Investment Catalog July 2012

www.parkwildcapital.com
Park Wild Capital LLC c/o Chris Miller 5185 Jones St Omaha, NE 68106 (402) 943-9659 chris@parkwildcapital.com

July 2012
Catalog of Investment Opportunities
www.parkwildcapital.com

Welcome to Park Wild Capital! We act as a fiduciary watchdog of sorts that allows investing into real estate and small businesses a more safe, transparent, and understood venture. We also act as a parenting figure (or an institution as we like to refer to ourselves) that provides guidance and coaching to the bright, talented, and extremely motivated managers (we call them champions) that will be in charge of harvesting the returns expected from the capital employed by our investors (angels). Rather than just haphazardly throwing money at good people and good ideas, we feel there is a way to create a system of standard education, checks and balances, accounting guidelines, a mentor network, a peer network, shared resources, and all sorts of other things that collectively lead to more predictable results, higher levels of success, higher profits, lower risk, and ultimately happier people in general. Park Wild Capital has been nearly a decade in the making. It has come about from our own frustration of not being able to find high yield investments that we actually understand and that we might have some bit of control over. We have experimented over the years with our one lone guinea pig (Delta Real Estate Portfolio) and now have the confidence along with the humility to believe we can take more calculated risks not just in real estate but also with small businesses in general. Our goal is to leave your nest egg containing your 401k, your business, and your primary residence alone and provide angel investing education and unique opportunities that would allow you to get the most out of a smaller portion of your overall portfolio. Our investments are designed to complement what you already have in place in a way that is not correlated with the world of stocks and bonds. So when the broader markets are tanking, you have something else to hang your hat on. And who knows, maybe youll get to be a contributor to the next Berkshire Hathaway, Microsoft, or Facebook.

The Not So Fine Print: The following pages contain summaries of the investment opportunities within our reach that you can be a part of. They are just summaries so be sure to request more information if you have additional questions, concerns, or interest in any of the options. And as with any investments outside of CDs at a bank we must be full disclosure that there is risk in all our investments. We take the preservation of your principal very seriously, however things outside of our control could cause you to lose every penny of your investment.

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Catalog of Investment Opportunities
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#1 - Delta REP Gold Conversions (Delta REP Business Plan: www.deltarep.com/2011bplan) Summary of success at 5185 Jones St

Before

During

After

We recently have completed the complete renovation of 5185 Jones St. This property has been a unique experience for us as we got to feel the full wrath of the City of Omahas building code requirements as the house was condemned and deemed uninhabitable when acquired. The condition of the property and its status with the city pushed it into the realm of new construction where all necessary permits and inspections were required before we were given our certificate of occupancy from the city. The condemned status from the city caused an enormous amount of problems with both the project management as well as the financing as no bank in their right mind trusted a 27 year old kid to experiment with their money on an absolute mess of a property that could have had an enormous amount of unforeseen problems hiding behind the walls like ticking time bombs. However, we had a few wonderful Angels (John Hubbard, Gary Else, Rich Hubbard, Regan Else, and Angie and Randy Siske we thank you!) that provided private financing to help us get the job done. Our angels earned in aggregate over 15% interest for their assistance with debt financing that helped us get past the mess of construction and now we will enjoy our fixed rate mortgage financing below 5%!!!

