delta gold, llc seed capital funding campaign june 24, 2014 - july 11, 2014

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Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

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Page 1: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Delta Gold, LLCSEED CAPITAL FUNDING CAMPAIGN

JUNE 24, 2014 - JULY 11, 2014

Page 2: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Short Summary Lawrence JamesJohnson ("Larry"), born 1953, is President of Delta Gold, LLC - a Baltimore,

Maryland physical commodities trading firm focused on importing semi-refined gold bars into the US. Delta Gold, LLC ("DGLLC") helps small, independent artisanal gold miners in Africa export their gold production, and thereby keep a larger portion of the value of their gold, by financing the exporters' upfront export costs in gold Sale & Purchase Transactions.

Formerly: A Licensed Life & Health Insurance Agent; A Registered Licensed Securities Representative (Series 7) with several OTC market investment firms; A Licensed Estate Planning Advisor with Henry Abts' "The Estate Plan" Company; A Licensed Mortgage Banker in Pennsylvania and Maryland, and, since 2009, an independent Physical Commodities Trading Consultant, Larry holds a BS (Hons.) degree in Electrical Engineering (University of Ife), and an MBA (Finance) from The Wharton School, University of Pennsylvania.

Incorporated in Maryland April 2014, Delta Gold, LLC has since signed contracts with two rigorously qualified gold exporters/sellers in SIERRA LEONE, WEST AFRICA, to finance their costs to export over 250 kg of semi refined gold bars to the United States, at an average gross profit margin to Delta Gold of nearly $12,000 per kilogram. The Company seeks $50,000 in working capital to begin fulfilling these two existing contracts.

DGLLC will import the gold as hand luggage carried by its President Lawrence JamesJohnson, in the course of making 10-15 round trips to Freetown, Sierra Leone during the next 60-90 days after close of this funding campaign. The Company projects total revenues from satisfying existing contracts of about $3 million.

Contributors to DGLLC's $50,000 Seed Capital Funding Campaign will therefore enable the Company harvest about $3 million in gross revenues within 90 days, and these Contributors will be rewarded with attractive "Perks" as detailed subsequently in this presentation.

Page 3: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

What we need & Why?Delta Gold, LLC seeks $50,000 in working capital to finance its first gold-purchase trip to Sierra Leone. About $10,000 of the funds will used for pre-trip and trip expenses as detailed next. The balance of the funds (after about 9% fund-raising campaign expenses) will be used to finance the Seller/Exporter's export costs projected at about $1,500 per kilogram of gold. So the $50,000 seed capital should be sufficient to finance the export costs of about 20 kilos of gold in the first gold-purchase trip.

The amount of export costs the Company finances for Sellers will be treated as a short-term, interest-free loan to the seller to be deducted from their sales proceeds after final assay of the gold in New York, USA.

Delta Gold, LLC's "Export Costs Financing Contract" with sellers requires the seller to put up a small portion of the gold to be exported as collateral for the loan amount we finance for them. This "collateral gold" will be kept in a separate box under the Company's control, prior to export to the USA. On arrival in our New York gold refinery, the collateral gold will be combined with the rest of the shipment.

The Company will be completely self-financing after its first trip to Sierra Leone.

Page 4: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Detailed Use of Funds Funding Campaign Contributions $ 50,000

Less: 9% Platform discount to Indiegogo.com 4,500

Amount available to DGLLC $45,500

PRE-TRIP EXPENSES

250 Business Cards 40

Corporate Seal 80

Tropical health Kit 100

Sierra Leone Visa (3-year entry) 280

1, Corporate Cell phone 300

3, Non-lethal, Shock-tec self defense Tasers 300

2, Manhattan Gold Refinery Visits 300

2, High security steel briefcases (with tether cables) 600

Sierra Leone Gold Dealer's License 1,000

1, X-Ray Fluorescence Analyzer (Buy, rent or Lease) 3,500

TOTAL PRE-TRIP EXPENSES 6,500

TRIP EXPENSES

Cost of hiring 2 Security Guard, 8 hours per day, for 5 days 300

Hotel expenses, (5 days), Local Travel & Miscellaneous costs 1,300

Return Air Fare to Freetown 1,900

TOTAL TRIP EXPENSES 3,500

EXPORT COSTS FINANCING FOR UP TO 20 KG OF GOLD @ ABOUT $1,500 PER KG 30,000

RESERVE FOR THE UNEXPECTED 5,500

Page 5: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

What You Get

Contributor Perk 1: $62 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $50.

Contributor Perk 2: $125 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $100.

Contributor Perk 3: $250 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $200.

Contributor Perk 4: $375 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $300.

Contributor Perk 5: $500 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $400.

Contributor Perk 6: $625 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $500.

Contributor Perk 7: $1,250 Store Gift Certificate from Macy's, etc., given to any Contributor for directly contributing $1,000.

THE ESTIMATED DELIVERY DATE FOR ALL PERKS IS AUGUST 22, 2014

Page 6: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Additional Bonus Perks

THE "EARLY BIRD" PERK

In addition to their "Contributor Perk", a $70 value Store Gift Certificate from Macy's, etc., will be issued to each of the first 100 Contributors, for every $100 of their direct contribution to this Funding Campaign.

