- 1st Place FBLA Business Plan competition for Washington State in 2013 - Qualified for Nationals but did not compete

1. Jerry Sun | Osman Salahuddin | Dylan Steele
International Community School
Washington State
Business Plan
2012-2013

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Table of Contents
Executive Summary………………………………….….. 2
Company Description..…………………………….…...3
Industry Analysis……….……………………….…….…..5
Target Market…………………………………….…….…..7
Competition Analysis..……………………….……….…9
Marketing Plan and Sales Strategy…….….……..12
Operations…………………………………………………..15
Management and Organization………….………..18
Long-Term Development…………………….…......20
Financials…………………………………………….……...22
Appendix.………………………………………….….…....26

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Executive Summary
Locatr Technologies Inc. is an innovative start-up company in the emerging industry of Object Tracking
Devices, a field that respected industry analysts such as Ovum and ABI Research predict will become a
$22 billion market within the next five years.
Locatr will develop and distribute miniaturized Object Tracking Devices that will track and locate lost
items and prevent the theft of personal belongings. The manufacturing of our devices will be
subcontracted, although we plan to maintain a close relationship with our producers in future years in
order to decrease manufacturing costs with increased bulk purchases and decreased tech costs. Unlike
our competitors, Locatr prides ourselves in developing the most advanced, yet inexpensive products we
can through constant improvement and scrupulous attention to detail in business procedures and
financial decisions. With our innovative long-distance, low power 3G network capabilities integrated into
our dual fob and sticker tag system, Locatr's phone and web application will be able to track up to 30
different tags that benefits a growing globally-connected population.
Our primary target markets include, but are not limited to, the active elderly, young urban professionals,
and travelers. We predict our systems will appeal strongly to market segmentations who wish to
protect their valuable devices, whether it is a wallet, car keys, or important documents, with a high-
tech, object-oriented insurance policy. The combined number of potential customers for our products is
well over 100,000,000 in the United States alone, but we will focus on a more realistic and attainable
three-year sales goal of roughly unique 50,000 users worldwide. This will generate thousands of dollars
in profits and fuel future research and development products to continually improve upon our systems.
Through targeted surveys to potential customers, Locatr has already received confirmation of our
business model as viable and profitable, and our business plan shows promise for market share growth.
Locatr Technologies Inc. will promote its product through carefully placed advertisements. Social media
represents the largest advertising platform in the 21st century, followed by retail websites, such as
Amazon and Best Buy, because of their user engagement and existing market penetration into our
target demographics. We will also be conducting professional marketing campaigns at assisted living
homes to target the valuable older generations. Finally, Locatr will sell our product prior to releasing our
products in order to create hype, increase sales and maximize profit during the holiday shopping season.
An unfulfilled and growing market, combined with an unmet need, have created tremendous consumer
traction of our company. Careful market research has demonstrated an 84% positive response by
sampling our primary and secondary target markets (see appendix page 26). Through these surveys, we
have discovered that 95.7% of people polled believed we had a great product. 92.1% of people surveyed
believed there was a strong need for our product, and 83.8% of those people would buy our product.
Our Locatr brand will connote innovation, safety, quality and the future. We stop nothing short of
excellence and customers will be blown away by our technological advancements and easy-to-use
products. By focusing on our strengths, key customers, and customers' needs, Locatr Technologies Inc.
will generate substantial profit within our first four years, while also improving the gross margin of sales,
cash management and working capital.

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Company Description
Type of Business
Locatr will be a company that sells object tracking devices for high-value possessions. These tracking
devices will be targeted towards elderly people who have a tendency to misplace their possessions,
young urban professionals who have expensive computers, phones, backpacks, etc., and travelers, who
carry significant amounts of baggage daily. This product allows the benefit of tracking any object with
easy use and prevention of theft. Given the constant importance of locating lost valuables, this concept
has the potential for tremendous success in America.
Legal Form of Business
Locatr will be established as a general partnership. Osman Salahuddin, Dylan Steele, and Jerry Sun will
be the co-owners and operators of Locatr. The benefits of the partnership provide us with shared
financial responsibility, increased credibility, more resources, and an expanded audience.
Effective Date of Business
Locatr will begin operations on November 29, 2013. Pre-order sales will begin October 31, 2013. We feel
this will give us the necessary amount of time to develop the product, hire employees, and teach
employees how we want our business to run.
Locatr Mission
It is the Mission of Locatr to combine aggressive strategic marketing with innovative products and
quality services at competitive prices to provide the best object tracking devices for consumers.
Immediate Development Goals
The objectives for Locatr fare as follows:
 Develop a dedicated consumer base of 1,000 people
 Create an atmosphere at Locatr where employees can work together as a team, with clear goals
and high standards that profit everyone
 Reach 3% of market penetration
 Focus on target marketing to increase market penetration
 Establish brand awareness for Locatr's name and products
Company Location
Locatr’s office will be 2,074 square feet and will be located in a business complex in Redmond,
Washington. We will be selling the Locatr device through our website and affiliate e-commerce
programs.

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Osman
Salahuddin
(Owner)
Electrical
Engineer
Jerry Sun
(Owner)
Accountant
Dylan Steele
(Owner)
Help Desk
Assistant
Web Developer/
Graphic Designer
Steps for Start-up
 Develop a business plan
 Develop product
 Hire product developer and electrical engineer to design circuit board and assembly of parts
 Install office fixtures
 Hire all other employees
 Promote Locatr’s opening
 Open business
Company Governance
Overview of Financial Status
The following financial models are based off of careful and conservative projections that our advisory
committee, consisting of Osman Salahuddin, Dylan Steele, Jerry Sun, and current CEOs from the
electronic gadget industry, produced. Locatr uses a double-entry accounting system, where assets are
equal to liabilities (plus capital).
-100000
-50000
0
50000
100000
150000
200000
2013 2014 2015 2016 2017
NetProfit($)
Year
Projected Yearly Net Profits

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Industry Analysis
In 2009, the United States, along with the electronic
gadgets industry, suffered immensely due to global
economic turmoil. According to the Consumer
Electronics Association, from 2008 to 2009 the
industry lost about 6% of its sales, but since 2009, the
market has become increasingly profitable, growing
from $169.8B in 2009 to $180B in 2010. In fact,
electronic gadgets industry grew 3.5% in 2011 for a
record high of $186.4B. Additionally, the industry is
expected to maintain a 4% increase in sales for the
next decade. Locatr is entering this market at an
opportune time, while the industry is growing,
allowing for new companies to take advantage of increased consumer confidence and sales.
Key Trends
New technology is constantly being advanced in the electronic gadgets industry. Technology finds new
ways to give people what they need in their lives. In order to be successful in this industry, a company
must adapt quickly. As a result, some trends in the electronic gadget industry have developed.
Smartphone Market Penetration
According to Econoday, consumer confidence has risen by 5% since January 2011, and with it, growth in
retail sales and consumer comfort with the electronics industry. As a result, global revenues for
electronic gadget companies have increased, yielding a large amount of potential customers who have
the economic resources and desire to purchase new products like Locatr. With decreasing
manufacturing costs, this technology will be affordable by everyone, and will help sell Locatr’s idea of
providing location services for expensive
valuables that will also see an increase in sales.
For example, in America alone, smartphones
have reached a 50% penetration rate, and are
only expected to increase their market share, as
reported and predicted by the Nielson
Company. This trend of growing smartphone
purchases benefits Locatr two-fold. Firstly,
users with smartphones gain additional
features that aid in the recovery of lost items or
prevention of theft. Secondly, consumers will realize the importance to implement a locational safety
net in case their phone, or any other precious object, goes missing.

