RDJ Catalog
Incorporated
A Pennsylvania Corporation
BUSINESS PLAN 2007
Principals: Daniel W. & Olga I. Merrick
858 Rt. 446
125
West
Email: daniel@rdjcatalog.com
Web Sites:
www.RDJCatalog.Com – www.InstructionsToMoney.Com – www.InstructionsToMoney.Net
Outline:
Introduction
Executive
Summary
Reverse
Merger
Financial
Restructuring
PROJECTED
REVENUES
Balance
Sheet
Restructuring
HR
Demographics
CORPORATE GOVERNANCE
Executive Profile
Business History & Company Profile
Products
& Service
CUSTOMER
FINANCE
Services: Real Estate Portfolio
of 15 Properties
Summary
of Demographics
Marketing
Plan
Operational Plan
Direct Marketing
Financial Strategy
Finance Plan to IPO
Conclusion
Forward
looking statement
Introduction:
RDJ Catalog was born out of the
direct sales dream of
RDJ Catalog formed as a sole
proprietorship in 1999. In 2001 offering
retail merchandise to its customers was a streamline operation in
multi-marketing structure. RDJC incorporated with retail storefronts and a
direct sales force in place.
By 2007 asset building has
lead to over 20 real estate properties and a net worth of 7+MM. Branching out
into other marketing areas was just natural for Dan Merrick, CFO and co-founder
of the corporation. In 2006
With
Executive Summary:
Proper financial planning is
the keystone of any excellent corporation. Using more than the narrow view
single purpose corporation, RDJ has positioned itself into a key role for
expanding operations in high return profit margins. By expanding operations
into new geographic areas with a two fold retail model, RDJ opens both
storefront and direct sales operations under one roof in each location. Each
office can easily operate at a gross income level or 1 million plus revenue
with proper training and management. The goal is to open 100 marketing centers
over the next 10 years in a 3 phase strategic plan. The first phase is to open
10 offices in key locations in large metropolitan areas and spring from those
locations into 9 additional branches to form divisional management teams.
Profits from each operational division will be targeted at 20% to 30% for
equity enhancement and investment operations at corporate level. The
acquisition and retention of key real estate for operational locations and
expanded commercial investments will be the primary purpose of corporate
investment operations. To facilitate the
restructure and expansion, RDJC, Inc. will need to go public by purchasing a
OTCBB Pink Sheet shell and transitioning the name to meet all SEC reporting and
processing requirements.
To complete this
recapitalization and restructure process will require both private, debit, and
equity funding. The funding will be transferred into a new issue of equity
stocks sold on the OTCBB. Thereby RDJC, Inc. can transfer existing debit into
equity funding positioning the company into a cash return operation while
expanding investments into operations and real estate.
The primary key offices will
be expanded on the following time schedule: 2008, Northeastern division,
Southeaster division, Eastern division; 2009, Midwestern division,
South-central division, North-central division, Southwestern division; 2010, Central-western
division, Northwestern division, Mountain division.
IT restructures, marketing,
and human resources will be expanded and redesigned to increase productivity
and revenue. All RE management will be contracted out to local market
management companies with proven track records for 95% + occupancy rates.
Reverse
Merger
A less costly way of going public is a reverse merger
into an existing public shell company. Expenses range from $100,000 to
$500,000. A private operating company is merged into the public shell company,
which becomes the legal surviving entity. The name of the company is usually
changed to the name of the former private company and controlling shares are
transferred to the officers of the former private company. After the merger, additional
stock offerings to the public can be used to raise more capital. RDJ Catalog,
Inc. is planning a reverse merger with a pink sheet OTCBB shell to facilitate
expansion and recapitalization using present equity value of the corporation
assets.