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Catalog of Investment Opportunities
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Besides giving yours truly a wonderful new place to call home, the major benefit that we got out of the 5185 Jones St project was the realization that the market was willing to pay upwards of $650 per bedroom within our Delta REP roommate management model that had previously struggled to get anything beyond $450 for our nicest room. What we had learned, is that if you do things like install granite countertops, high end plumbing fixtures, and other neat little things that make the house look and feel much nicer than any other rental property ever seen well then the increased rent will follow the increased cost basis. This new idea of bringing our properties to the nines and charging premium pricing for them will bear the new brand within a brand we call Delta REP Gold. Just like General Motors Cadillacs, these properties will become our pride and joy and we are excited to continue to push the envelope forward. So, on a handful of our already operated properties we see some wonderful opportunities to play a little game of arbitrage where a $35k investment here and a $40k investment there can crank out predictable ROIs of 25% and more. With these high ROIs we are able to borrow money at higher interest rates than normal. From a banks perspective they do not like to be in a second mortgage position and will not lend on such terms that has us dumping more money into a perfectly fine rental property. If it aint broke why fix it is their thought? We take the side of Mr. Walt Disney who tells us to Keep Moving Forward! A bank would also only ask for 6 or 7% return on their money, anything requiring a higher return to offset the risk is outside of their tolerance level. We are willing to pay someone as high as 15% on a note with a 5 year payoff term in exchange for being willing to take the risk that traditional banks dont mess with. We dont blame banks for their insanely low risk tolerances. Many of them are still feeling the after effects of the real estate hangover from the 5 year party that just recently ended. We would be thrilled to find an angel investor or two that didnt drink too much at the party and doesnt have a queasy feeling in their stomach when it comes to all things real estate. One of the best parts to Delta REPs Operation Gold Conversion is that the numbers are highly predictable. You can get a pretty close idea of what those numbers will look like before a penny is ever risked! We can even go as far as getting guaranteed price bids from contractors and we have had success in the past of getting leases signed subject to our acquisition and improvement of properties. As long as we know the money will be there, all the other pieces can be strung together to drastically reduce the risk, which ultimately is our ability to pay back loans that we can afford even if the bet that increased quality will lead to increased rent prices goes awry. The marginal investment is going into assets that are already performing, which creates a nice little margin of safety where a high yield private investment actually has something to fall back on as opposed to other lending opportunities that may exist. We feel this is something that can compete strongly with anyone currently invested in a CD, Bond, or annuity. Or if someone feels the stock market may struggle to provide a return at 15% or higher over the next 5 years this would be a better bet. Although we do not have the FDIC to back us up, we feel our own competence, character, and margin of safety found in our cash flow is more than enough to hang our hats on with these investments. Warren always preaches that before you take money from other people and try to get higher returns for them that you should imagine them holding a gun to your head and as soon as you lose a penny of their principal they get to pull the trigger. These are the sorts of investments where we have no problem with the gun to our head, and well sleep very well at night and eat even better during the day!

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Catalog of Investment Opportunities
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#1.1 - 1315 N 38 St Gold Conversion Already in Motion / Already Funded One of our current homeowners has been courageous enough to lead the charge with our Gold Conversions (with the help of some extra guarantees on our end) and will be converting what may be one of our worst properties into what we hope will become one of our best looking properties. It will be very interesting to see what will happen with both the improvement budget and the th rent prices to follow with 1315 N 38 St. It can become the lone ranger leader of the Gold Conversions we wish to see follow suit. #1.2 - 1410 Park Wild Ave ($35,000, 15%, Paid off over 5 Years) 1410 Park Wild Ave is wholly owned by Chris Miller. Originally purchased in 2008 for $150,000, he currently carries a mortgage in the amount of $130k with CitiMortgage. Most recently the property was appraised at $175,000 and the property tax assessment hovers around $182,000. We are seeking an additional $40,000 to add two more bedrooms, add additional parking, and to perform the gold conversion. This will bring our total cost basis on the property to around $195,000 as other improvements have been made to the property since its acquisition. The total debt load will be around $170,000, and the cash flow after the project is completed will bring our return on assets before taxes (cap rate) above 11%. The marginal ROI of this project is estimated between 25-30% which allows us to service a 5 year loan at 15% interest with no problems whatsoever. After the 5 year loan is paid off we will cruise forward with $1,000 or more of positive cash flow each month. Not bad considering we thought we paid a generously fair price for the property and have a fixed interest rate a little higher than wed like to see right now. #1.3 - 126 N 38 St ($40,000, 15%, Paid off over 5 Years) Another property owned by yours truly, the same exact thing can be done at this property. More work will be required on the remodel of the basement to add a much needed extra bathroom with shower. There is already adequate parking and the kitchen needs a light cosmetic remodel with new countertops, new flooring, and new cabinet doors. The rest of the house has maintained a gorgeous roaring twenties feel and weve been able to keep the original light fixtures, door knobs, and other hardware that came with the house when it was built in 1912. And speaking of the age of the property, weve had folks raise their eyebrows at the age of our properties. I would like to point out in comparison to homes on the east coast that are still chugging along just fine, ours in comparison are still in their teens! This particular property is built like a rock, does have newer windows, and the original slate shingles that are also nearly a century old are still holding up wonderfully and survived the nasty storm of June 2008 without blinking! We look forward to making a gorgeous beauty look even better!
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Catalog of Investment Opportunities
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#2 - DAgosta Villas (Ten $20,000 equity units, no hidden fees or hedge fund type compensation) (Concept/Inspiration) The DAgosta Villas is a very interesting project to us. Initially it will be a four-plex built from the ground up located right downtown in Little Italy that could parley itself into an entire multi-family development. If we successfully manage the four plex project we are first in line on the land available to build out another 50 units if we wish. We have noticed with our experience over the years with Delta REP that there is a large shortage of one bedroom units in the ever popular Old Market area of Omaha.

