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executive summary Where Internet meets the real world
BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 2!
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Disclaimer!
This memorandum (business plan) has been prepared by Big Ben Venture solely for information purposes from data supplied by the Company and contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These include statements about our expectations, beliefs, intentions or strategies for the future, which we indicate by words or phrases such as "anticipate," "expect," "intend," "plan," "will," "we believe," "our company believes," "management believes" and similar language. These forward-looking statements are based on our current expectations and are subject to certain risks, uncertainties and assumptions. Our actual results may differ materially from results anticipated in these forward-looking statements. We base our forward-looking statements on information currently available to us, and we assume no obligation to update them. In addition, our historical financial performance is not necessarily indicative of the results that may be expected in the future and we believe that such comparisons cannot be relied upon as indicators of future performance. To the extent that statements contained herein is not strictly historical, including statements as to revenue projections, business strategy, outlook, objectives, future milestones, plans, intentions, goals, future financial conditions, future collaboration agreements, the success of the Company's development, events conditioned on stockholder or other approval, or otherwise as to future events, such statements are forward-looking, All forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from the statements made. Other important factors that could cause actual results to differ materially include the following: business conditions and the amount of growth in the Company's industry and general economy; competitive factors; ability to attract and retain personnel; the price of the Company's stock; and the risk factors set forth from time to time in the Company's SEC reports, including but not limited to its annual report on Form 10-KSB; its quarterly reports on Forms 10-QSB; and any reports on Form 8-K. In addition, the company disclaims any obligation to update or correct any forward-looking statements in all the Company’s annual reports and SEC filings to reflect events or circumstances after the date hereof.!
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BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 3!
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Executive!Summary!
Score4Life! is! a! social! networking! platform! that! seeks! to! go! beyond! the!
trappings! of! digital! fraternization.! It! allows! internationally! active! and! upscale!
people!to!get!to!know!each!other!via!great!iceQbreaking!activities.!!
The!Company!is!at!the!forefront!of!offering!men!and!women!opportunities!to!
forge! great! relationships! and! memories! together! through! worldwide! events,!
from! sports! and! parties! to! sightseeing! and! business! networking.! Whether!
members!are!looking!to!make!friends,!date,!or!develop!business!partnerships,!
the!potential! for! letting!people!foster!new!relationships! is!endless!and!diverts!
human!bonding!away!from!the!digital!world!back!to!the!real!world.!!
The! Company! is! seeking! equity! funding! of! USD! 1! million! in! order! to!
internationalize!its!services!and!expand!its!online!platform,!with!North!America!
and!Europe!being!the!primary!market!focus.!
!
Legal!Business!Description!
Score4Life!Limited!(No.!08974152)!is!a!holding!company!formed!in!2014!under!
the!Companies!Act!2006!of! the!United!Kingdom,! located! in!Westminister!City!
Hall,!8th!floor!64!Victoria!Street,!SW1E!6QP,!London,!and!is!the!parent!company!
to! the! operational! company,! Score4Life! HK! Limited,! formed! under! the! Hong!
Kong!Companies!Ordinance!Act,!for!the!development!of!its!online!services.!
All! assets! related! to! the! business! are! registered! in! the! name! of! Score4Life!
Limited,! London,! such! as! Domains,! Branding,! Web! Pages,! Videos,! Photos,!
Marketing! Material! etc.! The! operations! are! conducted! in! the! Hong! Kong!
subsidiary.!
Score4Life!is!currently!owned!by!Claes!Settergren!(96%)!and!Johan!Settergren.!
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Business!Model!
The! Company’s! revenue! is! derived! from! a! subscription! model! with! annual!
membership!fees!(as!well!as!monthly!membership!fees!at!a!later!date)!paid!by!
male!members!through!the!online!site,!while!ladies!join!for!free.!
A!Basic!service!is!offered!for!free.!Typically,!8!percent!of!users!are!anticipated!
to! upgrade! and! become! paying! members! of! ActivityDate! (a! brand! name!
belonging!to!Score4Life)!in!order!to!get!access!to!activities!and!events.!
