ANKUSH TRADERS

Carrier & Forwarding agent

The C&F agent, Mr. Sunil Bindal is working as C&F agent since last 5 years
and the total experience he has got in this field is 12 years. He works as C&F
agent cum distributor under Ankush Traders.

Born in a lower medium family

Employees and vehicles

The total number of employees working under the C&F agent is six, which are
fixed. One employee works as an accountant who handles the billing and one
works as territory sales in charge. The other two works as field workers. There
are two drivers, one for Tata Magic which has a capacity to carry 125 cartons
and the other one for Mahindra Paezio which has a capacity to carry 65 cartons.
All the employees are paid fixed monthly salary. These two vehicles which are
owned by the C&F agent are used to deliver the order to the retailers. Apart
from this one truck used to deliver the material from the manufacturing plant to
the godown. The total numbers of distributors under the C&F Agent are

Office and Inventories

The demand for Anik ghee is unexpected and therefore the average quantity of
Ghee which is kept in the Godown is 25-30 tonnes of ghee. This godown is
owned by the company and it in the basement of a building. This godown is
located two streets away from the office of the C&F agent. The company pays
monthly rental of Rs.50000 per month for the godown and the C&F pays
Rs.10000 per month for the office. Average quantity of ghee which is ordered
by the C&F Agent is 8 tonnes and it is supplied by the truck which takes two
days to reach the godown from the company which is located in Aitta, Uttar
Pradesh. The different product varieties which are kept by the C&F agent are:

Commission

The C&F Agent works on commission basis and he used to get commission
both from the company and the retailers. The commission which he gets from
the company is 1% per carton and from the retailers he gets 3% margin. The
payment is done in cheque by the C&F agent to the company every week and
payment by the retailers is done in cash either every day or within few days.

Mr. Sunil Bindal is justly proud of his business's success. Through

concentrating on maintaining low overhead costs while building sales, this
security products distributor is well on the way to achieving the company's
long-term objective of "distributing dairy products of all the co-operatives &
dairy companies".

ANKUSH TRADERS doesn't have installed any ERP Systems but in future it
hopes to do so. The Company represents a number of logistics and sells
channels, delivering products to dealers and operations that have their own in-
house installation capabilities. Ankush Trader.com Inc.'s products include
Closed-Circuit Television Systems, Burglar and Fire Alarm systems, Access
Control, Home Automation and a host of similar security products.

In its first year of operation Ankush Traders’ sales reached more than $400,000
(Canadian), which is pretty incredible for a company with a total staff of only
three people. And the company is growing.

President Mr. Sunil Bindal says, "In many ways, Ankush Trader.com Inc. is the
type of business that we are seeing more and more in Canada. Small, efficient
and working in cooperation with other small businesses to be able to provide the
same level of service that can be offered by any large organization. Technology
today can certainly allow any small operation to have the 'look and feel' of a
large company and can generally provide faster and more personalized service
to their customer base."

Be small but act large summarizes Ankush Trader.com Inc.'s formula for
business success. But how has Ankush Trader managed to successfully combine
the advantages of small and large organizations and keep their overhead low?

Controlling overhead costs is important for any business, but Panamsec.com

Inc. President Fergus Keyes points out that maintaining low overhead costs
gives a startup business a better chance of succeeding.

There are three main ways that Panamsec.com Inc. maintains low overhead

costs: staffing, technology, and outsourcing.

First, Panamsec's people are an important factor in the company's success.

While the staff is small, they provide a deep pool of expertise and knowledge.
"Panamsec.com is lucky to have three very experienced people in the group",
says Fergus Keyes. Good contacts and knowledge of the industry are critical,
and all three members of Panamsec's staff have been involved in the security
products industry for more than 25 years each.

Fergus Keyes has held senior positions with a number of North American and
International security distributors since 1966. It seemed natural, he says, to start
up his own security distributor operation when various mergers and acquisitions
within the security industry resulted in the elimination of his last position as
President of a large Canadian distributor.

Second, Panamsec uses technology effectively to promote their products to

professional security installing companies both in Canada and around the world.
Fergus Keyes calls Panamsec's Web site "the main focus of our business."

