Redhawke’s energy division model is to acquire underperforming oil and gas properties with appropriate engineering where major performance enhancement can be actuated with work-over capability, proven current technologies in secondary recovery methods such as water flooding, nitrogen, NCO2, and sound and energy wave technologies. The enhancements are expected to typically create fifty percent and greater additional revenue and net profits. Additional drilling /exploration capabilities are requirements of properties acquired. Project forthcoming are below.
Third Day Joint Venture #1
The initial focus is oil properties with shallow well production (600 to 2,000 feet) that have production enhancement capabilities and further exploration capabilities. Projects are focused in regions where the team has knowledge of the market and has good working relationships. Projected year-one revenue is $4,504,500 with $2,013,207net operating profit. Based on recent historical performance and geology with a two year drilling program, revenues could be over $10,000,000 with new operating profits greater than $4,000,000.
Waste Oil Recovery Division
Redhawke is launching a second lucrative business enterprise within a niche market in energy recovery. From previous experiences of the management team of Redhawke in this market niche, the Company offers the latest technology and processing that creates oil saleable at market price that is recovered from waste oil product gathered at a recovery rate of 45% to 60% dependent upon the makeup of the waste oil gathered for processing. Industry relationships allow Redhawke to move forward in year one with 30+% EBITDA in year-one of operation. Sales representation has been procured that has maintained long-term customer relations with clients that represent over $2,000,000 in annual revenue. The first facility is projected to achieve three-year EBITDA over $5,000,000 on a total investment under $1,000,000.
Redhawke management has in-depth experience within this specialized industry. The Operations Manager has built and successfully operated two previous oil recovery facilities; as well he has over 30 years of oil field chemical production and oil field operations. The Redhawke President will be directly responsible for overview management; he offers over twenty years within the energy industry and has participated in the following sectors; petro-chemical refining, natural gas compression, crude oil pipeline and storage, oil & gas exploration, and business development within oil & gas products and services. The Corporate C.O.O. facilitated the launch of a similar facility in 2010, and served as a financial consultant in the restructure of another such facility.
A synergistic related initiative to waste oil recovery is modeled to acquire and consolidate one of three oil field services. Each service has the same 100 to 200 mile radius with the same client prospect base and same buyers within those prospects. This type acquisition complements the state of the art waste oil recovery facility and creates clients for the waste oil recovery facility.
SHI through its management expertise will continue to seek appropriate asset and property acquisitions that meet the business model and its profitability model. Each acquisition will offer immediate organic growth, and synergistic operations that will benefit from consolidation.
Significant opportunities exist for economies of scale in:
- Administrative & Financial Management
Field management and contracting
Labor Costs & Cross Utilization
Purchasing & Procurement
Shared technology utilization and development
Acquisition guidelines include:
- Minimal cash required to acquire and enhance each project versus return on investment
The management team has previous experience within the geographical area and type of project geology involved, and the services that will be provided
Each project offers both short-term and long-term return on investment
Each acquisition offers a divestiture option after year-three with potential excellent investment return
Earthlinc Environmental Solutions was formed in 2011 to bring forward green applied technologies and offer environmental services with a focus in North America. Technologies have been acquired and have been readied for market. Our environmental services along with two technologies are being launched in 2013.
Earthlinc is focused on providing performance driven solutions for environmental based issues in both corporate and small business needs. With over 100 years of combined experience in general contracting and environmental services; the company will also act as Construction Management for commercial / industrial projects that are utilizing our specialty services.
ENVIRONMENTAL COATINGS SERVICES
Design and application of a series of clean technology coatings products that offer energy savings, protective coating and structural integrity
· A nationally licensed applicator of products created by Volatile Free Inc., a manufacturer of a series of clean technology products that are utilized for roofing, secondary containments for hazardous and non-hazardous materials, flooring, vessel linings, pipe coatings, and many other applications where secondary structural integrity and life extension is desired (examples of previous application include tunnels, smoke stacks, ship linings, etc.).
· Our Team
The Earthlinc management and staff each bring forward 20 year relationships with national accounts and government agencies. We deliver exceptional ongoing service to our clients.