Income
1999
Started 11/15 $4,000.00
2000
Annual Income $25,630.58
2001
Annual Income $33,764.00
2002
Gross Income $46,614.17
2003
Gross Income $291,885.27
2004
Gross Income $363,000.00
2005
Gross Income $292,000.00
2006
Gross Income $208,000.00
2007
Gross Income $263,000.00 (Projected)
2008
Gross Income $9,700,000.00 (Projected)
Financial Restructuring:
Below is a breakdown of funding for this transition:
Debit: $520,000.00
RE Equity:
$1,131,000.00
Shareholder Equity: $7,500,000.00 (Class A preferred shares)
Partial RE
OTCBB shell purchase: $250,000.00
Other equity funding $4,000,000.00 (Private Equity Funding)
Cash for equity to shareholders
$200,000.00
Total Closing assets
$14,309,000.00
Total Transaction Cash Funding required $2,028,000.00
Retained assets Transfer to new OTCBB
$3,500,000.00
New property
$1,000,000.00
Estimated Cash in
$3,030,000.00
New Debit (Transitional Funding) $2,028,000.00 (Paid off with equity funding)
New public offering $24,000,000.00 (Common Stock)
Total D&E new corp. Traded OTCBB $33,558,000.00
All income producing real
estate and retail operations will be transferred under the new structure.
PROJECTED REVENUES:
|
Year |
2008 |
2009 |
2010 |
2011 |
2012 |
2015 |
|
Retail Sales |
3,500,000 |
10,000,000 |
25,000,000 |
40,000,000 |
90,600,000 |
120,500,000 |
|
RE Income |
1,200,000 |
2,575,000 |
5,350,000 |
10,800,000 |
12,958,000 |
25,500,000 |
|
Stock
Sales |
5,000,000 |
5,000,000 |
5,000,000 |
5,000,000 |
5,000,000 |
5,000,000 |
|
Gross
Income |
9,700,000 |
17,575,000 |
35,350,000 |
55,800,000 |
107,558,000 |
150,000,000 |
Projections
based on 100 office expansion with internet and catalog revenues:
University of Pittsburgh at Bradford • 300 Campus Drive •
Bradford, PA 16701 (Retail COGS and
Operational expense @ 20%-30% income).
RDJ CATALOG, INC. ( A Pennsylvania Corporation)
08/2007
PA Dept. of State Entity#: 3065278 EIN: 20-0549680
NET WORTH STATEMENT
ASSETS
|
ITEM |
Description |
Cost |
Market
Value Present |
|
COINS |
US
Collectable & Bullion |
78,000.00 |
1,400,000.00 |
|
PRECIOUS |
LARGE
Caret Collectable |
58,000.00 |
1,500,000.00 |
|
|
Paintings
& Family History |
0 |
158,977.00 |
|
Furnishings |
Furniture,
Fixtures, Equipment, Tools |
186,000.00 |
186,000.00 |
|
COMMON
STOCKS |
Etrade, |
5,680.00 |
32,786.00 |
|
US TREASURY
NOTES |
Zero
Coupon Bonds ‘ |
230.00 |
2,600.00 |
|
ASCAP
Reg. Copyrights |
161
Musical Works/intellectual prop. |
0 (Based on Royalty Value) |
161,000.00 |
|
Business
Inventory |
Retail
items RDJ Catalog stock |
10,472.00 |
30,800.00 |
|
Automobiles |
2002
Excursion/2006 Toyota/86 Pont. |
12,000.00 |
55,000.00 |
|
|
Money
Market & Bank Ck/Sv |
77,000.00 |
77,000.00 |
|
|
Schedule
Above |
222,600.00 |
1,215,400.00 |
|
RDJ
CATALOG |
Business
Value |
44,064.00 |
361,884.80 |
|
ACCOUNTS
RECIEVEABLE |
Notes
& Judgments |
4000.00 |
50,000.00 |
|
TOTALS |
|
|
5,244,448.00 |
Note: Pledged assets above may
consist of personal property of the corporate officers. IE: RE @ 858 Rt. 446
Smethport, PA 16749.
LIABILITIES
|
ITEM |
HIGH CREDIT / RATING |
PRESENT BALANCE |
MONTHLY |
|
TOTALS |
~900K IO1/RO1 |
520,594.00 |
8,831.00 |
Details on debts and expenses
withheld for security purposes.
