Homes for Sale + St.Louis + Foreclosure + Bank Owned by luz30045

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									            Business Plan




 Stephens Financial Group Inc.




            5180 Old Alton Rd.
         Granite City, Illinois 62040-2625



Office 618-219-2950         Fax 618-219-2940

Owner: Orville Stephens    Cell 314-255-3253



           May 25, 2009
                                   TABLE OF CONTENTS




                           1.       Executive Summary

                           2.       Introduction

                           3.       The Business

                           4.       Unique Selling Proposition

                           5.       Current Products and Services

                           6.       Future Products and Services

                           7.       The Team Description Experience, past Successes

                           8.       Current Market Conditions

                           9.       Financial Sheets

                          10.        Conclusion




       Note: if this document is received through email, also see detail of projected income and
expenses for 2 years in Excel spreadsheet called “Business plan financials part I - III.xls”.
                              Executive Summary

                     Stephens Financial Group Inc.
                                     5180 Old Alton Rd.
                               Granite City, Illinois 62040-2625
                        Office 618-219-2950           fax 618-219-2940
                        Owner: Orville Stephens       cell 314-255-3253

                                      Company Description

I own 2 businesses both were created legally in March, 2006. First one is Enterprise Trucking
LLC, my trucking firm. I own a 2004 Mack CX 613 Semi truck and a contract to haul Trailers
for the rail road. I also own Great Homes LLC was created as a way for me to grow personally
and financially, in my spare time.
After 4 ½ years of driving, I have never exceeded $40,000 net income per year with Enterprise
Trucking LLC. I want to change focus to build more wealth in real estate and continue
ownership of Enterprise Trucking. I hired a full time driver in July 2008.

                                             Strategy

How I will grow is with the requested funding and hard work. Stephens Financial Group Inc.
(SFGI) was created similar to my Great Homes LLC with the benefit of 1million shares of 504D
stock to sell. It is a business involved in buying homes thru tax sales, auctions, wholesale and
discount priced homes from “Must Sell” sellers, such as, divorce, or homes both in foreclosure or
facing foreclosure or select vacant homes, and REO bank owned. SFGI will then do remodeling
of necessary repairs and sell these homes to real estate investors or the public at 5% to 30%
below market value for fast sales, to earn profits of from $5,000 to $40,000 per home. I will also
advertise to find remodeling companies to do jobs for us. This will generate more income for
SFGI.

I will easily earn more per year net income with SFGI than by working full time in my trucking
company alone. I have good personal credit about 680 and (new) business credit, Dunn
Bradstreet for both my LLC companies. I have not been late with any payments to creditors.

My goal is to obtain funding to have working capital to work full time on SFGI and buy and sell
12 to 50 homes each year, generating income of $250K to $750K in year 1 with continued
growth in following years.

                                             Market

The market in tax lien sales, foreclosures and Bank REO is increasing fast at this time. There is a
huge potential to make large profits. The banks must liquidate REO properties and prefer to do
so before they finalize the foreclosure process. Second and 3rd mortgage holders prefer to take a
discount sale, than lose all their invested money in foreclosure.
                                        Competitive Advantage

I have unique experience to exceed the competition thru hands on management, or hands on
doing the remodeling; also I was a previous Real Estate Agent Gundaker St. Charles, Missouri
and have 20 years experience on computers including web based business.
 (see my website: www.newwealthyworld.com). I have bought, remodeled and sold 8 of my own
homes, from 1979 to 2009, I studied and I learned 6 training programs of how to buy and sell
properties at discounts. See business plan "The Business" section.

Finding these types of homes will be done thru the Public records, internet databases, and
newspaper ads in the home section of newspapers as well as thru Real estate agents and Auction
companies and from real estate investor associations.
My local auction contact: Ahrens and Niemeier see www.a- nauctions.com, also see right side of
this site example auction homes I want to bid on.
Also see HUD discount homes at www.ilhud.com//dyn/IL/igate/ilhud/search.html
Also REO homes for sale www.buybankhomes.com

The homes may need minor repairs before selling. I have extensive experience in this field.
Selling the homes will be thru marketing on the internet, newspaper ads, flyers in local
establishments, sign in yard, word of mouth and through real estate agents. I have an office in my
home so overhead costs will be low.

