Académique Documents
Professionnel Documents
Culture Documents
___________
This document serves as record of my receipt of the Private Placement Memorandum dated April 2, 2010 for
Electricity on Location Manhattan, LLC, a Florida Limited Liability Company (the “Company”). I received a
copy of the document dated April ____ 2010, containing an Investment Summary, Business Plan, Accredited
Investor Questionnaire and Subscription Agreement.
I understand that this offering has not been registered with the Securities and Exchange Commission nor any
State Division of Securities and is not required to be so registered.
I agree to maintain in confidence the information set forth in this document, together with any other non-
public information regarding the Company obtained from the Company or its agents, during the course of the
proposed offering, and to return this document to the Company in the event that I do not elect to participate in
the offering.
$10,000,000.00
100,000,000 Units out of a total of 200,000,000 Units equaling a 50% ownership stake
1 Unit = $0.10
_________________
ELECTRICITY ON LOCATION MANHATTAN, LLC (“EOLM” or the “Company”) is hereby offering for sale up
to 100,000,000 Units. The offering is available to accredited investors only as that term is defined under the
Securities Act of 1933, as amended, (The “Securities Act”) Rule 501 and select amount of non-accredited
investors, with Subscription acceptance to be determined at the Manager’s sole discretion.
These securities are offered pursuant to an exemption from registration with the United States Securities and
Exchange Commission (the “Commission”) contained in sections 4(2) of the Securities Act of 1933 and Rule
506 of Regulation D promulgated there under. No registration statement or application to register these
securities has been or will be filed with the Commission or any state securities commission. These securities
are subject to restrictions of transferability and resale and may not be transferred or resold except as
permitted under the Securities Act of 1933, as amended, and the applicable state securities laws, pursuant to
the registration or exemption there from. Investors should be aware that they may be required to bear the
financial risk of this investment.
THE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION NOR HAS THE SECURITIES
AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON THE
ACCURACY OR ADEQUACY OF THIS MEMORANDUM. ANY REPRESENTATION TO THE CONTRARY
IS A CRIMINAL OFFENSE.
THE U.S. SECURITIES AND EXCHANGE COMMISSION DOES NOT PASS UPON THE MERITS OF ANY
SECURITIES OFFERED OR THE TERMS OF THE OFFERING, NOR DOES IT PASS UPON THE
ACCURACY OR COMPLETENESS OF ANY OFFERING CIRCULAR OR SELLING LITERATURE. THESE
SECURITIES ARE OFFERED UNDER AN EXEMPTION FROM REGISTRATION; HOWEVER, THE
COMMISSION HAS NOT MADE AN INDEPENDENT DETERMINATION THAT THESE SECURITIES ARE
EXEMPT FROM REGISTRATION.
The Offering, unless extended, will be terminated on June 1, 2010. The Company may extend the Offering
without notice to subscribers. The Company may accept or reject these subscriptions obtained in the Offering
in whole or in part for any reason. Except as required by certain state's securities laws, subscriptions which
are accepted by the Company may not be withdrawn by any subscriber. See “Terms Of The Offering.”
The Offering is not underwritten and is being offered on a “best efforts” basis by the Company through its
Manager and members. The Company has set a Maximum Subscription amount of $10,000,000. All
proceeds from the sale of Units will immediately be available for use by the Company at its discretion. This
Offering may also be sold by FINRA member brokers or dealers who enter into an agreement with the
Company, who will receive commissions of up to 10% of the price of Units sold. ELECTRICITY ON
LOCATION MANHATTAN, LLC reserves the right to pay expenses related to this Offering from the proceeds
of the Offering.
Page 2 of 56
Minimum Investment (1
$0.10 $0.006 $0.094
Unit)
$10,000,000 $600,000 $9,400,000
Maximum Offering
(i) The minimum Subscription requirement is $0.10 for a full Unit, unless waived by the Company.