The four plex we plan to build could be the first domino of many more already lined up that could help revitalize an already charming part of town that has a wonderful location, but needs a bit of a push on the number of quality properties available for rent to young professionals who now more than ever are staying in school longer and taking their sweet time before rushing into marriage. The housing needs of young professionals have changed drastically over the last 30 years and we have been exploiting that fact with Delta REP since 2006, but there are oceans of opportunity outside of the reach of our 60 property management portfolio today. Part of the design elements of the project will come straight from the source! San Francisco and Florida style townhomes and other trendy things have been built in Little Italy, but we thought to ourselves, why not go straight to the source! On our own dime we will be making a trip to Italy and will be doing everything we can to capture the elements of Italian architecture. Our mentor on the project (and seasoned lawyer if he ever lets us put him on retainer), Syl Orsi is no stranger to downtown Omaha construction and by his name you could guess how much advice he can lend us on what to do and more importantly what not to do while trying to capture the magic of Italian architecture into this project. We look forward to seeing the pieces come together.

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July 2012
Catalog of Investment Opportunities
www.parkwildcapital.com

#3 - ConversationStarter.co (Five $5,000 equity units, very high rewards if successful, downside risk covered by convertible option to turn equity investment into debt instruments) Conversation Starter (legally filed as Friend Assist, LLC) is a new messaging utility created out of Delta REPs need to find a way to scale the ability to maintain personal relationships with our tenants and our clients. Visit www.conversationstarter.co and click on the about us link for a demo video. We discovered a way to scale the basic relationship communications in a unique and profitable way that could be offered to other businesses operating in spaces where strong ongoing relationships with their customer base is desired. From a financial perspective we have essentially found a way to package up and resell Facebook messages and text messages for more than 10 cents a piece. Our strategy and value add is akin to the Hallmark organizations position of helping people share their feelings and gratitude towards others. Rather than charging someone $4 to send a message of thank you, congratulations, or happy birthday, well charge 10 cents and be just as effective with our word smithing via text messages and Facebook messages. Weve believe its not the medium of the message; its the heartfelt content that goes into each message that is important! The beauty of the whole deal is that text messages will cost us 1 penny per message, and each Facebook message carries a per message cost of zilch thanks to Facebooks open API. The margins are amazing! Currently our CTO of the project (Ron Osborne of Share Plow) is making the final tweaks and the champion of the project (Justin Barker, former leasing specialist at Delta REP) is ramping up a fan base we can sell to as soon as we launch, which should be at the end of the month. The investment units themselves will be $5,000 units that will net you 2% of the company for each $5,000 unit. At any time investors of Conversation Starter can elect to exchange their ownership position for a return of their principal in the form of a loan at 10% interest with a 5 year payoff. We dont plan on seeing that occur, and worse case we can easily service the debt in the event you ever lost faith in the company. All in all its a heads you win, tails you dont lose investment opportunity.

