Fact No. 3. It doesn't take 90 trading days with a bid above $4 to uplist to Nasdaq. The 90-day misconception comes from the fact that some companies that are not yet profitable and that lack an adequate operating history can still list on Nasdaq, but only if their bid price is above $4 for 90 consecutive trading days and if they meet other criteria. This doesn't apply to profitable companies such as Biostar. Again, a good example of a much faster uplist is Sinocoking, which took only seven consecutive trading days after the time it traded at $3.50 on Feb 9 to the time it announced its uplisting on Feb. 19. However, as always, Nasdaq reserves the right to take longer than this based on its own criteria. A separate misconception is 30 days. The 30-day misconception comes from people getting confused with the delisting requirements of Nasdaq. The 30-day trigger is the delisting trigger, not the uplisting trigger. When a company trades below $1, such as Sirius XM ( SIRI) recently did, it gets a letter from Nasdaq that says something like this: "On September 15, 2009, Staff notified the Company that the bid price of its common stock had closed at less than $1.00 per share over the previous 30 consecutive business days, and, as a result, did not comply with Listing Rule 5450(a)(1) (the "Rule"). In accordance with Listing Rule 5810(c)(3)(A), the Company was provided 180 calendar days, or until March 15, 2010, to regain compliance with the Rule." (Note: Given that SIRI has a market cap of nearly $4 billion, it is unlikely that it will be delisted and more likely that Sirius will do a reverse split and remain listed). Fact No. 4 . Reverse splits are a sign of good things for companies on the way up, but a sign of bad things for companies on the way down. In order to meet the minimum share price requirements for Nasdaq, many companies will conduct a reverse split. This is perfectly acceptable to the exchange, and the post-split share price will be evaluated accordingly. Using a reverse split to raise the share price and obtain an uplisting is a very positive sign for a company and is much different than companies that use a reverse split to prevent being delisted. Once again, the confusion relates to delisting as opposed to uplisting. Many people who don't focus on uplistings only encounter reverse splits in the context of companies that are trying to stave off a delisting, so in many people's eyes a reverse split is a sign of a troubled company.