Balance Sheet
ASSETS $5,244,448.00
LIABILITIES $
520,594.00
Annual
INCOME $300,000.00
EXPENSES $109,572.00
The primary goal and
objective of RDJC, Inc. is to build corporate net worth.
RDJC, Inc.
Restructuring HR:
Key officers will be retained
in the transition and new management will be assimilated in corporate structure
to enhance goal oriented sales revenue. Web presence will be updated to provide
user friendly interactive transactions for revenue generation through sales and
affiliate advertising income. Media and mass marketing plans centered on PR and
attraction of targeted demographic groups will be implemented to insure
favorable results. Projected hiring will
be 1000+ over the next 8 years.
Demographics:
21-55 Couples 18K – 75K annual 90% of past sales
55% with children
14% professionals’ 25-38 50K+ with college
21% two income households
21-40 Female (single mother) 15K – 38K annual 10% of past
sales
Based on past sales,
marketing in these distributions have yielded a 75% to 85% closing rate (2 out
of 3). By training managers to recruit, hire, and train in the local markets of
the expanded target areas, a ready sales growth is developed within areas.
Associative marketing results from expanded marketing representatives who move
into management in the next phase of expansion.
Word of mouth advertising and
direct sales force illuminates a great deal of advertising costs while making
market loyalty an integrated part of each hire and sale. Training each
representative to develop in teams toward the goal of operating his or her own
branch office provides the advantage of network marketing without the usual
problematic integrity associated with network marketing companies.
Practice sales development
with friends and family provide a qualified referral resource for future sales
and immediate corporate income. In the first 30 to 45 days of operation in
Bradford Pennsylvania, RDJ Catalog, Inc. gross sales toped $164,000.00 showing
a test market in a less than average market can yield high returns with only a
short operational startup.
The two fold marketing model
allows for both traditional retail store operations and direct marketing
techniques to be maximized into a million dollar production operation within
the first 12 months of opening.
Divisional Cities for phase one
expansion: Pittsburgh; Orlando; Nashville; Chicago; New York; Dallas; St.
Louis; Seattle; Sacramento; Denver.
CORPORATE GOVERNANCE:
Executive Profile: RDJ Catalog, Inc. is a family owned corporation. RDJ’s Operational Manager and President is
Capt.
Business History & Company Profile
RDJ Catalog
was born out of the marketing Ideas fostered by
Products & Service
RDJ Catalog has
an active marketing outline in our 7-department program that allows for
enhanced sales potential and new market development. Our primary product is 5
Ply and 7 Ply T304 Stainless Steel Steam Control Cookware. Secondary product line is the Model 2000
water filter system. Our eighty plus
page full color catalog has over 500 additional items for purchase.
(17 Piece set pictured above includes a
lifetime warranty MSRP$1595.00)
The 7
Departments:
a. Recruiting – This program is designed to
hire and train independent 1099 commission sales representatives to market
products to customers. The program is modeled after
b. Sales – The sales team is trained in direct
field marketing presentation with the use of video and presentation book.
Incentives are in place to help inspire achievement as well as a profitable
commission schedule.
c.
Service
– Warranty service is handled by the
d. Catalog Follow-up Sales – Each
representative is encouraged to contact customers after the sale to offer other
products on special or sale items. Accounts are assigned to rep’s in the event
termination or for departing rep’s.
e. Lead Procurement – Telemarketing and direct
field techniques are used to acquire potential customers. Rep’s are also encouraged to get referrals
while in the home to seek out new buyers.
f.
Accounting
& Investment – Books and ledgers are trained for every prospective
distributor to insure that taxes are current and paid on time. This is to
insure accurate records are kept and reduce risk of tax liability. This
department also includes finance.
Presently all paper sources are non-recourse and only a limited number
of security agreements are financed in house.
g. Promotion – Each office is to continue to
develop representatives and distributors to achieve greater goals through
continuing education. Programs and materials that will inspire and motivate by
authors as Zig Ziglar, Tom Hopkins, Dale Carnegie, and other book such as “Rich
Dad Poor Dad” are to be in office libraries for regular training and morning
meetings.