EXAMPLE PERK CALCULATION:

If, for example, you contribute $400 to this Funding Campaign, you will receive a Contributor Perk = $500 Macy's Gift certificate, PLUS, if you are one of the first 100 contributors, you will also receive Four (4) Early Bird Perks of $70 value each = $280 value Macy's Gift Certificate, for a Total Macy's Gift Certificate Value of $500 + $280 = $780 to you.

Page 7: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

What happens if we fall short of the $50,000 campaign Goal?

If Delta Gold, LLC does not reach our $50,000 Funding campaign goal, the Company will simply reduce the quantiy of semi-refined gold bars whose export costs it will finance during its first purchase trip to Sierra Leone. Thus:

$50,000 in contributions can finance export costs for 20 kg of semi-refined gold bars

$40,000 in contributions can finance export costs for 15 kg of semi-refined gold bars

$30,000 in contributions can finance export costs for 10 kg of semi-refined gold bars

$20,000 in contributions can finance export costs for 5-8 kg of semi-refined gold bars

$15,000 in contributions can finance export costs for 1-2 kg of semi-refined gold bars

Below $15,000 in Total contributions, Delta Gold, LLC will employ the funds contributed during this Campaign as subordinated "Equity Capital" to to obtain bank loans or attract a different class of investment, and we will go forward to fulfill ALL the promises made to Contributors in this campaign.

Page 8: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

The Impact - What difference will your contribution make?

FIRST: Your contribution will put more money directly into the pockets of thousands of small scale miners in Africa - men, women, and yes children - who are now forced to sell their hard-earned gold production at pennies on the dollar into their local markets, because they have no other choice. For many of these poverty-stricken African miners, YOUR CONTRIBUTION to Delta Gold, LLC will mean life-saving extra income for them, by enabling them cut out their middlemen and export their gold directly to global markets.

SECOND: We will pay your contribution forward. The management of Delta Gold, LLC hereby pledges to its Contributors that the Company will contribute to other entrepreneurs, through the indiegogo.com crowd funding platform, an amount equal to the total amount contributed to us during this Seed Capital Funding Campaign, subject to a Total contribution limit by Delta Gold, LLC of $50,000. We will continue to update all our contributors about our actions to make good on this pledge, till the pledge is kept.

Page 9: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

To whom will we sell the gold we import?

Delta Gold, LLC plans to sell its gold exclusively to the licensed gold refinery in Manhattan, New York, utilized by the Company to perform a fire assay of the gold bars we import. This sales strategy locks in a sales cost to the Company = 1% of the prevailing London Bullion Marketing Association ("LBMA") pricing, but provides significant benefits to Delta Gold, LLC including the following:

Zero inventory carrying costs (for storage fees, insurance premiums, and finance charges) after assay but before re-sell to end-buyers.

Zero risk of loss in transit from refinery to end-buyers after final assay.

Zero marketing costs for additional sales staff.

Having a guaranteed buyer eliminates marketing uncertainty.

Sale pricing certainty (at LBMA minus 1%) enables accurate financial planning.

Improved cash flow from no-credit sales (since the refinery we utilize will wire our money direct to the Company's bank account within 24 hours of final assay in New York).

Page 10: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Business Strategy & Competitive Advantage

Since importers essentially have a guaranteed market for gold bullion, the gold import business is driven chiefly by supply considerations.

Delta Gold, LLC's business strategy and competitive advantage is to attract small, independent artisanal gold miners in selected African gold producing countries by financing the sellers' export costs in exchange for separate collateral gold. We do not wait for the gold to be brought to us, as do many of our competitors. We go and grab it and use export financing as the knife to slice out a piece of the cake.

Page 11: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Risks & Challenges

The Company faces three main risks inherent in our gold import business strategy:

(Risk 1) The risk that we buy something that is not gold or that is merely gold plated iron, (Risk 2) The risk that the seller/exporter reneges on the contract at the last minute after we have paid their export costs, and (Risk 3) the risk of physical violence/theft in African gold producing countries during gold purchase trips.

Risk 1 will be managed by utilizing a portable X-Ray Fluoresence Analyzer in the field to eliminate buying any fraudulent product.

Risk 2 will be managed by requiring the seller/exporter to provide separately contained collateral gold, under the company's physical control, before paying the export taxes and other export costs on behalf of the seller.

Risk 3 will be managed by hiring 2 security guards in Africa full time to guard our front and back and arm the guards with powerful but non-lethal self-defense tasers. Several additional security measures will be undertaken to deter criminals.

Page 12: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

Financial Summary

Delta Gold, LLC plans on making 10-15 gold purchase trips to African source countries during the first 90 days after close of this campaign, and bring back about 250 kg of semi-refined gold to New York, USA, in that time frame.

The gross profit margin after assay in New York is projected at about $12,000 per kg, resulting in gross income of about $3,000,000 dollars to the Company before General & Administrative Expenses.

The projected results are more than adequate to enable the Company fulfill ALL its promises to all Contributors to this funding campaign.

Page 13: Delta Gold, LLC SEED CAPITAL FUNDING CAMPAIGN JUNE 24, 2014 - JULY 11, 2014

The End

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