#1BPC For International Companies PART NERS#2For International Companies Doing Business in Brazil Legal Representation Accounting/Finance Consulting / Audit Due Diligence / M&A / FOREX#3Why BPC? Foreign executives doing business in Brazil quickly find out that the busi- ness environment is quite challenging-to say the least. No surprise then that Brazil is ranked 124th on the Ease-of-Doing-Business index and has the most complex tax system in the world. Bureaucracy, taxes, accounting requirements, labor regulations, and the culture gap are just some of the obstacles foreign companies face. BPC Partners was born from this difficult business world-foreigners living in Brazil that decided to team up with Brazilian professionals who have international experience, to offer specialized services tailored for companies doing business in Brazil. That's the DNA of BPC Partners. BPC Partners For International Companies Doing Business in Brazil Page 3 of 17#4BPC at a Glance Our clients want • To understand what makes Brazil different and how it does and doesn't work • To comply with the laws, to limit the tax burden, to avoid penalties for late payments, tax control, and labor lawsuits • A contact person who can read and speak Eng- lish, and a partner with a Western cultural back- ground • To apply IFRS standards to their Brazilian opera- tions when relevant ⚫ To have the same Standard of Quality and reac- tiveness that they receive in their home country Specialized in . Accounting, payroll, bookkeeping, auditing, legal representation, due diligence, M&A, international fi- nance, and financial consulting adapted to business needs in Brazil Servicing only international companies doing business in Brazil, mainly SMEs (European, North American and Asian) Our differentials • Partners are from 3 continents: North America, Europe and South America • We are trilingual, multi-cultural company with rigorous Chartered Accountants qualified in the UK and Brazil • We offer invaluable and long experience in ac- counting and taxation, with our deep knowledge and understanding of the complex regulatory framework in Brazil • We come from the Big 4 and offer the highest quality standards BPC Partners For International Companies Doing Business in Brazil Page 4 of 17#5Our Services Accounting, Taxes, & Payroll Legal Representa- tion Audit Due Diligence, and M&A International Finance & FOREX Finance Consulting BPC Partners For International Companies Doing Business in Brazil Page 5 of 17#6Accounting, Taxes & Payroll Accounting Production of monthly Financial Statements accord- ing to the Brazilian standards and/or IFRS. Tax Management & Support ⚫ Monthly tax statements (Federal taxes and ICMS) • Tax Calculation (Monthly, quarterly, and yearly) • Monthly calculation and explanation of federal taxes (PIS, COFINS, IPI, IRPJ, CSLL, and IOF) and local taxes (mainly ICMS and ISS) • Selecting the correct tax regime (Real, Presumi- do, or Simples) Payroll Management Organization of new hires, calculating social charges, and withholding income tax, issuing pay- ment slips; helping in selecting the most tax efficient legal form of paying employees and managers (CLT contract, Pro-labor, legal entity, etc.) Official Periodic Accounts Preparation Electronic filing of all accounting entries; preparation of annual General Assembly. Reporting Through Group Templates in English Transformation of the Brazilian accounts into a Group template in English, with comments; num- bers verified and controlled on a monthly basis. BPC Partners For International Companies Doing Business in Brazil Page 6 of 17#7(5-xx) 151111 $114 op das fertilizan ako entre ACY Legal Representation Legal Representation of Your Stakeholders Legal representation with powers to sign on behalf of the foreign partners, solve issues related to the business, respond in a legal capacity, and receive summons on behalf of the company overseas. Legal Representation of your Brazilian Subsidiary Non-operational responsibility for short-term (time to get a permanent visa for your CEO) or long-term. Legal Headquarters for Companies If your company provides services, it can be officially based out of one of our prestigious addresses in downtown São Paulo (Edifício Itália) or Rio de Janeiro. BPC Partners For International Companies Doing Business in Brazil Page 7 of 17#8Audit, Due Diligence, and M&A Accounting and Financial Audits Regulatory or internal audit to verify the Financial Statements of your Brazil- ian subsidiary (Balance Sheet, Profit and Loss statements, Cash flow state- ments, statements of shareholders' equity). We apply international standards of audit and deliver consulting on top of regular audit work. Financial Due Diligence Through our financial review, we contribute valuable insight, and our analysis and findings provide decision makers with a better foundation for decisions. BPC Partners has experience with small and medium scale due diligence (over 20 mil- lion USD), some of them with Unicorns. We focus our review on the areas that are important to the specific transaction. Our international team can better under- stand client's needs, and truly make a difference. Vendor Due Diligence To ensure an efficient sales process the vendor should present clear and concise financial information to potential buyers. An independent review gives potential buyers confidence and insight into the business, and the underlying profitability. Our specialists will be working together with company management and their financial advisors to ensure that relevant opportunities and challenges are identified and that appropriate steps are taken to address them. Other Audits Organizational Audit, Corporate Governance Audit, Contracts Audit, Pro- cedures Diagnosis, Specific Audits tailored to your needs. BPC Partners For International Companies Doing Business in Brazil Page 8 of 17#9International