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Internet of Thing/ M2M
A new paradigm shift involving the interconnectedness of everything, Internet of Things, connects
regular items to the internet through forms of transmitters and other forms of receivers for radio wave
signals (which Wi-Fi, Bluetooth, RFID, and 3G networks all use). Many companies, such as Locatr, are
taking are taking advantage of this desire to remain online in today’s society by equipping previously
analog (non-connected) items with radio wave enabled tags. Consumers will profit from knowing where
their possessions are at all times. As well, machine to machine networks (M2M), where a receiver
obtains information through a wireless signal from a transmitter, have shown promise as providing
current companies with expansion opportunities. Studies show that by 2020, between 25 million and 50
million M2M devices will exist, a prediction that involves doubling the current number every year. Locatr
will stay ahead of the curve by already having an M2M system in place within two years.
Reliance on Public Transportation
As the demographics of America and other countries move to metropolitan areas of high population
density, cars become inconvenient and obsolete, and people prefer riding public transportation, such as
buses and subways, to where they need to go. In Seattle alone, 1.5 million more people are expected to
ride public transportation in the next decade. Unfortunately for urban populaces, this trend will result in
magnified chances for pick-pocketing and stolen items. Locatr solves this problem by providing users
with features to prevent theft, such as the Link feature which prompts user-chosen fob-tagged items to
ring and beep if they leave a certain radius (accurate down to 3 inches) from the phone.
Population Age Demographics
Baby Boomers, those born between 1943
and 1957, represent the second largest
cohort of American generations. In 2000,
the largest age groups were 35-39 (11.5
million), 40-45 (11.4 million), and 45-49
(10.6 million), meaning in 2010, 45-60
year olds also made up the vast majority
of the United States population. In the
coming years, this population percentage
of the Baby Boomer generation will
continue to be one of the largest, and
will facilitate the growth of Locatr as a
profitable and cross-generation company.
As well, Generation Y makes up a large fraction of the American population because of the second
highest birthrate in US history, Millennials are already technologically savvy and have grown up with the
necessity for technology and a connected world. Locatr will appeal to this demographic by promising
protection of their precious tech belongings, such as phone, computer, camera, and tablet.

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Target Market
Although our primary form of sale will be through our online store, and secondarily through affiliate
programs with Amazon and Best Buy, our target area will be the Greater Seattle Metropolitan region, a
10 mile radius from the city of Seattle to the Eastside, Renton, Sammamish, and Shoreline. The average
income of households in the area is $73,000, which is expected to rise about 2% every year, according to
Sperling Reports, because of 32.50% future job growth. Additionally, Seattle was recently ranked by
Kiplinger as the 2nd best city of the next decade, due to its flourishing job market, potential for
economic expansion, and above-average growth in housing and income. Finally, the demographics of
the region favor the brand name
of Locatr because of the large
percentage of both Baby Boomers
and Millennials. About 40% of the
Seattle population is either
between the ages of 16-25 or 50-
65, the prime target market for
Locatr. With the current
expansion of Seattle on top of the
growing average income of the
region, Locatr will form a strong
base of returning consumers near
our business headquarters that
will allow us to create a model for
national, and global,
development.
Market Segmentation
Our Market Analysis focuses on three key potential customer groups:
 Active elderly
 Young urban professionals
 Travelers
Active Elderly
 Size and Growth Potential
o This aging demographic accounts for nearly 77% of our nation’s wealth, and spends an
estimated $1 trillion on goods and services per year, according to a Pew research study. By
2030 71.5 million people, or 20% of the population, will be aged 65 and over, and nearly
35% of them will be connected online in some way.
 Current Patterns, Needs, and Sensitivities

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o While our competitors focus on the younger demographic, Locatr plans on targeting this
growing population with massive economic spending power by specifically engineering our
product to be efficient for elderly.
o Many will not be using personal smartphones as conduits to the internet; rather, they will
rely on computers. In fact, according to recent findings from Nielsen NetRatings, seniors,
age 65 and older, are the fastest-growing age group online. As a result, Locatr has developed
an online web application designed for older users with easy access, intuitive functioning,
and magnified action controls. Additionally, our tags enable elderly to keep track of any
object, whether it be medical devices, companion pets, or simply valuable belongings, giving
them peace of mind for never losing an item again.
Young Urban Professionals
 Size and Growth Potential
o In 2008 world urban population and rural population became equal, but for the past three
years, urbanization, the movement of rural citizens to metropolitan areas, has increased
the percentage of people living in large cities. As more and more people move to large
cities and as technology continues to advance at a rapid pace, young urban professionals
will become a prominent market to target for all companies. This demographic will only
expand in Seattle and the surrounding cities because, according to the 2012 State New
Economy Index from the Information Technology and Innovation Foundation (ITIF),
Washington has the third best state economy due to its innovative entrepreneurial hotbed
and strength in the growing digital economy.
 Current Patterns, Needs, and Sensitivities
o They often seek materialistic pleasure in life, whether it be through purchasing high-tech
gadgets or fancy accessories, and wish to preserve their material possessions after
acquiring them. Smartphones have become synonymous with teenagers and 20-year olds
as their penetration in the 16-34 has increased by 80% from October 2011 to January 2012.
Although our competitors also target this age demographic, our clean, modern design, and
expansive features appeal to a generation consumed with staying in fashion and remaining
productive, all the while providing them the interconnected, digital world the target
market desires.
Travelers
 Size and Growth Potential
o This target market has a huge potential for product penetration because purchasing our
relatively inexpensive system, travelers worldwide will prevent the theft of much more
expensive items, such as computer, camera, luggage, and phone. Furthermore, Air
Transport Association (IATA) reports that 2.5 billion people flew in 2009; and in
2011traveling was America's number one export with 62.3 million people flying to the US
alone.
 Current Patterns, Needs, and Sensitivities

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o Baggage theft reports are up 50% this year, according to national airport data, and both
airlines and consumers are lamenting the lack of protection for this problem. Fortunately
for flyers, Locatr can help solve this persistent travel bane by helping users quickly locate
and retrieve their luggage from the baggage carousel or other repositories. By tagging their
bags and items before they enter the airport and carrying their Smartphone with them,
consumers will be able to efficiently keep track of valuable items through the Link feature
during transportation through the airport, and then enable the Compass mode to swiftly
reclaim baggage, not allowing any time for thieves to steal possessions, compared to 2008,
flying frequency has increased by 5%, indicating a growth in the number of travelers that
Locatr could market to. In addition, tourists will want to protect their items in foreign
locations. Using the same features listed above, frequent travelers can constantly account
for their tagged belongings so that they are never stolen by pickpockets and thieves.
Competitive Analysis
Following the trend to move stores into the electronic business realm, Locatr has decided to advertise
and sell products on a personal website, which will include a store in addition to product information,
frequently asked questions, automated customer support and instant feedback loops for the best
customer experience. Additionally, Locatr will sell the product on Amazon, the e-business mogul, in
order to gain more exposure and increase sales revenue. By promoting Locatr in multiple locations
online, we plan to differentiate ourselves from the competition who have primarily stationed their
products in brick-mortar-stores, severely decreasing their market exposure. Currently, there are two
products somewhat similar to ours.
Top Two Competitors
Since this wireless tracking industry has just emerged, the lack of a saturated competitive market will
help Locatr not only build a strong base of consumers, but also develop at heightened rates in order to
stay ahead of other similar companies. Consumers will decide which product they prefer based on the
strengths and weaknesses of each one.
BikN by Treehouse Labs LLC
BikN has been hailed by several prominent electronics reviewers, such as engadget, Popular Mechanics,
and Gizmodo, as a Top 100 Company for 2013 because of the innovation of their product. BikN
compromises of a single iPhone case, two 5-inch tall, 2-inch wide tags, and an iPhone app.
Strengths: Increased battery life ensures that BikN will always be able to find lost items, ability to attach
up to 8 items (with 8 tags), intuitive user interface, and has three modes (Find, Leash, Page).
Weaknesses: Case significantly increases width and length of phone, weighs nearly a pound, only
available for iPhone, tags cannot function on surfaces without loop, such as wallet or camera, have a
short accuracy range and are bulky.

