|
OFFERING
SUMMARY
Company
Seeks $500,000 in Venture Capital in Return for 25% Interest in a Patented
Product with Immediate Demand Appeal.
INTRODUCTION:
Panamor Business Group, Inc. Has Obtained World Rights for a Simple
Household Product shown to have an Immediate Demand - known as 'EZ-Zack'.
Panamor
has obtained patent rights for a unique and extremely useful product
attractive to several hundred million households worldwide. Already
successful in Sweden, Panamor plans refinements to the design and
manufacture of this simple product for the North American market.
It will be made in the USA.
The
product, known as EZ-Zack, is a high impact plastic ring about the
size of the rim of a trash can designed to hold a plastic trash bag
in an open position for easy collecting of leaves, grass clippings
and other debris. With a grasping handle, a person can hold the open
bag with one hand to rake leaves, or drop debris into the bag with
the free hand. With the optional wall mount and ground spear attachemants,
of course, both hands are free.
INVENTED
IN SWEDEN, EZ-ZACK IS A ONE OF A KIND PRODUCT WITH NO KNOWN COMPETITION
Panamor's
research indicates there is no known direct competition for the EZ-Zack
product anywhere in the world, and therefore, the company enjoys exclusivity
of the EZ-Zack product. With potential sales in the tens of millions
- even 100's of millions, Panamor has no competition for the sale
of the EZ-Zack.
PANAMOR
SEEKS $500,000 IN INITIAL FUNDING TO SET UP MANUFACTURING AND MARKETING
IN THE USA/NORTH AMERICAN MARKET
Panamor
seeks only $500,000 in venture capital funds to begin manufacture
and marketing for EZ-Zack in North America. The product is currently
manufactured and assembled in Scandinavia and China. Initial costs
to make EZ-Zack includes up to $150,000 for precision injection molding
dies along with setting up offices and computer equipment, creating
a sales force and general office expenses (full spreadsheets available).
In
return for a $500,000 capital commitment Panamor offers a 25% undivided
interest in Panamor's EZ-Zack product world wide. Panamor will also
repay the entire amount from first available net proceeds from the
sale of EZ-Zack.
PANAMOR'S
SIMPLE PRODUCT CREATES ITS OWN DEMAND IMMEDIATLEY ON SITE
EZ-Zack
is a natural product that will be easily noticed, because persons
with gardens and lawns needing cleanup of grass clippings and leaves
will immediately want one when they see it. Not just for domestic
use, EZ-Zack will also be an efficient time and energy saver in the
commercial market for road cleaning crews, workshop cleanups, school
maintenance, etc.
EZ-Zack
is Virtually Indestructible. Injection Molded Plastic, EZ-Zack is
Designed and Built to Last Two Lifetimes and will need Virtually No
Customer Support - Except to take orders for Follow-Up EZ-Zack Accessories
EZ-Zack
is a solid, lifetime designed product that will never break or wear
out. The only moving part is the retention strap, which in ten years
of use in Sweden have never been replaced, but can be sold as a replacement
part separately. The wall mount bracket and ground spear accessories
will not break or wear out within a human lifespan under
normal use.
Therefore, customer support will be at an absolute minimum, in fact,
more or less, a sales order desk selling EZ-Zack accessories.
EZ-Zack
will be sold with a lifetime replacement guarantee.
GROSS
MARGINS ON SALES FORECAST GREATER THAN 50%
Panamor's
EZ-Zack product is a one-of-a-kind item with virtually no competition
in the marketplace. Therefore, the opportunity for substantial gross
margins from unit sales can be realized. EZ-Zack, without the accessories,
will cost from as low as $5.50 to as high as $7.50 to make - depending
on volume and manufacturing source. By averaging G & A and sales
costs into product costs at a factor of 10%, EZ-Zack F.O.B. 'our'
warehouse is expected to wholesale from as low as $12.10 to $16.50
per unit based on volume. As retailers like Home Depot and others
aim for a 50% markup on this type of retail item, the basic EZ-Zack
unit can sell for $19.95, providing retailers margins of more than
50%;
Retail
- $19.95
Cost (including 50-cents per unit shipping) - $12.60
Profit - $ 7.35
Retailer's gross margin on single unit sales - 37%
Panamor's
chief financial officer has calculated a *realistic assumption for
EZ-Zack unit sales for a one (first year) and five year period - based
entirely on residential unit sales. Commercial factors like schools,
city parks, golf courses, highway maintenance companies, factories,
workshops, etc. have not been included in these sales forecasts.
Sales
forecasts
North
American Households - 117,000,000
Estimated percentage of buyers (modest) - 5%
Total unit sales forecast - 5,850,000
Wholesale price (w/shipping) - $12.60
Gross sales - $73,371,000
Operational costs:
Manufacture
(MFG) - $5.50
Shipping (if Panamor covers delivery costs) - .50
Total MFG (delivered) - $6.00
Total cost of 5,850,000 units - $35,100,000
Profit from sales - $38,271,000
Gross margin on sales - 52%
VC Partner's Estimated Net Cash by End of Year-5- $9,967,750
*Americans buy 7
million lawnmowers every year
EXPERIENCE
Panamor's
management team includes experienced marketing, sales, and team management
personnel. Panamor's Chairman has international marketing experience,
from which he has obtained Panamor's valuable patent rights for EZz-Zack
world wide. EZ-Zack can easily be manufactured and drop shipped directly
to retailers, reducing the need for an employee intensive operation.
