 INFe.com-- Facilitating Internet, Technology M&As, IPOs INFe.com (OTC BB: INFE) is betting its future on the fortunes of promising new Internet and technology companies poised to enter the hurly-burly world of public trading. Through tightly integrated divisions, the company provides emerging Internet-based E-Commerce, and technology companies with desperately needed resources: funding, technology assistance, and human resources. Most young, private companies do not have the expertise, time or resources needed to go public. Many entrepreneurs never take that stepor, if they do, find they have lost majority control to outside investors and venture capitalists. 7 card stud poker en lineaINFe.com has a better way. With its expert financial consultants, attorneys, public relations staff, and market makers, INFe.com provides the needed expertise to lift unknown companies to national recognitionoften preserving their original character. "We have the expertise in the merger process. Our strategy is to invest in and provide services to our clients over the long haul. We're really a partner through the entire growth process. We don't just take a fee and go away," says INFe.com CEO Thomas Richfield. Private Equity Funds As a side benefit to INFe.com shareholders, the company is creating in-house private capital equity funds allowing direct investment by INFe.com's shareholders in the private equity and ownership of their selected investments. The funds, similar to those offered by CMGI (Nasdaq), include: INFe-COREFUND, LLCcomprised of companies slated for INFe.com acquisition and identified as potential fuelers of INFe.com's internal growth; INFe-FundsU.S., LLCprivate limited liability corporations (with INFe.com as general partner and investors as limited liability partners) investing in technology companies located primarily in the U.S.; INFeFunds, Internationalinternational funds targeting international investors who may or may not be INFe.com shareholders; and INFe-Angelfunds, LLCfor high risk-high reward, accredited investors interested in providing seed capital to extremely early stage companies. Consulting Synergies INFe.com provides services to client companies through three synergistic divisions: - INFe-Ventures hotel rooms Naplesidentifies and screens E-Commerce and Internet-based companies for incubation and investment. The division manages capital formation, investments, IPO strategies, valuations, due diligence and contract negotiations.
- INFe-Technologies serves as a technology outsourcing resource for client companies, performing technology due diligence, intellectual property rights and patent/trademark research services. Other division services include: web site design/development, Internet integration services and other forms of technology consulting.
- INFe-Human Resources provides staffing and human resource management services to the company's client base including: establishing executive management teams and advisory boards; providing professional recruiting services; and serving as benefits provider/administrator, payroll processor and personnel administrative manager (PEOProfessional Employer Organization).
The human resources division operates its own Internet recruiting service, IT*CareerNETa portal site enabling technology companies and job seekers to find each other. Current corporate clients include IBM, Cable & Wireless, Digital Focus, Spaceworks, Inc., Anteon, and others. The site offers recruiting and career services, technical education, and targeted Internet affinity programs allowing visitors to take skills tests leading to technical certification. IT*CareerNET Personal Career Advisors perform 90-day intensive Internet-based job searches for enrolled members. IT*CareerNET visitors can also purchase computers and make hotel and travel reservations through an affiliation with Travelocity, Inc. A Washington, DC area technology and engineering company, DataMEG Corporation, is a prime example of how INFe.com operates. DataMEG's proprietary technology processes data over regular telephone lines at transmission speeds well in excess of other conventional data transmission technologies. In November, DataMEG signed a consulting contract with INFe.com to find the capital funding needed to expedite DataMEG's product development. Less than a month later, DataMEG announced it had entered an agreement to merge with a public entity. When the merger is completed, the new company will be listed as DataMEG Corp. (DTMG). INFe.com receives a consulting fee for this assistance, as well as an equity stake in DataMEG, and additional stock options. This deal holds a potential $21 million asset value for INFe.com as the company continues to assist DataMEG in recruiting technology personnel and provide human resource management services. INFe.com plans to repeat this model, generating revenues from consulting fees and equity positions in emerging companies. "We like this business model a lot," says Richfield. "We look for operating companies with good technology that need an infrastructure management team." INFe.com plans to shepherd at least four technology IPOs annually, each resulting in up to a 10% ownership stake generating about $100 million in overall asset value each year. The Company Richfield acquired control of INFe.com