Engagement 5

wpe6B.jpg (5085 bytes)

Engagement 5

Industry:	Outsource Services for Incentive and Frequency Programs
Revenue:	$2.5 million – 1998 Estimate $4.3 million – 1999 Projection
Paradigm Role:	Financial Advisor Private Equity Placement Agent
Project:	Raise up to $3 million in equity
Status:	Currently engaged – targeted closing in April 1999

Company Description:

The Company provides full-service information/technology outsource services for the incentive, frequency, loyalty and sales management markets. The Company’s efforts in the incentive industry have centered on two product lines: mini-vacation packages and a proprietary turnkey mile based incentive program. Historically, the Company concentrated its marketing efforts on financial institutions but recently began to expand into the retail and indirect lending markets. The Company has relationships with major financial institutions and consumer products companies. The Company is uniquely positioned in the market due to its proprietary turnkey program design, expertise in database management and management of information and fulfillment services.

Background

A financial investor and director of the Company referred the opportunity to Paradigm. This party had a positive experience working with Paradigm on a capital-raising project for one of its other portfolio companies.