Sponsorship Information Packet - Joseph Knotts Racing

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					                              Table of Contents

Introduction to QMA and Quarter Midget Racing     3

Types of Racing                                   3

Benefits of QMA Racing for Kids                   3

Our Local Club — PQMRA                            4

About Knotts Family Racing                        4

Sponsorship Needs                                 4

Benefits of Being a Sponsor                       5

Marketing Strategy Options                        6

2011 Racing Schedule                              7

Demographic information                           8

QMA Racetrack Locations                           9

Contact Us to Sponsor Knotts Family Racing!       10

                         Introduction to QMA and Quarter Midget Racing

QMA stands for Quarter Midgets of America. It is a non-profit organization with more than 2,500 family memberships
and approximately 4,000 drivers. There are 13 regions in the organization and 50 quarter midget clubs nation wide.
Quarter midget racing is a family oriented sport that involves racing in cars specially designed for kids. These cars are
1/4 the size of a full-sized midget car. The cars are single cylinder and the motors, made by Honda, Briggs & Stratton,
Deco and others, produce between 2.5 and 4 horse power. These air-cooled 4-cycle engines can produce as much as
10,000 rpm’s in their more highly modified forms and average around 30mph. The drivers vary in age from five to 16
years old and race on oval tracks, both asphalt and dirt, approximately 1/20 of a mile long. Quarter midget racing was
started to develop sportsmanship in children while also providing a family oriented racing activity. In recognition of the
drivers, trophies are awarded at club, regional, state and national events. No cash prizes are awarded.

                                                  Types of Racing

Quarter midget racing is divided into 14 classes and divisions: Junior Novice, Senior Novice, Junior Honda, Senior
Honda, Heavy Honda, Junior Super-Stock, Senior Super-Stock, Heavy Super-Stock, Light Mod, Heavy Mod, Light B,
Heavy B, Light A and Heavy A. The racing season starts with novice training in March and ends by October. Quarter
midget club races occur on an almost weekly basis at one club or another during racing season and each club hosts one
Region race. There is also one State Championship race per region and three Grand National Events during the racing
season … two asphalt track races and one dirt track race.

                                     Benefits of QMA Racing for Kids

1. Quarter midget racing is not a “drop off your kid” kind of sport, but an involved family sport. Few other sports permit
   all members of the family to participate. The kids do the driving while other family members serve as pit crew, chief
   mechanics, scorers, timekeepers, judges and operators of concession stand or novelty booths.

2. It teaches the meaning of sportsmanship, fair play by following rules and how to be a good winner or a gracious

3. It develops coordination, focus, a sense of timing and independent thinking.

4. Quarter midget racing teaches self-reliance. Once the green flag has dropped, they are on their own.

5. The spirit of competition comes into play as the kids learn to drive hard but that rules must be observed. Rule infrac-
   tions may result in disqualification.

6. The children develop a knowledge and appreciation for mechanical devices.

7. It teaches safe driving skills that are carried on in their teen years on the road. Very few people develop the skill that
   these children acquire. We believe that this level of skill is valuable when they become adult drivers. They learn
   that there is a place to race an automobile—which is NOT on the public highway systems, where so many young
   adult drivers lose their lives.

8. It develops a sense of responsibility. Alertness and concern for the safety of others is acquired.

9.   Quarter midget racing gives drivers a sense of pride and accomplishment, confidence and a sense of “belonging to a
     group,” while also strengthening family bonds.

                                          Our Local Club — PQMRA

Our local club is PQMRA — Portland Quarter Midget Racing Association. This club is part of Region 9 and consists of
six clubs, servicing Oregon, Idaho and Washington and with one club in Langley, British Columbia, Canada. PQMRA
hosts races at Alpenrose Dairy’s quarter midget racetrack located in Portland, OR. This racetrack was built in the 1950’s
and has been home to PQMRA since the club began. The club is home to more than 25 families and more than 40 driv-
ers. While PQMRA is not the largest club, it is worthwhile to note our club can boast that our drivers take home more
wins at the region, state and national levels than most any club in the nation and has one of the best quarter midget track
facilities you will find anywhere. You can find out more about the PQMRA club at http://pqmra.wordpress.com.

                                        About Knotts Family Racing

Knotts Family Racing is based in Corbett, OR., and consists of two drivers, Joseph and Ciara Knotts, with mom and dad
serving as pit crew. Joseph Absalom Knotts was born 7/17/2002, in Gresham, OR. He started his racing career in 2009
at the age of six years old. His younger sister, Ciara Anne Knotts, just finished her novice training and plans to join him
on the racing circuit in 2011. Ciara Knotts was born 1/25/2005, in Gresham, OR. Not only are they involved in racing,
but they are also related to three other professional race car drivers ... Ricky Knotts, who raced in ASA and was also a
NASCAR Winston Cup driver; Jon Capps, who races NHRA alcohol and funny cars, does stunt work, notably in the film
Talladega Nights: The Ballad of Ricky Bobby, and teaches racing; and Ron Capps, who currently races the NAPA Funny
Car in NHRA and is a national top 10 driver.

