EASY DAISY

5.1 Product Development A plethora of options are available to satisfy Kio Entertainment requirement for quality manufacturing and reproduction. Kio Entertainment will outsource this function to one of many manufacturing outfits in the industry. These vendors will be selected based upon quality of product, ability to meet delivery deadlines, payment terms, inventory and storage options, as well as price. Kio Entertainment has been offered distribution of products of some well-known companies. A working relationship with these companies will allow Kio Entertainment to readily expose its music products to the world’s largest music markets, while generating some funds 5.2 Internet Strategy In response to the growing popularity and necessity for a presence on the Internet, Kio Entertainment has create and design a web presence for itself. Utilizing the latest web site technology, Kio Entertainment web site will be intended to advertise the company, announce and advertise new releases, sell company products and merchandise and offer e-mail communication. Furthermore, utilizing the latest technology, visitors to the web site will be able to sample music clips from Kio Entertainment artists. Kio Entertainment will create space on its web site for each artist signed to the company. Allowing for increased public exposure, the public will be able to learn more about the artist or group. 5.3 Marketing Strategy Kio Entertainment has formulated a simple but successful approach to market its products. The chief marketing objective for Kio entertainment pre-recorded music, video and programming products centers on the design and implementation of a strategy that will cost-effectively deliver that product to the intended target market. This will be achieved through a marketing plan consisting of the following tools: publicity, community outreach, advertising, art direction, radio promotion, independent promoters, broadcast music videos, touring, retailer co-op advertising, motion picture tie-ins, alternate distribution outlets, Internet, dance club promotions, mailings & telephone follow-ups. 5.4 Sales Strategy Considering the onslaught of product released to the music/video market each month (1,200 new releases) worldwide, it is crucial to ensure the visibility of each project. The financial success of an album can be guaranteed through the establishment of proper marketing and promotion budgets. With properly established budgets, Kio Entertainment will generate large streams of profits from each of its projects. The marketing and promotion budget will be divided into twelve to fifteen-month campaigns, each consisting of three phases: “single” promotion through music video and airplay; media exposure through radio, television, and online; and full length album release and promotion. 5.5 Strategic Alliances Major Recording companies frequently invest in independent labels when confidence in the company’s roster and management exists. In these strategic alliances and joint ventures, the larger company may invest money to: a) assist in completing album projects, b) hunting for talents and upcoming artistes and c) assist with marketing and promotion plans. Kio Entertainment will utilize its considering the onslaught of product released to the music/video market each month (1,200 new releases) worldwide, it is crucial to ensure the visibility of each project. The financial success of an album can be guaranteed through the establishment of proper marketing and promotion budgets. With properly established budgets, Kio Music will generate large streams of profits from each of its projects. The marketing and promotion budget will be divided into twelve to fifteen-month campaigns, each consisting of three phases: “single” promotion through music video and airplay; media exposure through radio, television, and online; and full length album release and promotion. Company founders have had discussions with numerous record labels across the country that are interested in working with Kio Entertainment. Partnerships with these companies will be dictated by the strength of company management, the quality of both their artistes and product, and the size of their marketing and promotion budget. 5.6 Operations Each of the label Vice Presidents will be directly responsible for all of the functions within their particular label, including Marketing/Sales, Artist Development, Publicity, Promotion, Artist Relations, Artist &Repertoire, and Creative Services. Label Vice Presidents will solely handle the majority of these functions for their particular label with the assistance of shared administrative staff. As each label grows in terms of sales revenue and the number of recording artistes, additional staff will be added to provide necessary support. Wherever possible and feasible, staff will be shared between labels in an effort to minimize unnecessary overhead. 5.7 Goals Build a profitable, reputable and stable entertainment company. Achieve profitability and month-to-month positive cash flow by the end of 2023 Fulfill required fiduciary responsibilities to investment partners Position the company to allow investment partners, founders and employees the opportunity to financially capitalize on Kio Entertainment profitability. 5.8 Exit Strategy As Kio Entertainment reaches profitability and becomes a stable operation, several lucrative exit scenarios become viable. Kio Entertainment may be acquired by a major record company, or the shareholders may liquidate their ownership positions through sale of shares to management or outside investors.