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Stick n’ Find by SticknFind Technologies
Stick n’ Find uses a similar interface as BikN, but instead of tags, the phone tracks adhesive stickers with
Bluetooth capabilities. As a result, the product, while not as invasive as the large Bikn tags, is ultimately
less powerful.
Strengths: Bluetooth tags do not drain battery, long sticker battery life, moderately strong adhesive able
to stick to most surfaces, ability to track 20 stickers at a time, and supports multiple platforms.
Weaknesses: Very limited range (30 yards), high price point, easy for stickers to fall off, not able to tell
direction (only distance), cannot prevent theft of tagged items.
Competitive Advantages and Strategy
Future competitors in this market will percolate into existence as late-comers into this industry
recognize its importance and increased value in a modern world with an amplification of valuable
possessions per person, as well as an aging population faced with keeping track of all these items.
Micro-tracking technologies (in relation to individual items) is relatively young, but builds off of already
established industries such as wireless/Wi-Fi/RFID/cellular sensor networks, allowing for innovative
improvement and easy maintenance of functional and affordable systems. Our competitive advantages
will ensure that Locatr will dominate market share in this industry as we expand our target niche and
utilize the Product-Market Growth Matrix to continually increase profits through greater sales with
improved products and new markets. The following is a list of our competitive advantages over existing
and potential companies.
Promotional Partnerships with Amazon and Best Buy
Both Amazon and Best Buy increase Locatr’s target outreach by amplifying the exposure of our product
from only our online retail store to a worldwide consumer base of users of Amazon and Best Buy, two of
the largest online sellers. Through promotional affiliate programs offered to small business owners,
Locatr’s market penetration will significantly multiply versus relying on physical locations and paper
advertisements.
Patented Functional Features
The recent advent of patent trolls has forced many start ups to face legal difficulties with the lawful
owner of proprietary features being questioned. Fortunately, Locatr has already secured various patents
for our systems in an effort to avoid unnecessary lawyer fees or debtor penalties.
Features Suitable for Multiple Generations
Although our primary target market is active elderly (including Alzheimer’s patients), our secondary
market includes young urban professionals, a completely different generation. However, our product,
due to its easy-to-use features, clean modern design, and ability to track anything from a pet companion
to expensive camera, appeals to this cultural split of old and young; whereas our competitors focus on a
single market of generally younger citizens, we expand our market segmentation to maximize revenue.

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Cross-Platform Accessibility
While our competitors lack the insight to allow for cross-platform user experiences, Locatr will develop
systems for iOS (iPhones, iPads, iPod Touches), Android (the largest phone OS in the world) and
Windows Phone (which has a large market share in the Greater Seattle Area), as well as a web
application so that even those without smartphones can use Locatr.
Multiple Tag Options
The disadvantage of Bikn, Stick n’ Find, and other personal item tracking companies is
that they only have one tag option- either a bulky fob unit, or delicate sticker device.
Improving on these unappealing features, Locatr has already developed a dual unit
package that features both compact fob component, used for larger devices such as
backpacks, dogs, or keys, and strong adhesive and extremely thin sticker components
that can be used without a prominent appearance on smaller items such as wallets or
TV remotes.
Below is a table of specific features that will create a distinct competitive advantage
over other products, putting Locatr as the leading company in tracking technologies.
Feature Benefit
Accurate range up to 1000 yards The largest range out of any of the competitors’
products, Locatr takes advantage of long-range,
low-power 3G network capabilities to ping the
phone directly from long distances.
3 modes: Sound Off, Compass, and Link Sound Off finds items that are nearby (can be up
to 1000 yards, but the noise is not effective at
that distance), but misplaced (only works with fob
tags), by sending out a ring tone from the tag.
Compass locates items that are far away with
either sticker or fob tags and leads you to them.
Link mode notifies users when a tagged item
leaves a preset radius from their phone (does not
work with web application) to prevent theft.
Tells direction and distance Unlike Stick n’ Find, Locatr gives the user both
directional and distance instructions on finding
the lost item, allowing for quick and easy
retrieval.
Fob tags Smaller than any other unit on the market, Locatr
fob tags are highly compact and make the most of
the space by fitting a long-range transmitter
(accurate up to 1000 yards) and long-life battery
into the component.
Sticker tags Sticker tags have a shorter range than fobs (only
300 yards), but make up for it by being paper-thin
and concealable, as well as having a life-time
battery guarantee.

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Does not drain phone battery Since Locatr uses 3G, there is no need for an
additional cumbersome battery pack.
High tag capacity Consumers can track up to 30 tags at once using
the phone or web application and accurately find
any of them without interference
Multiple color choices Various colors will increase the appeal to different
age groups, whether you want bright pink and
fluorescent green, or neutral gray and white,
consumers have the choice to mix and match tag
colors.
Multiple languages Users have the option to change the language of
the applications so consumers all over the world
can use Locatr.
Reverse location finder In case your phone goes missing, there are two
methods for finding it. On the fob tags, there is a
reverse finder button, which will trigger your
phone to ring (like an incoming call). As well,
there is a button on the web application to find
your phone.
3G network 3G network allows signals to penetrate walls
(including cement and brick) which neither
WiFinor Bluetooth can do. Additionally, since
phones already operate on cellular networks, no
additional energy consuming transmissions are
needed.
Marketing Plan and Sales Strategy
Like any lucrative brand, Locatr will develop hype and pre-release publicity through promotional pre-
order deals as well as a high volume of advertisements. First impressions are an integral part of
becoming a successful and profitable business, in addition to building a reputable brand image. By
identifying rewarding new demand opportunities to own a competitively advantaged market position
and driving innovative strategies to reinvent categories through new offerings, options, features,
products, and services that better meet the demand of consumers, Locatr will create an image of
novelty and reliability. Our goals for marketing will be to optimize portfolio strategies to access and
satisfy the most profitable and loyal consumer segments and enable growth through various advertising
conduits, such as social media and affiliate programs.

