Title: TallyHo Ventures, Inc.
1Tally-Ho Ventures, Inc.
November 2006
2Forward-Looking Statements
This presentation contains forward-looking
statements within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the
Securities Act of 1934 that are based upon
current expectations or beliefs, as well as a
number of assumptions about future events.
Although the Company believes that the
expectations reflected in the forward-looking
statements and the assumptions upon which they
are based are reasonable, it can give no
assurance that such expectations and assumptions
will prove to have been correct. The reader is
cautioned not to put undue reliance on these
forward-looking statements, as these statements
are subject to numerous factors and
uncertainties, including without limitation, the
independent authority of the special committee to
act on the matters discussed, the successful
negotiation of the potential acquisition and
disposal of transactions described above,
successful implementation of the Company's
business strategy and competition, any of which
may cause actual results to differ materially
from those described in the statements. In
addition, other factors that could cause actual
results to differ materially are discussed in the
Company's most recent Form 10-QSB and Form 10-KSB
filings with the Securities and Exchange
Commission.
3Executive Summary
- Tally-Ho Ventures, Inc. (Tally-Ho or the
Company) is a forerunner and leader in the
globalization of the niche Private Wealth
Management arena for mid wealth and high net
worth individuals and families throughout Europe.
The Company currently has two properties with
assets under management of 1.8 billion and
recurring revenues and earnings of 17.5 million
and 5.0 million, respectively. - Tally-Ho will continue to execute its strategy of
growth through acquisition and integration. To
this end, Tally-Ho will acquire a number of
established specialty managers that currently
have limited growth due to their specialization
in a single product and region. Tally-Ho will
integrate these companies under one umbrella and
brand and therefore have new and additional
products available to these specialists. The
entire concept of branding assumes that there
will be name identity therefore Tally-Ho will
change its name to Finance Pro, Inc., and execute
a multi-national marketing program that will make
Finance Pro, Inc., a household name for high and
mid wealth individuals and families. - Tally-Ho is offering qualified investors an
opportunity to participate in this growth through
the purchase of a 3.5 million Convertible
Preferred Security.
1
4The Company
- Tally-Ho is a Private Wealth Management company
with combined assets under management of 1.8
billion. The Company recently acquired two
companies and currently has recurring revenue and
earnings of 17.5 million and 5.0 million,
respectively. - Tally-Ho has three offices in Europe and is
authorized to operate in 23 countries. Tally-Ho
provides, through its subsidiaries, a broad range
of services - Financial Counseling Investment Management
- Asset Allocation Corporate Services
- Estate Planning
- Tally-Ho will continue its plan of growth through
acquisition and integration and has identified
two established acquisition targets. Post
acquisition, Tally-Ho will have 5 offices, 2.8
billion under management and recurring revenue
and earnings of 22.5 million and over 8
million, respectively.
2
5Current Properties
- As part of its roll-up strategy, Tally-Ho has
acquired, and wholly owns, two properties and
currently has 1.8 billion under management. - Master Finance is Belgium and Luxembourgs No. 1
distribution company of investment products with
800 million assets under management. Tally-Ho
acquired Master Finance in February 2006 for 3
million cash and stock. Master Finance
contributes annual revenues of 7.5 million and
net profits of 1.5 million. - Master Trust SA (Formally Protrust Private
Clients) is one of Switzerlands largest
fiduciary companies with more than 1 billion
assets under management. Tally-Ho acquired
Master Trust on August 12, 2006 for 8 million in
cash and stock. Master Trust contributes annual
revenues of 10 million and net profits of 3.5
million.
3
6Current Properties Master Finance
-
- Master Finance, based in Belgium and Luxembourg,
was established in 1977 and is the Companys
Private Wealth Management organization. - Insurance brokers, management and organization of
patrimony (tax system, transmission, revenues)
through a variety of products. - Capital under management /- 800 million.
- 2006 product sales 150 million.
- 4,500 clients in Belgium.
- Average investment 250,000.
- 200 insurance brokers.
- 20 internal and independent sales staff.
- Low fixed cost structure all work on commission.
