not? 3. Avoid unhealthy practices just because of thinking that it is the unlisted market. 4. Invest if you are a long-term thinker. Being into an unlisted market is not the game for short-term thinkers, as profit only comes when the company's share grows and increases its value. 5. You will notice various price fluctuations in the unlisted market. So, it usually becomes difficult to understand the fair value of that share, so you do your research to avoid extra costs.