“ZERO OUT” Project Funding Program

“ZERO OUT” Project Funding Program

What is “ZERO OUT”?

ASA is direct to a funding program that allows investors to take a minimum of $2 million dollars and invest it in the “Zero-Out” Project Funding Program. The program produces enough funding to support the financial needs and goals upfront to fund a project that is $52 million and under in cost. The financial goal that investors need to reach will be based on a designated initial collateral deposit and first cycle amount of $2 million USD. ZERO OUT leverages your initial collateral amount 7 times in the first cycle. Two additional cycles generate the rest of the funding using a 5 to 1 leverage on each cycle. The maximum benefit allowed is $52 million per project not per person. So you can have multiple projects under different titles or names. Example: *SAFEHANEN, Houston…*SAFEHAVEN, Atlanta…*SAFEHAVEN, New York and so on.

How Does It Work?

The $2 million initial collateral deposit will used to generate the needed funding for the project and the following is an example of how it works based on a $52 million dollar project.

EXAMPLE:

Cycle 1: $2 million x 7 = $14 million minus the initial $2 million deposit going back to the investor leaving $12 million to the client. The investor releases the $ 2million SBLC back to the funder. $5 million of the $12 million goes to cycle 2 leaving a net of $7 million. The $7 million can be used immediately towards the project. The investor has ZERO investment in the project hence the name “ZERO OUT” for the program name/title.

Cycle 2: $5 million x 5 = $25 million.  $5 million of this cycle goes to cycle 3 thus netting $20 million to the client.

Cycle 3: $5 million x 5 = $25 million

Cycle 1 Total: $7 million + Cycle 2 Total: $20 Million + Cycle 3 Total: $25 Million = $52 Million Total (7+20+25=52)

Q: How Is My Deposit Protected? A: Through A Stand By Letter of Credit (SBLC)!

If all parties agree to move forward at the time of contract signing when the investor places the $2 million deposit in the escrow account that deposit will trigger the funder to issue a bank SBLC in the investor’s name as a full financial guarantee against any loss or depletion of the $2 million deposit. This makes the investment 100% safe for the investor. Once the first cycle produces the $14 million funds the investor’s $2 million is returned to the investor out of the $14 million and the SBLC is released back to the custody of the funder/issuer. At this point you have no investment in the program and own 75% equity of the project. Is this a win…win deal or what?

How Do I Qualify?

After a compliance package is submitted to ASA then ASA will submit the package to the funder. Then investor and the funder will talk about the opportunity. If they agree to go forward a contract will be executed and the investor deposits the $2 million dollar into Commercial Escrow Services (CES) escrow account in their name. CES has a $20 million insurance policy/bond protecting the client’s funds.

The funder also requires that the investor has an exist strategy that shows them being good stewards of the profits by funding humanitarian and economic projects here in the US or offshore in acceptable countries.  So an Executive Summary of the project no longer than five (5) pages needs to be submitted along with Letter of Intent/Customer Information Sheet (CIS) and copy of the investor’s Passport. The package will be reviewed and either approved or rejected.

Funder’s Equity Position and Payback!

The Funder takes a 25% equity position in the project and will receive 25% of the net profits until the funding amount has been repaid. The funder will offer a deferred payment condition of up to 12 months before any payments are required. When the payments pay back the loan in full the 25% equity is transferred to the investor so they have 100% ownership of the project at that point in time.

If the project is sold then the investor will receive 25% of the fair market price. Example: If the project is sold for $200 million then the funder receives $52 million (25%) and the investor receives $148 million (75%). There is no penalty if the fair market price does no equal the pay back of the $52 million loan figure. Example: If the project is sold for $100 million the investor receives $75 Million (75%) and the funder $25 million (25%). The $27 million shortfall does not have to be paid back to the funder.

Taxes, Fees and Penalty!

Since this program is classified as a loan you do not pay taxes on loan income, at least not yet. Remember the funder receive 25% of the net income until the funds are paid back making it a loan. Please consult a CPA for tax consequences you may encounter if the project is sold.

There is no early payoff penalty. There is no interest charged. There is no collateral needed. There is not down payment required. There is no credit check or history needed as in a conventional loan. No shortfall penalty as described in the previous section.

Outside Investors!

ASA is also seeking outside investors who may want to invest funds into a project where the project holder needs the $2 million seed capital to invest into the Zero Out program. The outside investor and project holder determine equity position and revenue sharing between themselves. These are determined on a case by case basis. The SBLC will be issued to the outside investor to secure their $2 million investment.

In Conclusion!

In a few cycles you can meet your financial goal. If this is construction project you have it paid for before you put the first shovel in the ground.  A novel concept that allows you to control, protect and grow your investment while eliminating any cost and/or future debt. This is a very simple, easy and inexpensive way to fund your project.

Again you need an acceptable project to fund to be eligible. We want projects that provide humanitarian and economic benefit to society in general.  Projects are eligible in all countries that are friendly to the United States.

What ASA Group’s Role!

ASA is an official intake manager of your compliance package. ASA manages the intake and submission of the compliance submission package to the provider. All packages come to Joe Tufo at joe@joetufo.com). ASA will take an equity position in the project and may charge a fee for service rendered.

Go to pages 5 and 6 for the CIS and LOI forms that need to be executed and submitted with the executive business summary!

Client Information Sheet (CIS)

Corporation Name: (If Applicable)

Address:

Telephone Number:

Facsimile Number:

Signatory Name:

Date and Place of Birth:

Nationality:

Passport Number:

Date of Issue of the Passport:

Expiry Date of the Passport:

Title within the Corporation:

Home Address:

Home Telephone Number:

Home Facsimile Number :

E-mail Address:

Do you speak English?

If no, what language?

If English is not listed, please provide the name and co-ordinates of a person you designate to translate from English to your preferred language.

Translator Name:

Translator Address          :

Translator Telephone Number:

Translator Facsimile Number:

Translator E-mail Address:

LETTER OF INTENT

__________________________________________________________________________________________

To: Mr. Trask and Mr. Smith

RE: Private Investment Program

Please consider this letter to be our firm intent to participate in a Private Investment Program, for which we intend to place Cash Funds of $2 million USD into the Commercial Escrow Service (CES) escrow account in my name.

We further confirm that you or your company did not solicit this transaction and that this transaction entails no payment of any upfront fees for services you or your company may provide to us. Furthermore, we acknowledge that we had prior knowledge of Private Investment Program opportunities before having encountered your organization and that this is a non-securities transaction according to the current applicable Securities and Exchange Acts and Amendments.

Facsimile and/or electronic documents, when properly endorsed, are hereby declared to be treated as originals, until such time as the originals are received at your offices.

We mutually agree that this Private Investment Program transaction is exempted from the Securities Act, and it is not intended for the general public knowledge or disclosure. All materials are for our private use only. Additionally, we confirm that there has not been any offer to buy or sell securities.

We confirm that all statements herein are true and made under the penalty of perjury in International Law.

Signature:

Print Full Name

Position

Passport Number

(Today’s Date)

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Disclaimer: By reading this disclaimer you acknowledge that this is an unsolicited communication of privileged and confidential information.  We are not a United States Securities Dealers or Brokers or United States Investment Advisers. We are acting only as intermediaries between buyers and sellers.

Joseph P. Tufo, President