How to Get Venture Capital Funding by dch56471

VIEWS: 6 PAGES: 11

More Info
									Submitted by
   TSK&CO
                             INTRODUCTION
    TSK&Co, an existing profit making registered Partnership Company operating for the past four years
    in Chennai, India, is engaged in trading in about hundred blue chip stocks using Elliott wave theory
    and Fibonacci theory.
    Having identified excellent growth potential in the above field, this partnership company is planning
    to transform itself into a closely held public limited company by expanding the shareholder’s base
    and seeking additional investment in the form of venture capital from prospective investors for
    business expansion & better returns to all stake holders

   It is proposed to raise Rs32 lakhs capital with the following terms

    Maximum 10 investors as share holders each investing about 3 lakhs… The investment is
    treated as venture capital with min 10% annual dividend and 10%-20% annual premium for
    buyback is offered

    Entire shares of Rs 32 lakhs investments will be bought back by        company/promoter with
    in five years

   Investor who stays 5 years will get min 100% tax free return for his money in the form of
    dividend and buyback premium
TSK&CO past performance
            year      06-07             07-08              08-09             09-10
            Sales     36.18             116.75             40.28             26.00
            &stocks
            Purch&    33.89             113.71             39.63             25.25
            Oprtg exp
            PBDT      2.29              3.04               0.65              0.75

                        ASSETS AND LIABILITIES OF TSK&CO   AS ON mar- 2010

    LIABILITIES                                 ASSETS

   EQUITY CAPITAL    12.00                LAND- BLDG& OTHER ASSETS             28.50
   BUILDING LOAN     10.50
                                           STOCKS &CURRENT ASSETS               03.50

   BUSINESS LOANS    09.50

    Total             32.0                 Total                                32.0

All fig. in lakhs
          Sales &profitability projections
DETAILS      2010-11   2011-12   2012-13   2013-14   2014-15

SALES        450       500       600       720       900

GROSS        22.50     25.00     30.00     35.00     45.00
INCOME
OPRTG        08.00     09.00     10.00     11.00     12.00
EXPENSE
PBDT         14.50     16.00     20.00     24.00     33.00

ALLOCATION   10.00     12.00     14.00     16.00     22.00
FOR DVD &
BUYBACK
Technicals of stock trading
INTRODUCTION
 Venkatasubbarrao, the founder partner of TSK&Co, an honours graduate in Production
   Engineering, with Management qualification in finance and years of research in share trading is
   analysing briefly how share trading using ‘wave theory’ technique successfully manages all business
   risks and ensures profit.

STOCK TRADING AS A BUSINESS
       Investments in Stocks are generally viewed as a risky & unpredictable business. The rise and fall of
   stock prices are believed to be not predictable by any technique…which, of course is not true!!
        All actively traded stocks throughout the world are governed by two forces – buying & selling
   forces, the resultant of which is the stock price at a particular time, which fluctuates continuously.
   Human beings charged with greed (buyers) and panic (sellers) of varying grades participate in the
   trading show… Obviously it is a mass psychology business!!
 Ralph Nelson Elliott, an Italian investment genius, in 1930s discovered that the rallies and corrections
   of stock prices contained a set of five distinct wave components, which Elliott named as ‘Wave Cycle’.
   This pattern is available in all actively traded stocks globally. It is very interesting that this wave cycle
   repeats its pattern on an hourly, daily, weekly, monthly, yearly time period, governed by Fibonacci
   ratio (1.618) and its derivatives. Thus prices of stocks always change within a fixed pattern which gives
   us a reliable technique to predict the future prices fairly accurately based on past price pattern.
 The Bombay stock exchange comprises of more than nine thousand listed stocks, of which we have
   carefully chosen about one hundred actively traded companies, covering all sections of the economy
   Banking-Auto-Metals-technology-etc), for our portfolio. Using Elliott wave theory we track the daily
    volatility of these stocks for buying, selling and profit booking. The direction of volatility is
    monitored for buying low and selling high. The daily volatility of any stock varies between 2-5%
    within the trading time which is known as daily highs and daily lows. We track these highs and lows
    on a daily basis to book profitable trades of 5-7% margin periodically. Conservatively it is possible to
    rotate the investment twice a month for profitable trades (thus an investment of twenty lakhs will
    result in a sale of forty lakhs per month with about seven percent profit margin).