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Pricing Strategy
To stay competitive Locatr will be selling our
object tracking device for $74.99. The
product costs $19.99per unit to produce and
we will be selling it for the retail price of
$74.99, yielding a markup of 375%.
Key Message
“Locatr’s mission is to become the leading vendor of Object Tracking Devices worldwide. Through a
combination of evolving technologies in the field of electronic gadgets, miniaturization, affordability for
the user, programming capabilities, and ease of use, Locatr will be known as the premier developer and
supplier of revolutionary Object Tracking Devices. Not only will our product help make finding lost items
much easier, but it will also prevent the theft of valuables.” Locatr’s goal is to deliver our brand’s key
message through the channels of advertising, promotion, and personal selling.
Advertising
Social Media
As the second most visited website on the Internet, with 250 million unique visitors per month,
Facebook represents the ideal advertising platform through which companies can take advantage of a
large customer population. Using the recent marketing paradigm shift behavioral targeting, Locatr will
be able to target a specific group of patrons based on age, personal interests, and demographic data
provided by a socially connected world. Compared to Google AdWords, another online marketing
platform, Facebook allows for more flexibility in deciding the style of ad (Facebook supports graphics)
and target market. Additionally, since Facebook charges based on clicks-per-thousand-impressions
(CPM), marketing fees are inexpensive if the ad does not become successful; they can also be expensive,
but only when the campaign creates massive exposure and brand-product awareness–the goal of
advertising. Finally, Facebook advertisements and sponsored marketing strategies have the ability to
access the large cellphone user demographic, rather than just desktop and laptop consumers, who
represent a smaller fraction of the global population. By developing an effective social media strategy,
Locatr will be able to track key performance indicators (KPIs) to optimally transform our organization
and drive value up. Accordingly, building shopper loyalty and retention programs monitoring and
managing shopper habits and satisfaction will be main goals of Locatr during our first year to accurately
analyze consumer demand and create growth market strategies. We have agreed to a $0.58 per click,
which we find beneficial because we only have to pay for people who visit our website and are
interested in our product. We will budget $10,000 for Facebook ads annually, or in other words for
25,862 clicks. For this to be effective, we only need 0.73% of all clicks to purchase the product.
Circuit Board &3G $ 8.45
Sticker Materials $ 2.35
Fob Plastic Casing $ 4.65
Third Party Manufacturing Fee $ 3.20
Speaker $ 1.30
Web and Phone Application $ 0.04
Total: $ 19.99
Retail Price: $ 74.99
Markup: 375.1%

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A Locatr twitter account will increase consumer satisfaction as well as customer loyalty, overall
benefitting the company. Customers can input feedback instantaneously through social media, to which
Locatr can respond quickly to fix the problems. As a result, consumer satisfaction will see a huge
increase compared to national averages and will result in returning customers who will advertise our
product as reliable and worth buying. Although both Twitter and Facebook marketing programs cost
money for Sponsored Stories, recent Nielsen reports have proven the effectiveness of social media
advertising campaigns to younger generations, a main market for Locatr products. $5,000 will be
allotted for advertisement on Twitter.
Retail Websites
According to eMarketer, worldwide online sales surpassed $1 trillion for the first time, growing 21%
from 2011. That number is expected to grow to $1.298 trillion in 2013. And of that $1 trillion, Amazon
generates 5.1 percent of the total e-business sales, around $51.7 billion in 2012. As a result, Locatr will
enter Amazon’s free affiliate program in order to sell our products on their website. Amazon reports
that companies who participate in their e-commerce referral program have an annual 4% increase in
revenue. Locatr will also participate in QVC and Best Buy Online Affiliate Programs, both of which are
free, to increase exposure to online consumers. Additionally, seniors represent a large portion of online
shoppers. According to Harris Interactive from July 2004, 59% of online seniors, around 11.8 million in
2005 as stated by Nielsen NetRatings, used a form of ecommerce to purchase products. Accordingly,
Locatr will develop an elderly-compatible website with large text and buttons, easy and minimal
navigation sequences, high contrast layouts, and clear legal disclaimers to ensure intuitive purchase
opportunities for everyone.
Assisted Living Homes
Locatr will be distributing flyers promoting our product to senior houses in order to magnify penetration
into the baby-boomer and older generations. Although 49% of seniors utilize the internet on a daily
basis according to Pew, many may not check social media websites where many of our advertisements
will be placed. As a result, Locatr will need to target elderly through modes of marketing that are easily
accessible to seniors. Flyers sent to assisted living houses will directly connect with seniors that live
there, and will create a sympathetic message that appeals to older generations. We will be investing
$5,000 in marketing and advertisement in the assisted living homes.
Pre-Order Deals
Prior to releasing our product on November 29, 2013, Locatr will sell our product (2 sticker tags, and 1
fob tag) at 75% of retail cost, or $44.99. The reduced price deal will continue for two months after
October 31 (till December 31) so that our promotion will occur during high-density, holiday consumer
shopping. The pre-order deal will be available on our personal store website and on our Affiliate
program stores in order to take advantage of soaring online sales–on four separate days in 2012, online
sales crossed the $1 billion mark, according to comScore. By selling our products at below retail price
during this period, Locatr hopes to increase unit sales and maximize profit at a time when consumers
purchase electronic gadgets at an elevated rate. We predict that our sales will be around 75 units during
the first two months, versus 50 units after the promotion ends.

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Sales Procedures
Although Locatr does not have a physical store to sell our products in, we will create a defined and
integrated Internet sales processes to ensure the satisfaction of our customers and transaction success
for both parties.
1. Marketing and Prospecting
Through advertisements and pay per clicks, Locatr will draw people to our site. Upon receiving
customers, we will deliver our key message and unique selling proposition. Research into target
demographics will determine the needs of our customers in order to appropriately market our
products to them.
2. Build Credibility and Trust
In a typical brick-and-mortar store, business trust is built through human interaction; however,
in online, impersonal environments, Locatr will develop a professional, legitimate-looking, and
reliable site that easily navigates consumers to where they want to go.
3. Escort and Court the Buyer
Our website will provide consumers with the solutions (products) they need to solve their
problems by efficiently directing users to product information and purchasing screens. We seek
to adjust our product, strategy, and/or marketing in order to better appeal to our key
customers.
4. Present the Product
After escorting users to product displays, Locatr’s website will engage consumers into the
buying process. We hope to leverage social media intelligence to improve the service experience
across channels to increase customer lifetime value and brand advocacy in order to expand
customer value.
5. Close the Sale
By creating attractive products and convenient purchasing options, including credit card options,
electronic check, mailed check, and PayPal, Locatr will ensure that user visits to our website will
result in sales conversions.
On the Locatr website, there will be an area for customers to review and comment on our products.
These reviews will be available for other customers to see and new reviews will be read weekly by
management to measure customer satisfaction.
Legal Protection
Locatr will be obtaining a trademark and patents to protect the company and the products it develops
for legal purposes. We want to avoid the risk of having another company copy our ideas and use them
to create a replication of our products.
Operations
It is Locatr’s goal to operate smoothly and efficiently. In order to accomplish this, a production plan and
workforce plan has been created. Moreover, the impact of updated technology has been identified, and
we have also created a clear vision for what our facility will look like.

17. 16 | P a g e
Business Facilities
Locatr will have 2,704 square foot facility located in a business complex in Redmond, Washington. The
facility is where all of the business operations will take place, which includes the sales of the product
which occur online. The owner of the business complex buildings is willing to rent the space to us for
$3,500 a month, totaling an annual cost of $42,000 for the location. Included in the facility is office
space for each co-owner as well as offices for the web and product developers. There will also be room
to store the product at this location as well. The following is a floor plan for Locatr’s warehouse lot in
the Redmond business complex:
Production Plan
Locatr will rely on a third party manufacturer named Stratos to produce the Locatr tracking devices.
They have won multiple awards for reliability, price and their constant technological advancements. This
company has over 20 years of experience in manufacturing electronic products, so we trust that their
partnership with us will be reliable. By choosing to rely on a third party manufacturer, we will eliminate
risks due to inexperience in the field of manufacturing. Research has also shown that this method will be
more cost efficient than in-house manufacturing, saving us money across the board.
Our inventory strategy is to keep the levels 25% above the expected sales in stock. Since our products do
not expire, meaning they have a long shelf life, it is logical to have high inventory levels. However, the
levels cannot be too high because if something unexpected were to occur to all of these stored products
at our offices, Locatr could experience a major financial setback.
Jerry Sun’s
(Owner)
Office
Dylan Steele’s
(Owner)
Office
Osman
Salahuddin’s
(Owner)
Office
Storage
Web
Developer
Office
Conference
Room
Product
Developer
Office

