PRIVATE INVESTOR OPPORTUNITY
Windsor Security Limited (WSL)
Windsor Security, in operation since 1988, is a “Full Service” security provider. Specializing in security systems, service and ULC approved monitoring, security guards, Accredited Security Industry Training Academy, and Private Investigation. We are Licensed through the provincial government, Security Programs Division of the Ministry of Public Safety and Solicitor General.
WSL provides our clients access to a powerful computer network for managing their accounts and a WEB based ‘estore’ for direct purchasing and security budget planning for the general public in the North American and International market place.
STRONG ENTREPRENEURIAL MANAGEMENT
Led by its founder and owner Andrew S. Mroz, a 24-year veteran in the Corporate Security Industry with executive postings in Toronto and Vancouver, WSL’s management is composed of strong and dynamic security operatives that are leaders in their own respective fields of specializations.
THE CANADIAN SECURITY INDUSTRY
From 1992 to 2001 the Private Security Industry has grown 69 percent. This represents five times the growth of any other Canadian Industry.
British Columbia recorded the fastest increase in Security employment at 141 per cent followed by Ontario at 74 per cent.
The Industry has experienced phenomenal growth with estimated conservative revenues of $4 Billion dollars. The market is highly fragmented with no company having more than 10% of the market.
INTERNATIONAL SECURITY INDUSTRY
After growing nearly 7 percent per year from 1996 to 2001, the global security industry is expected to grow at a rate of approximately 8.5 percent annually over the next few years, reaching more than $180 billion in revenue by 2006, according to the Freedonia Group.
Michael Pohlen, Vice President of U.S. Bancorp Piper Jaffray's Middle Market Mergers and Acquisitions (M&A) group, believes growth in the security industry is broadly driven by three factors: crime, terrorism and other security threats, economic growth, and improvements in security technology.
Pohlen says fragmentation in the marketplace will result in further industry consolidation as consolidators seek to broaden both their customer bases and their product/service offerings, as well as build scale. In addition, he believes the attractive characteristics of the security industry will also bring heightened awareness from the private equity community as these groups seek to put capital to work for their investors in high growth opportunities.
"Private equity firms have begun to seek acquisitions in the security industry," Pohlen says.
"They are attracted to the strong cash flow characteristics, large market size, additional consolidation opportunities and growth prospects associated with the industry.”
THE INVESTMENT
A time limited, new equity financing of 250 thousand dollars for 2005. Investors will be offered a minimum subscription amount of 50 thousand dollars each. Returns to investors during the first 3 years are fixed at 15% per annum, payable on a monthly schedule. After three years when investors have fully evaluated the company’s performance, they have the option of extending their offering for an additional 2 year term or cashing out with their original investment total.
REOCCURRING MONTHLY REVENUE (RMR)
Typically WSL enters into a multi year monitoring and service agreements with its customers, establishing long term relationships. RMR is revenue that the company is entitled to receive under monitoring, extended warranty agreements and guard response, patrol and on-site hourly security contracts. RMR enhances the understanding of the company’s financial condition, results of operations, and cash flows because it provides a measurement of the company’s revenue that can be used to derive estimated annual revenues for the fiscal year of operation.
WHY INVEST WITH WINDSOR SECURITY
WSL is a very attractive investment for those wishing to diversify out of the volatile stock market and/or get a better return than offered by the bond market. We are immune to factors that influence financial markets and recessions.
THE FUTURE WITH WINDSOR SECURITY
WSL strategy is to continue to aggressively build on our successful business plan to dominate the Security Market needs in Vancouver. The development of our WEB ‘estore’ with specialized prepackaged equipment will offer the market place greater control and choices in the application of complex security systems and concepts. The local Security Industry requirement in Vancouver is growing and we are preparing for the upcoming building boom. Vancouver will be hosting the 2010 Olympics and the exciting growth and recognition of Full Service Security, with only a few competitors in this area of specialization and integration, will benefit us greatly. Based on our continued success and future investor support WSL is now ready to begin our Phase 2 planning for a future acquisition in the Toronto market.
