INVESTMENT OPPORTUNITY JEFF’S AUTO LLC Legality Jeff’s Auto is a Business entity set up as an LLC (Limited Liability Corporation) It is registered with.

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Presentation transcript:

INVESTMENT OPPORTUNITY JEFF’S AUTO LLC

Legality Jeff’s Auto is a Business entity set up as an LLC (Limited Liability Corporation) It is registered with the federal government as a subchapter S The LLC allows Jeff’s to operate freely without being subject to the federal regulations found in standard corporations. An LLC is an entity of pass through taxation but has limited liability to owners The subchapter S allows the company to operate like a corporation but without double taxation. The subchapter S also allows the legal sale of shares as a means of financial support during development and expansion.

Current Status Jeff’s Auto LLC is a legal business entity registered with the federal government and the state of Arkansas. Jeff’s Auto LLC at this time only operates as a mobile service Jeff’s Auto LLC has contracts with USAC (United States Auto Club), Knights Auto Club and has a pending contract with AAA Jeff’s Auto has a pending $150,000 SBA loan that will allow development of a new 3 bay, fully equipped facility.

Facility Information Metal Building 40x post lifts 9,000 pound capacity 1- 4 post lift 12,000 pound capacity Waste oil heater used for heat Office and waiting room area equipped with a/c 1 acre of commercial property Located on the corner of Larry Neff Drive and Hwy 49 In Jane Mo. Actual property needed to operated business is.6 acres Frontage 163’ HWY ’ Larry Neff Drive

Jeff’s Auto Services Complete mechanical auto repair Bay designed for quick no waiting oil changes U-haul equipment rental Complete line of U-Haul packing supplies U-Box rentals 24-hour roadside service AAA Certified 1 year parts and labor through certified auto Ability to accept extended warranty contracts Courtesy services New and Used Tire Sales

Competition Jeff’s AutoCompetitor Shop Rate $79.00 per hour Flex Labor rate based on tech pay of $25.00 per hour Tax Rate 5.8% on parts no tax on labor Pricing Matrix for parts $12.00 markup on new tires No tire disposal fee’s Smith Auto Group (1 Mile) Shop Rate $95.00 No Flex Rate Finish Line Auto (5 mile) $89.00 shop rate No Flex rate 9% tax rate on parts and labor Charges $5.00 per tire disposal fee

Competition Jeff’s AutoCompetition Full Line of U-Haul Products U-Box Express lube lane Aftermarket suppliers Same day delivery Customer Courtesy service 24-roadside assistance Smith Auto No U-Haul Products No express lane No roadside assistance Limited parts resource Finish Line Limited U-Haul Service No express lane No Roadside assistance

Financials Information based on actual financial reports of Finish Line Automotive (Same size shop and 5 miles away) Keep in mind these projections do not reflect the services Jeff’s Auto added. These projections based solely on auto repair services. These projections do not reflect U-Haul product sales or U- Box rentals. They do not include Roadside service income or the added efficiency for express lane services.

Assessed value Opening day Value $234,000 5 year Value Projected Population Growth rate of area 8% Projected commercial property value 4.5% Projected Business growth from year 1 to 5 35% Total value $409, year value Planned Expansion and diversity growth $750,000

Capital Needed Payments of loan during construction phase 90 day construction period Start up Capital Inventory Utility deposits Grand opening costs/ advertisement Operating capital Daily and monthly operating capital needed until company can self maintain. Estimated Capital needed $15,000

Stock Evaluation OTC Stock Book Value $234,000 Opening Day liabilities $150,000 Percentage of Company Stock available for public sale 10% Issuable shares 1000 Value per share $23.40 Sale Price per share $15.00 Yearly Dividend Received based on profit Expected 5 year growth rate 34.5% Expected 7 year growth rate 57.1%

Investor Advantage Analysis 100 Shares = 1% of Company a one time cost of $1,500 Receive Yearly dividend Year 1 Estimated $ Year 2 Estimated $ Year 3 Estimated $ Year 4 Estimated $ Return on dividend may become stagnant between years 5-6 Year 7 will show a large increase (SBA paid off)

Summation of Investor Earnings 100 shares = 1% of company $1,500 investment (5 Years) Earnings through dividend payments Total earning $4, over 5 years Value of share Company value after 5 years $409,000. 1% = $4, Total Earnings 5 year earnings $8, Investment cost $1, Total Profit $7, Giving you a 96% return on your investment

Contact information Jeff Simpson 4 Formby Lane Bella Vista Arkansas If you intend to invest, please send your information and amount of investment to Keep in mind that the investment is not needed until the loan is approved through the SBA. However the investment information is needed for the bank to understand where the capital is coming from