Score4Life! will! leverage! friends,! family,! and! other! personal! networks! to!
recommend! its! services! and! act! as! a! sales! force.! The! Events! serve! as! a!
marketing! tool! for! the! Company,! and! are! the! key! driver! to! attracting! new!
members,! but! the! Company! does! not! anticipate! that! the! Events! will! initially!
contribute!to!its!profit!margin!in!the!early!stages.!!
A!Door!Opener!Program!has!also!been!put!in!place!that!allows!outsiders!to!
partake!in!finding!new!ways!to!create!value!in!the!development!of!Score4Life!
and!grow!membership.!Participants!in!the!program!are!rewarded!with!shares!
of!Score4Life’s!growth!value!above!invested!capital.!
Exiting!Activities!
creating!Happy!
Memories!
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Contact'information'
Ben$Hedenberg$
Main:!1!(416)!444Q4001!
Toronto!&!Ottawa!
Big!Ben!Venture!
100!Gloucester!Street,!Suite!442!
Ottawa!ON!K2P!0A4$$
Direct:!1!(313)!918Q1306!
Detroit!
1001!Woodward!Ave,!Suite!910!
DETROIT,!MI!48226!
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Claes$Settergren$
Cell:!+46!708!814!930!
P.O!Box!53232!
SEQ40016!Göteborg!
Sweden!
BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 4!
The!Opportunity!
Score4Life! lets! men! and! women! escape! the! confines! of! the! digital! age! by!bringing!human!interaction!back!into!the!real!world!where!it!belongs.!Members!initially!enter! into!online!chats! to! share! interests!with!one!another,!and!once!they!express!a!desire! to!meet,!Score4Life!offers!plenty!of!exciting!events!and!activities!to!set!the!stage!for!members’!meetQups.!!!Activities!and!events!range!from! dancing! and! gala! dinners! to! sports! events! like! golf,! tennis,! boating! and!skiing.! Members! can! even! invite! each! other! to! their! respective! towns,!countries,!or!go!sightseeing!together!on!cultural!adventures!around!the!globe.!
The! service! is! targeted! at! upscale,! educated,! and! businessQoriented!men! and!women!with!a! love! for!adventure,! travel,! sports!and!culture.!More!and!more!people!are! living!alone!as! their! increasingly!competitive!careers!deprive!them!of!time!to!meet!new!people.!Consequently,!these!people!are!looking!to!social!networking!and!dating!platforms! for!a!chance! to!escape! that! loneliness.!Even!people! already! committed! to!monogamous! relationships! yearn! to!meet! new!people! in! their! lives.! Score4Life! offers! these!men! and!women! the! chance! to!meet!likeQminded!individuals!in!the!real!world,!and!moreover,!helps!to!facilitate!these!meetings!with! fun! events! that! break! the! ice! and!make!members!more!comfortable!with! each!other.! There! are!no! limitations!or!demands!placed!on!the!types!of!relationships!members!foster!with!one!another.!
The! Company! intends! to! generate! demand! for! the! service! through! strong!online!marketing!and!advertising.!!
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Differentiation!
Unlike! other!more! traditional! social! networking! or! dating! services/sites/apps,!Score4Life! aims! to! do! more! than! simply! connect! people! online;! namely,! it!strives!to!bring!people!together!in!ways!that!let!them!create!truly!memorable!experiences! together.! Most! friendship,! dating! and! social! networking! sites!merely! leave!members!with! the!ability! to!communicate!digitally.!The! result! is!that! many! interactions! don’t! advance! beyond! the! digital! space.! This! is! why!going!the!extra!mile!and!setting!up!events! for! its!members!gives!Score4Life!a!
Value$Drivers$
Prepared!and!Tested!
Now!Focused!on!Growth!
World!Wide!Team!
Unique!Services!
Based!on!Female!values!
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ActivityDate$
Discover!Members!
Join!a!Party!
Join!a!World!Event!
Event!Galleries!
Welcome!To!My!Town!
Show!Me!Your!Town!
Travel!Companion!
Work!With!Us!
Open!Business!Bar!
Golf!Match!
Tennis!Match!
Sailing!
BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 5!
distinct!advantage.!The!focus!on!upscaleQclass!and!businessQoriented!members!also!helps!to!make!Score4Life’s!service!a!unique!and!niche!one.!'
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Markets!
