Transcript Slide 1
A Minority Owned & Green Business Offering
Same-day Express Delivery & Warehousing Services
FTX
Overview
Established in 1998 as a California Limited Liability Company (LLC)
24/7/365 express same-day courier and warehousing service in
Southern California market.
Operating successfully for 12 years
Average annual sales at $1 Million
Blue-chip clients (FedEx, DHL, Dynamex, etc…)
Awards, certificates and praises
Objectives:
Hire full-time staff and dedicated sales force
National minority-owned business status
Green business recognition with hybrid vehicle fleet
Grow the business to $5+M in sales in 5 years
FTX
5 years Financial History
5 Years Financial History
$1,400,000
$1,200,000
$1,000,000
$800,000
Sales
$600,000
Expenses
$400,000
Net Profit
$200,000
$$(200,000)
2005
2006
2007
2008
2009
With no full-time staff and dedicated sale force
Managing principals performing multiple responsibilities
including deliveries
FTX
FTX Services
Express Same-Day Delivery & Courier Services:
Urgent day or night deliveries and related services.
Local pickup and delivery services.
Hot shot services when needed fast.
Scheduled LTL & FTL, Container, Air, Truck, Multi-modal services
NextFlight
Warehousing & Related Services:
Temperature controlled warehousing facilities.
State-of-the-art inventory management.
Immediate consolidation of all shipments and deliveries.
Warehousing arranged nationally and internationally
Staffed 24/7/365
FTX
FTX Business Plan Objectives
Change the business model from primarily using contractors to hiring
full-time staff to take advantage of Government incentives
Hire and grow a dedicated sales/marketing force
Achieve national Minority-Owned Business status to be able to
capitalize on special quota based contracts in organizations
Promote a Green business model by acquiring a fleet of hybrid
vehicles to target environmentally conscious customers
Invest in effective sales & marketing initiatives
Expand presence in strategic national markets.
Reach revenue target of $5+M in 5 years
FTX
Market Analysis
US Express Delivery Services Industry
12,000 companies with annual revenue of $75 Billion.
Highly concentrated with 90% revenue generated by the largest
companies.
7,000 companies in the less than 24 hours same-day-delivery service
category (FTX market segment)
Highly fragmented local messenger segment: 35% revenue generated by
50 largest companies
US Warehousing & Storage Industry
7,000 companies with annual revenue of $21 Billion
50 largest companies generate 40% of the revenue
65% of industry revenue is in General Warehousing category (FTX
market segment)
FTX
Sales & Marketing
Provide highly reliable client focused customized services
catering to specialized needs (24/7/365)
Target large express delivery companies (FedEx, UPS, DHL,
etc...) for long-term outsourcing contracts.
Seek Green contracts with environmentally conscious
companies
Target corporations with quota for minority-owned
businesses.
Build a network of agents to grow the service offerings to other
strategic local markets nationally.
Grow the warehousing services as a strategic profit center
FTX
Competitive Analysis
Two Categories of Competitions
1.
Direct: Similar same-day-delivery & warehousing companies operating
in southern California market.
2.
Indirect: Large express delivery companies (e.g. FedEx, UPS, etc).
However these companies are FTX customers for its outsourcing
services.
FTX will compete by:
Offering highly reliable and customer focused services to specialized
needs of its clients.
Promoting a environmentally conscious Green Business using lowemission hybrid vehicles.
Achieving a national Minority-Owned business status to win special
contracts
Using latest computer technologies to improve efficiencies and effective
usage of Internet as a marketing and order management channel.
FTX
Revenue & Profitability
Revenue projections assumes:
Hiring and growing a dedicated sales/marketing force with target revenue
objectives.
Break even in 2nd year.
$5+M in Sales and $1.5+M Net Profit in the 5th year.
$7,000,000
$6,000,000
$5,000,000
$4,000,000
Sales
$3,000,000
Gross
$2,000,000
Net
$1,000,000
$$(1,000,000)
Year-1
Year-2
Year-3
Year-4
Year-5
FTX
Financing & Milestones
Logistic and Next Flight Out Services
Green Business Status
Financing
Month-1
Agents Network in other Local Markets
National Minority-Owned Business
Month 12
$500K
• Acquire/lease Hybrid vehicles
• Hire full-time employees
• Dedicated sales force
• Internet Order/Pymt Mgmt
Franchise Sales
National Market Presence
Year 2
Year 3
Plus $500K
• Purchase Logistic
Business
• 4 local market presence
• 4 warehousing facilities
Year 4
Year 5
• Franchise
• $5+M in Sales
• 50 full-time
employees
• 1st Round: Raising $500K in Equity Investment
• $500K in a 2nd Round Financing
FTX
Summary
FTX Objectives:
Align business as a national Minority-owned business
Green business model with Hybrid vehicles
Hire full-time employees for current Government incentives
Successful Existing Operation:
Average $1 Million sales without dedicated sales force and full-time
employees
Financing Requirement:
$500K in equity Investment
Additional $500K in a 2nd Round
Investment opportunity:
To participate in existing and a future national FTX franchise opportunity
FTX
Appendix
FTX
Financial Details
YEAR-1
YEAR-2
YEAR-3
YEAR-4
YEAR-5
Sales
$ 1,170,000
$ 1,788,750
$
2,683,125
$
4,100,625
$
6,150,938
Direct Cost of Sales
$
175,500
$
268,313
$
402,469
$
615,094
$
717,609
Total Cost Of Sales
$
175,500
$
268,313
$
402,469
$
615,094
$
717,609
Gross Profit
$
994,500
$ 1,520,438
$
2,280,656
$
3,485,531
$
5,433,328
Other
Gross Margin%
85%
85%
85%
85%
88%
Total Operating Expenses
$ 1,083,240
$ 1,446,300
$
1,927,530
$
2,735,775
$
3,746,543
Profit Before Interest &Tax
$
$
$
353,126
$
749,756
$
1,686,786
Net Profit
Net Profit Margin %
$
(88,740)
(88,740)
-7.6%
$
74,138
74,138
4.1%
$
353,126
13.2%
$
749,756
18.3%
$
1,686,786
27.4%
FTX
Current Customers List
FedEx
DHL Sameday
Dynamex Logistics
Network Global Logistics
Yourway Transportation
Kuehne-Nagel Logistics
Lasership GCD
Dr. Vanessa Parker
Excella Payroll
Renaissance Image Center
Foundation Mechanics
Quick International Courier
KLM Onsite Solutions
FTX
Data Source: Research & Links
Express Delivery Service Market data:
http://www.firstresearch.com/industry-research/Express-DeliveryServices.html
http://www.mcaa.com/IndustryResources/IndustryProfile/tabid/18
6/Default.aspx
Warehousing Industry Data:
http://www.firstresearch.com/Industry-Research/Warehousingand-Storage.html
FTX
Pictures of Current Operation
FTX