Our Cookware features Steam Control
Valves to better retain Vitamins and Minerals while
steaming instead of boiling.
5 Ply construction T304 Stainless Steel acts like a heat battery, heat the pan on medium and reduce to low for greater
energy savings while cooking.
This Leather Coat sells in local malls
for $389.00 RDJ Catalog price is only $94.00
2005 CATALOG FEATURED MANDRELL SISTERS ON
THE FRONTCOVER!
CUSTOMER FINANCE:
By providing in house financing
for customers the bottom line can be increased overall by 15 to 25%. RDJC, Inc.
can establish ACH/EFT and direct debit financing at a rate of 10% APR and
thereby increase revenue gross to a projected proforma gross of $150 to $192
million per fiscal year. Corporate finance offices will be established in
Smethport and
Services: Real
Estate Portfolio of 15 Properties
RDJ Catalog, Inc., its officers,
representatives, or broker for real property, makes no claims as to the
completeness or the accuracy of the material contained herein. The real property owned or assigned to RDJC,
Inc. is subject to risk factors such as rental market fluctuation and the
reader of this business plan is hereby advised that changes may have occurred
in the physical or financial condition of the properties since the time of
preparation of this report. The projections and proforma data, were determined
from historical information provided by accounting and or real estate brokerage
contracted agents and may not be current with actual figures. The terms of
informational presentation are subject to amendment, change, withdrawal, or
revocation without notice. Any offering memorandum for sale of these real
properties are subject to the following terms and conditions; neither the
company or owner, broker or any representative or agent of RDJ Catalog, Inc.
makes any warranty, express or implied. Parties who have no material interest
in this document are asked to delete and destroy all copies of this document.
Annual Income:
$121,886.40
Taxes:
$6,700.00
Insurance:
$2,700.00
Expenses/Utilities:
$6,287.00
Cap Rate:
7.97%
Market Price:
$1,332,489.00
|
Address - Zip |
Units |
Monthly Income |
|
|
1 |
$600.00 |
|
47E. Main-16701* |
3 |
$1950.00 |
|
|
2 |
$875.00 |
|
49 Rochester-16701 |
1 |
$552.00 M |
|
46 Poplin- 16701 |
1 |
$465.00 |
|
11 Colegrove-
16701 |
1 |
$700.00 |
|
54 |
1 |
$553.40 M |
|
96 Cornen-
16701 |
1 |
$443.00 |
|
161 E. Main 16701 |
1 |
$600.00 |
|
22 Railroad 16730 |
1 |
$600.00 |
|
23 |
1 |
$437.16 M |
|
544 Route |
1 |
$131.64 M |
|
125 West Main 16749 |
1C |
$2000.00 Retail |
|
Windfall Rd. 16731 |
0 |
.5 Acre |
|
|
0 |
1.3 Acre |
|
Coin Op Laundry |
2* |
$250.00 |
|
TOTALS: |
17 |
$10,157.20 |
3 Properties on land contract first
mortgages and one 2nd mortgage denoted by M
|
|
|
|
|
|
47E. Main-16701* |
|
|
|
|
|
|
|
|
|
161 E. Main 16701 |
|
|
|
|
22 Railroad 16730 |
|
|
|
|
23 |
|
|
|
|
544 Route |
|
|
|
|
Windfall Rd. 16731 |
|
|
|
|
|
|
|
|
|
49 Rochester-16701 |
|
||
|
46 Poplin- 16701 |
|
||
|
11 Colegrove- 16701 |
|
||
|
54 |
|
||
|
96 Cornen- 16701 |
|
||
|
125 West Main 16749 |
|
||
* 4 machines in 2
buildings: RDJC, Inc. is
an investment corporation with real estate holdings in the
Mentoring & Media Public Relations
|
Instructions To
Money Radio
Featured Guests: Some of Personal Mentors. notice with mentors and customers. |
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Real Property
Community Characteristics:
These distinctive
characteristics represent factors which have a strong influence on this
community. Factors are considered "distinctive" if this community
falls into the top 25% for these characteristics nationally.
