Nutrition Capital Network LOHAS Venture Forum

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Nutrition Capital Network LOHAS Venture Forum

• June 17, 2009
• Boulder, CO

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Our Mission

• The mission of Nutrition Capital Network (NCN) is
  to
• Facilitate the financing process for small
  companies
• Introduce investors to the next generation of
  successful brands in the nutrition, health,
  wellness, natural/organic and green product
  industries.
• NCN will accomplish this mission by
• Creating a series of events and virtual tools to
  connect companies and investors (e.g. Expo
  Seminars and Webinars)
• Facilitating capital flow for the betterment of
  business and society at large.

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The Batting Order
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Where is the Money?

• Private Equity Funds
• Institution Backed
• Corporate Limited Partners
• Corporate Venture Groups and Direct Investments
• Family Offices
• Angels
• Industry Veterans
• Regional Groups
• Friends Family
• Debt Banks and Privately Managed
• Other Sources hedge funds, SPACs, International,
  etc.

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How do you get the Money?

• NCN uses the following criteria to decide whether
  to invite companies to meet our investors we
  believe that similar criteria would be used by
  any experienced investor to screen business
  ventures
• Uniqueness
• Point of differentiation
• New for investors
• Insulation
• Protectability of product or service
• Economic Potential
• Size and growth rate value creating milestones
  exit strategy
• The Team
• Feasibility and high probability of successful
  implementation
• Stellar team with track record or clear pathway
  to that team
• Intangibles
• The WOW factor
• Unique criteria that apply to the NCN space (e.g.
  LOHAS vs. other industry)

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Survey CommentsHas the meltdown impacted the
type of companies that you would look to finance?
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Survey CommentsSome Key things the Obama
Administration and the new Congress can do to
stimulate growth in health wellness
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MA Climate

• An Expectation Gulf is developing
• Buyers see this as a time to acquire bargains
• Sellers with sound businesses will question
  selling during a down economy
• Result More Buyers than Sellers
• Result Sellers merging to shore up financial
  strength, rather than selling to acquirers
• Result Private Equity extending their holding
  period focusing on improving their holdings
  financial performance
• Result Strategic acquirers will look to buy
  productivity, lower cost initiatives, synergistic
  and niche firms

Source J.H. Chapman Group Health Nutrition
Industry 2008 Census