- Annual revenues of 7.5 million and net profits
of 1.5 million.
4
7Current Properties Master Trust
-
- Master Trust SA, a leading fiduciary company
based in Switzerland, has been conducting
business since 1992 and is a discretionary
manager of leveraged single premium insurance
investments for the high net worth investor and
is the companys most recent acquisition. - Authorized Trust Company.
- More than 1 billion in Assets.
- More than 2,000 clients.
- Seven staff members.
- Significant recurring income.
- New services in-house bank accounts, mortgages,
credit card. - Annual revenues of 10 million and net profits of
3.5 million.
5
8Strategy Growth Through Acquisition and
Integration
- Tally-Ho will continue to acquire properties in a
roll-up strategy, and increase assets under
management. The Company has identified two
acquisitions and has signed letters of intent for
the purchase of each company. - Tally-Ho will acquire a number of specialty
managers that have limited growth because of
their specialization in a single product and
region. Tally-Ho will integrate these companies
under one umbrella and brand and therefore have
new and additional products available to these
specialists. The entire concept of branding
assumes that there will be name identity
therefore Tally-Ho will change its name to
Finance Pro, Inc., and execute a multi-national
marketing program that will make Finance Pro,
Inc., a household name for high and mid wealth
individuals and families. - Under its new name, Finance Pro Inc., the Company
will continue to develop its brand as a leader
in the globalization of Private Wealth Management
throughout Europe and internationally.
6
9Investment Products and Services
- Tally-Ho currently manages 1.8 billion and has
three offices in Europe and is authorized to
operate in 23 countries. Post acquisition of the
proposed target companies, Tally-Ho will have 5
offices in Europe, 2.8 billion under management,
a sales force of 500 brokers, and over 10,000
clients. Although each individual company
currently specializes in a specific segment or
product, Tally-Ho will integrate these companies
and services into each subsidiary company thereby
expanding products and services and provide new
growth to each subsidiary. Through its
subsidiaries Tally-Ho provides the following
investment services to its clients. -
- Investment Management
- Investment Performance evaluated on a weekly
basis. - Clients receive quarterly statements.
- Asset allocation
- Following completion of the Discretionary Mandate
Agreement, (DMA), client profile evaluated and
sent to Estate Planning Department. - Estate Planning and Financial Counseling
- Based upon DMA, investment products and funds
evaluated for client. - Corporate Services
- Distribution of insurance products or funds.
- Offshore bank accounts and mortgages also
available.
6
10Target Acquisition
- Primus SA A specialty Asset management Company,
Primus manages leveraged single premium insurance
investments and 500 million in assets under
management and has annual profits of
approximately 1 million. -
- Acquisition cost Total consideration of 2
million allocated as follows 1 million in cash
plus an earn out of the Companys shares of up to
1 million provided the Primus achieves minimum
profits of 1 million one year from acquisition.
7
11Primus SA
-
- Established in 1995 Primus SA (PSA) was set up
specifically to manage leveraged single premium
insurance investments for high net worth
investors, under the terms of a Discretionary
Management Agreement. Over the last five years,
PSA has built up a significant portfolio of funds
under management, which generate a substantial
ongoing revenue stream. PSA is a fully
authorized Fiduciary company, subject to the
regulatory control of the Swiss Cantonal
Government (OAD FCT). As such Master Trust will
be able to offer the full range of services to
clients including full discretionary management
holding clients assets in the companys name
trading for clients over a wide range of assets
including investments and real estate. PSA has
successfully acted as an interface between UK and
Offshore life offices and independent
intermediaries in Italy, Switzerland and the Far
East and is regarded as one of the founders of
leveraged With-Profits business. Funds have
grown to over 500 million with annual profits of
over 1 million. Tally-Ho will appoint industry
specialist advisors to the board of PSA in order
to look at re-allocating these funds into higher
performing, and higher revenue yielding funds.
9
12Integration and Branding
Finance Pro, Inc.
- In the near term, Tally-Ho plans to rename the
Company more appropriately to Finance Pro Inc.
The name change is one step in the Companys
overall strategy to - Be better positioned for expansion plans.
