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Introduction to Ergokonzept Light Introduction to the ERGOKONZEPT Group Business Assets and Letter of Intent Projects Date July 1, 2014 Table of Contents ABOUT US 2 1. THE ERGOFACTOR 4 2. ERGOKONZEPT AG BUSINESS ASSETS 7 2.1 CHIMERA MERCHANDISING GMBH 7 2.2 VETTERLEIN GMBH & CO. KG 9 2.3 QUINTENSA ENERGIESANIERUNG GMBH 11 2.4 MONGRELS IN COMMON GMBH 12 2.5 ERGOKONZEPT OFFICE SERVICE 15 ADMINISTRATIVE SERVICES · RELOG 15 ONLINE CLAIMS MANAGEMENT 16 ERGOMEDIEN UG 17 3. ERGOKONZEPT AG LETTER OF INTENT PROJECTS 18 3.1 CONSTRUCTION AND RENOVATION PROJECTS 19 3.2 EVERLAST ENERGY DRINK 20 3.3 BEER TRADEMARK GARLEY 21 4. RISK DISCLOSURE 22 5. CONTACT 22 1 About us The ERGOKONZEPT Aktiengesellschaft is a holding of the ERGOKONZEPT PLC and solely responsible for the business operations. Looking back at its history the company has acquired extensive experience in the identification, development, realisation and management of business models and companies. The guiding principle of the corporate strategy for business and asset development is the so called ERGOFACTOR which contributes to the mutual potentiation of the business model. The importance and function of the ERGOFACTOR will be explained in the first chapter. The ERGOKONZEPT AG distinguishes between its own holdings, the business assets, and ongoing projects which can optionally be added to the business asset portfolio in the future through Letter of Intent (LOI) agreements. (see image 1) At present the ERGOKONZEPT AG business asset portfolio contains five holdings or internal business areas that will be introduced in the following business plan: 1. CHIMERA MERCHANDISING GmbH 2. VETTERLEIN GmbH & Co. KG 3. QUINTENSA Energiesanierung GmbH 4. MONGRELS IN COMMON GmbH 5. ERGOKONZEPT OFFICE SERVICE In addition an overview of the ongoing LOI projects follows. This includes: • Construction projects in municipal development areas in Berlin, including multi-story residential construction, reconstruction of historical buildings and the construction of single-family dwellings. • Brand and marketing rights to EVERLAST Energy Drink, the production and already acquired distribution channels. • Access to “GARLEY”, the oldest beer label in the world. 2 IMAGE 1: ERGOKONZEPT AG Business and Letter of Intent Projects QUINTENSA Energiesanierung GmbH Building and general contractor services VETTERLEIN GmbH & Co. KG MONGRELS IN COMMON GmbH Online-Shopping for bargain- World wide marketing rights priced promotion gifts ERGOKONZEPT CHIMERA MERCHANDISING Office Service GmbH • Relog bookkeeping Contracts with: Markus Beyer, • InkassoKonzept Sebastian Rode,.... • Claims Management • ERGOMEDIEN UG Construction- and Further LOI projects Renovation projects • Karlshorst • Königs Wusterhausen • Schöneweide • Spree-Camp EVERLAST Energy Drink incl. EU-brand rights Getränkekombinat Magdeburg GmbH Beer label “GARLEY” Business Assets Letter of Intent Projects 3 1. The ERGOFACTOR The ERGOKONZEPT AG is a multiple administration and marketing services organization with a double strategic focus. The business areas were established with the strategic goal of bringing all services (SVC) for ongoing and future business ventures inside the corporate group (internal SVC). The resulting capabilities and infrastructures will be marketed externally (external SVC) which, at the same time, will lead to an upward scaling of the successful business segments. That is the ERGOFACTOR . The business and growth potential of the ERGOKONZEPT AG rests upon two stable pillars. To make full use of the intern and extern growth potential, the ERGOFACTOR is the guiding theme, the equity story of our corporate group. The planned interaction of the individual business models provides an endless number of possibilities for the development of the ERGOKONZEPT AG business sectors. All future projects (see letters of intent) will not only be examined on the basis of their own chances of success but also on the added value for the corporate group: ERGOFACTOR. Within the corporate group we have the opportunity to develop our own testimonials because both supply and demand, due to our business model, originate from the same place. The ERGOFACTOR: The increased recognition, as an immaterial value, makes a profitable contribution to the goal achievement of the involved cooperation firms and thus increases the value of the ERGOKONZEPT AG business assets. (see image 2 and image 3) The results: • More advertising income for the CHIMERA MERCHANDISING GmbH brand ambassador/athletes • Better market penetration for the EVERLAST Energy Drink • More merchandising potential for the VETTERLEIN GmbH & Co. KG 5 IMAGE 2: ERGOFACTOR CHIMERA MERCHANDISING GmbH meets EVERLAST Energy Drink 5 IMAGE 3: ERGOFACTOR – Gains for the ERGOKONZEPT AG Athlete Energy Drink without support • In spite of world champion title • Without USP in cut-throat known only in the sports world competition • No presence as a brand testimonial in spite of large • Desire for recognition fan base • No profile as a potential brand • Arbitrary marketing without clear- ambassador cut USPs Ergofactor = Athlete meets Energy Drink Athlete as testimonial = 100% efficient synthesis National & international awareness gain Energy drink in the sports community = clear USP Athlete increases his marketing and advertising value Energy drink increases turnover ERGOKONZEPT profits from the entire project 6 2. ERGOKONZEPT AG BUSINESS ASSETS 2.1 CHIMERA MERCHANDISING GmbH The ERGOKONZEPT Aktiengesellschaft holds a 100% share of the CHIMERA MERCHANDISING GmbH. The company, with its headquarters in Berlin, as part of the corporate group has over 25 years experience in the areas of merchandising and promotion. Due to their long-term presence in the market CHIMERA MERCHANDISING GmbH has acquired first class national and international contacts. The basis of their value chain lies in their extensive portfolio of brand and license rights in the areas of sport, music, film and entertainment. Among others the CHIMERA MERCHANDISING GmbH is in possession of the marketing rights for violin superstar David Garrett, professional boxer and TV-moderator Markus Beyer, TV-star Britt Hagedorn as well as future Bayern München soccer pro Sebastian Rode* and the marketing rights for Sebastian Polter, emerging talent and future star of the 1.FSV Mainz 05 soccer club. Growth targets: Short term: A competent partner is required for the commercial development of the individual ERGOKONZEPT participations that can adequately market the unknown service package to the suitable target group. Multipliers such as famous artists or athletes can not only provide excellent support for new products or services in established markets but can also achieve a higher level of recognition. Well-known international artists and athletes can be recruited as brand ambassadors for this purpose from the extensive portfolio of CHIMERA MERCHANDISING GmbH. The internal demand from the various ERGOKONZEPT AG holdings for marketing offers thus supports the primary business development of the CHIMERA MERCHANDISING GmbH as well as the expansion of the corporate group’s own marketing and sales infrastructure and the visibility of products and testimonials. *until the middle of 2014 7 Middle/long term: Through its connection to the corporate group the CHIMERA MERCHANDISING GmbH can support the degree of recognition of prominent personalities in various branches and business sectors and expand it internationally. The attractiveness of the CHIMERA MERCHANDISING GmbH as an expert for the marketing of well-known personalities as well as patent, license and brand rights will thus grow in its external market environment. An inflow of new, high-value engagements will further enhance the quality of the CHIMERA MERCHANDISING GmbH portfolios. The administration of patent, license and brand rights outside of Europe is to be taken over by the Parafin Corp. (PFNO: US OTC BB) with its headquarters in the USA. A long- term engagement in professional boxing is currently being established within this framework. Violin superstar David Garrett Markus Beyer German professional boxer and TV-commentator 9 2.2 VETTERLEIN GmbH & Co. KG On the average, promotional items are used once a day by the person who has received them. Statistically speaking the promotional message thus reaches the intended receiver once each day. (see the Weberartikel Montor 2013) The high probabilities of advertising contact as well as the good cost-benefit ratio are, among others, the reasons for the constant promotional item participation in the marketing mix of companies. The promotional items though play a role especially for larger companies which, upgraded by an individual look and feel corresponding to the company’s own brand image, can help to differentiate itself from the lot of the masses. The VETTERLEIN GmbH & Co. KG has over 25 years of experience within the corporate group in the areas of merchandising and promotion and is the competent partner for individual custom-made products up to mass production runs. As an expert in the advertising material market a full-service-online-shop “VETTERLEIN Werbemittel” with over 10.000 articles (with individual Look & Feel) is under construction. Growth targets: Short term: Beginning immediately the ERGOKONZEPT AG, in cooperation with the VETTERLEIN GmbH & Co. KG, has taken its own delivery service for promotional articles on board to support its marketing activities. The CHIMERA MERCHANDISING GmbH, for example, within the framework of its promotional activities can place orders company intern for advertising
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