H.R. 3395 — Middle Market IPO Cost Act

This section directs the Comptroller General of the United States, in consultation with the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA), to conduct a study on costs for small- and medium-sized companies to undertake initial public offerings (IPOs). The study must (1) consider direct and indirect IPO costs (e.g., fees for accountants, underwriters, and advisors; compliance with federal and state securities laws); (2) compare those costs to alternative financing and liquidity sources; (3) assess impacts on capital formation; (4) analyze effects on retail investor access to such companies' public securities; and (5) examine IPO trends over an appropriate period, including numbers of IPOs, cost evolutions for services, underwriting activity, pre- and post-IPO services, investment research availability, and litigation costs. The Comptroller General must submit a report to Congress with all findings and any administrative or legislative recommendations within 360 days of enactment.