18. 17 | P a g e
Workforce Plan
Locatr has set up appropriate hours of operation in the office, deciding that there will be no official
hours of operation for the workplace. However, all full time employees are required to be at the office
by 9 AM each day. These full time employees consist of the web developer and graphic designer and the
product developer and concept artist. Additionally, all co-owners must come into the workplace at least
3 days of the 5 day workweek, in order to ensure maximum efficiency from the employees. At all times,
there must be at least one co-owner at the offices each workday. The typical workday will consist of 7
hours for most employees, but employees may leave early or stay late depending on the amount of
work that they need to accomplish each day.
Locatr plans to sell its product via the web, therefore during all normal business days, four full-time web
developers and graphic designers will come into the office to handle all matters on the website itself,
including updates to the site and tracking our online sales. Their main goals will be to make sure that the
website never crashes, has an easy to use interface, is aesthetically pleasing to the eye, and is used in
such a way that profits are maximized for the sale of our products. At least one of the three owners will
also be in the office on normal work days in order to guide the web developers with different ideas,
giving input when needed.
The company will also have a part-time accountant as well as a part-time electrical engineer. The
accountant will come into the office three days out of the work week and handle the financial
operations of the company, with the help of co-owner Jerry Sun. The electrical engineer will come into
the office two days in the work week and make sure that the product is up to date and works without
any problems. They will help find better ways to design the technological aspect of the product as well.
Technology
Innovative technology will not only allow Locatr to sell our products with more ease, but it will allow us
to run more cost efficiently. Our product is an improved synthesis on many pre-existing technologies,
innovating upon past, rudimentary features to create an intuitive product for the modern world. The
product itself is easy to use, and the app corresponding to the FOB and stickers has a very functional, yet
exciting design. The app is available in all major phone app markets (including iPhone, Android, and
Windows Phone) and comes free with purchase of the product. The technology behind the tracking
device itself is very advanced, being fitted with a GPS device on the inside, able to track something with
the Locatr sticker attached to it. This is done using an enhanced 6LoWPAN network, the JenNet-IP
enables a robust network to help the Locatr device monitor and control multiple devices.
Another use of technology we utilize is the software used for graphic designing. This includes the
software for the website as well as creating the layout of the app corresponding to our product. The
newest software we are using allows our web developers and graphic designers to create a more
visually appealing website and product layout. This software has also won several awards for its ease of
use, so our graphic designer can spend more time perfecting the layout and website knowing that the
software can help them maximize aesthetics.

19. 18 | P a g e
Management and Organization
Management must ensure that a company is running smoothly and functioning as efficiently as possible.
We will try to accomplish this by running routine maintenance checks and more importantly, hiring
employees that are qualified and willing to support the Locatr image.
Key Employees
Locatr will have a total of 8 employees, which includes the three owners, at its start. Co-owner Osman
Salahuddin will be the head of operations, co-owner Dylan Steele will be the head of marketing and
sales, and co-owner Jerry Sun will be the head of financials. Locatr will recruit its employees by posting
advertisements in local newspapers, such as the SeattleTimes, and job application websites, like
monster.com. A sample job application can be seen on page 30 in the Appendix section. Employees will
be secured by Locatr’s relatively high wages and the friendly, supportive atmosphere thatthe company
provides. Locatr will be slow to hire new people, and very loyal to those who are already hired. All
employees (both full and part time) will be hired on yearly salaries. At Locatr, we will be looking for
individuals whose experience, skills and expertise will help foster the development of our company.
Osman Salahuddin, Co-owner and Head of Operations (Chief Operating Officer, COO)
Responsibilities: overlook operations of business, hire employees, work with co-owners, evaluate
effectiveness of company’s direction, communicate with manufacturing company, evaluate
effectiveness of current product features, and develop ideas for new products in the market
Required Skills: leadership, communication, business financial, motivation, evaluation, patience
Compensation: varies with company’s success
Dylan Steele, Co-owner and Head of Marketing and Sales (Chief Executive Officer, CEO)
Responsibilities: overlook operations of business, hire employees, work with co-owners, create work
schedule for sales employees, and evaluate effectiveness of company’s direction, and work with graphic
designer/web developers as well as product developer/concept artists, manage social media accounts to
ensure updated information and loyal customer base in order to offer heightened audience engagement
Required Skills: leadership, marketing and sales, communication, business financial, motivation,
evaluation, patience
Compensation: varies with company’s success
Jerry Sun, Co-owner and Head of Financials (Chief Financial Officer, CFO)
Responsibilities: overlook operations of business, hire employees, work with co-owners, evaluate
company financials, evaluate effectiveness of current product features, develop ideas for new products
in the market and work with part-time accountant regarding the financial status of the company
Required Skills: leadership, communication, business financial, motivation, evaluation, patience
Compensation: varies with company’s success
Web Developer and Graphic Designer
Responsibilities: design and manage company website and app, create design for product layout
Required Skills: software, website design, general computer, artistic, creative

20. 19 | P a g e
Compensation: $40,000/year
Positions Needed: two
Help Desk Assistant
Responsibilities: Answering complaints, communicating technical problems to developers, monitoring
social media for prime customer satisfaction
Required Skills: communication, reliability
Compensation: $20,000/year
Positions Needed: one
Part-time Accountant
Responsibilities: keeping track of company’s financials, handle the bookkeeping for company, prepare
and present financial reports
Required Skills: finance, communication, presentation, Microsoft Excel, accounting, computing, math
Compensation: $18,000/year
Positions Needed: one
Part-time Electrical Engineer
Responsibilities: create product circuit board designs
Required Skills: engineering, communication
Compensation: $18,000/year
Positions Needed: one
Human Resources
At the company’s start, an advisory committee will be established for Locatr. The committee will be
composed of former Chief Executive Officers in the industry of electronic gadgets, specifically those
related to GPS technology. On the committee, there will be a minimum of one CEO specialized in the
areas of business operations, sales and marketing, and finances. These committee members will be used
to help improve various aspects of the company and maximize its profits. For Locatr’s first year of
business, the three co-owners, Osman Salahuddin, Dylan Steele, and Jerry Sun, will hold monthly
meetings with the advisory committee, after which the committee will be used on an as-needed-basis.
Company Ownership
Locatr is operated by its three founders, Osman Salahuddin, Dylan Steele, and Jerry Sun, who each have
25% ownership stake in the company, and is also owned by Maveron, who has a 25% stake in the
company as an investor. Although Maveron provides much needed financing to the company, they also
bring expertise in the areas of legal, financial, and domestic/international regulatory issues. All four
owners will sit on the company’s Board of Directors.
Employee Incentive Plan
An employee incentive plan is an incredibly effective way to inspire loyalty, commitment, and earnest
hard work from employees in the workplace, and a well-designed plan can improve the individual
employee's outlook, further benefitting the organization as a whole. At Locatr, we believe that an
employee incentive plan would help the co-owners and advisory committee recognize the star