"I would never say that a Web page eliminates the need to "bang on doors" and
see customers face to face, but to provide a source of information, nothing is
better. In our case, we are able to highlight new products, sell them directly over
the site and accept credit card purchases - all great possibilities to develop a
business."

"I don't think the Web in general has reached anywhere near its full business
potential. But it has come a long way. Especially when you think that less than
10 years ago the question was "Do you have an e-mail or a Web page?" to
where it is now; "What is your Web page or e-mail address?" Very quickly the
assumption has changed to the expectation that everyone in business has a site."

Third, Panamsec knows the value of outsourcing and utilizes it fully. "Using the
abilities of other small businesses dedicated to a specific function can allow a
company to provide a service that in the past would have required a much larger
investment," says Fergus Keyes.

For instance, a distribution business needs a warehouse for inventory and to

ship and receive goods. Panamsec.com was able to find another small Canadian
business called iZon Logistics in Oakville, Ontario that receives, inventories,
and ships all Panamsec.com products. Because of this outsourcing, Panamsec
didn't have to invest in the costs and operation of their own warehouse - which
was especially beneficial during the initial years of building the business.

Panamsec.com's Web site is another example of outsourcing. The company's

Web site was designed and is regularly updated by a small Toronto-based
company called Briaz Inc. While outsourcing is one of the main ways that
Panamsec has been able to maintain a low overhead, it also gives the company
the opportunity to support other Canadian businesses.

Panamsec.com Inc.'s slogan summarizes their long-term objective ;

"Distributing Security Products Around The World". To get there, the company
is focusing on money and marketing in the short term.

"Not surprisingly," says Fergus Keyes, "for a small startup the biggest challenge
is finding the operating capital needed to promote and expand the business."
Thanks to increasing sales and profits, the company now has the financial
documentation necessary to find financing. "With an updated business plan and
two years of positive growth, we believe that we can now shop for money and
look for the best terms possible".

Expanding Panamsec's marketing area is the company's other current

goal. When Panamsec was in the startup phase, finding security product
manufacturers that would allow the company to distribute their product line was
the biggest challenge. "Many manufacturers require minimum inventory to be
purchased by the distributor and Panamsec as a startup, without a track record
and limited financial resources, had to concentrate on becoming a known
distributor within the Canadian Security Industry to attract more and more
manufacturers", says Fergus Keyes.
One way the company has done this is by attending industry trade shows. "In
Canada the security products business is relatively small and because of the
geography of Canada, a trade show is often the only chance to speak with a
potential customer from other parts of the country."

Now, however, Panamsec.com is an established security products distributor,

and plans to find customers in other parts of North and Central America and
Europe. "Although Canada is certainly a market for security products," Fergus
Keyes explains, "it is small and Canadians in general do not invest as much in
security as say, our neighbours to the south. The amazing thing about
technology, particularly the Internet, is that with proper effort, you can
inexpensively market your product or service anywhere in the world."

Panamsec.com Inc. is now ideally positioned to "provide competitively priced

security products quickly and efficiently, anywhere in the world", thanks to a
combination of good planning and hard work.

I think Fergus Keyes' advice for starting a small business has a lot to say about
why his own business is so successful:

"In more than 35 years of operating both large and small companies, I think that
a car or truck has all the functions that one should incorporate into a business.
For example, every vehicle has a reverse gear and every business should also
have a reverse gear built into the operation and be able to back up and go
around an obstacle or find another route when you realize that you're going the
wrong way.

On the other hand, sometimes you have to push the gas, and speed up to reach a
destination before a competitor. Or, on occasion, you may have to park an idea
and wait for the road conditions (usually in business, the timing) to improve.
And every business should have a built in maintenance program, so at
designated times, you should look "under the hood" of the business and change
the oil or any other component that is not functioning properly.

Or, you might want to just cruise for a little while and think about where to go
next. However, most importantly, you generally do not get in your car and just
drive. You use a map or previous experience to determine where you want to
go, how long you think it will take, and the best and most efficient route to get
there - exactly what you have to determine, on a regular basis, in any business."