Eric's Credit Community

Greetings,
I am the president and founder of an employee buyout firm. We operate within a unique niche in the mergers & acquisitions field, in that our clients sell their companies to their employees, rather than to outsiders. Nationally, we have only 10 viable competitors, with a market penetration of under 2%. Therefore, the market is poised for significant growth, especially considering the baby boomer-driven demographic shift working in our favor.

Our firm's growth of over 25% per year over the last three years underscores the marketing opportunity. In 2005 our revenue reached $475,000, and this year we expect to hit $650,000. Historically we have limited our marketing to the deep South. Our plans are to open an office in Dallas, Texas in January 2007 to serve the entire Texas market.

Accordingly, I am seeking capital of $20,000 to help fund this expansion. We expect Texas revenues to reach $375,000 in 2007, and our normal pretax profit margin is 25% (after my salary).

On a personal note, I am married and have two children. I founded our firm 9 years ago and have 5 employees. I also own minority interests in 3 other companies and sit on the boards of two of them. My Experian credit score is 724, and my debt to income is 17% with company debt considered and about 10% without company debt.

Personal
Monthly income: 15,000
Monthly debt service, including home mortgage: 1,500

Business
Annual net: 118,000
Annual debt service: 20,000

This is a fairly low risk investment whose debt service will be easily met throughexisting cashflows, without considering income from our Texas expansion. Thanks for the opportunity, and feel free to contact me with any questions.

Best regards,
Rogers