Panamor's team has carefully researched the world market. The manufacture
of the EZ-Zack product and will utilize its European, North American,
and Asian market connections to explode the product on a world scale.
$36
MILLION IN GROSS SALES IN LESS THAN 3-YEARS (NORTH AMERICA ONLY)
Revenue
Forecasts: EZ-Zack is expected to reach up to 2.5% of North American
residences in less than three years - forecasting sales of up to $3
million units for estimated gross sales of $36 million and net results
of $18 million.
Venture
Capital partner's potential share of net profits is estimated at $4.5
to $5 million by year-3. Five-year projections indicate over $9 million
paid to Panamor's VC Partner.
Please
contact Michael A Kahn, Senior Vice President, Panamor Business Group,
Inc.: 941.739.3990, or Email: mike@golfmak.com.
Michael A Kahn, Senior Vice President
Panamor Business Group, Inc.
P: 941-739-3990
Email: mike@golfmak.com
So,
let's get to the product
.
So
what is the product and why does Panamor forecast selling it to virtually
every household in America?
EZ-Zack
- Makes an easy and manageable open mouth out of any trash bag.
EZ-Zack
is one of those inventions we probably all thought about while raking
grass or leaves, or sweeping up sawdust in the workshop.
However,
we didn't patent it!
They
did!
This
very simple tool turns a plastic trash bag into a pail you can hold in
one hand, and easily sweep debris into with the other hand.
So
darn simple.
Absolutely
a must for every home, workshop, and garden shed - virtually everywhere!
EZ-Zack converts an ordinary trash bag conveniently into a manageable
trash pail.
Over
117 million households in North America will want at least one EZ-Zack.
Made
in USA, this product is sturdy, simple, and so useful.
USA
made quality will guarantee EZ-Zack for life.

- Rake
and bag leaves easily with one hand free.
-
Wall mount it in workshop or garage with easy to manage accessories
- Stand
it up for tailgate parties, on the beach, at a soccer game
- Simple
parts virtually indestructible
- Handy
in Workshop, Garage, Garden Shed, Beach Days, Tailgate Parties, Park
Picnics
- Uses
almost no Trunk Space and Stores Anywhere
Intended
suggested retail price (MSRP) in USA: $19.95 ($29.95 with accessory set).
Panamor
believes EZ-Zack will become a common household item. Research has identified
67,292 major retail outlets in the USA, 1,326 in Canada and 1,333 in
Mexico for a total of 69,951 major North American stores. Thousands
of additional outlets will include local and regional supermarkets,
department and hardware stores. North American demand comes from over
117 million households. Demand will also come from commercial interests
like schools, city and county parks, national parks, golf courses, theme
parks, restaurants and an endless variety of businesses.
The investor
or lender will also share in another handy product
TIDYMAKER
Tidymaker
- Hang just about anything you could not easily hang before.

- Clever
Universal Hook for workshop, garage, broom closet, garden shed and
many other places where you want to organize things off the floor
or table
- Easily
and securely hangs hoses, extension chords, odd shaped tools, ball
caps, hand tools, baseball bats, tennis racquets, and hockey sticks,
watering cans, beach chairs - just about anything
-
It is such a simple product, but strong enough to hang and securely
hold an average bicycle, or child's tricycle.
-
Holds up to 50 pounds
-
Mounts with two simple screws
-
Every home will have dozens of these handy hook devices.
- Available
in 4-pack, 12-pack and 36-pack.
Deal Points and Use of Funds
100%
of investor's or lender's funds (Funding) will go to develop, manufacture,
and market the two products (EZ-Zack and Tidymaker).
Funding
source will be provided clear progress benchmarks as funds are drawn
to pay for G & A, manufacturing, services, supplies, travel expenses
and sales persons.
According
to Panamor's financial officer, Harald Flom-Jacobsen, the use of investor's
(lender's) funds will top out at the end of the fifth month before positive
cash flow reverses the trend. Cash flows are anticipated to be entirely
positive going forward with forecast total revenues and net income before
taxes after month 12 of $1,788,375, from which a lender may be fully
repaid.
Use
of investor or lender's funds may be less than the $494,104 anticipated
above based on various supplier-manufacturer invoicing policies. For
instance, one die maker has indicated they would amortize the cost of
the dies over a period of time rather than demanding payment of the
entire amount upon delivery of the finished (working) dies. If orders
and sales of product accelerate as anticipated, based on the Scandinavian
sales history of over 75,000 EZ-Zack units sold at $45.00 each, cash
flows in the third and fourth month should reduce the need for the investor
or loaned funds.
The first-year P & L reasonably anticipates net operating income
(NOI) before taxes and debt repayment of $1,788,375.
If
the source of seed funds is a loan, debt may be fully cleared after
month ten.
Contact Mike Kahn
P: 941-739-3990
Email: mike@golfmak.com
|