The!market!Score4Life! seeks! to!eventually! serve! is! large!and!spans! the!entire!globe,!although!the!Company!will!initially!focus!on!North!America!and!Europe.!As!matchmaking!services!and!online!dating!become!more!socially!accepted,!the!demand! for! them! rises.! Online! dating,! matchmaking,! and! social! networking!services!are!a!burgeoning!industry!of!millions!of!users!in!the!United!States!and!Europe.! Many! of! the! websites! providing! these! services! have! substantial!revenues!and!are!growing!quickly,!despite!their!limited!offers.!!
On! top!of! this,! there!are!hundreds!of!millions!of!people!who! regularly! travel,!and!millions!more!who! spectate! or! participate! in! sports! events! (there! are! an!estimated!40!million!golfers,!alone,!in!the!world).!!
Providing! outlets! for!members! to! actually!meet! in! person! and! do! the! things!they! like! allows! Score4Life! to! better! tap! into! this! giant! market! than! similar!services! like! Match.com,! Plenty! of! Fish,! or! OK! Cupid,! and! to! better! address!people’s! wants.! Other! competitors,! like! It’s! Just! Lunch,! help! with! arranging!meetQups,!but!don’t!offer!the!variety!of!upscale!activities!that!Score4Life!does.!!
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Market!Development!Strategy!
Score4Life’s!strategy!for!converting!nonQpaying!members!into!paying!members!involves:!
•! Developing!exciting!opportunities!for!likeQminded!individuals!to!dress!up,!bond!over!fun!activities!and!create!great!memories!together.!!!
•! Promoting! an! environment! that! is! fun! and! stylish,! yet! tasteful! and!respectful,!guided!by!female!values.!
Life Style Events
Travel
Meet international
minded people
Network
Find and connect with attractive people
Party
Join great parties around the globe
BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 6!
•! Raising!enough!capital!for!intense!online!marketing!
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Competitive!Protection!Strategy!
Score4Life!will!continue!to!offer!unique!attributes!to!its!networking!and!events!services.!
Media! vehicles! must! guarantee! that! Score4Life’s! ads! or! commercials! will! be!separate! from!those!of! its!competitors,!by!a!certain!amount!of! time!or! space!(competitive! separation).! Direct! advertisement! of! Score4Life’s! ActivityDate!service!will!not!be!possible!through!certain!services!like!Google!and!Facebook,!but!in!such!cases,!the!Company!plans!to!indirectly!promote!its!services!on!sites!like!Google!and!Facebook!via!advertisement!of!its!Golf!Events.!!In!addition,!the!Company!will!continue!to!do!the!following:!
•! Build! its!Girls!Power!Team,!an!allQladies!promotional!team!of!consultants,!to!market!Score4Life’s!service!worldwide.!
•! Plan!lots!of!smaller!Market!Activities!tests.!
•! ! Adapt! to! results! from! consumer! feedback! and!market! research! to! attain!cost!effectiveness!and!awareness.!!
• !!!!Look!into!potential!acquisitions!of!other!services!and!companies!to!bolster!membership!and!costQeffectiveness.!
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Management$
Claes!Settergren!is!the!Founder!of!Score4Life,!and!has!served!as!Chairman!since!2012.!Mr.!Settergren!has!worked!as!a!successful,! selfQemployed!entrepreneur!most! of! his! life,! having! founded! many! private! and! public! companies! across!Sweden,! USA,! Germany,! Japan,! France,! Switzerland,! Hong! Kong,! the! UK,! and!the! Netherlands,! with! the! most! famous! of! these! companies! being! Venture!Capital!World!AB!(later!named!Nordnet!Bank!AB),!which!currently!operates!as!the!leading!Internet!bank!in!the!Nordic!region.!He!has!also!founded!companies!within! Internet,! Biotechnology,! Optical! Interference! Technology,! Real! Estate,!Finance,! Electronics,! Road! Safety,! and! more.! Mr.! Settergren! graduated! from!Chalmers! University! of! Technology! in! Göteborg,! Sweden! with! an! MSc! in!Structural! Engineering,! and! received! his! MBA! in! International! Marketing! at!Handelshögskolan!at!Göteborg!University.!
