Since the Company was founded 35 years ago, it has invested in building out an independent contractor network and associated technology platform that are now well established and continue to generate positive cash flow from existing compliance services offered to clients. This network asset provides clients with broad geographic service range coverage across the US and even in some areas of Canada, independent contractors are currently utilized to provide services both directly on-site at client locations and virtual/remote services depending on the project. The technology the network relies upon provides easy onboarding and orientation for new contractors including field agent certification programs, comprehensive tools for data capture on projects and QA/QC functions, geo-targeted features for contractor scheduling, and efficient enterprise management tools for client reporting features, onboarding and project configuration options for clients.

The Company currently provides compliance services to notable national brands; however, management believes that with the breadth and depth of their contractor network, its highest and best use may be a transition to an entirely different application depending on the buyer’s existing business or services. The database of contractors supports nearly 300,000 individuals who are available for project-based work throughout the US, select US territories and Canada. The Company’s investments in supportive technology help provide a streamlined and seamless experience for clients and contractors alike. With customizable APIs and web applications, client reporting applications can easily be redeveloped to meet new client needs depending on how a buyer deploys this asset. The opportunity provides for immediate accretive cash flow upon acquisition, with the ability to leverage the network and technology assets for any new, more lucrative use-cases an acquirer may pursue.

The Company boasts ISO 9001 certification as a testament to the Company’s commitment to quality and efficiency in its processes. In certain cases, the ISO 9001 certification has allowed the Company to bypass typical compliance documentation requirements in industries like credit reporting. In its current form, the Company is incredibly lean, IT, HR and accounting functions are all outsourced allowing the business to prioritize its core operations or for a buyer to easily integrate the independent contractor network and technology into an existing business structure. The quality assurance and control team that reviews contractor project work and report submissions are highly experienced and capable of leveraging their review skills in virtually any project context. In addition to the certifications and experience of internal staff, the Company’s network model for independent contractors has passed multiple labor audits from organizations such as the California Franchise Tax Board, affirming the validity of their established independent contractor model.

The scalability of this platform and the ability to leverage a large network of contractors across a wide geographic range is available to buyers to facilitate significant capacity expansion for a buyer’s existing business, or even substantial cost savings by potentially eliminating third-party vendor services a buyer’s business may rely upon, eliminating the extra expenses associated with the vendor’s margin that is included in the cost of that service/expense category historically.