(ii) The Company may pay commissions or fees to licensed broker-dealers and/or finders in an amount not to
exceed 6%. This amount does not represent approximately $400,000 in estimated legal, accounting,
consulting, printing and other expenses to be incurred in this Offering.
(iii) The Units are being offered for sale by the Company on a "best efforts" basis.
The Offering will terminate on the earliest of: (a) the date the Company, in its discretion, elects to terminate,
or (b) the date upon which all Subscription funds for have been procured, or (c) June 1, 2010 or such date as
may be extended from time to time by the Company (the “Offering Period”).
Page 3 of 56
THE UNITS ARE BEING OFFERED FOR SALE TO ACCREDITED INVESTORS ONLY, SUBJECT TO THE
COMPANY'S RIGHT TO REJECT SUBSCRIPTIONS IN WHOLE OR IN PART. THE MINIMUM
SUBSCRIPTION IS 1 (ONE) UNIT FOR $0.10, SEE "SUITABILITY STANDARDS". THE SECURITIES
OFFERED HEREBY WILL BE SOLD SUBJECT TO THE PROVISIONS OF A SUBSCRIPTION
AGREEMENT (“THE SUBSCRIPTION AGREEMENT") CONTAINING CERTAIN REPRESENTATIONS,
WARRANTIES, TERMS, AND CONDITIONS. ANY INVESTMENT IN THE SECURITIES OFFERED
HEREBY SHOULD BE MADE ONLY AFTER A COMPLETE AND THOROUGH REVIEW OF THE
PROVISIONS OF THE SUBSCRIPTION AGREEMENT.
ALL PURCHASERS MUST CONTINUE TO BEAR THE ECONOMIC RISK OF THE INVESTMENT IN THE
UNITS FOR AN INDEFINITE PERIOD OF TIME. THE UNITS HAVE NOT BEEN REGISTERED UNDER
THE SECURITIES ACT AND MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF
REGISTRATION OR AN OPINION OF COUNSEL THAT SUCH REGISTRATION IS NOT REQUIRED.
THE COMPANY WILL MAKE AVAILABLE TO ANY PROSPECTIVE INVESTOR, PRIOR TO THE CLOSING,
THE OPPORTUNITY TO ASK QUESTIONS OF AND RECEIVE ANSWERS FROM THE COMPANY OR
PERSONS ACTING ON BEHALF OF THE COMPANY CONCERNING THE TERMS AND CONDITIONS OF
THE OFFERING, THE BUSINESS AND OPERATIONS OF THE COMPANY, AND TO OBTAIN ANY
ADDITIONAL INFORMATION TO THE EXTENT THE COMPANY POSSESSES SUCH INFORMATION.
EACH PERSON RECEIVING THIS MEMORANDUM ACKNOWLEDGES THAT (i) SUCH PERSON HAS
BEEN AFFORDED AN OPPORTUNITY TO REQUEST FROM THE COMPANY AND TO REVIEW, AND
HAS RECEIVED, ALL ADDITIONAL INFORMATION CONSIDERED BY IT TO BE NECESSARY TO
VERIFY THE ACCURACY AND COMPLETENESS OF THE INFORMATION INCLUDED OR
INCORPORATED BY REFERENCE HEREIN, AND (ii) EXCEPT AS PROVIDED PURSUANT TO (i) ABOVE,
NO PERSON HAS BEEN AUTHORIZED TO GIVE ANY INFORMATION OR TO MAKE ANY
REPRESENTATION CONCERNING THE UNITS OFFERED HEREBY OTHER THAN THOSE CONTAINED
HEREIN AND, IF GIVEN OR MADE, SUCH OTHER INFORMATION OR REPRESENTATION SHOULD
NOT BE RELIED UPON AS HAVING BEEN AUTHORIZED BY THE COMPANY.
