F E A T U R E
F E A T U R E
Cees Vermaas , CEO , The International Stock Exchange the involvement of brokers and other intermediaries who charge fees and commissions for their services . Private companies stay private to avoid this additional bureaucracy and cost .
SMEs in particular could benefit from an efficient solution that could help them grow . Afterall , they are the lifeblood of the British economy . SMEs provide the bulk of goods and services we all use , create most of the employment and generate tax revenues and export overseas . However , their ability to access capital is still hindered by the cumbersome processes that come with buying and selling shares in private companies .
It ’ s unreliable , drawn out , expensive and uncertain . Typically , a private SME shareholder would need to initiate contact with the company , which is then tasked with identifying potential buyers or sellers of the shares . This back and forth can take weeks , or even months , adding complexity to a transaction that could otherwise be swift and efficient .
What ’ s clear is that private markets need a solution for liquidity to achieve the desired recycling of money into new investments . That ’ s why we launched TISE Private Markets , so that we can leverage the opportunity offered by private markets .
A fully disintermediated trading proposition which provides private companies and other managers of private assets with their own stock exchange in a box is what the SME space requires . In this environment they can efficiently and effectively manage their share registers and host liquidity events for existing shareholders and to which they can invite potential new shareholders . In a private company economy , this is the future . �
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