|
|
16701 |
|
Characteristics |
|
|
Closest Airport |
BRADFORD
REGIONAL(5 miles) |
|
Closest 2 Year College |
OLEAN
BUSINESS INSTITUTE(19 miles) |
|
Closest 4 Year College |
UNIV OF
PITTSBURGH AT BRADFORD(3 miles) |
|
Closest Major Sports Team |
Buffalo
Bills (65 Miles) Pittsburgh Steelers (150 miles) |
Population
|
|
16701 |
|
|
Population |
13,194 |
12,469,371 |
|
Population Density (people/mile) |
75 |
276 |
|
Population Growth (since 2000) |
-7% |
2% |
|
Male |
6,336 |
6,055,244 |
|
Female |
6,858 |
6,414,127 |
|
Median Age |
38.72 |
38.58 |
Household
|
|
16701 |
|
|
Number of Households |
5,510 |
4,836,935 |
|
Average Household Size |
2.31 |
2.48 |
|
Household: With Children |
1,773 |
1,553,674 |
|
Household: With no Children |
3,738 |
3,283,261 |
|
Household: Family |
3,390 |
3,220,607 |
|
Household: Non-Family |
2,120 |
1,616,328 |
|
Total Dwelling Units |
6,335 |
5,450,054 |
Housing
|
|
16701 |
|
|
Median Home Price |
50,000 |
27% |
|
In Current Residence 5+ Years |
45% |
42% |
|
Annual Residential Turnover |
17% |
17% |
|
Median Years in Residence |
4.34 |
3.99 |
|
Median Dwelling Age |
60 |
43 |
|
Income |
16701 |
|
|
Median Household Income |
$33,475 |
$45,389 |
|
Average Household Income |
$43,187 |
$58,718 |
|
Average Income Change (since
2000) |
11% |
13% |
|
Per Capita Income |
$18,872 |
$23,603 |
|
Sales Tax Rate |
6% |
6% |
|
Sales Tax Type |
CO |
ST |
|
Median Disposable Income |
$29,668 |
$39,194 |
Net Worth
|
|
16701 |
|
|
Median Household Net Worth |
$36,663 |
$42,528 |
|
Average Household Net Worth |
$126,279 |
$140,489 |
|
Median Home Price |
$50,000 |
$205,500 |
Cost of Living
|
|
16701 |
|
|
Average Total Household
Expenditure |
$39,705 |
$48,250 |
|
Household Expenditure Index
(100=National Average) |
78 |
95 |
Cost of
Living Index
(100=National Average)
Community
Characteristics: Smethport , PA
These distinctive
characteristics represent factors which have a strong influence on this
community. Factors are considered "distinctive" if this community
falls into the top 25% for these characteristics nationally.