THERE IS NO PUBLIC MARKET FOR THE SECURITIES OFFERED HEREBY, AND THERE IS NO
ASSURANCE THAT ONE WILL EVER DEVELOP. FURTHERMORE, THE TRANSFERABILITY OF THESE
SECURITIES IS SEVERELY RESTRICTED BY APPLICABLE SECURITIES LAWS. (SEE "RISK
FACTORS") THE OFFEREE, BY ACCEPTING DELIVERY OF THIS MEMORANDUM, AGREES TO
RETURN IT AND ALL ENCLOSED DOCUMENTS TO THE COMPANY, IF THE OFFEREE DOES NOT
SUBSCRIBE FOR UNITS WITHIN THE TIME PERIOD STATED BELOW.
Page 4 of 56
THE INFORMATION PRESENTED HEREIN WAS PREPARED BY THE COMPANY AND IS BEING
FURNISHED BY THE COMPANY SOLELY FOR USE BY PROSPECTIVE INVESTORS IN CONNECTION
WITH THE OFFERING. NOTHING CONTAINED HEREIN IS, OR SHOULD BE RELIED ON AS, A
PROMISE OR REPRESENTATION AS TO THE FUTURE PERFORMANCE OF THE COMPANY.
917-549-5388
Page 5 of 56
THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 PROVIDES A SAFE HARBOR FOR
FORWARD LOOKING STATEMENTS. IN ORDER TO CONFORM WITH THE TERMS OF THE SAFE
HARBOR THE COMPANY CAUTIONS THAT THE FOREGOING CONSIDERATIONS AS WELL AS A
VARIETY OF OTHER FACTORS NOT SET FORTH HEREIN COULD CAUSE THE COMPANY'S ACTUAL
RESULTS AND EXPERIENCE TO DIFFER WIDELY OR MATERIALLY FROM THE ANTICIPATED
RESULTS OR OTHER EXPECTATIONS IN THE COMPANY'S FORWARD LOOKING STATEMENTS.
-------------------------------------------
The Memorandum includes “forward-looking statements” within the meaning of Section 27A of the Act and
Section 21E of the Securities Exchange Act of 1934 which represent our expectations or beliefs concerning
future events that involve risks and uncertainties, including those associated with our ability to obtain
financing for our current and future operations. All statements other than statements of historical facts
included in the Memorandum including, without limitation, the statements under “Business” and elsewhere
herein, including the SEC Documents incorporated by reference, are forward-looking statements. Although
we believe that the expectations reflected in such forward-looking statements are reasonable, we cannot
assure you that such expectations will prove to have been correct. Important factors that could cause actual
results to differ materially from our expectations (“Cautionary Statements”) are disclosed in the
Memorandum, including without limitation, in connection with the forward-looking statements included in the
Memorandum. All subsequent written and oral forward-looking statements attributable to us or persons acting
on its behalf are expressly qualified in their entirety by the Cautionary Statements.
Page 6 of 56
THE UNITS ARE OFFERED AND SOLD PURSUANT TO EXEMPTIONS FROM REGISTRATION UNDER
VARIOUS STATE SECURITIES LAWS, AND UNDER THE FEDERAL SECURITIES LAWS. THE TERMS
OF THIS OFFERING HAVE NOT BEEN REVIEWED BY THE SECURITIES AUTHORITIES OF SUCH
STATES OR BY THE SECURITIES AND EXCHANGE COMMISSION.
THESE SECURITIES HAVE NOT BEEN RECOMMENDED BY ANY FEDERAL OR STATE SECURITIES
COMMISSION OR REGULATORY AUTHORITY. FURTHERMORE, THE FORGOING AUTHORITIES HAVE
NOT CONFIRMED THE ACCURACY OR DETERMINED THE ADEQUACY OF THIS DOCUMENT. ANY
REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
JURISDICTIONAL NOTES
The National Securities Markets Improvement Act (“NSMIA”) amended Section 18 of the Securities Act of
1933 to exempt from state regulation any offer or sale of covered securities exempt from registration
pursuant to Commission rules or Regulations issued under Section 4(2) and 4(6) of the Securities Act of
1933. The Company claims qualification pursuant to Section 18(b)(4)(d) and/or Section 18(b)(3) of the
Federal Securities Act of 1933, as amended (the "Act") and, as such, these securities are considered to be
"covered securities" pursuant to the Act.
