Financial Merchants

1
Omni-Rand, Inc

• Financial Merchants Agents

2
Omni-Rand Inc

• financial services/products with a focus on
  early-stage, fast-growth SMEs (small medium
  size enterprises). Incorporated in 1989,
  reconstituted 2003.
• not a brokerage house but rather an agent for
  leading, well-established funding organizations.
  Omni-Rand may participate as a principal. There
  is no cost to the client for Omni-Rand's
  involvement re standard product.
• Clients deal directly with the funding source.
  Funding partners in business 15-83 years.
• synergies between products allow for conservation
  of effort in terms of due diligence marketing
  resulting in competitive rates and your best
  interests in focus.
• Markets including but not limited to technology
  (hardware/software), office equipment, furniture,
  aerospace, food, energy, plastics, printing,
  transportation, apparel, manufacturing,
  industrial supply and automotive industries.

3
Products/Services

• Vendor Lease Programs
• Asset-based Loans
• Invoice discounting (Factoring)
• FOREX (Foreign exchange)
• Public venture capital

4
Vendor Lease Programs

• What
• establishment of a financing alternative program
  for prospective customers
• customized lease orientation training for sales
  force
• small mid size vendor programs including
  co-branding private label
• standard lease types Fair Market Value, 10 end,
  stretch, 6 on/6 off, deferred payment
• Why
• sell more product, quicker sales
• maintain /or increase average margins
• improves cash flow invoice paid in full within
  24 hrs
• competitive advantage
• How
• submit profile i.e. company legal/operating
  name, contact particulars, products, industry,
  volume expectations, how product serviced,
  average deal size, lessee type etc
• Who
• companies who manufacturer/distribute biz-to-biz,
  commercial, industrial products/equipment,
  software
• companies who desire the above benefits
• companies who currently offer the lease option
  but who desire a customized vendor lease program

5
Asset Based Loans

• What
• alternative to traditional bank lending
• purchase order financing
• security based on A/R, inventory, machinery and
  equipment vs cash-flow/earnings
• Why
• working capital when not available via
  traditional lenders
• fewer financial covenants than tradional bank
  facility
• A/R financing without notification to account
  debtor (customer)
• finance MBOs/LBOs, acquisitions, turnarounds,
  stock repurchases other unique opportunities
• How
• financial statements most recent QTR year end
• corporate information, Business Number
• personal financial statements
• A/R, A/P status, inventory, equipment listing
• Who
• companies who are unable to secure loan/line from
  conventional lenders
• companies with heavy investment in assets but
  marginal profitablity or thin capitalization
• companies in distress/turnaround situations

6
Invoice Discounting (Factoring)

• What
• a simple process which involves the purchase and
  sale of A/R, provides day-to-day working capital
• outsourcing of credit collection functions
• A/R insurance via Non-Recourse factoring. Spot
  factoring.
• Why
• improve cash-flow
• take advantage of unexpected sales uptics
• guarantee A/R eliminate bad debts. To off-load
  A/R dept functions
• do not wish to go equity route
• require bridge financing
• How
• submit application supporting documents (i.e.
  A/R, A/P, inventory, corp info etc)
• term sheet issued by factor, application
  processed
• send customer orders to factor for credit
  approval
• submit invoices to factor for next day wire
  transfer payment
• Who
• companies experiencing fast growth
• companies in process of negotiating new banking
  facilities
• start-up companies with customer traction/orders

7
FOREX (Foreign exchange)

• What
• buying/selling currencies
• service micro, small mid-size businesses to
  multinational firms
• spot transactions forward contracts
• Why
• lower transaction expenses
• competitive exchange rates
• complimentary wire transfers
• gratis deliveries
• increase profit margins
• customized proactive FOREX services
• control expenses associated with foreign exchange
• How
• consult with subject matter expert
• Who
• companies who wish to take advantage of focused
  FOREX expertise
• companies who desire to lower their foreign
  exchange costs
• companies who wish to plan for risks in a
  volatile FOREX market

8
Public Venture Capital

• What
• alternative manner to finance early-stage
  companies
• VC financing which involves a large number of
  smaller investors
• financing via public markets vs. private equity
• TSX Ventures CPC program, 15 years of history
• Why
• connects entrepreneur with investors
  individuals with financial market experience
• often better valuations minimal dilution
• opportunity for follow-on offerings (additional
  financings)
• future liquidity
• provides instant board mentors to early-stage
  companies
• How
• requires a sponsor aka investment bank
• underwriter takes place of VC
• iBank/underwritter performs the due diligence
  work manages the process
• Who
• companies who wish to raise 1.5-5.0M
• companies with solid, complete, gelled,
  experienced management team
• companies who possess defensible, differentiated
  value proposition(s) ie IP

9
Principals/Suppliers/Underwriters
LSN
10
THANK YOU
David Dods Omni-Rand Inc Direct (905)
873-7151 Fax [phone] Mobile (647)
227-3637 Email info_at_omni-rand.ca Web
www.omni-rand.ca July 2004