|
|
16749 |
|
Characteristics |
|
|
Closest Airport |
BRADFORD
REGIONAL(10 miles) |
|
Closest 2 Year College |
OLEAN
BUSINESS INSTITUTE(21 miles) |
|
Closest 4 Year College |
UNIV OF
PITTSBURGH AT BRADFORD(14 miles) |
|
Closest Major Sports Team |
Pittsburgh
Steelers/Pirates (150 miles) |
Population
|
|
16749 |
|
|
Population |
2,144 |
12,469,371 |
|
Population Density (people/mile) |
16 |
276 |
|
Population Growth (since 2000) |
-4% |
2% |
|
Male |
1,072 |
6,055,244 |
|
Female |
1,072 |
6,414,127 |
|
Median Age |
41.48 |
38.58 |
Household
|
|
16749 |
|
|
Number of Households |
811 |
4,836,935 |
|
Average Household Size |
2.47 |
2.48 |
|
Household: With Children |
279 |
1,553,674 |
|
Household: With no Children |
530 |
3,283,261 |
|
Household: Family |
589 |
3,220,607 |
|
Household: Non-Family |
223 |
1,616,328 |
|
Total Dwelling Units |
1,089 |
5,450,054 |
Housing
|
|
16749 |
|
|
Median Home Price |
150,000 |
17.5% |
|
In Current Residence 5+ Years |
39% |
42% |
|
Annual Residential Turnover |
19% |
17% |
|
Median Years in Residence |
3.54 |
3.99 |
|
Median Dwelling Age |
46 |
43 |
Income
|
|
16749 |
|
|
Median Household Income |
$40,282 |
$45,389 |
|
Average Household Income |
$51,136 |
$58,718 |
|
Average Income Change (since
2000) |
11% |
13% |
|
Per Capita Income |
$20,651 |
$23,603 |
|
Sales Tax Rate |
6% |
6% |
|
Sales Tax Type |
CO |
ST |
|
Median Disposable Income |
$35,330 |
$39,194 |
Net Worth
|
|
16749 |
|
|
Median Household Net Worth |
$41,554 |
$42,528 |
|
Average Household Net Worth |
$134,823 |
$140,489 |
|
Median Home Price |
$150,000 |
$205,500 |
Cost of Living
|
|
16749 |
|
|
Average Total Household
Expenditure |
$44,403 |
$48,250 |
|
Household Expenditure Index
(100=National Average) |
87 |
95 |
Cost of
Living Index
(100=National Average)
RE Comparables:
Range: $1.6 million to
$19,000
Sample Size: 381 in 20 mile
radius
200K+: 68
199K-100K: 65
99K-50K: 150
49K-19K: 98
Overall average house price
for 20 mile radius: $205,500.00
Most significant changes in
area economy over last 5 years: Oil and Gas well drilling permits up by 181 new
applications and Deep oil vain geological find 2007. Seneca Allegany Casino
opened with completed construction in 2007 & Median household income up 15%
from 1997 to 2007. Average high end housing price up from 200K to 500K over
last 10 years.
Local Amenities:
5 Golf courses within a 25 mile area
Seneca Allegany Casino (Concert hall
opening this fall)
3 Ski Resorts within a 50 mile radius
(Denton Hill, Peak & Peak,
Chautauqua Institute
ZIPPO/Case Visitors center
Malls & Shopping centers in
Kinzua Reservoir
Employment by Industry Local
Top 10 Employers
1 - ZIPPO MANUFACTURING COMPANY
2 -
3 - FEDERAL GOVERNMENT
4 -
5 -
6 - W R CASE &
7 - WAL-MART ASSOCIATES INC
8 - SAINT-GOBAIN CONTAINERS INC
9 - ETHAN ALLEN INC
10 -
Known as the
"Governor’s County,"
Smethport is the county seat of McKean County and the home of
RDJ Catalog, Inc. corporate offices with a retail location at 125 West Main
Street and offices at 858 Route 446 in Farmers Valley. Smethport is famous as
the home of the inventors of the Bowling Ally automatic pin loader and the
Wooly Willy toy. Smethport is also the home town of
Marketing Plan
Competition:
The closest competition in this market is Mitchells World Products
located at
They have only been in business for 2 years and have only 3
employees. D&B has no stats on income
market share or suppliers for analysis. Other competition is Cutco
which has only one rep in this area located in
Real Estate Rental market competition is predominate ‘old school’
property managers who do little to improve the marketability of their rental
units to improve income. RDJ has made enhancements to properties along with a
regular maintenance program to insure that tenant properties are attractive to
potential leasers. The recent expansions and rehabs developed by RDJC, Inc.
have had a 98% occupancy rate and increase in overall rental rates in the area.
Most Businesses fail in the first five years:
RDJ Catalog has been in business for 10 years and has always
declared a profit. Our price points, quality, and Customer service has given us
an edge over our competition. RDJC has bucked the trend with gross receipts
since 2004 over 250K annually.