                                 Financial projections overview

If flip only 12 houses during first1 st yr, with a profit ranging from $5K to $40K, and on average
$20K, I estimate 20 homes to generate low ball number $400,000 of gross profit.
                            Advertising and Overhead               20,000
                                   Year 1        My salary est 40,000
                    ----------------------------------------------------------
                  Estimated Profit 1st year $360K (may go up to $600,000)
Note there are only 7 months left in year 2009

                                       Investment Strategy

Buy-sell flips for profits most homes, Buy rent –lease with option to purchase on some homes
for later sale, creating rental profits and equity growth.



                                              Exit strategy
        I will work this business and manage properties until I am too old or sick to work, and
then I will sell everything and retire. Plan to buy back investor stock when profitable.
                                         The Business

I began to search for unique products and services which I would enjoy providing to consumers
and which would be profitable. This enjoyable career will drive me to success. My unique
training is the main key to my future success.

After extensive research, I purchased and studied 6 training methods of Buying Houses at deep
discounts

1. Tax lien properties from John Beck at www.JohnBeck.tv

2. How to buy and sell homes from Larry Goins at www.UltimateBuyingMachine.com

3. Short Sale Magic by Tom Butler at www.shortsalemagic.com

4. Short Sale Riches by Chris McLaughlin and Nathan Jurewicz at www.shortsalesriches.com

5. The Million Dollar Wholesale Finders Opportunity Report by Richard Payne
       (Email : rp_007@msn.com)

        6. Roop Doran http://www.roopdoran.com/custom/index.cfm?id=173171

With the economy in the shape it is in today, with major layoffs, companies are closing and
down sizing. It is an excellent time to start a business buying and selling tax lien, discounted,
wholesale, pre- foreclosed, HUD and REO foreclosed properties.

Finding these types of homes will be done thru the Public records, Internet databases online, and
newspaper ads in the home and apartment rental section of newspapers.

The homes may need minor repairs before selling. I have extensive experience in this.

Selling the homes will be thru marketing on the Internet newspaper ads or flyers in local
establishments. And word of mouth, and through real estate agents.

SFGI will help those in foreclosure to sell before the foreclosure is finished and this will save
their credit rating. This will also help the Banks avoid foreclosure.


                                  Unique Selling Proposition

Creating profits in this business only requires finding discount priced homes, remodeling them at
a discount and reselling at discount. The training courses I learned, taught me how to find many
homes fast at discount prices. Homes will be found through newspaper ads or public records or
internet records, and then I contact owners thru post cards, direct visit or telephone calls.

The USP is “I can buy your home fast in as little as a week for cash.”
Also, if it is a pre-foreclosure then “I can help save your credit rating by buying your home out
of foreclosure” or “Your credit will be ruined for 10 years with Foreclosure”.

In today’s competitive world, real estate is still an excellent investment.
SFGI will have reduced overhead by working from home based office. I already own required
furniture and office equipment, fax, phone van and truck and tools.

                                          Competition

There is competition in the market for buying homes, remodeling and resale in the local area.
These are usually private investors, not businesses. However I expect to exceed the competition
by joining real estate investing groups, expanding my contacts and referral business contacts, and
by using my unique training described herein thus exceeding the competition. I will buy the
homes they do not know of that are for sale, or I will buy other homes they do not buy.

Below is the list of the closest competitors located in Granite City, IL. Notice that most of my
local competition only does home remodeling or specialized work. Very few do it like I will.

Many of my competitors only remodel homes for the public and do not purchase their own to
remodel and resell. Those who do purchase homes do not buy remodel in bulk and resell or lease
with options to purchase.