21. 20 | P a g e
employees in the work environment, all the while keeping a record of the goals that the organization
seeks to reach.
A very common employee incentive plan in the workplace is recognition. An employee’s motivation
significantly increases with the power of positive feedback, open communication lines between the co-
owners and other staff, and acknowledgment. With more motivation, employees are more inclined to
put in their best effort while on the job, producing the best work possible. Market surveys reveal that
although payment is the most vital incentive for any staff, recognition can promote a healthy workplace
environment, helping us retain our employees' dependability.
A recognition program can highlight several key areas such as length of service, peer recognition,
employee of the month, or particular recognition for a specific job well done. This plan should positively
affect not only productivity but also relationships between the employees themselves, as well as the
relationship between the employees and owners.
Long Term Development
While it is important to plan for the starting the business and the immediate future, it is also essential
that a company has a solid focus to drive them to where they want to be in the next three to five years.
The main goal of Locatr for the next three to five years is to build a solid reputation for our product’s
quality, consistency, and customer service. In three years, we hope our outstanding reputation will allow
our product to move into larger stores, and get a larger exposure to consumers.
Long Term Goals
 Year Three
o Reach profitability
o Become the premier vendor in the new and evolving Object Locator Device industry
o Improve inventory turnover, until "just-in-time" inventory is standard by the third year.
o Expand target markets with controlled growth.
o Reach 5% market penetration
 Year Five and Beyond
o Maintain a 95% or better customer satisfaction rate as measured by online and print
surveys from year 1 to year five
o Develop additional profit centers such as programming, training, seminars, ancillary
equipment
o Hit net sales of $500,000 in year five
o Achieve $150,000 net profit in year five
o Reach 15% market penetration
o Develop Locatr Product with 4G capabilities
o Sell within big-box retail stores such as Best Buy

22. 21 | P a g e
Risks
There are always risks that go along with starting a business. Companies often times ignore these risks
and convince themselves that their company will be fine. However, those are the companies that fail
and become bankrupt because they did not identify possible peril. In order to learn how to avoid these
risks as much as possible, first you must identify them. A major risk involved with Locatr includes the
potential for underfunding, or profit loss. By informing this primary risk, which affects many other
aspects of our company, and having everyone in the company on the same page, we feel comfortable
that we can avoid them by implementing successful strategies.
Economy
Locatr forecasts the economy to improve within the next five years, backed by local, state, and federal
stimulus. According to a forecast by the Survey of Professional Forecasters, the unemployment rate will
decrease from 7.5% to 7.2%. In addition, the overall GDP of the United States is predicted to grow at an
annual rate of 1.9% and 2.8% in 2013 and 2014, respectively. Locatr will make changes accordingly to
present market situations, and adapt to current economical conditions
Competition
As an emerging wireless electronics market, tracking technologies will see a burgeoning competitive
nature. Several new companies have emerged in the entrepreneurial world as business ideas, but have
not precipitated a physical product as of yet due to lack of venture capital and funding. By the time
these other companies form and create products, Locatr will already have established a reputation and
brand name for high quality at low cost and have a dedicated consumer base. The experience of our
development team and the caliber of Locatr will only increase with time, yielding a large market share
percentage and huge market penetration.
Demand
Locatr has entered a niche market that we believe will remain profitable in the years to come.
Therefore,while knowing exactly what the profit will be for Locatr will be difficult, we are confident that
with the rise of valuable items in the consumer household, the demand for tracking products to locate
possessions will grow. Our competitors, like us, are barely entering the market, and our goal is to attain
first mover advantage.
Financials
As a start-up company in an emerging industry, our advisory committee,consisting of Osman Salahuddin,
Dylan Steele, and Jerry Sun, and current CEOs from the electronic gadget industry, has intentionally
designed a conservative plan, looking to ensure the achievement of our corporate goals along with a
solid ROI to our investor/partner(s). We will of course revise our financial plan throughout the first year
based on actual figures in sales, manufacturing costs, technological advances, personnel, office space,
marketing costs, and so on. Locatr uses a double-entry accounting system, where assets are equal to

23. 22 | P a g e
liabilities (plus capital).Securing the patents (applied for) for our advanced devices and systems in a new
and emerging industry will add immediate value to RQM.
Investment Offering
Proposed Year: 2013 2014 2015 2016 2017
Valuation, Investment, Shares
Investment Amount $50,000 $0 $0 $0 $0
Equity Share Offering Percentage 25.00% 0.00% 0.00% 0.00% 0.00%
Valuation $200,000 $250,000 $375,000 $550,000 $850,000
Investor Years Until Exit 5 4 3 2 1
Equity Ownership Percentage
Founders’ Equity 75.00% 75.00% 75.00% 75.00% 75.00%
Year 2013 Investors’ Equity 25.00% 25.00% 25.00% 25.00% 25.00%
Total Equity 100.00% 100.00% 100.00% 100.00% 100.00%
Start-up Costs and Funding
Fixtures and equipment $32,000
Remodeling $5,000
Installation of fixtures and equipment $6,600
Starting inventory $16,650
Deposits with public utilities $2,500
Legal and professional fees $1,000
Licenses and Permits $1,100
Venture Capital ($50,000)
Research and product development $26,000
Petty Cash Fund $1,000
Total $41,850
Important Assumptions
The following is a list of assumptions Locatr has based their financial projections off of:
 Current taxes for companies in Redmond, WA remain the same at $92.00 per full time
equivalent employee.
 The current population in our geographical targeted area continues to grow steadily
 The economy slowly continues to heal and consumers will have slightly more money to spend
than in the past five years
 The electronic gadget industry continues to steadily grow
 We will hire ethical employees
 Competition doesn’t grow at an unexpectedly fast rate

24. 23 | P a g e
$135,000
$140,000
$145,000
$150,000
$155,000
$160,000
$165,000
2013 2014 2015 2016 2017
Employee Expenses
Break-Even Analysis for Year One
Locatr’s break-even point for the first year is approximately $259,110 in yearly revenue, which is an
average of 4,711 units per year or 393 units per month. However, these numbers vary from month to
month, since off-peak sales months have lower payroll costs.
Personnel Plan
The following is a breakdown of Locatr’s payroll. Osman Salahuddin, Dylan Steele, and Jerry Sun’s
salaries are considered a dividend and are therefore not included in the table below.
2013 2014 2015 2016 2017
Help Desk Assistant $20,000 $21,000 $22,000 $23,000 $24,000
Part Time Accountant $18,000 $18,500 $19,000 $19,500 $20,000
Web Developers (2) $80,000 $82,000 $84,000 $86,000 $88,000
Electrical Engineer $25,000 $25,500 $26,000 $26,500 $27,000
Total $143,000 $147,000 $151,000 $155,000 $159,000
Assumptions:
Retail Unit Price $74.99
Cost per Unit $19.99
Profit per Unit $55.00
Yearly Units Break-even 4,711
Yearly Revenue Break-even $259,110
$400,000.00
$200,000.00
$0.00
$200,000.00
$400,000.00
$600,000.00
0 2000 4000 6000 8000 10000
Year One Break-even Units
Number of Units
Cost
Year