92%
of the direct retail market companies are declining which includes all direct
sales and is not RDJ Catalog product specific. Cutco has a primary push in
cutlery and only derives 15% of its national sales from cookware. Cutco is
supplied by the same companies as RDJ Catalog and has no plans to develop
In the last 10 years RDJ has gone from annual sales in 1999 of 4K
to projected annual sales of 500K+ in 2008.
Marketing Mix (distribution
strategy)
RDJ
Catalog is a unique marketing company in that the trends in the analysis are
not accurate concerning the reference to products that are outside the scope of
RDJ Catalog offerings. Being a direct marketing company born more out of the
concepts of
RDJ Catalog
is actively seeking distributors and sales representatives that are willing to
market direct to the public by word of mouth and personal contact.
Our
goals are to distribute products from
Distributorship – RDJ Catalog has a
working marketing program based on distributorship to increase sales. The program allows a sales representative to
become a distributor of products in their own office by achieving certain
goals. Targeted markets have been identified in
Operational Plan
RDJ Catalog plans
expansion into retail expansion operations by summer 2007. Operational
structure is designed
into three areas being,
Direct Marketing, Storefront Operations, and Investment Management. Direct
marketing is
designed to train and
develop a sales person to become a distributor of RDJ products in direct sales
in an expansion
geographic area. After
achieving certain goals, direct sales reps are given promotional opportunities
into management. Storefront operations allow for walk in sales and provides
space for training sale staff. Investment
management is subordinate to retail operations and is kept separate from retail
operations. Investments are primarily in real estate with the long-term goal of
renting locations to distributors in startup expansion operations. Some of the present real estate
holdings are in residential income properties as well as commercial properties.
These properties are managed on site and off site with 10% of the labor for
repairs being preformed by contracted service providers. The company has been a
family operation up to this point in its development with the addition of
legal, accounting, brokerage, and tax services being also contracted out.
Customer financing is non-recourse through Citizens Finance Company and Finance
America Corporation. By offering in house finance plans to customers supplied
by capital from a reverse merger IPO, RDJ can increase market share on a
national scale and illuminate debt through stock offerings.
Manufacturing – All manufacturing is
done with outside sources. Suppliers are:
50,000 sources for wholesale purchase of products. RDJC has also
established relations with Master Cutlery & B&F.
Insurance (Risk Mgmt)- All liability, employee and
sales rep disability/workmen’s compensation
Is provided by USAA Insurance of San
and real estate insurance. Employee benefits and workman’s comp is
offered through the
Chamber of Commerce of which RDJ is a member
business. RDJC, Inc. has a Travelers Insurance business liability
and workman’s compensation policy as well as
contractors insurance.
Direct Marketing
RDJC, Inc. has proven in the last 10
years of operation that direct marketing is the best method to generate revenue
from sales. RDJ holds ownership to over 60 web domains and with an expanded
direct sales force can move proven marketing concepts into a national market.
RDJC, Inc. has recently filed with US government CCR registration for marketing
to government contracted purchasing agents.
Financial Strategy
RDJC, Inc. presently
owns RE assets of $1,000,000.00+ and a debt of $559,000.00 restructuring this
debt to facilitate expansion by selling equity ownership in the company will
allow an average monthly increase in cash flow of $9,000.00 to $12,000.00. This
increased cash flow can be redirected into retail, marketing, and investment
expansion. RDJC, Inc. can add to its profit margin by acquisition of new
markets and expanded real estate holdings. This financial positioning for a
Reverse Merger will generate total debt reduction with an IPO offering on the
OTC market.
By expanding into
additional markets, profits will increase with increased population areas.
Direct 504 investors and note sales to reorganize debt will allow RDJ Catalog
Incorporated to implement the following financial strategy:
Þ
Restructure
debt to reduce interest and shift toward equity sales to eliminate debt.
Þ
Expand Retail
operations into
Þ
Drive up
revenues with direct sales in new markets.
Þ
Increase Real
Estate Acquisitions in new market areas.
Þ
Purchase NASDAQ
shell & change name to make RDJC, Inc. public.
Þ
Continue
expansion nation wide with marketing and advertising to drive up internet sales
and radio affiliates.
