FSE Listings: Frankfurt Listings Companies comparing Apples to Apples! Who should you use for Frankfurt Listings!

On the topic of Frankfurt listings, I just want to make sure people are comparing apples to apples when they compare FSE Listings Inc to other going public, law, merger, associates, fse listings like firms whom don’t structure nor offer as complete a service as www.fselistings.com

Let’s start by discussing what you get for 60k euro, which is a complete listing package!

For 60k euro FSE Listings do the following:

• incorporate a holding company and prepare the articles and structure to fit the requirements of listing on the Frankfurt Stock Exchange (Cost of this through our incorporate is roughly 500 GBP, plus about 1200 in consulting for various resolutions this gets paid to the UK firm that does the incorporation. If you do not use them, they still charge a 1,200 due diligence fee when you go to use the transfer agent, so its just as easy to do it direct with them.)
• the transfer agent, 7,000 GBP
• the designated sponsor 14,000 euro plus fees and taxes comes to 18,000
• euros
• the auditor letter to confirm corporate structure for qualifying on the
• exchange (2,000 GBP)
• trading account if you don’t have one

In addition, we act as the consultants who pull all of this information together, and avoid your company being rejected.

Review our bullet points on why to use FSE Listings for Frankfurt Listings:

For the record, gone are the days of one off listing firms from Canada or the UK with fancy names pretending to be law firms or listing firms with no support or liquidity, or people who claim they can just list a firm and that is it. The Frankfurt Stock Exchange in February and March changed several rules on how the market trades. If you go with another firm, we can pretty much guarantee that the company will get delisted in the first 2-3 months of trading… because they will not have the consulting expertise to keep you listed.

Here is basically what has to happen for Frankfurt Listings:

• they need to have a good relationship with the market marker
• they need to know how to structure the shareholders of the firm with restrictions to avoid shareholder profit taking at the expense of the market maker
• they need to have and know how to trade bids and asks in and around the market makers

We have dealt with several market makers, we list 5-6 companies a month,and in peak times up to 10. We don’t like to take on more than 10 per month at this time. Our listings are 100% successful and the timing to list and all of the above is 4-6 weeks, possibly faster if the client has already been preparing.

The client should be prepared to have 10,000 – 15,000 euro’s budgeted for market making if their shareholders are not restricted. In addition, I would be interested to know how they plan to make their market and if this is something they already know how to do.

In total, when building a firm for listing, you need to know the whole picture and end goal upfront and build from the beginning the caveats that save your market and company in the future, enabling capital raising, market increase, and exposure. If foresight is not put into this, then the company will have difficulties.

It’s also important to note, our firms are generally UK Holding Companies.

Anything else runs the risk of blowing up, here is why:

• Private companies listed from the US require reporting to the SEC, not doing so can be construed as Fraud, especially if American’s buy shares through the market which companies cannot control. 25% of DAX trading comes from the US. The company would be forced to file a registration statement; they might as well list in the US if that’s the case. In addition, the cost of clearing the shares and time it takes is exhausting.
• Canadian companies are complex, for example, companies listed through BC are actually obligated to file exempt distribution reports with the BC
• Securities Commission and report on SEDAR, the same way a firm would have to which is Canadian listed on the OTCBB. If you fail to do so, it is securities fraud. In addition, if it is deemed to be an offering, they will require a prospectus, or you have issued shares from a Canadian issuer without a prospectus. This is serious, the laws changed and anything deemed a distribution over $2 million could be now in the criminal code, which before was not criminal. This is a Federal Law now, so that goes for any and all Provinces. Every province has different rules, BC for example has a rule that if I sell shares to you, and you sell shares to many, you are actually an agent of the company; it’s called a veiled distribution. I know quite a few people fined several100k and closed down on Frankfurt for NOT knowing this rule exists.

The major issue with this market is you have guys from the US and overseas building Frankfurt Listings using US lawyers who claim to know German Law, not knowing anything about Canadian Law, their own Securities Laws, etc. Having listed over 100 of these companies, we have seen the short falls. Listing a Canadian or US firm directly versus a holding company would be a big bad NOT good thing to do. Most Lawyers within this business call themselves Securities Lawyers but haven’t refreshed securities laws in years or don’t have experience in the field, and given a complex issue would need to refer you to a real Securities Lawyer, because they are Corporate Lawyers. Don’t get caught in the professional’s circle, the fees are much higher than you think, and less knowledgeable than firms who have as much experience as expert listing firms such as FSE Listing’s consortium.

Canada and the US have overriding rules that make the shareholder the company, such as mind and management. This has more to do with administration costs shooting up from 10k per annum with a UK firm listed to 100-150k per annum because of multiple jurisdiction reporting requirements, or impending fines if ignored.

If we are competing against someone who uses a similar process to us, then the answer is easy, we list the quickest. We know the most on the subject. We are not trying to pretend to be merger law or Frankfurt stock exchange law Lawyers, we are simply knowledgeable and use the best sources. Better than the alternatives in the market for all the reasons discussed and more.

To understand the best structure, it’s also a good idea for us to know more about the client. I hope this is detailed enough. Initial information we need to know about the client can be found at FSE Listings Requirements for a Free Consultation:

Contact us if you are interested in listing on the Frankfurt Stock Exchange, info@fselistings.com

FSE Listings