WE DIFFER FROM MUTUAL FUNDS SUBTLY…
 We differ from mutual funds subtly… mutual funds choose stocks for investment (based on quality of
  management, product strength, past performance and future trends of economy), and remain
  invested for years for registering capital gain. They hardly exploit daily volatility. While we remain
  invested like mutual funds, we enter and exit during corrections and rallies on a routine basis. Our
  investments move along the market in the opposite direction. In rallies we book profits in staggered
  manner and during corrections we buy in a staggered manner.
 This strategy supported by Elliott wave theory and Fibonacci ratio (1.618), fine-tunes our
  profit in an impressive manner. Bear markets which are unavoidable in any investment cycle
  are excellent opportunities for value buying when the market bottom is known… Elliott wave
  theory coupled with Fibonacci ratio analysis helps us predict the peaks and valleys (highs and
  lows) of stock prices for any span of time based on the past price pattern.
           FAQ on share trading
1.Share trading is almost gambling…no systematic procedure
  is there….

Ans The past 5 -10 years price volume chart of any stock when analysed a trading technique
   emerges between all time high and low prices
 The stunning investment logic with which the prices move
 with in these Boundaries is unbelievable …yet true!!

2. Nobody can predict when a stock will rally or fall..
Ans..Persons with basic knowledge about elliott’s impulse & corrective waves will smilingly
   refute this charge..



3.when to buy when to sell any rule is there..?

Ans. keep the buying programme in a staggered manner as the prices fall .. When the current
  price is about half of all time high./52 week low. .. start buying ..

initiate selling when price approaches double the value
initiate selling when price approaches double the value
 You will not regret about your decision..

4. what is the undercurrent logic in price movement..?
Ans Fibonacci numbers (1.618,2,3,5, 8,13, 21,34,55,89,144…)
     Fibonacci ratios 1.618-1.382-1.236-1.146 both multiplication and divisions govern the price
    logic
5. can you brief with an example….
Let us take state bank of india stock with past 10 years price chart..
All time low---- 139.85(very close to std fib.no 144) sep2001
All time high      2540 (very close to std fib.no 2584) jan2008
Low               894 (got reduced to 1/3) mar2009
High               2500 (oct2009)

8 years (std fib.no) of continuous rally from 144 zone to 2584 zone
Got corrected to one third zone (894)
If any body purchased as per our recom. In the price zone of half to one third (1300To 894 zone
    )and retained till all time high zone what a great return he would have got it in oct 2009!!
6. How will you explain great crash of stock market in 2008-2009?

Ans A good stock when doubles or triples in a year should undergo about
   50% price Correction for future price stability/growth..
In our example state bank of india from 144 zone 18 times continuously
   appreciated to 2584 zone.. for 8 years with practically no correction.
   Hence turned extremely vulnerable for pent up-over due correction..
   thus instead of 50% correction it corrected 66% to end at 894
Similarly sensex rallied from2.618k zone to 21k zone (both are std fib .no.
   in thousands) to 8 times with negligible correction ended up correcting
   down to 8k zone
While the favourable economic conditions fuelled unbridled rally.. global
   weakness corrected the excess and brought the price stability
                      Company information


Name and address      TSK&CO,
                      21,second cross street
                      Venkateswara nagar, thirumullaivoyal,
                      Chennai-600062, INDIA
                      Ph- + 91 44 26376632 ;
                      mobile 9884240600
                      Email tsk500@gmail.com

Bankers            Axis bank ltd ambattur,Chennai-600053

Promoters   Managing partner TSK venkatasubbarrao BE,MBA
                  Partner    VS padmavvathi, Mcom ,BEd
High lights on venture capital investment

# The proposed Rs 32lakhs investment will be completed and share          certificates
  of unlisted plc will be issued with in 60 days of receipt of investment from
  investors

# With annual dividend of min 10% and buyback premium of 10-20% for Every
  year of holding, investors can get more than 100% tax free return for their
  money in five years period

# The future plan of the company to enter educational service& agricultural
   products will be Taken up after three years

#The sales and profitability projections clearly indicate the viability and feasibility
  of this venture capital funding

# Subject to availability the new company will be named as tsk ventures ltd

								
To top