in 1994 through a reverse merger and is positioning the company for rapid growth. He brings to INFE.com more than 25 years experience in corporate business management, personnel and technical services, mergers and acquisitions, IPOs, reverse mergers, funding and capital formation. The company's broad-based management team includes Gus Mechalas, vice president and chief technology officer; Carl Shade, Mergers and Acquisitions; David Dodd, regional vice president of information technology consulting; Doug Larkin, vice president of public relations; and Michelle Heisler, manager of human resources and PEO services. INFe.com (previously Infocall Communications Corp.) recently completed its SEC-required financial audits and filed its Form 10-SB in preparation for becoming a fully reporting company. The company recently announced plans to acquire $2.5 million in technology consulting contract revenues to expand IT*CareerNET's revenue base and client list. IT*CareerNET will be spun off early this year in an IPO projected to raise $25 million in acquisition capital that will drive IT*CareerNET revenues to $100 million in less than two years, according to Richfield. INFe.com will retain a large equity ownership of IT*CareerNET. "IT*CareerNET is a revenue-producing company and now is the time to take it out of its incubator, find it a professional management team, turn it over to the public and watch it grow," says Richfield, who founded IT*CareerNET in 1997. "We are really excited about this Internet-based technology recruiting and staffing company. We believe it is unique in operation and provides a total Internet recruiting solution for our clients and a total Internet career site for our technology professionals." Outlook | hostel in Daugavpils CityFive Year INFe.com Growth Plan* | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | | Revenues | $240.0 | $500.0 | $750.0 | $1,025.0 | $1,300.0 | | Cost of Sales | 155.0 | 300.0 | $375.0 | 470.0 | 564.0 | | Gross Profit | 85.0 | 200.0 | 375.0 | 555.0 | 736.0 | | Expenses | 51.5 | 120.0 | 162.0 | 239.0 | 349.0 | | Pre-Tax Income | 33.5 | 80.0 | 213.0 | 316.0 | 387.0 | | Net Income | 21.8 | 52.0 | 138.5 | 205.4 | 251.0 | | *This proforma is predicated on INFe.com executing a successful secondary public offering to raise $20 million to fund anticipated acquisitions. The proforma includes the acquisition of two PEO companies and one IT consulting company | INFe.com has a five-year growth plan [see chart] to reach revenues of over $1.3 billion through a series of strategic acquisitions and internal growth. The company already has agreements in principle to acquire its first round of companies, totalling some $22 million in revenues. Plans are in place to acquire two (PEO) professional employer organizations, and one information technology company. The company has raised significant working capital through a private placement, and is seeking to raise $5 million in additional private placements to complete a first round of $21 million in acquisitions. Edinburgh hôtelsFollowing initial funding and acquisitions, INFe.com plans to qualify for a national stock exchange. A secondary financing effort to raise $25 million will allow the company to acquire an additional $200 million in core revenues. INFe.com projects revenues will reach $240 million ($33.5 million in pre-tax income) in revenues within a year, rising to an projected $1.3 billion ($387 million, pre-tax) in five years. "We intend to be profitable from the very beginning. This will be accomplished through acquisitions bringing the talent and infrastructure we need to accomplish our goal of $200 million in revenues in the next two years," says Richfield. -- DISCLAIMER -- ADVERTORIAL DISCLAIMER-- INFe.com, has paid a fee to The Bull & Bear Financial Report for the advertorial and for the promotional services provided by The Bull & Bear Financial Report. The directors, employees of The Bull & Bear Financial Report do not own any of the stock of the above mentioned company. SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS -- Certain statements in this document constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: risks inherent in restrictions of foreign ownership; uncertainties relating to carrying on business in foreign countries; the Company's history of operating losses and uncertainty of future profitability, uncertainty of access to additional capital environmental liability claims and insurance; and dependence on joint venture partners. Certain forward-looking statements will be identified by a cross-reference to the Special Note. Forward-looking statements are typically identified by the words: believe, expect, anticipate, intend, estimate and similar expressions, or which by their nature refer to future events. The Company cautions investors that any forward-looking statements made by the company are not guarantees of future performance, and that the actual results may differ materially from those in the forward-looking statements as a result of various factors, including but not limited to, the Company's ability to be able to continue its substantial projected growth, or be able to fully implement its business strategies, or that management will be able to successfully integrate the operations of its various acquisitions. |