Prospective investors are not to construe the contents of this document or any prior or subsequent
communications from the offerer as legal or tax advice.
Each investor must rely on his own representative as to legal, income tax and related matters concerning this
investment.
EVERY INVESTOR SHOULD BE AWARE THAT THE COMPANY HAS NO OBLIGATION, NOR DOES IT
INTEND, TO REPURCHASE THE UNITS FROM INVESTORS IN THE EVENT THAT, FOR ANY REASON,
AN INVESTOR WISHES TO TERMINATE THE INVESTMENT.
This document is Confidential and contains proprietary information. It is intended for the exclusive use of the
party of receipt. This document may not be reproduced either in part or in whole.
Page 7 of 56
THE UNITS OFFERED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OR
THE SECURITIES LAWS OF ANY STATE AND ARE BEING OFFERED AND SOLD IN RELIANCE ON
EXEMPTIONS FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND SUCH
LAWS. THE UNITS ARE SUBJECT TO RESTRICTIONS ON TRANSFERABILITY AND RESALE AND MAY
NOT BE TRANSFERRED OR RESOLD EXCEPT AS PERMITTED UNDER THE SECURITIES ACT AND
SUCH LAWS PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. THE UNITS HAVE NOT
BEEN APPROVED OR DISAPPROVED BY THE UNITED STATES SECURITIES AND EXCHANGE
COMMISSION, ANY STATE SECURITIES COMMISSION OR OTHER REGULATORY AUTHORITY, NOR
HAVE ANY OF THE FOREGOING AUTHORITIES PASSED UPON OR ENDORSED THE MERITS OF THIS
OFFERING OR THE ACCURACY OR ADEQUACY OF THIS OFFERING MEMORANDUM. ANY
REPRESENTATION TO THE CONTRARY IS UNLAWFUL.
THE UNITS HAVE NOT BEEN REGISTERED UNDER SAID ACT IN THE STATE OF FLORIDA.
IN ADDITION, ALL OFFEREES WHO ARE FLORIDA RESIDENTS SHOULD BE AWARE THAT
SECTION 517.061(11)(a)(5) OF THE ACT PROVIDES, IN RELEVANT PART, AS FOLLOWS:
"WHEN SALES ARE MADE TO FIVE OR MORE PERSONS IN [FLORIDA], ANY SALE IN
[FLORIDA] MADE PURSUANT TO [THIS SECTION] IS VOIDABLE BY THE PURCHASER IN
SUCH SALE EITHER WITHIN 3DAYS AFTER THE FIRST TENDER OF CONSIDERATION IS
Page 9 of 56
IF ANY INVESTOR ACCEPTS ANY OFFER TO PURCHASE THE SECURITIES, THE INVESTOR
IS HEREBY ADVISED THE SECURITIES WILL BE SOLD TO AND ACQUIRED BY IT/HIM/HER
IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER SECTION 49:3-60(b) OF THE
NEVADA SECURITIES LAW. THE INVESTOR IS HEREBY ADVISED THAT THE ATTORNEY
GENERAL OF THE STATE OF NEVADA HAS NOT PASSED ON OR ENDORSED THE MERITS
OF THIS OFFERING AND THE FILING OF THE OFFERING WITH THE BUREAU OF
SECURITIES DOES NOT CONSTITUTE APPROVAL OF THE ISSUE, OR SALE THEREOF, BY
THE BUREAU OF SECURITIES OR THE DEPARTMENT OF LAW AND PUBLIC SAFETY OF
THE STATE OF NEVADA. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL.