Joseph is currently in his third year of quarter midget racing in the Portland Quarter Midget Racing Association club of
Region 9. He has won several heat races and consistently finishes in the top four in the Mains he attempts. Last year
he finished second in points for the year in Jr. Honda in the PQMRA club Points Challenge. Currently he is racing in the
Jr. Honda class and will change to Sr. Honda when he turns nine years old in July. His current racing ambition is to work
his way up to Legends racing and someday possibly become a NASCAR driver. When asked what he was most proud of
this year, he responded he was most proud of his first rollover crash, for which he received a rollover plaque, complete
with upside-down quarter midget car ornamentation, commemorating the event. Learn more about Joseph Knotts’ rac-
ing at http://www.josephknotts.com. His sister, Ciara, pending funding, will race in Jr. Novice class this season.

                                               Sponsorship Needs

Joseph is currently in need of both primary and associate sponsorship to ensure he can travel to the regional, state and
possibly national events this season. We are attempting to obtain a racing trailer by the time the 2011 season starts. He
is also in need of new safety equipment and a new racing suit, as he is a growing boy!

Ciara is in need of a race car, safety gear, a racing suit, helmet and gloves. She is just starting out but is already show-
ing a desire to get on the track and go! She has completed her training and done some practice laps on the track al-
ready. Now she just needs to get going in her first year of racing. Novice drivers do not receive points but they do re-
ceive trophies and lots of encouragement in every race.

Also necessary are race tires and various parts and tools. Racing is not an inexpensive sport and it all takes funding to
make a fun and exciting racing season for driver and spectator alike. If you are not able to be a primary or associate
sponsor this season, please consider what other sponsorship you would be willing to provide to make the season fun
and exciting. This could be pre-paid meals for on the road, gift certificates for car parts or hotel stays, providing actual
car parts, providing a service such as car painting, flyer printing, photography or videography, or whatever else you can
think of to help Joseph and Ciara have an enjoyable and memorable season racing. Please feel free to contact us to
discuss any sponsorship you may be able to offer.

                                         Benefits of Being a Sponsor

1. Marketing through motorsports sponsorship reaches a large group of people in our community. Sponsoring quarter
   midget race car driving for kids provides a unique opportunity to show the community your company cares about
   children, the community and the people you service.

2. It provides name and brand recognition not only in your home city, but across the nation at the national level of rac-
   ing. Exposure is far reaching and presents a great company image.

3. Joseph and Ciara are both outgoing, fun and caring children and can build positive advertising impressions for their
   sponsors with this “out of the box” opportunity to generate increased revenue through accessing market segments
   represented by the motorsports industry. Through Knotts Family Racing, you can build an image, increase company
   morale or provide hospitality to key customers in a unique and interesting way!

4. Motorsports racing has the ability to capture the imagination of about 30 percent of any general population cross
   section. In popularity, if far outweighs football and baseball, pulling in the low 20th percentile, or tennis or golf, pulling
   in the high single digits. If you haven’t played football basketball or baseball seriously at some stage in your life,
   there is little follow-up later. This cuts out a huge sector of the population. Golf and tennis are generally solitary pur-
   suits that by definition exclude family. This is not true of motorsports. First, because most adults drive, they can
   relate to racing. Second, the whole family can be included in any promotion of sponsorship or entertaining. Here,
   the customer is taken into the “locker room” of racing. This doesn’t happen at the Super Bowl or the Masters!

5. Sponsorship of a quarter midget racing team is far more inexpensive than sponsoring higher levels of motorsports
   but still reaches the same type of demographics. Marketing through motorsports had questionable value 20 years
   ago. Today, there is no question. The largest, most successful corporations in the country know the value and use
   various forms of motorsports to reach key target markets. Fortune 500 companies are paying $10-30 million per
   year to sponsor racing teams, plus millions more for promotion and hospitality efforts. Quarter midget racing for kids
   allows your company to advertise through motorsports for the tiniest fraction of that amount.

To summarize, today, motorsports is the fastest growing spectator sport. When you participate in the nation’s most
popular spectator sport, you can impact your marketplace locally to nationally, and even internationally, while making
lasting impressions upon consumers and trade partners alike. Through quarter midget racing sponsorship, you can:

    Access new markets and customers

    Create new partnerships with other sponsors

    Enhance branding and image

    Strengthen relationships with customers and employees

    Showcase products and services

In today’s tough business world, it is tough and critical to stand apart from
your competitors … and tough to achieve. Most companies find themselves
competing for customers, for the best employees and for the deepest deals
from vendors and contractors. Every company is working hard to stand out …
to be different in a positive way. Quarter midget motorsports sponsorship and
promotions can be just the ticket your company needs to better build and en-
                                                                                           Joseph with his first win
hance relationships with key people and companies … in a rather unique and
exciting way!

