REPLACE DISCOUNTS WITH PROFITS

WIR AND ATS ARE SELF-CONTAINED, ECONOMIC, FINANCE, CREDIT AND MONETARY SYSTEMS

Case Study: ABC Hotel with 10M in annual corporate sales, an acceptable amount of estimated unused and unsold capacity (vacancies plus discounts). The actual cost to outsource 5% in additional sales is set at 25% of the sale,​ always done using rack rates, which, together with our costs of 15% (sales commission of 10% and administrative cost of 5%), results in a total cost of 40%. 

THE I.C. (Incremental Cost) FACTOR or BREAK-EVEN POINT

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Problem: Hotels’ biggest challenges are Vacancies and Discounts.

Reno, Nevada  89521

Like its Swiss counterpart, the American Trade System and the private currency, the ATS Dollar, make for​ a self-contained, private, economic, finance, credit and monetary system that delivers spectacular results for clients and well-paid sales positions. It contributes to the economy by monetizing a portion of the unused and unsold inventory and capacity of qualified companies. 

CONSTRUCTION

1.  ATS brokers work with the hotel sales department to market, over the fiscal period, $500,000 in

    hotel services and generate $250K in cash and 250K in ATSD, which are placed in the trade account.

PROFESSIONAL SERVICES

Ownership and Management

The Principals of the Hawk Group are Ezio and Rebecca Valentini. Their 40-year old life and business partnership has evolved using propritary  sales methodologies that deliver results unimaginable using traditional methods..     MORE >>

​REPLACE DISCOUNTS

WITH PROFITS

While a credit line is in use, a member pays interest, in Swiss Francs, at the rate of 2% per year, while the principal is retired using WIR Francs. Currently, the WIR system has 1.3B in extended credit to members. Sales are at 6.5B and, in 2016, our sales team was responsible for 217M, of which 47.5M were hotel corporate sales. 

Innovations include a unique financial model, based on the I.C. Factor (Incremental Cost) and the use of a private currency, and a new, ground-braking, sales and marketing methodology.   

OSPs to Hotels

A line of credit, in WIR Francs, is extended with an agreement calling for:

1.  Being in one of the required sectors. (Hospitality, Construction, Manufacturing, Retail and Services)

ABC Hotel with 10M in sales, 9M in expenses and 1M in profit. Income is​ exclusive of revenue from consumers and not-for-profits. The business’ unused and unsold capacity is estimated at 10M and the I.C. Factor at 40%. From the data, a Trade Budget of $500,000 (5% of 10M) is extrapolated, representing the amount of business that will be conducted with the hotel during the next fiscal period.   

We contract with a hotel, in advance, on the amount of corporate business to be done during the fiscal period and, then, we generate enough deals to meet the goal. We have negligible effect on the   hotel’s existing operation.​ 

HOSPITALITY

The line of credit to be secured.

WIR Francs to be used to repay the principal on the loan. 
Interest payments to be made, in cash, while the credit line is in use.   

​​We provide services to the Hospitality,RetailConstructionManufacturingand Services sectors. We launched a sales initiative, in Switzerland, in conjunction with the WIR Trade System. In the first 13 months of operation we hired 112 brokers. 

$20M is estimated assuming 100% of the facility is used 100% of the time at rack rates. $10M is the actual cash sales volume. The Trade Plan calls for $500,000 to be purchased for $250,000 in cash and 250,000 in ATSD (American Trade System Dollars), used by the procurement department to replace U.S. Dollars, resulting in additional profits.

​​American Trade System (ATS) – The model is a duplicate of the Swiss system and is being launched by the Hawk Group to provide services to the American marketplace.   

Cash Conversion. Members of the WIR and ATS systems avoid discounts by selling at rack rates and receiving a portion of the sale in cash and a portion in the private currency, which is converted to cash by using it to make dual-currency purchases. 

Copyright 2017 © Hawk Group, LLC 

Corporate History 

The Hawk Group operates internationally and, in the U.S., has formed and operated 26 companies. The Hawk Group is debt-free, profitable and has a spotless record.   MORE >>

WIR Francs earned from the transaction are placed in the trade account and made available to us and the hotel procurement department to conduct dual-currency purchases and spend the WIR Francs. Management knows, exactly, the increase in taxable profits generated by the trade activities.

At the end of the fiscal period, the hotel will have a net gain of $50,000 ($250K -$200K) on the cash transactions and, after the 250,000 ATSD have replaced U.S. Dollars,​ a net taxable profit of $300,000 is realized.

A Trade Budget of $500,000 (5% of 10M) is established for the next fiscal period, to be conducted with $250,000 in cash and 250,000 in American Trade System Dollars (ATSD). 

Hawk Group

RETAIL COMMERCE

4. Having a quantifiable cost to generate additional sales in an amount not to exceed 5% of cash sales.

New uses for digital currencies are emerging. A Swiss group created the WIR Trade System and its private digital currency, the WIR Franc. 

WIR original members brought clients and vendors to the System and, today, 20% of all Swiss businesses are members, 60,000 in total, generating 6.5 billion dollars in volume. There are 100s of Swiss hotels and restaurants as members and the current aggregate amount of credit extended by the System is $1,355,000,000.  

​​​ DUAL-CURRENCY TRANSACTIONS: A PATH TO HIGHER PROFITS

ABC HOTEL

DIGITAL CURRENCIES  -  WIR Case Study

MANUFACTURING

Knowing the I.C factor allows the seller to quantify the profit margin on each transaction. The offers we present always have more cash than the I.C. Factor, therefore, the seller knows, even at that point, the transaction is cash-flow positive and profitable.   