- Develop and exploit the international brand
image of Finance Pro Inc. via an
integrated marketing campaign with the Companys
subsidiary businesses. - Become a household name via the Companys
diverse product portfolio offered to high
and mid net worth individuals and families. - Continue organic growth of the Companys
subsidiaries.
10
13Projected Income Statement
TALLY HO VENTURES, INC
PROJECTED CONSOLIDATED STATEMENTS OF INCOME FOR
THE YEARS ENDED 31 December 2005 to 2009
Actual
Projected
Projected
Projected
Projected
2005
2006
2007
2008
2009
Commission and Advisory Fees Received
5,528,924
13,458,872
22,575,115
24,800,121
32,342,734
Commission Paid to Advisors
-2,541,322
-6,015,536
-8,567,561
-8,692,974
-12,138,036
Gross Profit
2,987,602
7,443,335
14,007,554
16,107,147
20,204,698
Operating Expenses
Remuneration Social Security
-634,906
-2,330,763
-1,958,680
-2,022,171
-2,655,807
Administrative Expense
-763,178
-1,899,621
-2,114,805
-2,180,329
-2,947,377
Depreciation Financial Expense
-94,999
-265,617
-312,997
-289,496
-434,055
Income from Operations
1,494,519
2,957,334
9,621,071
11,615,151
14,167,459
Other Revenues/Expenses
Interest Revenue
17,029
35,693
57,899
69,819
81,705
Interest Expense
-91,589
-78,767
-92,814
-72,337
-121,959
Other Financial Expense
-81,382
-73,244
-43,935
-20,902
-69,040
Provisions for Income Tax
-342,086
-470,489
-1,163,092
-1,060,467
-1,447,024
Minority Interest
-84,406
-25,828
Net Profit
912,085
2,344,700
8,379,129
10,531,264
12,611,141
Average Number of Shares Outstanding
8,650,624
17,000,000
18,000,000
18,000,000
18,000,000
Net Income Per Share
0.11
0.13
0.47
0.59
0.70
NOTES
1
2
2006 Income included Master Finance Holdings SA
for 12 months, Master Trust SA for months
.
3
2007 Income includes 12 months for Master Finance
Holdings SA Master Trust SA and Primus with an
estimated increase of 20 in sales.
4
2008 shows a 10 increase in revenue but expenses
reduced following the full integration of all 3
companies.
5
2009 shows the company with a full private
banking license.
13
14Projected Balance Sheet
TALLY-HO VENTURES,
INC
PROJECTED CONSOLIDATED BALANCE SHEETS December
31, 2005 To 2009
Actual
Projected
Projected
Projected
Projected
2005
2006
2007
2008
2009
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
1,389,555
3,406,892
8,410,042
1,321,486
10,657,756
Other Current Assets
3,487,136
9,213,660
12,219,224
10,332,375
11,672,400
TOTAL CURRENT ASSETS
4,876,691
12,620,552
20,629,266
11,653,861
22,330,156
Other Assets
1,489,848
6,465,679
7,462,445
8,949,581
11,171,277
TOTAL ASSETS
6,366,539
19,086,231
28,091,711
20,603,442
33,501,433
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
5,100,635
5,991,096
6,446,857
7,244,630
7,795,543
TOTAL SHAREHOLDERS' EQUITY
1,265,904
13,095,135
21,644,854
13,094,749
25,705,890
LIABILITIES AND SHAREHOLDERS' EQUITY
6,366,539
19,086,231
28,091,711
20,603,442
33,501,433
14
15Projected Valuation Analysis
TALLY-HO VENTURES, INC.
