Allegiant Professional Business Services, Inc. (APRO)

[naturalborninvestor]

The STTN-APRO connection spelled out

To support the graphical overview presented in sticky notes:

Previously, Smart-tek operated a security communication business. They added a second business line, and brought affiliates of APRO as part of a "Marketing Partner Agreement" - most likely to kickstart that new business. Effectively, this agreement changes the ownership structure of the firm into the hands of APRO President Bonar. Notice, that there was an additional, separate Marketing Partner Agreement between Bonar and Aceo Inc., a firm that acts as a broker and that was most likely influential to achieve the performance hurdle rate upon which ownership was transferred.

They now focus entirely on the PEO business and APRO management has replaced STTK management. Hence the symbol change.

Notice there are two divisions:
- Smart-tek Solutions, Inc. (the former technology business side - STTK.OB which is now invalid )
- Smart-Tek Automated Services, Inc. ( the new PEO business - STTN.OB)


This is what you can find at the bottom of each PR:

About Smart-Tek Solutions, Inc.:
The parent, Smart-Tek Solutions, Inc., generates revenue from the installation of security systems in construction projects. Its board is currently in negotiations to sell its original business and focus entirely on the PEO business of its wholly owned subsidiary, in order to achieve the best value for its shareholders. The original business generated $3.3 and $3.8 million of revenue in 2009 and 2008 respectively, and $0 and ($3.1) loss of earnings in 2009 and 2008 respectively.

About Smart-Tek Automated Services, Inc.:
Smart-Tek Automated Services, Inc. provides financial services to small- and medium-size businesses, relieving our clients from many of the day-to-day tasks that negatively impact their core business operations such as payroll processing, human resources support, workers' compensation insurance, safety programs, employee benefits, and other administrative and aftermarket services predominantly related to staffing—staff leasing, temporary staffing and co-employment. It not only provides core services, but a wide selection of employee and employer benefits and aftermarket products.



From their 2009 report:
Our Current Business
We currently operate two distinct lines of business. Through our wholly owned subsidiary Smart-Tek Communications Inc. we operate in the business of design, sale, installation and service of security technology with electronic hardware and software products. Our projects range from residential and commercial developments to system upgrades and monitoring contracts. Customers include major developers, general and electrical contractors, hospitals, Crown Corporations, law enforcement agencies and retail facilities. Currently, 100% of the Company’s operations are in Canada. We have a sales and technical installation team with over 50 years of experience specializing in the design, sales, installation and service of CCTV, access control, intercom, security, structured cabling and wireless communication systems.

On June 17, 2009, we determined to add a new line of business providing integrated and cost-effective management solutions in the area of human resources for public and private companies. In connection with the expansion of business operations, we incorporated a subsidiary, Smart-Tek Automated Services, Inc. (“Smart-Tek Automated”), a private Nevada corporation through which we operate our new line of business. Since its inception, Smart-Tek Automated Services Inc. has provided services to small and medium-size businesses, relieving its clients from many of the day-to-day tasks that negatively impact their core business operations, such as payroll processing, human resources support, workers' compensation insurance, safety programs, employee benefits, and other administrative and aftermarket services predominantly related to staffing - staff leasing, temporary staffing and co-employment. We intend to continue to expand this new business in the next twelve months.
http://yahoo.brand.edgar-online.com/displayfilinginfo.aspx?FilingID=7070738-1014-125199&type=sect&dcn=0001062993-10-000565



Marketing Partner Agreement:

By agreement dated June 30, 2009, the Company entered into a Marketing Partner Agreement with its wholly owned subsidiary, Smart-tek Automated Services, Inc. (“SASI”), and Brian Bonar (“Bonar”), a director of the Company.

Pursuant to the terms of the marketing agreement, Bonar agreed to provide certain services to SASI to promote and market the business of SASI to prospective clients, in consideration of which SASI agreed to pay Bonar a commission consisting of the following: (i) for every US$1,000,000 in annualized gross sales of SASI up to the first US$25,000,000 in annualized sales introduced by Bonar, Bonar will receive 1,800,000 shares of common stock of the Company up to a maximum of 45,000,000 shares of Company’s common stock; and (ii) after an aggregated US$25,000,000 in annualized gross sales by SASI resulting from sales introduced by Bonar, Bonar will receive one percent of annualized gross revenues of SASI for the amounts in excess of US$5,000,000 of annualized gross sales in any given fiscal year payable in cash. The agreement is for an indefinite term and may be terminated by either party without cause on 30 days written notice.
http://yahoo.brand.edgar-online.com/displayfilinginfo.aspx?FilingID=7070738-1014-125199&type=sect&dcn=0001062993-10-000565

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=48558287



2009 Key Events
Since the commencement of our second quarter ended December 31, 2009, we experienced the following significant corporate developments:
1. During the quarter, the Company’s wholly owned subsidiary, Smart-Tek Automated Services Inc., opened offices in Los Angeles, Marlton, New Jersey and Colorado. The Colorado office is intended to provide sales and client service support for customers in Colorado, New Mexico, Kansas, Oklahoma and Missouri. The decision to open a new sales office was due to the sales growth Smart-Tek Automated experienced in these geographical areas.

2. During the quarter Smart-Tek Automated experienced an increase in the number of clients engaging the Company for staffing and payroll services, bringing the total number of clients to 38.

3. In January, 2010 Smart-Tek Automated signed a leasing agreement with F.W. Davison to use a high performance PEO software that integrates payroll, human resources, benefits administration, billing and accounts receivable.

4. In January, 2010 Smart-Tek Automated appointed Kelly Mowrey as COO. Kelly Mowrey, received BA from Stephens College, Magna Cum Laude and has over nine years experience in the PEO and Staffing Industry. Mowrey, most recently served as the Vice President of Corporate Sales for Allegiant Professional Business Services, Inc. In this role, Mowrey significantly increased by targeting large staffing firms and developing relationships with large brokers within the PEO industry. Mowrey has had over nine years of executive sales experience with public companies in our industry and provides a track record of developing a sales strategy to increase sales.

5. In May, 2009 Brian Bonar was appointed as Chief Executive Officer of Smart-Tek Automated.
http://yahoo.brand.edgar-online.com/displayfilinginfo.aspx?FilingID=7070738-1014-125199&type=sect&dcn=0001062993-10-000565