ENVIRONMENTAL REMEDIATION SERVICES
Remediation services for soils, waters, and emergency response for hazardous and non-hazardous materials.
Offering multiple services within targeted remediation and restoration services in both government agencies and private industry. The company can further expand its services with its 8A government contractor associate.
Services offered include:
Hazardous waste removal and remediation Environmental training
Remedial design Environmental assessments
Asbestos / lead – inspection & removal Sampling, testing & classifying
Waste generation handling & disposal 24-hour emergency response
Environmental Spill Remediation General contracting services
Our division manager has a twenty-year track record of excellence in the environmental services which offers assurance of professional execution of projects that is complimented by his team.
Completed environ-services projects include: Rockline Industries, Bentonville AR School System, Rogers AR School System, Daisy Manufacturing Davidson County School Systems, Vanderbilt University, University of Tennessee, UT @ Chattanooga, Memphis Naval Station, US Army @ Fort Campbell, KY., Williamson County Public school Systems, etc.
Animal Waste Management (AWM)
is launching operations of a patented technology that is fully developed and
entering the market for waste processing on commercial chicken and hogs farms. Development was supported by the University of Arkansas and the Missouri Department of Natural Resources.
The technology addresses regional, national and international environmental problems of commercial poultry and hog industries. The technology controls the liquid, solid and gas waste generated, ultimately creating an odorless, clean, bacteria free by-product that can be utilized for animal feed filler while allowing the water to be re-used as ground water on the farm. The process improves the farm’s productivity and is competitively priced with current expense of handling the waste removal.
Global Envirotec Inc. (GEI)
has developed a unique to the industry annual maintenance program for water towers and tanks whereby it will guarantee the liner coating of a tank, at its discretion following its initial cleaning and inspection of the tank, for a fixed number of years. Such warranty is predicated on GEI’s annual cleaning and inspection during the term of the warranty. Upon inspection, if it is determined that a coating failure has occurred, GEI will offer a cost to replace existing failed tank coatings with its coatings removal and re-coating service to local specifications. Proprietary noninvasive, environmentally friendly chemicals are utilized as part of the process and service.
In its service package, GEI provides the customer with immediate feed-back relevant to the condition of the tank in the form of a written report and video presentation. This is accomplished via proprietary software. With the enforcement of environmental regulations increasing, the cost for maintaining requirements for water vessels is dramatically changing. GEI offers viable solutions with a cost competitive process that saves our clients significant expense through minimal downtime while meeting and exceeding regulatory compliance.
Our team is led by Dave Brewer who offers over 25 plus years each in general construction experience within general contracting, dirt work and excavation, and industrial construction. Our team has experience in national account construction management and design / build for real estate investment groups and corporations such as Wal-Mart, Rockline Industries, Cargill, Tyson, Cooper Industries, Standard Cash Register, Kearney Electric, Hannah Cos., Fed Ex, UPS, Dollar General, O’Reilly’s Auto Stores, Peterson Farms, SWEPCO, Daisy Manufacturing Co., Glad Bags, State Mutual Insurance, Texaco / Shell, Exxon, and Dow Chemical among others.
The base services and products are focused in roofing, secondary containment, floor coatings, and environmental remediation. Additionally, other applications that the company has experience with include; parking decks, surface coating, pipe protection, inner pipe repair, ship liners, offshore platforms, bridges and tank coatings.
Earthlinc specializes in the needs of national accounts, and government agencies such as Department of Defense, and other governmental agencies, offering a Quick Response system in delivery of quality services and products.
The same targeted applications along with other relevant product usages will be pursued within an initial eight state region to compliment national account efforts. The regional markets include primary efforts in Texas, Arkansas, Oklahoma, Missouri, Kansas, and Tennessee, Louisiana, and Mississippi.
Business development and customer support utilizes our two national sales executives who excel in maintaining long-term relationships with their clients through excellence in service. Customer service is further augmented with an inside sales staff that expedites our clients’ needs enhancing our customer satisfaction program.
