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Emergency and Crucial Event Notification Systems Designer, Manufacturer, and Distributor Located in the Central US Region #62323 Sign NDA ► 2020 Revenue Est. $3,000,000 (36.7% growth over 2019) 2020 EBITDA Est. $820,000 (27.3% margins) 2020 Owners' Cash Flow Est. $1,120,000 (37.3% margins) (EBITDA + Shareholders' Compensation) DISCLAIMER: All information contained in this document has been provided by the subject company to Generational Equity and while believed to be correct has not been verified. Accordingly, Generational Equity makes no representations or warranties as to the accuracy and truthfulness of such information. The recipient hereof acknowledges that Generational Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Generational Equity of this document. At all times Generational Equity and its affiliate network members is an agent for the seller and not for the buyer. Generational Equity's fees are paid by the seller. Don Ho Managing Director, M&A Email: DHo@generational.com Mobile: 972-740-9439 Generational Equity 14241 Dallas Pkwy, Ste. 700 Dallas, TX 72541 Fax: 972-392-1124 BUSINESS HIGHLIGHTS The Company designs, manufactures, and distributes emergency and crucial event notification systems. The notification systems instantly transmit notifications across all networked devices through hand held radios, text messaging, and email for situations where seconds count. The Company's systems are designed to save lives. The system is highly flexible and can be used in nearly any facility type that requires notifications for emergencies, equipment breakdowns, etc. The majority of revenue is derived from system sales, while a consistent stream of annual revenue is derived from warranty work and system upgrades. The Company has historically provided systems to facilities including governmental, educational, healthcare, and correctional. The Company distributes the majority of systems directly to customers with a small portion being distributed to resellers. Systems have been installed in facilities across the United States. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 COMPANY STATS > Over 25 yrs of operations > S-Corporation > 9 FT Employees > 1,000+ Active Accounts > 4,012 sq ft HQ Facility > Nationwide Utilization > $2.7 Billion Industry Demand INVESTMENT APPEAL • Scalable Operation — The Company can easily scale its business model and absorb more customers if a sales and marketing arm is developed as most business is through organic growth and referrals. • Proprietary Software, Technology, and Trademarks — The Company has proprietary software, technology, and trademarks that are well known in the industry. The Company's products are self-contained and can be customized to meet the security and critical life-saving needs of its customer and utilization. • Strong Historical Sales Growth — Revenue increased at a compound annual growth rate of 12.4% in the most recent 3-year historical period. However, over the nine-year period from 2010 to 2018, revenue increased at a compound annual rate of 15.9% and an average rate of 21.2%. • High Margins; Strong EBITDA — Historically, the Company's EBITDA has achieved a high of 31% of sales. Going forward during the pro forma period, EBITDA margins is projected to grow from 32.2% to 35.8% in 2023. • Diversified Customer Base — The diversified customer base across multiple markets including both direct sales and sales through resellers helps ensure that the Company will not be significantly impacted by the loss of a single account. • Adaptive Technology — The Company's adaptive technology is designed for easy integration to existing security, CCTV, and building automation systems. GROWTH OPPORTUNITY > Fragmented Industry Consolidation > Service Expansion > Develop Sales & Marketing > Geographic Expansion Customer Market Mix