Final answer:
The term for polling potential investors about their interest in an upcoming IPO is called 'book building'. It helps determine stock price and assess investor demand.
Step-by-step explanation:
The process of polling potential investors regarding their interest in a forthcoming initial public offering (IPO) is called book building. This process is an important part of a firm's IPO and involves gauging the demand for a company's stock before setting a price and proceeding with the public offer. Book building helps in determining the optimal price for the securities and identifying the investment levels that institutional and large investors are willing to commit to. It is a strategy to collect information on the investors' interest levels, which in turn helps in pricing the stock more effectively. This method is fundamental for a company, as the capital raised during an IPO is often used to repay early-stage investors such as angel investors and venture capital firms, and it provides financial capital for the company's expansion.