We operate as Outsourced Service Providers (OSPs) and generate additonal business for qualifed participants. We use a cloud-based sales force to market unsold inventory at rack rates and eliminate discounts

After a client is admitted, an account is opened. WIR Francs are used, in combination with Swiss Francs, to conduct buying and selling transactions. WIR Francs are placed in circulation, exclusively, through​ extension of secured credit to members.  

​​​Projects Completed

The Company operates as a, third-party, sales contractor developing teams, specifically, for each project undertaken. For a partial list of projects completed.   MORE > >

2. Conducting a certain amount of corporate sales annually. 

​​Switzerland’s WIR Trade System (WIR) – Transactions are made using a combination of Swiss Francs with a private, asset-backed, digital currency, the WIR Franc. Members meet strict qualifications for participation and the amount of trade business they conduct is dictated by the amount of cash business done and the amount of unused and unsold inventory.

We are a well-established, cloud-based, B2B, Outsourced Services Provider (OSP), a sales organization with European and U.S. operations. We provide services to the Hospitality, Construction, Manufacturing, Retail and Professional Services sectors and create large corporate profits for qualified companies.

2. ATS’s brokers work with the hotel’s procurement department to spend the ATSD by making dual-

    currency purchases, with qualified vendors, resulting in 250,000 ATSD to be spent and $250K in

    cash to be saved and added to the profit.

A Master Agreement is executed, quantifying the I.C. Factor (40%) and the Trade Budget ($500,000), to be done for 50% cash ($250K) and 50% ATS Dollars (250K), our trade currency. During the fiscal period, our brokers provide the hotel with proposals that result in the generation of enough​ dual-currency sales to acquire 250,000 ATS Dollars, while providing similar proposals to generate enough​ dual-currency purchases to spend the ATS Dollars, generating the predetermined profit. 

DUAL-CURRENCY TRANSACTIONS 

A Path to Cash and Profits

The I.C. Factor is expressed in a percentage and refers to the actual, real, cost a company incurs when outsourcing sales to an OSP with its own marketing and sales mechanism. It’s the “break-even point” and, across the industries, ranges between 0% and 35%. An I.C. Factor over 35% disqualifies the company.

A company qualifies for participation in ATS by:

Solution: Sell a portion of the unused and unsold capacity and accept, as payment, a portion in cash and the rest in a different form of money, a digital currency that can ​ immediately be converted to cash

A New, Technology-Powered, Sales Channel

The Hawk Group

At the end of the fiscal period the hotel will have sold $500,000 in services at a 60% profit margin, generating $300,000 in additional net profit.   A construction company with 100M in sales, an I.C. Factor of 45% and 5M in Trade Budget generates $2,750,000 in net profit annually. A restaurant with 1M in annual sales, 900K in expenses and 100K in profit with a 40% total I.C. Factor and a $50,000 Trade Budget, will deliver $30,000 in net profit.   

The additional business is not going to increase debt service, payroll, leases, insurance, advertising, etc. Those costs are included in the 9M in cash expenses. The I.C. Factor contains only​ costs directly incurred providing the additional services. which can be below 10%.  For the purpose of this presentation and keeping in mind that some of the services will include the cost of food and beverage, franchise and other fees, we will use 25% as the I.C. Factor. A 10% commission is added and 5% for the System’s charges for a total of 40%, therefore, the cost of delivering $500,000 in hotel services, is $200,000.

The American Trade System (ATS) is a wholly-owned subsidiary of the Hawk Group and was organized using the Swiss system as a model. It issues and manages the System’s private currency, the ATS Dollar.

The Trade Budget requires 2 operations, carried out simultaneously: 

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​​​3. Having a certain amount of unused and unsold capacity.

The American Trade System (ATS) and the ATS Dollar, its Private Digital Currency

NOTE: The website is specific to the hospitality sector, however, the methodology works for all sectors.

Companies must:

​​Cash is king. Cash is used, universally, to conduct business because everyone accepts it. In a cash-only environment, a seller’s primary method of generating additional sales is to discount the product or service. A qualified seller can avoid discounts by accepting, as part payment, a digital currency that  can quickly be converted to cash. There are currently two such currencies, with supporting systems, in existence:  

The I.C. FACTOR and TRADE BUDGET






WIR and the AMERICAN TRADE SYSTEM (ATS)

The model resembles a banking operation, however, not subject to banking or securities laws. To take part, companies must be in the Hospitality, Construction, Manufacturing, Retail or Service sectors.

The membership of the WIR and ATS systems is made up, exclusively, of companies in the Hospitality, Construction, Manufacturing, Retail and Services Sectors. Companies in those sectors spend a significant amount of their budget purchasing goods and services from the other four sectors, which allows for the private currency to be used, in combination with cash, to make sales, and purchases, causing a large increase in the companies’ taxable income. 

Be profitable and conduct a certain amount of corporate business.
Have a certain amount of unused and unsold capacity or inventory.
Be able to generate a certain amount of additional business at a low cost.

The American Trade System (ATS), a subsidiary of the Hawk Group, was created using the WIR System as a model. In 1934, 15 Swiss businesses, including 3 hotels, formed the WIR Trade System, designed to issue and manage a private form of money, the WIR Franc, used, together with Swiss Francs, to generate dual-currency buying and selling transactions between members. Companies must: 


In a cash-only environment, the seller can only use discounts to entice a sale. In a dual-currency environment the buyer uses less cash to purchase and the seller receives full payment, in cash, for its product or service. 

Knowing the I.C. Factor allows the hotel’s decision-makers to take  steps, including the  use of the private currency, to increase profits.

Transactions are facilitated by the system’s ability to extend secured credit, in ATSD, to complete a transaction when the buyer does not have the required balance in the Trade Account.