!Financial!Information$
The! Company! is! seeking! equity! funding! of! USD! 1! million! in! order! to!internationalize!its!services!and!expand!its!online!platform,!with!North!America!and!Europe!being!the!primary!market!focus.!The!business!plan!also!calls!for!an!additional!USD!2!million!in!2018,!and!possibly!USD!1!million!in!2019.!
The! new! investors! in! 2016! are! offered! 25! percent! of! the! company.! The!valuation!has!been!based!on!a!fair!market!value!standard.!The!proceeds!from!the!investment!will!be!used!for!extensive!marketing!activities.!!
After! each! closing,! the! Company! may! not! be! able! to! raise! any! additional!amounts! pursuant! to! the! issuance! of! the! present! issuance! of! shares! and!
BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 7!
debentures.! Risks! include! without! limitation:! the! Company’s! inability! to!execute!its!business!plan!prior!to!the!completion!of!additional!financing;!claims!arising!from!liabilities!to!suppliers!and!other!creditors;!and!the!complete!loss!of!the!investment!of!the!earlier!investors.!
!Milestones!
2012!–!Research!conducted,!test!subjects!interviewed,!and!concept!created.!Test!dates!conducted!in!London.!!
2013!–!More!test!dates!conducted!in!Vienna!and!Dubai.!Web!pages!developed.!Domains!registered.!!!
2014!–!Girls!Power!Team!established!to!promote!Score4Life.!Gala!Event!in!Riga!launched,!followed!by!more!Gala!events!in!Oslo,!Tallinn,!Vilnius,!Warsaw.!Members!recruited.!Score4Life!Limited!founded!in!London,!with!bank!account!in!Malta.!Operational!company,!Score4Life!HK!Limited,!established!in!Hong!Kong.!
2015!–!Payment!system!established!(Paypal,!MasterCard,!and!Visa!Card).!Gala!events!in!Dubai,!Odessa,!Kiev,!Göteborg!and!Mallorca.!!
2016!–!Private!Placement!prepared.!Gala!event!with!Golf!Match!Play!Championship,!Boating,!Party,!etc.,!in!Dubai.!Preparations!made!for!RewardQbased!crowd!funding!and!affiliate!systems.!
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Current!figures:!!
• 2,715!male!members!• 3,018!female!members!• 767!golfers!from!40!countries!
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Exit!Strategy!
The!equity! investors!will! receive!a!yield! from!dividends! received.!The!present!shareholders!have!advised!that!the!majority!of!investment!will!be!made!in!the!form! of! equity! and! a! subordinated! loan! with! phased! repayments.! The!management!plans!to!enable!a!partial!or! full!exit! for! investors!by!a!partial!or,!preferably,!full!trade!sale.!The!management!would!also!consider!a!full!or!partial!exit!by!way!of!an!institutional!placing.!!
The! timing! of! the! exit! will! depend! on! the! requirements! of! the! potential!investor(s).! The! business! plan! calls! for! an! exit! in! four! to! five! years.! If! an! IPO!(Initial!Public!Offering)!appears!more!favorable!to!the!shareholders!at!the!time!of!an!exit,!then!the!management!will!also!consider!such!an!option.!
