1. The document summarizes a meeting for Company Name Store members to discuss the state of their industry and future opportunities. 2. It outlines challenges like nationals getting larger while manufacturers see less value in buying groups, eroding deals. 3. Projections show strong growth in markets like electronic components, data networking, and security. However, nationals are growing 5-10 times faster than independents.

1. Company Name Store
Member Meeting
Presenter • Location • Date

2. Why are we here?
State of our Industry How is your business? What is our future?

3. The Story
How and Why Company was Formed
BBBAAA
Two Distribution Companies - Two Industries

4. Nationals are getting larger
Manufacturers are not seeing the value of
a buying group
Deals are eroding and Manufacturers are
exiting the buying group

5. Electronic Components
Data Networking
Security

6. Background on the Industry
Electrical
Components
Industry
Data
Networking
Industry
Security
Industry

7. Market Size Projections
$1,400,000
$6,600,000
$15,700,000
$36,000,000
$56,000,000
$80,000,000
$120,000,000
$94,000,000
$6,600,000
$15,700,000
$36,000,000
$56,000,000
$80,000,000
$120,000,000
$94,000,000
$120,000,000
$0
$30,000,000
$60,000,000
$90,000,000
$120,000,000
$150,000,000
2014 2015 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E
Projections 1
Projections 2

8. Electronic Components5%+
20%
30%
Data Networking
Security
Summary
Industry
Nationals
Exaple
Independents
Example
Electronic Components
90-
95%
70-
80%
60-
70%
Data Networking
Security
Growth by Nationals at 5
to 10 times the rate of the
typical independent
The Big are Getting
Bigger

9. State of the Industry
Nationals and their
Performance
Member Performance
What are we going to do?
How do we change the Paradigm?
Let’s Recap
?

10. What Makes Us Unique?
What Makes the Independents Unique?
How do Distributors Survive through these times?

11. [ ]It’s been done before!

12. The Foodservice Industry

13. $15 Billion Industry
Top Distributors
Dominated the
Market Average
Independent
Distributor does
$4 Million in sales
Average Gross Margin:
2007 - 22%
2014 - 18%
The Foodservice Industry

14. Software: custom built in-house;
Constant race to keep up;
not scalable
What didn’t go well
[ ]ERP System: not built for enterprise growth, not
scalable
Over-Expended and tried to consolidate
independent distributors while running the core
business
Tried to double the business in under a year
without adequate funding

15. Focus
All Shared
Resources
Economies of Scales

16. Investment Timeline
2016 2017
Documents due
InvestmentDue
(65% of Total)
InvestmentDue
(35% of Total)
2018

17. Questions?

18. Investment Operating Agreement
Review

19. [ ]Right Idea
Right People
Right Environment
The Strength of the Collective makes
more money for everyone

20. Title
[ ]Element 1
Element 2
Element 3
Element 4

21. Slide
Title
Element 1 Element 2
Element 3 Element 4

22. Element 2
Element 3
Element 1
Element 4
Element 5
Slide
Title

23. Element 1
New Slides Title
[ ]
Element 2
Element 4Element 3

24. Timeline 3 elements
2010 2011
Stage 1 Stage 2
Stage 3
2012

25. Timeline 4 elements
2010 2011
Stage 1 Stage 2
Stage 3
2012
Stage 4
2013