6.1 Organizational Structure Kio Entertainment follows a typical hierarchical structure with each label’s Vice President reporting to the President, who in turn reports to the Board of Directors. 6.1 Organizational Structure Kio Entertainment follows a typical hierarchical structure with each label’s Vice President reporting to the President, who in turn reports to the Board of Directors. cal hierarchical structure with each label’s Vice President reporting to the President, who in turn reports to the Board of Directors. 6.2 Leadership Olusina Olayiwola Odugbemi of Zmirage Entertainment Company. President and Chairman of the Board, provides the vision for Kio Entertainment future. With his vast experience in the entertainment industry Shola Omolola operate as Kio Entertainment COO/CFO. Kehinde Kayode Johnson of Kenny Yankee record label as the vice president has developed a varied background of experience in the industry. Most recently, he has concentrated on his solo career which has produced albums for Star. Due to his experience in the music market, Mr Kehinde has developed a solid network of personal contacts with radio promoters, musicians, producers, and executives. These affiliations are invaluable to Kio Entertainment and will allow the company to make an instant impact in the marketplace. 6.3 Staff Members A qualified, experienced and talented staff has been selected to operate Kio Entertainment and its associated labels. Staff members have honed their skills in the areas of project production, artist & repertoire, marketing and artist promotion. In fact, these individuals have produced and marketed projects which have earned nominations for Awards. This assemblage is poised to utilize its combined skills to ensure the growth and profitability of Kio entertainment

7.1 Requirements Kio Entertainment is offering several simultaneous investment opportunities to cater to short and long-term investor needs and requirements. Kio Entertainment seeks to keep the structure of the financing simple and flexible. 7.2 Use Of Funds Funds will be used to establish corporate offices, maintain overhead expenses, acquire and secure artistes, fund project production budgets, and fund multi-faceted marketing and promotion budgets. 7.3 Income Statement Projections Kio Entertainment projects revenues of over 2.7 million Profits in 2022 ending are expected to be 1.5 million. Kio Entertainment will generate the majority of its revenue from the different musical shows, seminars and monthly parties. For purposes of revenue forecasts, management has projected varying unit volumes for each of its projects. Kio’s marketing plan/budget for its projects, the following unit projections will be quickly attained and surpassed. Kenny Yankee record label Quarantine record label Additional Kio’s profit centers includes distribution services, video sales revenue, merchandise sales revenue and concert promotion revenue. Initially representing less than 5% of the company’s revenues, the magnitude and scope of these areas will increase as Kio Entertainment and its artists’ reputations grow. 7.4 CASH FLOW PROJECTIONS After 23 months, Kio Entertainment will become cash flow positive and self-sustaining. The company will maintain a cash balance of at least nine months of operating expenses to ensure an adequate buffer for collecting receivables and unforeseen costs associated with this industry. 7.5 Balance Sheet After four years, it is projected that Kio Entertainment will hold approximately 40 million in cash and liquid assets, with a total assets equating to over 68 million. With only 2.7 million in liabilities, retained earnings are projected to grow quickly, leading to higher net worth for stockholders. 7.6 Assumptions Accounts Receivable – A/R are conservatively projected with 45% of A/R collections occurring in a 1-29 day period and the remaining 55% in a 90-120 day period. The majority of accounts receivable will be outstanding from the distribution company, which receives payment directly from retailers and will subsequently remunerate Kio Entertainment. Because of the extended nature of A/R in the industry (typically 60 days), Kio Entertainment will utilize A/R Financing to assist its cash position in the first two years of operations, or longer. A 3.5% A/R financing fee is incorporated in the financial model. The size, strength and reliability of Kio distribution partners will provide a traditional financial institution or an A/R Factor with the proper security to create a working relationship for Kio entertainment’s paper. Inventory – Inventory for upcoming artist and upcoming music concert has been conservatively projected. Kio’s financial model calculates inventory purchases in the following manner: 30%-60 days prior to sale and 70% – 30 days prior to sale. And promotional products will be kept on hand at Kio’s corporate offices Accounts Payable – For purposes of this financial model, A/P is separated into two categories: Manufacturing A/P, and Artist Royalty/Mechanical A/P. Adhering to the conservative approach, the model is constructed with Manufacturing A/P being paid in the same month that the expense is incurred. Artist Royalties will be accumulated and paid bi-annually, in August and February. Project Production Budgets – These vary depending on the genre of the project. Established relationships and affiliations in the industry enable Kio Entertainment to produce its projects over a ninety-day period, for approximately half the typical cost paid by a major label record company. Projects produced through Kenny Yankee record label require =N=121, 000, quarantine Recording’s projects require =N=80, 000 Marketing & Promotion Budgets – These vary depending on the particular genre of music. Projects produced and released from Kenny will be allocated approximately =N=781, 000 while =N=390, 000 will be slotted for quarantine record label. Marketing budgets will expire through the course of twelve-month marketing campaigns.

8.1 Exceeding Expectations With us by your side, you need not lie awake at night, we take care of you and give you the best possible advice or help. The driven consultants ensure that the project is successfully completed and together with you we realize results that exceed expectations.