Who Is Silex Interiors?
Silex Interiors is manufacturer and distributor of synergistic specialty building materials. Silex Interiors was formed in 2006 and acquired in 2012 by SHI. Silex Interiors currently provides granite and other countertops, cabinets, green products such as engineered marble and related products to; residential and commercial contractors & remodel contractors, and the retail client through two regional locations with an expansion plan of an internal regional expansion annually, and four to eight regional franchise locations annually. Silex provides a superior level of quality and client experience to ensure the company exceeds expectations.
The Company has completed a restructuring process, and has developed and is implementing an exciting model for proficient sales and installation of multiple products that are synergistic to the buyer that fills a niche between DIY chain stores such as Home Depot, and the local contractor. The Company brings a turn-key convenience approach to their markets.
Silex Interiors is a retailer of semi finished building materials for commercial projects and new home construction, as well as remodel and DIY projects.
Silex Interiors is truly a “one stop shop” when designing a new kitchen or bathroom. Silex offers a full range of all wood cabinets, granite, marble and quartz countertops, sinks, faucets and tile backsplash. Silex provides exceptional client care with free project design assistance through our design centers.
Our prices are very competitive in the market, and the turn-around time for installation of products is second to none.
Silex was selected by INC Magazine as the 212th overall and 5th construction related fastest growing company of 2010. The corporate team offers two members with success in regional and national growth of related industry enterprise.
As the key points of this model have been perfected over the past three years, additional product lines will be introduced in 2013 with the same value-added approach. Additional products will include:
Ø All wood, pre-finished cabinets for retail, new residential, and commercial
Ø Engineered marble for shower stalls, counter tops, baths and more
Ø Additional counter top materials such as Quartz
Ø Plumbing fixtures related to the kitchen and bath applications
Ø Related hardware, and various retail items that fit the buying process of the retail client.
Silex fills a niche between DIY chain stores such as Home Depot, and the local contractor. Silex brings a chain store approach to new construction and remodel, as well as a turn-key convenience approach to the retail sector. Their focus is on bringing a production approach for construction materials and installation. This is accomplished through:
Ø A business structure that allows chain store type duplication of the business model across the country by utilizing a franchise system for operation of multiple store units. This system includes replicable facility, operations, and sales & marketing in each location. Core G & A services are maintained corporately and staffing in each location is minimized. A very proactive and consistent corporate management system has been implemented that highlights hands-on overview management with each location.
Silex Interiors will accentuate rapid growth thru expansion in company owned stores in significant regional markets and by franchising locations nationally.
1. Through a unique business model, Silex opens the door for rapid national expansion while controlling costs, by importing semi-finished products that are completed by subcontractors or Silex core production staff.
This process lowers the manufacturing cost of our products while improving lead times for Silex clients. Utilizing primarily subcontractor labor for final installation controls the production cost basis. The combination of these two factors lowers and controls costs while improving quality and lead times.
2. Expanding product lines to “kit” products in a complimentary fashion.
By grouping products together, such as cabinets, countertops and backsplash, Silex is able to increase the dollar per sale while offering better service and reduced pricing to its customers.
The development and expansion of the Silex business model will increase profitability for suppliers, subcontractors and Silex through economies of scale, as well as provide lower costs and higher quality for its customers through the improved management processes.
Restructuring of Silex has been completed in 2013, and franchising will be created in 2013. 2014 is forecast at $4,098,520 annually per established store (year two of operation) with EBITDA of $614,778.
Silex has a business structure that allows chain store duplication of the business model nationally in any major market utilizing franchising for a uniformity system and rapid expansion structure for operation of multiple store units.
This system includes replicable facility, operations, and sales & marketing in each location. Core G & A services are maintained corporately and staffing in each location is minimized. A very proactive and consistent corporate management system has been implemented that highlights hands-on overview management within each location.
Through a unique business model, Silex opens the door for unlimited expansion while controlling costs, and strengthening management. Silex Interiors is an interiors company that is a hub joining suppliers, subcontractors and customers in an efficient manner.