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#4 - One Day Luxury / Jet Ski Tampa Bay (Partnership and/or Lending/Co-Signing Opportunities Available upon Further Discussion) Piggybacking off of our ability to rent and maintain static pieces of real estate we are excited to enter into the world of renting the thrilling opportunity to ride adrenaline packed jet skis in the Tampa Bay! Jake Filloramo, recent graduate of the University of Tampa and former president of UT Entrepreneurs (University of Tampas Collegiate Entrepreneurs Organization) is just the man we were looking for to lead the charge and champion the idea. Once he has leads coming in from his marketing to make us feel comfortable on the demand front well move forward with the acquisition of our first few jet skis and let the profits roll in like a tidal wave!!! The wonderful thing about jet skis compared to real estate is the cash flow. Typically in real estate, you are satisfied if you can rent out your assets each month at a rate of 1% of the value of the asset. A $100,000 house should command about $1,000 in rent each month. Deals of the century in real estate occur when you can push that ratio up to 1.5% or higher which is really rare. When it comes to jet skis, the going rental rate is $95 per hour or $55 per half hour. So, in order to match the same 1% ratio, a brand new $9,000 jet ski needs to be rented out just 1 hour per month to reach the same ratio!!! Imagine what happens when we are able to rent out the jet skis for even just one hour per day $95 x 30 days = $3,000 or more!!! A ratio of 33%!!! With a utilization rate (occupancy rate in real estate terms) of just 50% or renting for 4 hours per day for 30 days a month the total gross revenue adds up to $11,400!!! The jet ski could pay itself off in just one month with modest demand!!! Annual liability insurance runs $1,400 per ski and with the joys of the business (and tourists willing to spend their money) and the woes of the Florida economy we have no worries about finding quality staff to help Jake manage the business. And coming from a real estate background we love the fact that Sea Doo is begging us to buy jet skis with no money down with interest rates at 3.99% Interest! So it all boils down to demand. We have made friends with two key individuals that can help us out to push the marketing levers ahead full steam. One is Duane Spires, owner and founder of Extreme Youth Sports (www.extremeyouthsports.com) based out of Tampa. EYS has become a local leader in youth sports programs in the Tampa Bay Area. Grossing over $1m per year Duane has become an expert in local marketing in Tampa for outdoor activities. Our dear friend Ray Land, 26 years old and founder and president of the 200+ employee Fabulous Coach Lines (www.fabulouscoach.com) also is available to give Jake very valuable mentorship on how to appeal to the Florida travel and tourism crowd as Ray has done very well with his Branford, FL based coach lines since buying his first coach at age 19. We are very excited about the prospects of One Day Luxury as we have no competition in the downtown Tampa area where the bulk of out of town travelers come. The One Day Luxury brand will be used to eventually build out rentals of all kinds; scooters, segways, exotic cars, etc. To play it safe, we will focus solely on jet skis in the beginning and run a parallel brand we call Jet Ski Tampa Bay to make sure our marketing efforts arent missing any opportunities. The beaches in the area are 90 minutes or more away from the city center by the time you add in traffic and parking delays over the bridges and at the beach. Looking at a map can be very deceiving as it is often impossible for travelers staying downtown to get out to the beaches, yet they still desire to get out on the waters of Tampa Bay. We are happy to fill this gap.

