While I object to R/S's in general, I do believe there is a right way, and right time to do them.
I believe determining the right time is simple, it's not until they must be done, or something major is lost, like a listing on the Nasdaq.
As for the right way, I believe it's to elevate the price to slightly above the minimum requirements, in a letter to the company I suggest a range from $1.50 to $2 after the R/S.
I've seen many companies do anywhere from 10 to 100 to 1 to attempt to achieve a price, often $5 or more. $5 was never maintained because the Institutions they explained would dive into the stock at $5 simply didn't.
It's true, many Institutions can't hold shares under $5, but such Institution's aren't fools, they want companies to grow that price, not do R/S's to achieve it.
Institutions that can't hold share under $5 do buy them all the time, they buy, and they sell, but they do so within the confines of a quarter. Institutions only report holdings at the end of a quarter. Stock they purchase after the start of a quarter and sell before it ends are never reported.
There is another thing that should happen during a R/S that often isn't done, a reduction of the authorized shares that coincides with the R/S. It isn't done frequently because a company that reduces the outstanding shares to say 1/10th of what they were rapidly wants to grow the share count right back to where it previously was.
I believe a well done R/S also reduces the Authorized Shares. Certainly the A/S can be increase later, but only with shareholders permission. Companies would rather not go after that permission, so they simply omit lowering what's authorized.
There's never an odd-ball split number like 8... always 10:1; 25:1; 100:1... and they are never pleasant..the person who indicates they try to push it above $5 is true as they always claim it's to entice institutional buying... really it allows room for it to dive back to $1 and to try and preserve going OTC or PK. Would probably be lucky to only see a 10:1. /Burned and Never Learn.