25. 24 | P a g e
Projected First Year Monthly Income Statement
Nov Dec Jan Feb March April May June July Aug Sept Oct
Sales 40,994 38,994 23871 20865 19657 20345 21567 22715 22867 24546 24492 25,795
Less Returns 578 584 586 593 602 605 613 615 619 627 634 642
NET SALES 40416 38410 23285 20272 19055 19740 20954 22100 22248 23919 23858 25153
Manufacturing 12594 11994 7037 5143 4987 5012 5365 5689 5988 6954 7025 7170
GROSS REVENUE 27822 26416 16248 15129 14068 14728 15589 16411 16260 16965 16833 17983
Operating Costs:
Startup Costs 41850 0 0 0 0 0 0 0 0 0 0 0
Salaries 11917 11917 11917 11917 11917 11916 11917 11916 11916 11916 11916 11916
Rent 3500 3500 3500 3500 3500 3500 3500 3500 3500 3500 3500 3500
Advertising 2500 2500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500
Delivery 200 200 60 67 65 80 82 83 85 87 91 100
Telephone and
Internet
80 80 80 80 80 80 80 80 80 80 80 80
Other Utilities 334 333 334 333 334 333 333 334 333 333 333 333
Insurance 417 417 417 417 416 417 416 417 416 417 416 417
Maintenance 50 50 50 50 50 50 50 50 50 50 50 50
Legal fees 42 42 42 42 42 41 41 42 41 42 41 42
TOTAL EXPENSES 60890 19039 17900 17906 17904 17917 17919 17922 17921 17925 17927 17938
PROFIT (Pre-Tax) (33068) 7377 (1642) (2777) (3836) (3189) (2330) (1511) (1661) (960) (1094) 45
Taxes 1247 1246 1247 1246 1247 1246 1247 1246 1247 1246 1247 1246
NET PROFIT (34315) 6131 (2889) (4023) (5083) (4435) (3577) (2757) (2908) (2206) (2341) (1201)
Projected First Year Monthly Cash Flow
2013 2014 2015 2016 2017
Cash Received
Cash from Operations
Cash Sales 299,410 319,698 373,565 454,716 535,770
Cash from Receivables 0 0 0 0 0
Subtotal Cash from Operations 299,410 319,698 373,565 454,716 535,770
Additional Cash Received
Sales Tax, HST/GST Received 0 0 0 0 0
New Current Borrowing 0 0 0 0 0
New Liabilities (interest-free) 0 0 0 0 0
New Long-term Liabilities 0 0 0 0 0
Sales of Other Current Assets 0 0 0 0 0
Sales of Long-term Assets 0 0 0 0 0
New Investment Received 0 0 0 0 0
Subtotal Cash Received 299,410 319,698 373,565 454,716 535,770
Expenditures
Expenditures from Operations
Cash Spending 207,150 171,700 180,000 184,300 191,600
Manufacturing 84,958 83,176 81,709 99,218 105,777
Bill Payments 51,960 52,300 52,780 53,320 54,280
Subtotal Spent on Operations 344,068 307,176 314,489 336,838 351,657
Additional Cash Spent
Sales Tax, HST/GST Paid Out 0 0 0 0 0

26. 25 | P a g e
Principal Repayment of Borrowing 0 0 0 0 0
Other Liabilities Principal Repayment 0 0 0 0 0
Long-term Liabilities Principal Repayment 0 0 0 0 0
Purchase Other Current Assets 0 0 0 0 0
Purchase Long-term Assets 0 0 0 0 0
Dividends 0 0 0 0 0
Subtotal Cash Spent 344,068 307,176 314,489 336,838 351,657
Net Cash Flow (Pre-Taxes) (44,658) 12,522 59,076 117,878 184,113
Taxes 14,958 17,708 23,115 27,188 31,582
Net Cash Flow (Post-Taxes) (59,616) (5,186) 35,961 90,690 152,531
Projected Yearly Income Statement
2013 2014 2015 2016 2017
Sales 306,708 328,456 383,199 465,313 547,427
Less Returns & Allowances 7,298 8,758 9,634 10,597 11,657
NET SALES 299,410 319,698 373,565 454,716 535,770
Manufacturing 84,958 83,176 81709 99,218 105,777
GROSS REVENUE 214,452 236,522 291,856 355,498 429,993
Operating Expenses:
Startup Costs 41,850 0 0 0 0
Salary and wages 143,000 147,000 151,000 155,000 159,000
Rent 42,000 42,000 42,000 42,000 42,000
Advertising 20,000 22,000 26,000 26,000 29,000
Delivery Expenses 1,200 1,500 1,700 1,900 2,100
Telephone and Internet 960 1,000 1,080 1,120 1,480
Other Utilities 4,000 4,200 4,500 4,900 5,400
Insurance 5,000 5,100 5,200 5,300 5,400
Maintenance 600 650 700 750 800
Legal fees 500 550 600 650 700
TOTAL EXPENSES 259,110 224,000 232,780 237,620 245,880
PROFIT (Pre-Taxes) (44,658) 12,522 59,076 117,878 184,113
Taxes 14,958 17,708 23,115 27,188 31,582
NET PROFIT (AFTER TAXES) (59,616) (5,186) 35,961 90,690 152,531
0
100,000
200,000
300,000
400,000
500,000
2013 2014 2015 2016 2017
USD
Year
Yearly Revenue vs. Expenses
Revenue
Expenses
(including taxes)

27. 26 | P a g e
Appendix
Market Research: Survey Results
The following is a table that illustrates market research that our company has done. We surveyed a total
of 10,000 people in the local Seattle area.
Number Percent
Great product concept 9572 95.7%
Bad product concept 428 4.3%
There is a need for this product 9208 92.1%
There is no need for this product 792 7.9%
Would buy Locatr if one were available 8377 83.8%
Would not buy Locatr 1623 16.2%
Washington State Business License
Locatr
17935 NE 65th
Street,
Redmond, WA 98052-4925
Expires: 12-15-2018
Domestic Partnership
Renewed by Authority of Secretary of State
Registered Trade Names:
Locatr
The Locatr
Locatr Tracking Device