Finance International Transactions / Foreign Exchange BPC Partners has strong relationships with the best and most trusted commercial banks and finance partners in Brazil. This gives us all of the tools and power to offer the most competitive rates for all foreign-exchange transactions (câmbio), which are of course necessary for all companies doing cross- border business with Brazil. Banking fees in Brazil are extremely high, but BPC Partners has helped its clients reduce these costs by saving up to 65% on transaction fees. Foreign Direct Investment (FDI) Our expertise and experience in the area of interna- tional finance is an essential part of BPC's overall value proposition. We provide technical and strate- gic support at each stage of the FDI process for the following: Credit Interest rates on credit in Brazil are notoriously high. If you require access to credit our knowledge and relationships within the credit market can connect you to the most reliable and reasonable players here in Brazil. Local Investments Relying on the big retail banks will ensure your money is inefficiently managed and guarantee some of the worst returns in Brazil. Our knowledge and expertise of the local financial markets can help steer you to the most sophisticated investment plat- forms offering the best and safest investment instru- ments that will guarantee you the highest returns available while your money is parked. • Foreign Capitalization . Foreign Loans • Dividend Distributions back to Foreign Ownership BPC Partners For International Companies Doing Business in Brazil Page 9 of 17#10Finance Consulting Part-time CFO We identify new growth strategies and provide methods to reduce costs to improve business profitability, at a fraction of the cost of a full-time CFO. Budget and Budget Monitoring Budgeting helps you spend less than what you earn. Your local CEO in Brazil cannot spend too much time on accounting and taxes. The CEO must develop the business; therefore, a Financial Consultant will be the best solution to get things done perfectly at a low cost. Cost Cutting You don't have the time to perform a thorough cost analysis. You know cost cutting is critically important to your bottom line. It has been on your "to do" list for a long time, but it never seems to get done be- cause other responsibilities dominate your time. Let an experienced cost reduction consultant take this burdensome action item off your "to do" list. Organization We provide consulting services to help you design organizations to reduce costs, drive growth, and strengthen both short-term performance and long- term organizational health. Management Control We advise companies in relation to their efforts in achieving their objectives and their strategic, fi- nancial, and operational goals: risk management, business process analysis, optimization of the or- ganization, development of management control indicators. Internal Controls When you implement internal control components into your management strategy, you not only deter fraudulent behavior, you help improve the overall quality of your financial statements, which could re- sult in improved transparency, fewer external audit findings, not to mention additional growth and sus- tainability. BPC Partners For International Companies Doing Business in Brazil Page 10 of 17#11Management & Partners Arnaud Bleuez Manager São Paulo, Brazil Having studied accounting, taxes, fi- nance and economics at Edhec/ Espeme in France, Acca in England, and at Hartford in the US, Arnaud is a fully chartered accountant in Brazil and the UK. After working for PwC in London for five years, he joined a large European company where he was the CFO for their Brazilian sub- sidiary in 2004. He has literally writ- ten a book around all things Brazilian Taxes, making him an au- thority on them. Brett Kauffmann Manager São Paulo, Brazil Hailing from New York City where he successfully ran his own company for 16 years, Bret has been living in São Paulo since 2015. With a BA in economics and experience on Wall St. he has quickly gained a thorough understanding of Brazilian finance, especially as it relates to cross-bor- der activities. He gives all BPC clients an edge through conceptual and tactical strategies that he exe- cutes with US standards of effi- ciency. Virginie de Magalhaes Manager São Paulo, Brazil Twenty Years of experience in Ac- counting, Cost Control, Financial Management, Taxes, Payroll, BPO and much more with some Interna- tional Companies, in Europe and Brazil, Virginie has a qualification in Accounting and Finance. On top of responsibilities in the Operations of our firm, she provides Consulting/ Audit/Due Diligence services to our International clients. Virginie speaks Portuguese, French, English and some German. Milena Monato Manager São Paulo, Brazil From Rio de Janeiro, Milena is a fully qualified chartered accountant in Brazil, and has almost 20 years of experience in BPO serving at some of the largest International Account- ing Firms (mainly Grant Thorn- ton). She is an expert in all aspect of Brazilian Taxes, especially Transfer Pricing. She has also worked in Ire- land and speaks fluent English and Spanish. BPC Partners For International Companies Doing Business in Brazil Page 11 of 17#12Management & Partners Serge Pizot Manager São Paulo, Brazil Serge has 25 years of experience, mainly in Audit within two of the largest Audit and Accounting firms (9 years at Grant Thornton and De- loitte). Subsequently, Serge was Re- gional Controller and CFO for international companies. Serge has qualifications in Accounting, Corpo- rate Finance obtained at the London Business School, and lived in France, England, Netherland before moving to Brazil in 2011. Marc de Premare Partner Paris, France Born in 1970, he has spent 5 years in Brazil offering audit, transaction and accounting services to European