Turn Key Company Setup
We provide a complete solution from company registration to operational readiness, saving you time, effort, and money by eliminating the hassle of dealing with multiple service providers.
You only need to concentrate on devising trading strategies and hiring the best team, without having to spend effort on everything else.
Who is a turn key company setup for?
The turnkey company solution is for investors who know, that they would like to (and are committed) to start a trading company.
These investors might not have the team in place or the people hired could be on non-compete for a while. By selecting this product, the investors can have a ready-to-trade company in place by the time the people are released from their non-compete and they can therefore start to trade from Day 1.
Further this product is for new market entrants, who do not have prior knowledge from the energy trading world, and therefore lack knowledge and capabilities to do it all themselves.
Lastly, larger VCs (Venture Capital) are looking towards this product, as they too can see a benefit of cutting several months of the timeline and starting generating revenue earlier than if they were to do it themselves.
Benefits of the product is: saving time, ensuring that a stable foundation is in place, increase ability to generate profits earlier, focus on core-competences and value-creating processes (trading strategies).
It requires a capital of at least 3m DKK, but the required capital heavily depends on the number of markets and products the clients wants to trade from the start. It can be up too 5-8m DKK.
Why use Energy Market Partners?
Reduce market entry timeline
- Exploit “EMP”’s experience and well tested processes for entering European and US markets.
- Mitigate risk of hired in house specialist leaving the company, which effects timeline, domain knowledge capabilities and focus on core capabilities.
Gain access to domain knowledge for strategy and business operations
- Use our experience to get answers, challenge requirements, suggest improvements and implement solutions.
- Be able to make faster decisions on overall setup.
Focus on trading specific key aspects
-By collecting data, developing trading strategies and increase market knowledge in order to be able to execute trades upon membership acceptance.
- Taking advantage of our experience of trading and operating the various power markets.
The turn key company setup process
Our market entry process is meticulously designed to ensure success at every stage. Here's an overview.
Phase 1
The client provides us with an overview of their business plan (which markets and products they want to trade) or we deliver a Business Plan to the client based on a workshop.
The plan will be of two parts; a “Strategy for Market Entry and Product Expansion” and an “Operating Model” for the activities. It will include a suggestion on the order of expanding the portfolio of traded markets and products.
The factors taken into consideration includes market rules, margin and collateral requirements, as well as the complexity thenext step adds to the overall setup.
The “Operating Model” will include a description of a standard setup in terms of Trading Platform, Risk Framework, Controlling Framework and Trade Lifecycle. The setup will be presented based on the ambitions of the client
Phase 2
Setting up the company. Getting all necessary registration codes for the energy markets, which are prerequisites for being able to apply for trading license with the exchange and the respective TSOs.
Phase 3
With the “Operation Model” mapped, we have identified which functions are needed. ETRM-system (Energy Trade Risk Management) and Nomination/Scheduling system is often needed and we will scope, analyze and identify the best suited service providers. Ultimately the Client will need to make a “build or buy” decision.
Phase 4
We register the company with the relevant exchanges, TSOs, authorities, and chosen bank and clearing bank (if applicable).
Phase 5
We handover the company to the client and handle the process when the people on non-compete can start in the company, maybe as managing partners. Time: 2-4 weeks.
Phase 6
We can handle all the market continuity needs, including reporting, compliance, user access management.
Not just another market entry company
With experience from starting and scaling two of the largest energy trading companies in Denmark, we know what it takes to build an energy trading company from the ground up.
We have traded energy ourselves across Europe and US and held crucial roles in several major energy trading companies, including commercial project positions where a holistic perspective and a comprehensive overview is crucial in developing the company in the right direction.
We provide a full-suite of consultancy services, and are your one-stop shop energy trading services.
If the client decides to do it themselves they risk of missing crucial details which can hinder their efforts of accessing the energy markets. The chance of running into roadblocks are much higher when DYI.
Several client have contacted us, asking us to help them after having tried the DYI solution, as they do not have the entire overview AND know the important details that matters the most.
Frequently Asked Questions
The price depends on the markets, products and exchanges selected as well as much consultancy services is needed. We provide tailor made solutions and are determined to ensure that the clients needs are meet.
As with pricing the timeline, depends on the markets, products and exchanges selected. Furthermore the responsiveness of the client is often a factor that can cause delay in the process. We are focused on optimizing the timeline and therefore also expect the client to deliver on time.
In the initial analysis phases, the involvement on the clients side can be high initially. However as we move into implementation, the clients involvement can be as low as to only signing documents and getting documents notarized. The tailormade solution also means, that the client can choose their level of involvement in the process and if status meetings are required as well as their frequency.
Client responsiveness.
Holiday periods with the TSOs, exchanges and authorities. At EMP we ensure that there is always personnel present in the office, and that tasks are handed over during holidays, to ensure that we do not cause any delay on our end.
Counterparty workload - it can occur that the TSOs have so many new applications that their introduce a waiting list, which effects timeline.
Still have questions?
Start your energy trading adventure today
With EMP’s full-service approach, we make energy trading simpler and more efficient, turning market complexities into opportunities for your business to grow and succeed.