       Real Estate Investors & Remodeling Companies in Granite City

                                          Sales       Employme nt
       Company Name                       Amount      Count
       Kit Gitchos                        $3,000,000 32
       Secure Home Improvements           $990,000    12
       Howard's Home Improvement          $460,000    3
       Love Home Improvement              $420,000    7
       Tnt Fence Co                       $400,000    4
       John Boushard Home Remodeling      $240,000    4
       S F Investments Ltd                $200,000    2
       Tim's Mobile Home Service          $98,000     2
       A A A Pressure Washing & Wood      $90,000     1
       Benhams Home Improvement           $90,000     1
       Winfield Brothers Remodeling       $90,000     1
       Gateway Cleaning & Restoration     $81,000     1
        Curre nt Companies, Products and Websites owned by Orville Stephens
          Enterprise Trucking LLC
           EIN: 20-447-2596
           Dunn and Bradstreet #: 82-858-1939

          Great Homes LLC
           EIN: 30-035-9281
           Dunn and Bradstreet #: 82-533-8200


   Other part time businesses worked between 2006 and 2009:
   Carpet dry cleaning and operating and advertising my websites owned at
    www.newwealthyworld.com
   Own and studied Real Estate notes course by Russ Dalbey at www.witcfb.com
   I can purchase and resell real estate notes cash flows at www.greathomesllc.net
   I own 7 business software programs to build custom website video audio presentations, email
    marketing and other advertising
   Own book and software: “How to start and promote any business”

                                             Future Products

   A whole new website will be designed to promote all my real estate
   Products and services including:
   Purchases, sales of homes
   Real Estate Notes at www.greathomesllc.net
   Home Remodeling
   Commercial investment property loans
   Buying groups of homes in foreclosure for Great Homes from Banks in bulk purchases
   Owner of excellent homes for lease options to sell (profitable)
   Purchases of large properties commercial or residential for lease or rental, for equity builders and
    tax write off properties
   Purchase vacant land for re-development as residential or commercial.

                                           Team Information
     In present time, SFGI is a business with one owner and future plans to hire 5 to 20 remodelers
                              and assistants to find houses to buy, and sell.


    Outside Management Support

           Dave Zigo Corporate Accountant / CPA 314-434-2769
           Frank Flanagan Corporate Attorney and Real Estate Attorney
           Mr. Flanagan also Owns Madison County Title Company for title searches and closing
           on purchase of property. Phone 618-656-6000 or 618-656-0400
           Mervin Evans, Financial Consultant 323-572-6340
           Real estate agent Gay Flood " Flood Realty Granite City Il. 618- 877-3600
Business Coach: Marketing Expert: Beverly White-Hopper 618-550-4487
Remodelers: Scott Mcgregor, 20 yrs experience 812-698-7868
            Dave H. 618-974-1418
MY Mother knows of my remodeling and carpentry skills
            Bernice Stephens 573-286-2799
Mentor Advisor Ron Edmond, Real Estate Groups using: Century 21, Prudential,
a-nauctions.com

       Ethical: Owner is a Christian raised in Penticostal church member of Free Masons
       Personal belief is all business should be win-win for all parties this builds long lasting
       relationships. All work should be quality, Remodel all homes as if I were to live in it.



                                          Education

Gundaker Realtor Licensed Real Estate Agent 1988
G.E.D. 1978 Clearfield Utah (Job Corp) Offered 3 scholarships due to high scores. Associate
Applied Science Degree Data Processing St. Louis Community College Dec. 1988 Graduate
average 3.5 with Honors and 3 Scholarships.
1988 to 1999 University Missouri St.Louis , and Webster University for 1.5 years more school.
Semi Tractor Driver Graduate of 2 Schools. 1979 and 2004
Dale Carnegie Institute Communication and Human Relations

                                        Membe rships

Russ Dalbey Institute (Real Estate Notes)
Woodbridge Club, Highland Club, Free Mason
Cambridge “Who's Who” at www.cambridgewhoswho.com

                                          Experience

1976-1985 Construction, I Owne d Mikes’ Remodeling (my Nickname) St. Louis Mo.
Worked for my uncle, “Jesse Stephens Construction”. And Collier New Homes St Charles
Mo 198x
1975 Jackson Welding School and welder St. Louis Ship yard, and ACF
1975-1976 Auto Mechanic, Cook, US Army Combat Engineer
1975 -1979 part time Driver of Dump truck, Cement Mixer Truck
1979 Semi Tractor Driver part time 1979-1981 Vending Machine service and Operations. 1980-
1984 part time Cable TV and Satellite TV installer,
2004-2005 Semi Driver Hogan Transport Earth City Missouri
2005-2009 opened and operates Enterprise Trucking and Great Homes LLC

                                    Computer Experience

1988 to 1989 Monsanto Agricultural, Computer network installer, Technician
 1989 to 1991 Custom Computer Builder Engineering firm SAES St. Louis,
1991 to 1999 Computer Network Systems Builder, Systems manager of up to 22 employees.
Worked for UMB Bank, US Army ATCOM Aviation Troop Command.
1999-2004 American Eagle Credit Union Information Systems Manager 4 years. Managed HP
3000 Mainframe, Windows PC network, 2 assistants.
2006-2009 designed and built www.newwealthyworld.com and purchased other websites and
linked all of them together.




