FOMANA Capital

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FOMANA Capital
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THE FEDERATION OF MAORI AUTHORITIES WOULD LIKE TO
PRESENT

• A new venture specifically designed to provide
  commercial services, financial products, capital
  management and business systems, including
  governance and management
• FOMANA Capital

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An extensive and detailed review was undertaken
to assess FoMA

• Risks and capacity.
• Current business model viability.
• Strengths, weaknesses, threats and opportunities.
• Changing business environment.
• Sustainability and revenue.
• Strategic direction.

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Review Findings

• Issues
• Maintaining relevance to members.
• Not economically viable.
• Serious capacity and key people risk.
• Need for tailored commercial services to support
  major Maori economic advancement.

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Future Direction

• FoMA to occupy a commercial and market position
  or watch others occupy it.
• FoMA to collaborate with other Maori
  professionals to deliver top quality commercial
  and merchant services.
• FOMANA Capital.

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FoMA Executive Principles

• Enhance Me Uru Kahikatea.
• The major shareholder of FOMANA Capital should be
  FoMA.
• FoMA to make shareholdings available to FoMA
  members.
• Potential for FoMA members to be service
  providers.
• FOMANA Capital services to be specifically
  designed to meet the commercial growth and
  development needs of collective Maori
  organisations.

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FOMANA Capital Strategic Approach

• Build value from the strength of the FoMA brand.
• By
• Providing a range of key services to FoMA members
  to enhance economic advancement.
• Creating the environment for commercial
  collaboration of FoMA members, both internally
  and externally.
• Develop a competitive merchant and capital
  company by 2011.

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FOMANA Capital Points of Difference

• Established by parties with intimate
  understanding of Maori business.
• Understands the Maori customer kaupapa.
• Knows this market better than mainstream.
• Maori owned Maori aspiration.
• Strong network and collaboration.

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FOMANA Capital Business Model

• The business model should
• Bring a highly motivated and experienced
  professional team together.
• Combine business and commercial innovation.
• Organisation be nimble and clever.
• Avoid bureaucracy.
• Visible and different.
• Performance Incentives.

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Implementation Two-phase plan

• Phase-one ascertaining the types of services
  FOMANA Capital should provide and acquire
  (research-questionnaire).
• Phase-two requires formalising and establishing
  FOMANA Capital, take into account feedback.

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Phase One Services

• FOMANA Capital
• Governance and Management Services.
• Communication and Information Services.
• Business Venturing and Negotiation Services.
• Investment Capital and Brokerage Services.

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Governance and Management Services

• Governance Advice.
• Independent Directors.
• Governance Systems.
• Management Services.
• Project Management Service.
• Management Systems.
• Mentoring, Recruiting, Coaching, Succession and
  Training
• Policies and Systems.

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Communication and Information Services

• Web Hosting and Support.
• Technology Networks.
• Database Management and Systems.
• Public Relations.
• Media Advice.
• Analytical.
• Risk Management.
• Due Diligence.
• Communication Planning.
• Systems and Policies.

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Business Venturing

• Strategic and Business.
• Business Brokerage.
• Planning.
• Marketing.
• Branding.
• Distribution Channels.
• Competitive Intelligence.
• Analysis.
• Negotiation Advice and Services.
• Business Models.
• Organisational Infrastructure.

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Investment Capital and Brokerage Services

• Investment Advice.
• Investment Portfolio Products.
• Risk Profiling.
• Investment Diversification.
• Investment Management.
• NZX Stock Exchange.
• Investment Brokerage.
• Access to Capital.

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Initial Questionnaire Results
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Initial Questionnaire Results
Would you purchase services From FOMANA Capital
Ltd
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Phase Two Formalisation of FOMANA Capital

• From feedback the Executive Team will
• Commence developing the company constitution.
• Shareholder agreement.
• Arranging services to be provided.
• Engage a competent team.
• The Executive Team anticipates FOMANA Capital
  will be launched in early/mid 2006.

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Financial Focus

• Set financial targets.
• Aim to have 400k of contracts prior to
  establishment.
• Revenue target of 3 million by fifth year.
• Look to raise 500k in share capital in 2006.

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FOMANA Capital Proposed Ownership Structure

FOMA Major Shareholder
FOMANA Capital
Holding Company
FOMA Members Shareholding
Principals and Management
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FOMANA Capital Proposed Operational Structure
Shareholders
FOMANA Capital Board (5) FOMA 2 - Independent 1 -
Members 1- Principals 1
Contract Arrangements FoMA and Service Providers
FOMANA Capital Principals (4/6) Management
Portfolio Governance and Management Consultancy
Portfolio Business Venturing
Portfolio Investment Capital and Brokerage
Services
Portfolio Communication and Information Services
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Summary FOMANA Capital

• Exciting venture.
• FOMANA Capital is to be launched in 2006.
• A five year programme for a commercial and
  merchant venture to catalyse Maori economic
  advancement.
• Offers members
• possible equity interest
• specially designed services
• business brokerage
• points of difference.

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FEDERATION OF MAORI AUTHORITIES WOULD LIKE TO
SUMMARISE

• FOMANA Capital is a new venture
• Tailored commercial services to support major
  Maori economic advancement.
• FoMA to occupy a commercial and market position
  or watch others occupy it.
• FoMA to collaborate with other Maori
  professionals to deliver top quality commercial
  and merchant services.

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Feedback FOMANA Capital

• FoMA Executive now seek further feedback on this
  proposal by 20 November 2005.
• Send to (attention Wayne Mulligan)
• FoMA office or
• website www.foma.co.nz or
• E-mail wayne.mulligan_at_clear.net.nz or
• Further detail to be provided in early 2006 for
  those who are interested in FOMANA Capital

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FOMANA Capital

• INNATIVE