RDJC, Inc. is actively
seeking equity investors and private loan funding. See additional attached
financials for more information. Principals may contact
Finance Plan to IPO:
Proposal Blanket
Mortgage Funding Bond & RE Backed Loan:
CUSIP: 912803CZ4
Type: STRIP
QTY 2000
U
Maturity
Issue Date
Yield 4.716
Price 25.489
Yield to Mat: 4.746
Principal: $505,520.00
Loan $2,000,000.00
Bonds At Maturity:
$2,000,000.00
360 Interest Only
Payments of $5,180.88
Total Interest
$1,865,116.80
Backed by Real Estate
Valued at $1,300,000.00
5% Interest
Loan Total Of Payments
With Bonds at Maturity: $3,865,116.80
Use of Proceeds:
RE Exsisting
Loans: $540,000.00
Bonds & Fees $505,520.00
Registry Transfer $ 2,000.00
Corporate RM $200,000.00
Reserve Holdings $752,480.00
Total UOP $2,000,000.00
Monthly
Present Rents and
Income $7,049.64** (Not including personal income of $4,979.00)
** Reduced 30% for
conservative estimate IE: Vacancy rate and market offsets.
Net Before TI after
PMT $2,268.76
Taxes &
Insurance $1,128.76
Total To Reserve
Holdings monthly $1,140.00
Projected monthly
deposit of $1,140.00 for 30 years with an interest rate of 5.65%
compounded monthly
with an initial starting balance of $ 752,480.00:
Year Balance
1
810153.42
5
1076285.90
10 1505510.92
15 2074475.58
20 2828673.90
25 3828411.03
29 4857893.98
30 5153625.27
Final Savings Balance:$ 5,153,625.27
This is a conservation
estimate of proposed financing with an IPO to facilitate a national marketing
strategy. Exact figures can be obtained by referring to offering memorandum. In
30 years the corporation can establish earnings in addition to the savings balance
above and create greater asset acquisitions in modified development plans in
the future.
Conclusion:
RDJ Catalog,
Inc. is actively expanding new distribution venues to increase revenue base.
RDJ Catalog has grown in nine years which reflects the expert abilities of its
management team. RDJ Management will continue to invest in RE holdings that
have proven to reap a consistent income and growth. The corporation is well
positioned to go public by executing a reverse merger and expand operation over
the next 5 years into 100 stores nation wide. Interested principals my contact
the corporate offices for investment or legal information.
RDJC, Inc. is actively seeking finance sources for
expansion, development, acquisitions, and restructuring, Principals and
prospective equity partners may contact RDJC, inc. Registered Agent at:
858 Route 446 Smethport,
PA 16749
RDJCATALOG.COM
President/Author:
InstructionsToMoney.Net
Email:
Daniel@RDJCatalog.Com
Voice
Fax
Forward
looking statements:
This is not
a prospectus or offer to sell stock under the SEC rules; Statements contained in
this business plan and on the corporate web site which are not historical facts
may be forward looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities and Exchange Act of
1934. These forward looking statements may include, but are not limited to,
statements about our plans, objectives, expectations, prospects and intentions,
markets in which we participate and other statements contained in this document
or press release(s) that are not historical facts. When used in this document
or in press release(s), the words "expect," "predict,"
"project," "anticipate," "believe,"
"estimate," "intend," "plan," "seek"
and similar expressions are generally intended to identify forward looking
statements. Because these forward looking statements involve risks and
uncertainties, there are important factors that could cause actual results to
differ materially from those expressed or implied by these forward looking
statements, including changes in our plans, objectives, expectations, prospects
and intentions and other factors discussed in our filings with the SEC. We
cannot guarantee any future levels of activity, performance or achievements.
RDJ Catalog Inc. undertakes no obligation to update forward-looking statements
to reflect events or circumstances occurring after the date of this
presentation. See other disclaimers above and legal information at
RDJCatalog.Com
RDJ Catalog,
Inc. ™
© 2007