Score4Life LimitedForecast Sales - basic scenario
Statement of Income year 2015 2016 2017 2018 2019 2020 2021 2022forecast in USD .000 ann. Start-Up
Operating revenuesSales Memberships - 181 1 780 3 737 8 222 18 089 39 796 87 551 Sales Activity Events - 100 500 1 009 2 220 4 884 10 745 23 639 Direct Cost of Sales - - -600 -1 200 -2 100 -4 500 -9 000 -20 000Total operating revenues - 281 1 680 3 546 8 342 18 473 41 541 91 189
Operating expensesStaff expenses 6% - 96 202 213 501 1 108 2 492 5 471 Site operating expenses 2 50 500 725 750 776 1 035 Administrative expenses
Contingency 3,0% - 8 50 106 250 554 1 246 2 736 Insurance 0,3% - 5 10 11 11 12 12 13 Marketing & public relations 55% - 292 924 1 951 4 588 10 160 22 847 50 154 Office & general expenses 17% - 16 34 36 85 80 100 120 Affiliate expenses 1% - 5 30 35 83 185 415 912 Administration 1% - 24 50 51 121 268 602 1 322 Commissions 6% - 90 200 199 467 1 034 2 326 5 107 Professional fees 10% - 80 120 132 145 160 176 193 Product development costs 6% - 60 328 213 501 1 108 2 492 5 471 Traveling expense 12% - 30 60 121 266 586 1 289 2 837
Depreciations intangible assets - 100 100 100 100 100 - - EBIT - -527 -479 -121 499 2 368 6 765 15 818 Financial items & AllocationsFinancial income (receivable) 2% - - - - 10 47 135 316 Financial expenses (payable) 8% - - - - - - - - EBT 0 - -527 -479 -121 509 2 415 6 900 16 135
TaxCorporate tax 17% - - - - - 411 1 173 2 743 Profit after tax - -527 -479 -121 509 2 004 5 727 13 392 Dividends - - - - - 501 1 909 4 464 Retained profit - -527 -479 -121 509 1 503 3 818 8 928
Score4Life LimitedBalance Sheet year 2015 2016 2017 2018 2019 2020 2021 2022forecast in USD .000 ann. Start-UpAssetsFixed & other assetsCurrent assetsCash and bank 51 660 2 344 3 379 4 234 6 273 11 068 22 094 Accounts receivable 5 - 4 23 49 116 257 577 1 267 Intangible assets
Capitalized costs R & D 500 400 300 200 100 - - - Intellectual properties - - - - - - - -
Total intangible assets 0 500 400 300 200 100 - - - Tangible assets
Equipment Data - - - - - - - - Equipment Office - - - - - - - -
Total tangible assets 0 - - - - - - - - Total assets 551 1 064 2 668 3 629 4 450 6 530 11 645 23 360
Liabilities and stockholders equityCurrent liabilities
Accounts payable 30 - 40 123 205 466 1 009 2 243 4 899 Taxes due 1/12 - - - - - 34 98 229
Total current liabilities - 40 123 205 466 1 043 2 341 5 128 Longterm liabilitiesLiabilities to financial institutions 0 - - - - - - - - Stockholders' equity
Share capital 1 1 1 1 1 1 1 1 1 Restricted reserve 10% - - - - 51 51 51 51 Share premium (excess of par value) 0 550 550 550 550 550 550 550 550 Retained earnings - - -527 -1 006 -1 128 -619 885 4 703 Subordinated loan 0 - 1 000 3 000 4 000 4 000 4 000 4 000 4 000 Net income for the year - -527 -479 -121 509 1 503 3 818 8 928
Total stockholders' equity 551 1 024 2 545 3 423 3 983 5 487 9 305 18 232 Total liabilities & shareholders int. 551 1 064 2 668 3 629 4 450 6 530 11 645 23 360
Score4Life LimitedCash flow year 2015 2016 2017 2018 2019 2020 2021 2022forecast in USD .000 ann. Start-Up
EBIT - -527 -479 -121 499 2 368 6 765 15 818
Adjust for:Depreciation & amortisation - 100 100 100 100 100 - -
Changes in:Accounts receivable 0 - -4 -19 -26 -67 -141 -320 -690Accounts payable & accrued liab. 0 - 40 83 82 261 542 1 234 2 656
Flows from operations - -391 -316 35 793 2 869 7 679 17 785
Capital expenditure -500 - - - - - - - Taxation - - - - - -376 -1 109 -2 612Net financial items - - - - 10 47 135 316
Free cash flows -500 -391 -316 35 803 2 540 6 705 15 489
Opening cash balance 1 51 660 2 344 3 379 4 234 6 273 11 068
Cash balance before loans and dividends -499 -340 344 2 379 4 183 6 774 12 977 26 557
Share capital - - - - 51 - - - Share premium 550 - - - - - - - Subordinated loan - 1 000 2 000 1 000 - - - -
Cash balance before dividends 51 660 2 344 3 379 4 234 6 774 12 977 26 557
Dividends - - - - - -501 -1 909 -4 464
Closing cash balance 51 660 2 344 3 379 4 234 6 273 11 068 22 094
BUSINESS!PLAN!SCORE4LIFE!
www.Score4Life.com!•!+1!416!444!4001! 11!
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Prepared'by�Big!Ben!Venture!Partner!Inc.�
Ben!Hedenberg!Q!Managing!Director�+1!416!444!4001�
[email protected]�www.bigbenventure.com!