28. 27 | P a g e
Contract with Investor (Summary Page)
Investor Agreement of Locatr
Cooperative Economics in Action
THIS AGREEMENT OF PARTNERSHIP, effective as of June 29th
, 2013 by and between the undersigned, to wit:
NOW, THEREFORE, IT IS AGREED:
1. Formation. The undersigned hereby form a General Partnership in accordance with and subject to the laws of the State of Washington.
2. Name. The name of the partnership shall be The Locatr and Maveron Investment.
3. Term. The partnership shall begin on June 29th
, 2013 and shall continue until December 31 of the same year and thereafter from year to year
unless earlier terminated as hereinafter provided.
4. Purpose. The only purpose of the partnership is to invest the assets of the partnership solely in stocks, bonds and other securities for the
education and benefit of the partners.
5. Meetings. Periodic meetings shall be held as determined by the partnership.
6. Capital Contributions. Maveron will contribute $50,000 and receive 25% equity in the business.
7. Management. Each partner shall participate in the management and conduct of the affairs of the partnership in proportion to the value of
his/her capital account. Except as otherwise determined, all decisions shall be made by the partners whose capital accounts total a majority of
the value of the capital accounts of all the partners.
8. Sharing of Profits and Losses. Net profits and losses of the partnership shall inure to, and be borne by, the partners in proportion to the
value of each of their capital accounts.
9. Books of Accounts. Books of account of the transactions of the partnership shall be kept and at all times be available and open to inspection
and examination by any partner.
10. Annual Accounting. Each calendar year, a full and complete account of the condition of the partnership shall be made to the partners.
11. Bank Account. The partnership may select a bank for the purpose of opening a bank account. Funds in the bank account shall be withdrawn
by checks signed by any partner designated by the partnership.
12. Additional Partners: Additional partners may be admitted at any time, upon the unanimous consent of all the partners, so long as the
number of partners does not exceed ten (10).
13A. Transfers to a Trust. A partner may, after giving written notice to the other partners, transfer his/her interest in the partnership to a
revocable living trust of which he/she is the grantor and sole trustee.
13B. Removal of a Partner. Any partner may be removed by agreement of the partners whose capital accounts total a majority of the value of
all partners’ capital accounts. Written notice of a meeting where removal of a partner is to be considered shall include a specific reference to
this matter. The removal shall become effective upon payment of the value of the removed partners capital account, which shall be in
accordance with the provisions on full withdrawal of a partner noted in paragraph 18.
14. The vote action shall be treated as receipt of request for withdrawal.
15. Termination of Partnership. The partnership may be terminated by agreement of the partners whose capital accounts total a majority in
value of the capital accounts of all the partners. Written notice of the meeting where termination of the partnership is to be considered shall
include a specific reference to this matter.The partnership shall terminate upon a majority vote of all partners capital accounts. Written notice
of the decision to terminate the partnership shall be given to all the partners. Payment shall than be made of all the liabilities of the partnership
and a final distribution of the remaining assets either in cash or in kind, shall promptly be made to the partners or their personal
representatives in proportion to each partner’s capital account.
16. Voluntary Withdrawal (Partial or Full) of a Partner. Any partner may withdraw a part or all of the value of his/her capital account in the
partnership and the partnership shall continue as a taxable entity. The partner withdrawing a portion or all of the value of his/her capital
account shall give notice of such intention in writing to the Recording Partner. Written notice shall be deemed to be received as of the first
meeting of the partnership at which it is presented. if written notice is received between meetings it will be treated as received at the first
following meeting. In making payment, the value of the partnership as set forth in the valuation statement prepared for the first meeting
following the meeting at which written notice is received from a partner requesting a partial or full withdrawal, will be used to determine the
value of the partners capital account. The partnership shall pay the partner who is withdrawing a portion or all of the value of his/her capital
account in the partnership in accordance with paragraph 20 of this Agreement.
17. Death or Incapacity of a Partner. In the event of the death or incapacity of a partner (or the death or incapacity of the grantor and sole
trustee of a revocable living trust, if such trust is a partner pursuant to Paragraph 16A hereof), receipt of notice of such an event shall be
treated as notice of full withdrawal.
18. Terms of Payment. In the case of a partial withdrawal, payment may be made in cash or securities of the partnership or a mix of each at the
option of the partner making the partial withdrawal. In the case of a full withdrawal, payment may be made in cash or securities or a mix of
each at the option of the remaining partners. In either case, where securities are to be distributed, the remaining partners select the securities.
Investor’s Signature:
_________________________________
Locatr Owners’ Signatures:
___________________________ ___________________________ ___________________________
Osman Salahuddin Dylan Steele Jerry Sun

29. 28 | P a g e
City of Redmond Business License

30. 29 | P a g e
Lease Agreement
COMMERCIAL LEASE AGREEMENT
This Commercial Lease Agreement (Locatr) is entered into on this 15th
day of February 2013, by and between the previous landlord, Don
Pehrson and Osman Salahuddin, the new tenant. Don Pehrson is the owner of land and improvements whose address is: 17935 NE 65th
Street
(Oakridge Park Bldg. 3), Redmond, WA 98052-4925.
Landlord desires to lease the Leased Premises to Osman Salahuddin, and Osman Salahuddin desires to lease the Leased Premises from Don
Pehrson for the term, at the rental and upon the provisions set forth herein.
THEREFORE, in consideration of the mutual promises contained herein, and for other good and valuable consideration, it is agreed:
Term.
The Initial Term of the Lease shall begin on the 4th
day of March, 2013 and end on the 4th
day of March, 2018. Landlord shall use its best efforts
to put Tenant in possession of the Leased Premises on the beginning of the Lease term. If Landlord is unable to timely provide the Leased
Premises, rent shall abate for the period of delay. Tenant shall make no other claim against Landlord for any such delay.
Tenant may renew the Lease for one extended term of two years. Tenant shall exercise such renewal option, if at all, by providing written
notice to Landlord not less than ninety (90) days prior to the expiration of the Initial Term. The renewal term shall be at the rental set forth
below and otherwise upon the same covenants, conditions and provisions as contained in this Lease.
Rent.
Osman Salahuddin shall pay to Don Pehrson during the Initial Term rent of $42,000 per year, payable in installments of $3500.00 per month.
Each installment payment shall be due in advance on the first day of each calendar month during the lease term to Landlord.
The rental payment amount for any partial calendar months included in the lease term shall be prorated on a daily basis.
Tenant shall also pay to Landlord a "Security Deposit" in the amount of 1,500 Dollars ($).
Prohibited Uses.
Notwithstanding the forgoing, Tenant shall not use the Leased Premises for the purposes of storing, manufacturing or selling any explosives,
flammables or other inherently dangerous substance, chemical, thing or device.
Sublease and Assignment.
Tenant shall have the right without Landlord's consent, to assign this Lease to a business with which Tenant may merge or consolidate, to any
subsidiary of Tenant, to any corporation under common control with Tenant, or to a purchaser of substantially all of Tenant's assets.
Except as set forth above, Tenant shall not sublease all or any part of the Leased Premises, or assign this Lease in whole or in part without
Landlord's consent, such consent not to be unreasonably withheld or delayed.
Repairs.
During the Lease term, Tenant shall make, at Tenant's expense, all necessary repairs to the Leased Premises. Repairs shall include such items as
routine repairs of floors, walls, ceilings, and other parts of the Leased Premises damaged or worn through normal occupancy, except for major
mechanical systems or the roof, subject to the obligations of the parties otherwise set forth in this Lease.
Insurance.
If the Leased Premises or any other part of the Building is damaged by fire or other casualty resulting from any act of negligence by Tenant or
by any of Tenant's agents, employees or invitees, rent shall not be diminished or abated while such damages are under repair, and Tenant shall
be responsible for the costs of repair not covered by insurance.
Landlord shall maintain fire and extended coverage insurance on the Building and the Leased Premises in such amount as Landlord shall deem
appropriate. Tenant shall be responsible, at its expense, for fire and extended coverage insurance on all of its personal property, including
removable trade fixtures, located in the Leased Premises.
Utilities.
Tenant shall pay all charges for water, sewer, gas, electricity, telephone and other services and utilities used by Tenant on the Leased Premises
during the term of this Lease unless otherwise expressly agreed in writing by Landlord. In the event that any utility or service provided to the
Leased Premises is not separately metered, Landlord shall pay the amount due and separately invoice Tenant for Tenant's pro rata share of the
charges.
Damage and Destruction.
If the Leased Premises or any part thereof or any appurtenance thereto is so damaged by fire, casualty or structural defects, such damage or
defects not being the result of any act of negligence by Tenant or by any of Tenant's agents, employees or invitees, that the same cannot be
used for Tenant's purposes, then Tenant shall have the right within ninety (90) days following damage to elect by notice to Landlord to
terminate this Lease as of the date of such damage. In the event of minor damage to any part of the Leased Premises, and if such damage does
not render the Leased Premises unusable for Tenant's purposes, Landlord shall promptly repair such damage at the cost of the Landlord. In
making the repairs called for in this paragraph, Landlord shall not be liable for any delays resulting from strikes, governmental restrictions,
inability to obtain necessary materials or labor or other matters which are beyond the reasonable control of Landlord.
Notice.
Any notice required or permitted under this Lease shall be deemed sufficiently given or served if sent by United States certified mail, return
receipt requested, addressed as follows:
IN WITNESS WHEREOF, the parties have executed this Lease as of the day and year first above written.
New Landlords: ______________________________ ____________________________________________________________
Previous Owner: ________________________________________

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