Our Fee Policy

BSI Capital's Fee and Service Policy for Corporate Finance Services

March 2005

BSI Capital’s Fee Policy

BSI Capital does not as a general rule undertake non-retained engagements. Like most investment banking professionals, we are compensated by retainer fees either based on a monthly agreed fee or linked to project outcomes plus a contingent fee based on the successful completion of the transaction or series of transactions.

Through experience it is clear to us, that clients that pay retainer fees value our services far more than those who don't. Past experience clearly show that we receive a higher level of commitment, from our clients, to a successful outcome, if the client actually pays retainer fees. By not paying retainer fees, clients tend to feel that they are not at risk and that we as professional advisers takes all the risk and bear the costs, leading to an unsatisfactory working arrangement.

At BSI Capital we firmly believe that we add substantial value to any investment banking transaction. We provide a very "hands-on" service, using a proven methodology developed since 1989 and we are proud of the highly professional service that we offer.

Completion of a transaction involves a high level of sustained effort and commitment over a number of months and the retainer fees we charge are designed to provide us with some on-going compensation for this effort and commitment.

Before commencing any engagement, BSI Capital always negotiates a fee level which becomes part of the Engagement Contract, leaving both parties to get on with the tasks at hand in full confidence that each is working to secure a successful outcome.

BSI Capital’s Exclusive Advisory Policy

BSI Capital does not as a general rule undertake non-exclusive engagements. As stated above like most investment banking professionals, we are compensated with retainer fees either based on a monthly agreed fee or linked to project outcomes plus a contingent fee based on the successful completion of the transaction.

Non-exclusive engagements are from our experience “messy” and cause issues with commitment from both sides. We believe strongly that it is in the best interests of our clients to engage BSI Capital on an exclusive basis for an agreed term in order to:

• Have a highly co-ordinated and structured approach to a transaction
• Project management from one source only
• Reduces the risk of conflicting statements that may impact on the outcome of a transaction
• Accountability