Professional Documents
Culture Documents
Copyright © 2010 President and Fellows of Harvard College. No part of this product may be reproduced, stored in a retri
any form or by any means—electronic, mechanical, photocopying, recording or otherwise—without the permission of Harv
reproduced, stored in a retrieval system or transmitted in
thout the permission of Harvard Business School.
Exhibit 6 Access Series A Term Sheet: June 4, 1994
Total Percentage
Name or Entity Class of Stock Number of Shares Ownership
Existing Investorsb Common (Class A and B) 7,931,060 61%
New Investors Series A Preferred 2,500,000
Warrants to Purchase 19%
Series A Preferred 375,000 3%
Reserved for Management and
Employeesc Common (Class A and B) 2,143,846 17%
Total 12,949,906 100%
a
While the term sheet was prepared assuming the sale of 2.5 million shares, 2.22 million shares were actually sold.
b
Includes 157,677 shares issued as part of the Fuller Research & Development Company merger, 389,820 shares issued pursuant to
restricted stock grants and 1,087,962 shares subject to options granted to Daniel R. Kranzler.
c
Excludes 643,600 shares reserved for future grant.
Exhibit 7 Historical Financial Performance and Projected Growth of
AccessLine Technologies, Inc.
1993
Revenue
Systems revenue $7,551,090
Licensing and maintenance 808,699
Total revenue $8,359,789
Operating expenses
Sales, general and administrative 4,985,320
Engineering, research and development 1,421,099
Total operating expenses $6,406,419
Assets 1993
Current assets
Cash and cash equivalent $50,337
Accounts receivable 685,962
Inventory 823,181
Prepaid expenses and deposits 240,482
Total current assets 1,799,962
Property and equipment, net 638,503
Total $2,835,258
Current liabilities
Accounts payable $1,946,739
Accrued wages, benefits, taxes 413,597
Other accrued liabilities 256,854
Deferred revenue 1,628,506
Total current liabilities $4,245,696
Total $2,835,258
AccessLine U.S.subscribers:
Penetration of cellular, paging & PCS 0.05% 0.17% 0.51% 1.14% 2.12%
Placement Agent: Morgan Stanley & Co. Incorporated (the “Placement Agent”) on a “best
efforts” basis. The Company will pay in cash a placement fee equal to
5% of the aggregate offering proceeds.
The capitalization of the Company giving effect to the Financing will be as follows:
Total Percentage
Name or Entity Class of Stock Number of Shares Ownership
a
Includes 1,087,962 shares subject to options granted to Daniel R. Kranzler.