NEVADA ALLOWS THE SALE OF SECURITIES TO 25 OR FEWER PURCHASERS IN THE
STATE WITHOUT REGISTRATION. HOWEVER, CERTAIN CONDITIONS APPLY, I.E., THERE
CAN BE NO GENERAL ADVERTISING OR SOLICITATION AND COMMISSIONS ARE LIMITED
TO LICENSED BROKER-DEALERS. THIS EXEMPTION IS GENERALLY USED WHERE THE
PROSPECTIVE INVESTOR IS ALREADY KNOWN AND HAS A PRE-EXISTING RELATIONSHIP
WITH THE COMPANY. (SEE NRS 90.530.11.).
Page 16 of 56
Table of Contents
Exhibits
Page 17 of 56
Executive Summary
Electricity on Location Manhattan, LLC (“EOLM”, “we”, “us”, “our” or the “Company”) is a development-stage
company founded by Malcolm Bricklin, an internationally recognized entrepreneur and part of a core group of
environmental and industry experts who see a bright future for a world powered by alternative means of
sustainable energy sources, including the production of electricity on location for large commercial and multi-
unit residential buildings. Through Visionary Energy LLC, Mr. Bricklin has developed a proprietary small-scale
Air Turbine Technology, powered by the exhaust air flow from Heating, Ventilating and Air-conditioning
(HVAC) systems and from the regenerative breaking energy produced by commercial elevators, that, due to
its size, efficiencies and low cost of production can be incorporated into multiple applications, including
localized electric generators to power commercial/office, institutional and/or multi-unit residential buildings.
The technology will be first commercialized through Electricity on Location Manhattan, LLC (EOLM), a wholly
owned subsidiary of Visionary Energy, LLC (VE). A Limited Liability Company (LLC) structure will permit the
investors to receive pre-tax profits from EOLM. In order to provide liquidity for the Investors, it is anticipated
that within 12 months, EOLM could be converted to a ‘C ' corporation’ in order to prepare for a possible Initial
Public Offering (or alternate public vehicle structure).
EOLM will be used a template for additional Electricity on Location LLCs for other urban markets, such as
Los Angeles, Chicago, Dallas, Miami, etc; and once operational, these Electricity on Location LLCs could be
merged into a possible EOLM public vehicle in order to maximize unit holder values.
Electricity on Location Manhattan, LLC (EOLM) has been established as a micro-utility to deploy proprietary,
patent pending electricity-generating air turbines that are adaptable to urban applications, particularly
commercial/office buildings. EOLM has obtained the exclusive License from Visionary Energy, LLC
exclusively for Visionary Energy’s Air Turbine Technology for generating electricity for all commercial,
institutional and/or multi-unit residential properties in Manhattan, New York.
EOLM will be installing systems in commercial, institutional and/or multi-unit residential properties located in
Manhattan. Target locations can be a minimum of 5 KWh performance configurations and the company has
identified 69,000 commercial buildings in Manhattan that meet this criteria. To date, this marketplace, in the
heart of America’s most populated urban center, has been under-serviced by traditional wind energy
applications due to the constraints of size, weight, safety, wind patterns and cost. In addition to being under-
served by wind technology, NYC faces a serious crisis --- the Blue Ribbon Committee’s Report on NYC’s
future energy demands forecasted that NYC will be on electrical energy rationing by 2012.
EOLM will enter into Partnership Agreements with selected owners of properties that fit its criteria. These
agreements will provide for joint ownership of the air turbines and joint sharing of all revenue derived from the
Power Purchase Agreements (PPA) signed with the building owners to supply energy at a rate equal to the
then prevailing NYC rate (adjusted quarterly). Any excess energy produced by the facility will be sold back to
the grid in order to maximize revenues. It is estimated that the equipment and installation costs will run
$3,000 per Kilowatt (KWh) plus site specific installation cost (estimated to average $175,000 per 50 KWh
installation); these costs will be provided by the office building owner and Visionary Energy LLC.