PROJECTED VALUATION ANALYSIS FOR THE YEARS ENDED
31 DECEMBER 2005 to 2009
Actual
Projected
Projected
Projected
Projected
2005
2006
2007
2008
2009
Average
Growth Rates
Revenues
180
46
10
30
66
Net Profit
386
89
26
20
130
EBITDA Per Share
67
80
20
23
47
Earnings Per Share
134
89
26
20
67
TLYH Projected Valuation
At 3 X Revenues
67,725,344
74,400,362
97,028,201
133,472,612
1
Projected Price Per Share
1.85
3.76
4.13
5.39
7.42
At 10 X EBITDA
99,340,681
119,046,471
146,015,134
194,757,497
1
Projected Price Per Share
1.85
5.52
6.61
8.11
10.82
Current Price/EBITDA Per Share
10.07
6.05
3.36
2.80
2.28
Revenue
5,528,924
13,458,872
22,575,115
24,800,121
32,342,734
44,490,871
Cost of Goods Sold
-2,541,322
-6,015,536
-8,567,561
-8,692,974
-12,138,036
-17,114,631
Gross Profit
2,987,602
7,443,335
14,007,554
16,107,147
20,204,698
27,376,240
Operating Costs
-1,398,084
-4,230,384
-4,073,486
-4,202,500
-5,603,185
-7,900,490
EBITDA
1,589,518
3,212,951
9,934,068
11,904,647
14,601,513
19,475,750
Interest, Taxes, Deprec. Amort.
-677,433
-868,251
-1,554,939
-1,373,383
-1,990,372
-766,122
Net Profit
912,085
2,344,700
8,379,129
10,531,264
12,611,141
18,709,628
Average Number of Shares Outstanding
8,650,624
17,000,000
18,000,000
18,000,000
18,000,000
18,000,000
EBITDA Per Share
0.184
0.189
0.551
0.661
0.811
1.081
Net Income Per Share
0.105
0.130
0.466
0.585
0.701
1.039
NOTES
1
Current Price per Share as of October 19,2006.
2
For the purpose of arriving at the valuation for
2009, an additional projection for the year 2010
has been made
and such projection is based on average growth
and are not based on evaluated budgets.
3
Unusual increase in growth in the year 2006 is
due to two new acquisitions .
4
Valuations are based upon one year forward
Revenues and EBITDA.
15
16Projected Valuation Analysis
16
17Management Team
- Jose Meleth, Chief Financial Officer
- Mr. Jose Meleth is Vice President, Treasurer,
Chief Financial Officer and Secretary of the
Company and is also a member of the Board of
Directors. He obtained his Bachelors Degree in
Commerce in 1987, Masters Degree in Commerce in
1989 and Bachelors Degree in Law in 1991 from
Mahatma Gandhi University. He obtained his
Masters Degree in Law from Bombay University in
1997. A qualified accountant, Mr. Meleth's
accomplished finance career includes roles as
auditor and counsel to the Ministry of Finance,
Government of India. He has participated in the
investigations for the Bombay Stock Exchange
Securities Division and acted as auditor in
numerous securities transactions. Mr. Meleth
joined Intervest Limited in 1998 as chief
accountant and advanced to the post of chief
financial officer and finance director in 2000. - Currently he is director of several companies
based in several countries, overseeing the
finance, credit, operations, payroll, legal and
lending areas. Mr. Meleth is a member of the
International Bar Association, London, the
Institute of Directors, London, the Chartered
Insurance Institute, London the Association of
International Accountants, London and the
Institute of Financial Consultants, USA.
18
18Management Team
- Nigel Gregg, President,CEO AND Chairman
- Mr. Nigel Gregg is President and Chief Executive
Officer, and a member of the Board of Directors
of the Company. Mr. Gregg has over 15 years
experience in the financial services industry. He
started as a trainee accountant for KPMG, Dublin
and in five years he became a fully qualified
Certified Accountant. In 1995 he joined as
financial controller with Quality Goods
International, a large distribution company based
in Dublin. - In 1999, Mr. Gregg joined Prudential
International, as an accountant. In 2001 he moved
departments within Prudential International and
joined the newly formed international division of
Prudential International, looking to promote
sales of its product within Europe. Mr. Gregg was
responsible for developing business opportunities
in Europe. He spent the last three years
establishing relationships with distributors,
which now represent 40 of Prudential's
international sales.
19
19 - Tally-Ho Ventures, Inc.
- 115 Route d'Arlon
- L-8311 Capellen
- Luxembourg
-
- Tel 35226301540 Fax
35226301545