Argentum 47 Inc (ARGQ)

[gemmerling]

Hi Wormwood here is the $ARGQ year Future plans. With no dilution for close to two years if they are able to accomplish the below tasks they should be ok by the end of the year IMO.

FUTURE PLANS

Our specific plan of operations and milestones from March 2020 through March 2021 are as follows:

1. CONTINUE TO DEVELOP AND GROW ALREADY ACQUIRED IFA BUSINESSES – CHESHIRE TRAFFORD (U.K.) LIMITED.


In January 2020, we revised the Terms of Business that we send out to all current and new clients. This revision contemplates offering these clients two types of services packages, “Basic” and “Comprehensive,” at a fee rate of 0.75% per annum (a minimum annual fee of 750 GBP or $980) and 1% per annum (a minimum annual fee of 1,000 GBP or $1,300), respectively. The “Basic” service package is what we are legally obliged to offer under U.K. FCA guidelines and the “Comprehensive” service package is much more complete and contemplates additional added value for the client. Within the revised Terms of Business, we have also implemented an upfront 3% fee that is payable by each new client that is onboarded to our client base. Both the upfront fee and annual fee are based on the amount of Funds that legacy clients and new clients authorize our Company to Administrate and ultimately look after their financial affairs.

So far this year, we have 25 new business clients that have sent us signed letters of authority and wish to engage our Company. Most of these new clients have opted for the “Comprehensive” service package. It is important to note that the Funds that we currently administrate range from $8,000 to $650,000 per client (equivalent to 6,000 GBP to 500,000 GBP) and that we have calculated that the average amount of Funds that we administrate per client, taking into consideration our historical data, is approximately $72,500.

Our goal for 2020, is to attract at least 100 new business clients (25 of which already are in the process of being onboarded as new business clients) hence our intent is to raise the Funds that we currently administrate by between $7.25 million to up $10 million. Between the 3% initial upfront fee and the ongoing/recurring 1% or 0.75% administration fee, we are aiming to raise our gross income by at least $250,000 on the low side and up to $400,000 on the high side in 2020. This uplift in gross revenue would represent 2 to 3 times the currently gross income.

Finally, it is our intent in 2020 to continue to leverage the licenses that we now own as believe that we can significantly increase our business and revenues at very little extra cost and improve profitability.

2. SEEK FURTHER FUNDING FOR FURTHER INORGANIC GROWTH VIA ACQUISITION

The Company is looking into entering a long-term funding agreement up to $10 million U.S. Dollars with a with a new European based Regulated Fund in order to accelerate our inorganic growth and acquisition plan with a view to consolidate our Company in the marketplace. Currently all negotiations are verbal negotiations.

3. ACQUIRE CERTAIN INDEPENDENT FINANCIAL ADVISORY FIRMS WITH FUNDS UNDER ADMINISTRATION:

During the year ended December 31, 2019, management commenced certain negotiations to acquire 100% of an Independent Financial Advisory (IFA) firm based in London (United Kingdom). This targeted IFA currently has 136 Million GBP (approximately U.S. $179 Million) of Funds under Administration and historical recurring revenues of a little more than One Million GBP (approximately U.S. $1.32 million). However, we do not currently have any written agreements as management is still in verbal negotiations with the owners of this IFA.

The Company intends to target and acquire more Independent Financial Advisory firms with funds under administration during the next 12 to 24 months.

As the Company acquires more Financial Advisory firms, each book of business will be analyzed to achieve the maximum return and revenue from the client bank without affecting the client offering. In addition, certain cost savings will be managed into the budgets by using technology for the administration, looking for duplication of services and by managing the client and the funds under administration in a more efficient way.

The acquisition of these entities will open a new network for the services of:

o New capital markets clients.
o Distribution of new funds / products.
o Maximizing the current books of business being bought.
o Expand and thus increase business via more financial advisors.
o Seek products that offer both a minimum of 1% trail (recurring) income and a secure risk averse home for clients’ funds.
o Seek cost savings, where possible, due to elimination of duplicate services.
o Implement rapid and efficient systems in order to allow information to flow to the clients and to management more effectively.
o Acquiring smaller, active client banks into our licenses and procedures for cost effective growth.

4. COMMENCE A TARGETED MARKETING PLAN

During 2020, our United Kingdom regulated business, Cheshire Trafford (U.K.) Limited, will continue with the direct marketing campaign that commenced in the second quarter of 2019, within the region using traditional print media, radio advertising, social media and editorial pieces. In conjunction with this campaign, the website and marketing of the Company will be refocused with a completely new image based around “Over 40 years of serving the community.” Two days per month in our office in the United Kingdom, we will offer free consultation to prospective clients that come and visit us, thus enabling us to potentially recruit them as new clients.


5. FURTHER EXPAND OUR RANGE OF SERVICES TO OUR FINANCIAL SERVICES CLIENTS

We will bring additional products to the client bank in order to maximize the potential returns per client with complementary products such as mortgages, trusts and more attractive funds.

6. CAPITAL MARKETS


The Company intends to continue its mandate to assist its client, Creditum Limited, with the listing of the Creditum Limited´s shares on the London Stock Exchange (“LSE”). Management believes that this public listing should be fully executed and finalized by sometime in the year 2020.

https://www.otcmarkets.com/filing/html?id=14030035&guid=yhYWUFpQJcYZ93h