Companies on a senior stock exchange get more coverage from analysts. Institutional investors are more likely to invest. I recently had a strange experience with a local tech venture. As we've seen in the IPO markets, companies pull their offerings when the markets are hard on them. But, moving from one exchange to another is far less onerous than starting an IPO from scratch.
Liquidity is one of the main problems facing all junior pubcos.
The company must outline a plan for correcting the situation. If the company cannot rectify the situation in the next 90 days, then the exchange can move toward de-listing the company. A hearing will be arranged and the company can accept or refute the recommendations of the exchange. On the other hand, there's no other place to go. Hence, investors simply have to understand that there will be lots of losers hanging around.