The Silex Market Niche
With its competitive cost combined with superior product and services, the Silex model is very attractive to new construction home builders and remodelers.
Ø Lower cost through pre-manufacturing products overseas
Ø Faster lead time because items are stocked and prefinished.
Ø Higher level of service through extensive training
Ø Consolidated “one stop shop” eases the buying process for clients
Redefining Retail Client Services
Currently retail clients have two choices; deal with a smaller and less reliable local contractor, or pay for much more costly services through box stores such as Lowes.
Box stores such as Home Depot subcontract their work to local fabricators who use traditional supply chain management for production. Costs are higher, and the box stores add additional margins. The total sale price is usually 30% to 50% higher than Silex charges for the same product. With proper brand imaging, Silex can provide the brand assurance of larger chains, while providing better value for price, service and quality.
Silex also takes the place of the smaller and unreliable segment of the local remodeler market. Silex brings a chain store operational approach to a fragmented market, similar to Car Mart in the used car industry. Clients will receive proficient price, service and quality from any of our locations. Our systems of management ensure that each job is produced with quality, on time, through our full service staff. Neither local fabricators, nor the box stores have the internal infrastructure to compete with the Silex model.
Lumber Liquidators built a national chain of stores through a very simple model, building a chain of over 200 stores in 17 years, generating annual revenues over $500 million. Silex is executing a similar model in the same industry and expects similar results. This certainly reflects that if the correct elements are in play, what Silex seeks to create, can actually be accomplished.
Silex Interiors has combined both traditional and unique marketing techniques to penetrate new markets and retain market presence. There are three market segments that Silex has targeted:
Ø New Construction (Residential)
Ø Retail (walk in clients)
Ø Remodel (wholesalers: remodelers and interior designers)
Ø Commercial construction through trade shows and online bidding software.
Our marketing techniques take into consideration all market sectors and each has unique strategies for connecting with the client.
Our in-house sales associate handles retail clients and assists with marketing programs such as mailers, telephone contacts and organizing trade shows. Silex offers an attractive and friendly showroom environment for viewing product offerings. Retail traffic is driven to our showroom through the following advertising methods:
Ø Television advertising conducted seasonally, and through channels such as HGTV, Fine Living, Food Network, Oxygen, Discovery and Travel Channels. These stations cater primarily to the age/gender/socioeconomic group that Silex targets. Commercials are rotated in two week segments, day time, evening and weekend.
Ø Radio is used sparingly, usually at peak seasons or to coincide with a trade event.
Ø Trade shows are our largest generator of leads. Silex participates in every home show a community has. Traditionally there is a spring and fall show.
Ø Internet leads are generated through Google ad words and banner advertising on local sites.
Silex hosts a lunch and open house for remodelers where they receive education on benefits of working with Silex Interiors.
Silex offers remodelers a unique package where remodelers are equipped to sell Silex products and are paid a commission off the sale. Remodelers are trained and given marketing materials and granite samples to present to their clients in home. Silex then offers to take over the sale and manages the project and process for the remodeler.
Silex, thru a national software development firm, is currently creating a fully interactive website and virtual store which can be completed post funding. The proposed Silex website will include market accepted features such as a store with add-to-cart capabilities for point of sale items. A fully interactive online design center will allow clients to design their kitchen and cost it out from the comfort of their home. Clients can access Silex associates through instant messaging on the website to have questions answered informally. The website integrates search engine optimization for reaching clients nationwide.
This software will allow DIY, remodelers and garage fabricators nationwide, to design and order a complete kitchen including granite countertops, cabinets, backsplash tile, sinks and faucets. This is truly a quantum leap in technology for providing manufactured building materials to clients nationwide through the web.
Our corporate management team is well versed in each of the three areas of focus. Each of the three corporate officersis also the executive directly responsible for the successful operation of one of the individual divisional efforts; as well as their corporate duties.
Silex Holdings desires to create a successful and enjoyable business opportunity for the investor; and our business enterprise partners that join with us to maximize their business potential through the public company capital resources advantage, and the benefit of having an additional management partner to assist with vision and fulfilling each of our operations.