                                       Marketing Strategy Options

Knotts Family Racing can provide person-to-person on-site race event marketing and VIP hospitality through:

   Person-to-person sample distribution

   Person-to-person coupon distribution

   Person-to-person product or service information distribution

   Staffed tent exhibits with spectator focused product displays

   Spokesperson / promotions person program

   Race car and/or trailer on display at your company events or
   retail location events

   Meet and greet driver autograph sessions
                                                                            Joseph Signing Autographs
   Hospitality at events and track tours for employee and pro-
   spective customer/client entertainment                                Bi-Mart Salute to the troops 125

   As a primary or associate sponsor you can obtain race vehi-
   cle signage on Joseph’s car and/or racing trailer signage

   As a primary or associate sponsor you can also obtain driver uniform signage and team crew signage on apparel

   Obtain website visibility through a sponsor weblink on Joseph’s biography page on the PQMRA website at

   Obtain a sponsor weblink through Joseph’s website at http://www.josephknotts.com

 Contact us to schedule a meeting or phone conference and see if we can make quarter midget sponsorship of Knotts
                              Family Racing a part of your company’s marketing team!

             Signing Autographs                   Joseph and His Car          Joseph and Ciara at PQMRA Booth

                                            2011 Racing Schedule

The racing schedule for the 2011 season will not be posted until the end of January at the earliest. However, to give you
some idea of how the schedule would be, here is what the schedule was for the 2010 season. This season will be very
similar. We CAN tell you though, that the Western Grands for 2011 is being hosted by the WQMA club in Monroe, WA.
This list only shows the PQMRA club races, the Region 9 races, the States race and the National Event races. It does
not include other club races. Drivers are always welcome to race other club races as well and we plan to participate in a
number of those races this year (we participated in a number of Little Wheels club races in Washington last year).

    April 17—PQMRA Club Race 1

    April 18—PQMRA Club Race 2

    April 23-25—Yakima Racing Rascals Region Race

    May 8—PQMRA Club Race 3

    May 9—PQMRA Club Race 4

    May 14-16—Little Wheels States Race

    May 28-30 Langley, BC, Canada, Region

    June 5—PQMRA Club Race 5

    June 6—PQMRA Club Race 6

    June 11-13—WQMA Region Race

    July 3—Eastern Grands

    July 10—PQMRA Club Race 7
                                                                      Alpenrose Dairy Racetrack
    July 23-July 31—Western Grands

    August 6-14—Dirt Grands

    August 20-22—Little Wheels Region Race

    August 28—Alpenrose 100—(Special Night Qualifier Race)

    September 3-5—I-5 Club Region Race

    September 11-12—PQMRA Work Party

    September 17-19—PQMRA Region Race

    October 23—PQMRA Rain Day Make-Up Race

                                         Demographic information

The race fan’s average age range is in the mid-thirties and they are college educated with annual incomes greater than
$45K. They are brand loyal, tech-savvy and adapt to new and emerging technologies. They also lead active lifestyles
and are auto enthusiasts. Below is a breakdown from USAC racing which is very similar to the breakdown you would
find for QMA racing.


   Male—63%; Female—37%


   13-25: 18%

   26-32: 22%

   25-44: 32%

   45+: 28%

   Marital Status

   Married: 62%; Single: 38%

   Average Household Income

   Under $45K: 23%

   $45K—$75K: 34%

   Over $75K: 43%


   Post Grad: 9%

   College Grad: 27%

   Some College: 38%

   No College: 26%


   Own Home: 85%; Rent: 15%

   Other facts:

   25% shopped for hardware in the last year

   76% purchased casual wear in the past year

   84% used a credit card in the last 90 days

   52% own a high profile vehicle or SUV

   68% own a notebook computer

                                       QMA Racetrack Locations

Quarter midget racing takes place across the country. Here is a map of locations across the country. Joseph and Ciara
would be traveling to the East Coast to race in the Eastern Grands provided we have enough sponsorship.

                           Contact Us to Sponsor Knotts Family Racing!

If you’ve made it this far in your reading of this packet you are probably a racing fan and up to the task of being a spon-
sor for Knotts Family Racing! We welcome you to be a part of this wonderful sport for kids and promote good fun not
only for Joseph and Ciara but for the spectators and other drivers as well. Please contact us to set up a sponsorship
package to suit your needs or to just donate to the cause of quarter midget racing for kids! It’s all fun!

                                                   Contact Information:

                                                Barbara and Brian Knotts
                                                     P.O. Box 336
                                                  Corbett, OR 97019

                                                    Joseph with his car