Most firms have, at least briefly, considered a flotation: for the senior equity there is the chance of an exit at value and the prospect of a cash reserve for investment and growth. These might be attractive short term gains but like most blowouts the hangover comes later. 

The problem is not that being a listed company is intrinsically a bad thing but rather that legal practice remains an (intellectually) tough, labour intensive and largely personal endeavour in which doing enough is never enough. The disposal of a tranche of equity always seems to be accompanied by a disposal of at least part of the motivation of individuals in the business to drive and grow the business and go the extra mile to profitably grow their revenue. Coasting, while certainly not desirable becomes feasible the connection between revenue generation and personal reward having been diluted. 

From the market's point of view it is difficult to know whether a firm's flotation is a signal that they are drowning or waving; for investors; institutional or otherwise I would suggest that looking beyond the prospectus to find the real reasons for a float and the use to which cash generated will be put will pay a dividend...