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#5 - Sign Waive (Four $10,000 units, 2.5% of the company each totaling $40,000 in seed capital, convertible option to turn investment into a 5 year note at 10%) Sign Waive is in a position to completely revolutionize the industry of liability driven adventure travel shops. The idea came about as we spoke about buying and renting jet skis. The first problem we were going to run into lied in the collection and storage of physical liability waivers while operating a mobile jet ski rental center with a virtual store front and office. The other came in the form of payment collection. There are existing programs and mobile applications that could be used in concert to get the job done but it would be very cumbersome. Our plan is to build an iPad application that will act as a very simple enterprise software system for small businesses that generate the majority of their income in direct correlation to the number of liability waivers they sign. Jet ski rental operations, skydive outfits, bungee jump locations, boat and airplane tours, motorcycle and scooter rental shops, snowmobile rental outfits, surfing lessons you name it, if it can be rented odds are a waiver and a payment is involved. Our application will streamline the process where a customer could visit a shop, put in their personal information into the iPad, sign the waiver on the iPad, put in their payment information, and then allow the shop owner to use their information and connect with Facebook in ways that would drastically increase their marketing power. A simple screen after the payment submission would ask the customer if they would like to share their event on Facebook would allow the shop owner to sit back and kick up their heels while the program does some marketing work for them. And who wouldnt want to brag that they are about to go skydiving or jet skiing!? In the background, every customers email is stored in a database that could later be used for routine email based marketing. Beyond that, birthdays could be stored to automatically wish their customers happy birthday and offer discounts for their upcoming big day as well as other timely dates if they return to have a time of their life and splurge a little. For all of these value added pieces, Sign Waive will require each end user to pay a service charge of 7% ($7 extra if renting a jet ski for $100 as an example) in order to fill out the waiver. The fee is small enough not to discourage the sale (hotels charge a 17% tax) and the shop owner or client is ecstatic as they no longer have to pay any credit card processing fees whatsoever and they now have a much more powerful and streamlined way to not only collect payments and waivers, but they also get a handful of wonderful digital marketing tools for free! The cost of actually processing the credit cards will come out of the 7% fee which leaves us with a gross profit margin of about 5% per each transaction the shops process. We have basically devised a way that allows us back door access to act as a franchisor to all of these shops that are already up and running. It is in our best interest to help them find ways to attract more customers as more customers lead to more payments processed which means more revenue to Sign Waive. So besides the role of payment processor and digital waiver collector we also hope to take on the role of marketing consultants for these small business which many times are mom and pop outfits. We have received three bids from three technology outfits to build out the product. We have earmarked half of the $40,000 to be applied towards the development of the app, and the other half of the funds will be set aside for initial marketing and sales efforts. As soon as financially possible wed like to get Ben Golson (recent USF marketing grad) on a steady payroll to take over the sales and marketing lead.
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www.twindstorm.us Coming Soon Twindstorm (Based out of Clearwater, FL) Twindstorm is an incredible invention spawned from Cliff Peters who has been in and around the lawn care industry for a few decades. Over the last 10 years Cliff has been fighting and fighting to get his prototype built and most recently hit a huge milestone by getting a utility patent on his idea and prototype. He has two physical and working prototypes that are amazing. If you have ever been part of a lawn care operation you can relate to the pain one has while operating a leaf blower. They are typically heavy, awkward, and somewhat inefficient machines, but currently offer the best way to clear off leaves. Cliff found a better way to move debris. His invention offers the one and only way to have not just one but two cannons of wind coming from his backpack based leaf blower. The magic lies in the way he designed the turbines that generate the wind power. We cant give away all of Cliffs secrets but we can tell you his prototype works great, is easy and much more efficient to use, and turns heads out in the field. We have come to call it the Twindstorm U-turn where another lawn care operator will see this weird machine with dual cannons while driving down the road, and sure enough youll see the trucks brake lights come on and whip a U-turn to stop and find out where they can get one of these crazy machines for his own lawn care operations! We cant wait to begin telling people, Go to this website and place an order! rather than the current, Well email you once theyre built. Going from one to two tubes on the blower is just as powerful of a leap of going from a walk behind mower to a riding mower. It allows the job of moving leaves and debris to be done in half the time and with half the labor efforts. Ultimately it saves time and money! The savings are obvious to commercial lawn care operators and that is who we intend to sell to. One off residential home owners will likely stick to the cheaper leaf blowers on the market today and we wont waste our efforts on marketing to them.

Twindstorm Dooly (Prototype #2)

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Coming Soon - Extreme Youth Sports Omaha (or any other major city of your choice) Duane Spires has crossed the tipping point with his business model in Tampa which has grossed over $1m in sales the last few years and it just keeps growing and growing. He just recently put together a licensing program offered to any individuals that would like to simply copy and paste his business model from Tampa which basically consists of running all kinds of youth sports and activities out of private schools and churches in the summer that offer incredibly low rent prices as their spaces are like ghost towns during the summer. The idea is simple, but the marketing methods are not. Duane has created an elaborate system that is almost entirely automated. It essentially does much of the marketing legwork for the licensee. As long as someone doesnt try to reinvent the wheel profits are sure to follow. Currently we do not have a champion for this idea. We are searching for someone that is passionate with working with kids and willing to follow a business script that is already written. So a stubborn and courageous entrepreneur wanting to do things their way would be a disaster to the idea, we simply need someone who sees a system that works and wants to follow that system to a T, just like any good McDonalds operator. If you happen to know any person in a position to make Extreme Youth Sports Omaha their pride and joy please have them contact chris@parkwildcapital.com. Also use this email if you have any questions, concerns, or interest in the ideas herein shared.

We Want You!

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