Why utilize IFXBG, a GXG Markets Broker Dealer registered with the UK FSA?
In order to list on the GXG Markets, you should use a designated GXG Broker Dealer who is registered with the FSA.
The difference between brokers and advisors is that a registered brokers can:
- Manage the transfer agent of your company legally
- Manage the accounts of the investors in the company
- Manage the shares on behalf of the principles
- Manage capital raises to sophisticated investors
- Trade the shares and clear the shares within the market
- List the firm on the stock exchange as a Broker Dealer
- Offer Equity Financing, Debt Financing, and bonds legally
- Upgrade your listing to other markets such as the regulated market, AIM, TSX, DAX, Berlin, etc.
- Produce prospectus documents that can be filed with the FSA to register greater than 5 million euro
- To produce Information Memorandums and Investment Memorandums with the FSA broker dealer registration on the document to validate its offering within the European Market
- Produce bankable third party valuations registered and certified
- Produce reliable Equity Story’s and Share Vision Reports that can be distributed to Sophisticated Investors
Often firms will consider listing with firms that are not FSA registered broker dealers, however, unless a firm is prepared to do all of the KYC themselves to ensure the investors in their firms are sophisticated, high net worth, professional investors, then a company can run afoul of regulations.
Funds within a sophisticated market generally range up to 5 million euro in private equity, and with bond and debt financing between 2.5 million and $100 million. (Higher financings are available.) Utilizing Bond Formation and Trust Formations.
Generally financings for firms that exceed 5 million euro require application to the regulated market and a prospectus, unless it is debt financing like a Bond.
Why Small to Medium Sized Companies Should List on the GXG Markets?
- no minimum or maximum capitalisation
- no minimum prior trading record required
- no prescribed level of shares to be in public hands
- no requirement to be a plc if joining the OTCno complicated take-over rules
- straight forward admission process with no requirement to produce a prospectus on admission unless joining the Regulated Market.
We expect the GXG Markets to become extremely busy and expand due to the European Stock Exchange market raising the bar for listing on markets such as the Berlin Stock Exchange who mainly accepts only German firms, the Plus Markets which are closing over the next six months, the Frankfurt Stock Exchange which has closed their OTC markets, and will delist all firms without a prospectus between September and December of 2012. All of these firms need to move to a better exchange for their business, and the GXG Markets offers that alternative home through IFXBG.
Listing on the GXG markets takes 2-3 weeks, including due diligence, clearing, settlement, and trading. IFXBG tries to make it as easy as possible for firms to list, no prospectus is required unless you are listing on the regulated markets.