companies doing business in Brazil. He is a French qualified chartered accountant with a deep knowledge of IFRS standards, and speaks flu- ently English, Portuguese and French. He is our correspondent in Paris, France and frequently travels to North and South America. Jean-Marc Vin Correspondent Rio de Janeiro, Brazil Jean-Marc has 30 years experience serving national and international groups in Brazil and South America. He is Managing Partner at Expertisa, our correspondent firm in Rio de Janeiro. On top of audit, accounting and tax skills, Jean-Marc has an ex- tensive track record in Advisory and M&A services for companies doing business in Brazil. BPC Partners For International Companies Doing Business in Brazil Page 12 of 17#13Brazilian Taxes for Legal Entities The book on making Brazilian taxes understandable in English or French. With a focus on operational management within the Tax Code to help you de- cide, among other issues, which tax regime to select. Includes: . Numerical examples Accounting entries . Tax optimization case studies Provides practical techniques for tax calculation methods for federal, state and/or local taxes as well as employer costs and social security taxes. Hard copy available on Amazon purchase here Free electronic copy on our site download here BPC Partners BPC Brazilian axes Lilies Legal hat you need to know A. Bleuez For International Companies Doing Business in Brazil Page 13 of 17#14Testimonial DEEZER "6 We selected BPC Partners when Deezer arrived in Brazil in early 2013 for all accounting, taxes and administrative support. This was a great choice. BPC Partners has been delivering throughout 4 years now. On top of monthly ac- counts and monthly tax calculations, BPC Partners has helped with international tax issues. They are specialized in international companies, do reply accurately and re- spect deadlines, and can communicate perfectly with our Head Office in Europe; this makes BPC Partners different from most accounting companies. On top of that, the fees are very much below those of the Big 4, with no or very few extra fees during the year. Certainly one of the best choices for Western companies doing business in Brazil. Remi Lhéritier, Finance Coordinator Latin America BPC Partners For International Companies Doing Business in Brazil Page 14 of 17#15Testimonial SSF Ingenieure BPC Partners takes care of our monthly recurring accounting obligations in São Paulo. Among other things, BPC Partners supports us in the execution of payment transactions as well as the identification of the incurring local, national, and international taxes and fees. Moreover, they advise us on various mat- ters from our daily business life. In a proactive way, BPC Partners presents us solutions for reducing fees and taxes, as well as for the completion of international transactions. With the advantage provided by the European roots of some of their employees, they can specifically deal with the special needs and concerns of international companies. Their profound solutions are always given in a precise and timely manner, and they also correspond to the expectations of German society. The fees for their services are structured in a thorough and clear way. Their prices are fair. The young and dynamic team of international business experts has also impressed us as people. For us, BPC Partners have proven themselves as true partners. Jürgen Peter Müller, Administrator SSF Brasil Consultores e Projetistas em Engenharia Ltda " BPC Partners For International Companies Doing Business in Brazil Page 15 of 17#16Testimonial asenium Consutra & Outsourcing Solutors We are a middle sized international Group with a subsidiary in Brazil. We are working with BPC Partners since early 2017; prior to that, we tried other offices without satisfactory results. Indeed, we were firstly looking for a real partner which could properly do all the nec- essary and mandatory Brazilian accounting and administrative tasks for our sub- sidiary. We were also looking for a specialist who could quickly and easily explain and solve accounting, tax and payroll issues; for this we were ready to pay higher fees. BPC Partners has delivered since the very beginning. Reactive, proactive, fast and rigorous replies to our doubts, the services has been above expectations. And, the ic- ing on the cake, BPC Partners has identified tax savings: we are now saving more than R$20.000 a month! Selecting BPC Partners has been an investment with immediate return. Too bad we haven't met them before. We recommend. Antonio Mesquita Brazil Country Manager Asenium Brasil " BPC Partners • For International Companies Doing Business in Brazil Page 16 of 17#17Some Select Clients DEEZER asenium™ SSF Ingenieure Consulting & Outsource Soltors socomore astrocentro meero vivendi TLV lee Lheare " BlaBlaCar Learning Tribes Indelec INFORS HT innovative diagnostics LEADERS LEAGUE GROUPE CA SUI INVESTISSEMENT DURABLE OSF Global Services eurocâmaras Natexo Smart is powerful mithra Women's Health ticketswap BPC Partners For International Companies Doing Business in Brazil Page 17 of 17#18Locations São Paulo Headquarters On the 33rd floor of Editicio Itália, the third tallest building in Brazil, over- looking the historical downtown. Av. São Luis, 50 33rd floor Centro CEP 01046-000 São Paulo, SP Tel: +55 11 3112 1587 Rio de Janeiro Subsidiary Located in the business center of the city, near the city administration and Santos Dumont International Airport. R. Dom Gerardo, 63 - Sala 1209 Centro CEP 20090-030 Rio de Janeiro, RJ Tel: +55 21 2143 8058 Paris, Europe Partner International team, close to our Euro- pean clients, and assisting Brazilian Companies investing in Europe. 15 rue de la Baume 75008 Paris, France Tel: +33 (0)1 41 05 98 40 www.bpc-partners.com | [email protected] BPC Partners For International Companies Doing Business in Brazil Page 18 of 17