                             Previous purchase, remodel, resell successes

4 years successful semi tractor owner operator, Enterprise Trucking LLC, with equity in the
business.
2003-2004 part time remodeled burnt home 5360 Gilson Ave St. Louis, purchased $47K sold
120K.
 2004-2005 remodeled mobile home at 3120 W. Chain of Rocks Rd. Lot 205 Granite City, Il.
Purchase $8K sold $20K.
2006-2007 Supervised construction of my new 5180 Old Alton Rd. home and single handedly
built my own large metal garage 30 ft x 32 ft 16 foot tall in 3 months on 4.1 acres in Granite
City Illinois And 2 wood sheds 8ft x 16ft and 12ft x 16ft. Build price $122,500 Appraised last
March          $175,000 see my current address.                              Photos available at www
stephensfinancialgroupinc.com.
Designed and built www.newwealthyworld.com
Excellent personal and business credit past 10 years
        ------------------------------------------------------------------------------------------------------------

                       Industry Information & Current Industry Conditions*

This industry covers establishments primarily engaged in closed-end investments in real estate or
related mortgage assets operating so that they could meet the requirements of the Real Estate
Investment Trust Act of 1960 as amended. Such trusts include mortgage investment trusts,
mortgage trusts, realty investment trusts, and realty trusts. This act exempts trusts from corporate
income and capital gains taxation, provided they invest primarily in specified assets, pay out
most of their income to shareholders, and meet certain requirements regarding the dispersion of
trust ownership.

During the first half of the 2000s, REITs rebounded significantly, particularly during 2003 and
2004. In 2004 REITs provided a return of over 30 percent, outpacing the stock market for the
fifth consecutive year. The industry was led by the retail sector, which posted a gain of over 40
percent on the year, followed by apartments and industrial properties with gains of 35 percent
and 34 percent, respectively.

Real estate was a booming market during the mid-2000s as demand increased and prices soared
in the residential sector. However, most REIT assets were in commercial property, and numerous
factors contributed to the rapid increase in their value. First, the industry dragged during the late
1990s, and by the beginning of the 2000s, many REITs were undervalued, leading to an upward
market adjustment. Second, the dot-com and telecommunications downfall of the late 1990s and
early 2000s pushed investors toward safer investments. "After the technology sector imploded,
investors turned to more stable asset classes," Alex Peters, a vice president with Franklin
Advisers of San Mateo, California, told Financial Planning in May 2005. "The focus shifted to
firms with real earnings and dividends. REITs were an obvious choice." Third, lower interest
rates reduced overhead costs as well as helped restore consumer confidence and spur the retail
sector.

After posting phenomenal results during 2004, some analysts anticipated a cool down, if not a
bust, in the REIT market as property prices soared and interest rates began to climb. During 2004
and 2005 the Federal Reserve raised interest rates incrementally (reaching 3 percent in May
2005) to combat inflation. June Kim noted in Business Week Online in March 2005 that "As
interest rates continue to rise and strength in the stock market persists, the stellar 30 percent-plus
returns that investors have been enjoying from real estate investment tr usts (REITs) the past few
years are starting to wither."

Despite warning that growth will slow during the second half of the 2000s, advisers still
predicted that particular sectors of the industry would remain relatively strong. The retail and
office segments were expected to continue to perform well, along with hotels and apartments.
Although some analyst forecasted a gloomy future for REITs with rising interest rates, others
believed that although growth would slow substantially, REITs will remain part of every well-
balanced investment portfolio.

       *Source: Encyclopedia of American Industries. 5th ed. Detroit: Gale, 2008.


                                          Target Market

       1. Sell discounted homes to other investors apx 5000 in 5 counties.
       2. Retail sale to the general public apx. 2 million local consumers
       3. My county and 3 adjoining counties. Apx. 2 million consumers

                                             Financials

How I will Earn Money

Working from home, is free of business rent and utilities. Using my current equipment fax,
phones, internet computers and advertising contacts, I would be able to buy and sell homes
quickly, invest into more advertising, news paper ads, flyers, business cards and have the time to
distribute them to real estate agents, bankers, lawyers, and other companies that meet frequent
customers, who are in need of selling their homes.

My estimated income from home sales will be between $400,000 to as much as $700,000 per
year. Est $20,000 x 20 to 50 homes per year
   Current income from other businesses
   Trucking $110,000 Gross
   Internet sales $1,000
   Carpet cleaning $1,000
   Rent a room in my home $5,400
   Career Goal: Easier work for my middle age, smarter work, less stress, lower overhead, and low
    risk, higher yearly income.
   Future increase in income from home sales, and remodeling profits


                                                 Assets

    Presently I have $7,000 in working capital in my bank accounts and $1K credit.
    I also own a 2004 GMC Sierra pickup truck and 1992 Chevy Minivan (like new)
    Over $22,000 equity in my land
    Over $20,000 equity in Enterprise Trucking LLC 2004 Mack Semi tractor
    Many of my personal bills are prepaid 3 weeks in advance.
    $10,000 owned in office equipment, furniture supplies, Software
    $10,000 carpentry, remodeling tools
    $30,000 prepaid expenses setting up all my internet websites and carpet cleaning.


                                          Personal Liabilities

    1st Mortgage $123,000 Taylor Witaker Bean, Bank of Edwardsville, IL.
    2nd Mortgage $ 23,000 Bank of Edwardsville, IL.
    Visa Card     $ 13,000 American Eagle Credit Union; used for Great Homes LLC
            $ 8,000 Line of credit American Eagle Credit Union
    Discover card $ 2,500
    WaMu Visa $ 2,600 Washington Mutual

    Business Liabilities:
    Enterprise Trucking: $38,000 2004 Mack Semi Bank of Edwardsville
                          $9,900 Line of credit Bank of Edwardsville
      “         “         $6,000 Visa card

    Great Homes LLC   $19,000 Visa card Bank of Edwardsville
                  $ 140 monthly internet website fees and Advertising


    Personal Monthly Estimate of all personal payments $2,500
    Business Monthly Estimate Enterprise trucking      $1,300 Truck, Insure, LOC bank
    Business Monthly Great homes LLC now               $ 140 , internet, Ads
Detailed documents of proof available upon request




                                 Conclusion: funding Details

I am stable, already successful with a career, and I have an excellent credit history and rating:
Usual score 730, But 2008 is 680 due to many credit checks to refinance home and applied for
other credit lines.
Cash on hand $7,000
Credit open $5,800

My monthly income goal is to exceed $20,000 per month with SFGI. This allows $3,000 per
month for debts, $17,500 for SFGI expenses and investment capital.
This is a very easy goal to reach. I am very careful with my money.

                                      funding Requested

To start the home purchase, remodeling and resale process, I have a present need of funds for
advertising, office supplies, fuel, misc expenses of $3,000 per month.
Later expenses after finding houses to buy is estimated $5K to $10K per home, remodeling
before selling, some holding costs and possible selling costs.
I am seeking $100,000 to begin purchasing homes and a total amount of $1 Million.

                                         Use of funds:
$2000: Advertising. Newspaper, post cards, internet ads
$40,000: purchase of 1st home to remodel.
$40,000: Working capital salaries and Repairs to homes.
Other funds to be used to purchase and remodel other homes and resell.
To be placed into SFGI checking account at Bank of Edwardsville.

Loan Terms Desired: If possible, interest only for 12 months then principal and interest and
term of 5 years. This would allow low monthly payments during my first year. And this would
allow enough cash flow for future growth.

Collateral: All homes purchased for remodeling will be collateral thru liens against assets owned
by Stephens Financial Group Inc.. Other collateral is office equipment and remodeling tools.
I currently have 1 million shares of 504D stock to sell in 2009.
For a 2 year Detail of Projected income and expenses see Excel Spreadsheet named
Business Plan Financials SFGI part I - III.xls
See website www.stephensfinancialgroupinc.com
For audio presentation see www.orvillestephens.info

								
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