At the anticipated Power Purchase Agreement (PPA) rate of $0.20/KWh (current utility rate of $0.22/KWh in
New York City) or $1,500 per year per KWh installed:
Page 18 of 56
• EOLM net profit, net of all management, maintenance, legal & accounting and Landlord (50% of net
Revenues) costs, are projected to be:
in excess of $3.5 million by the end first full operating year and are projected to
approximately double every year thereafter to a total projected to reach $43 million after 5
years and 1550 installations
in excess of $7.2 million by the end first full operating year and are projected to
approximately double every year thereafter to a total projected to reach $86.5 million after
5 years and 1550 installations
in excess of $10 million by the end first full operating year and are projected to
approximately double every year thereafter to a total projected to reach $125 million after
5 years and 1550 installations
As part of the exclusive License to develop Visionary Energy’s Air Turbine Technology for generating
electricity for all commercial, institutional and/or multi-unit residential properties in Manhattan, New York,
EOLM has been granted the rights to Visionary Energy’s Park ‘n Plug program for Manhattan. The program
outlined is found on page 40, but since it is anticipated that Park ‘n Plug ‘Manhattan’, once fully developed,
will be operated as a stand alone operation, it has not been incorporated into any of EOLM’s financial
projections.
Page 19 of 56
• Prototype wind turbines have been developed and a proof of concept Air Turbine has been established
and a provisional patent filed.
• Third party Computational Fluid Dynamic (CFD) and wind tunnel testing and final refinement of the most
efficient pitch and angle are to be commenced. Contracts will be completed with Wind Power Energy,
LLC, who, in conjunction with the consulting engineering and science firm of Rowan Williams Davies and
Irwin Inc. (RWDI), Dr. Gecheng Zha, Professor of Mechanical & Aerospace Engineering at the University
of Miami; all whom have specific expertise in taking the project through the appropriate and necessary
steps.
• Production engineering specifications to be contracted for first run through the manufacturing services of
West Gate Sheet Metal, who posses a monthly manufacturing capacity exceeding production
requirements.
• John Cavanagh, international construction expert and the former President and COO AMEC Construction
Management, Inc (formerly Morse Diesel), one of the largest construction enterprises in the United States
will head up and direct the Installation and Service team. Mr. Cavanagh’s extensive experience will
ensure that EOLM installations meet customer objectives and his team’s insight will be critical to the
continuous improvement business process.
• Jaros, Baum & Bolles, the engineering firm specializing in designing electrical systems for large
commercial and industrial buildings will be contracted to establish and integrate the connection from the
on-site turbine generator to the buildings electrical system.
• Site development team, including Management and Advisory team and additional personnel with the
credentials to gain access to major commercial and office buildings, have already
• Federal and State Incentives exist to reduce the procurement burden. These include the 30% Federal
Cash Grant on equipment and installation costs, Renewable Energy Technologies Investment Tax Credit;
Local Rebate Programs; Production Incentive; Sales Tax Exemption; State Grants, State Rebates; Utility
Grant Programs, Utility Loan and Utility Rebate Programs.
Page 20 of 56
ELECTRICITY ON LOCATION MANAHATTAN, LLC reserves the right to increase or decrease the number
of Units offered hereby and the price per Unit, to approve or disapprove each investor and reject any
subscriptions in whole or in part, in our sole discretion.
Use of Proceeds………….The net proceeds from the sale of the Units will be used primarily for wind tunnel
testing, system optimization, third party validation, production preparation,
equipment, as well as marketing expenses and general corporate purposes,
except as otherwise provided in the Memorandum. See "Use of Proceeds”.
Voting Rights………………The holder of each outstanding Unit will have the right to one vote for each Unit.
Such Unit Holder will be entitled to notice of any Member' meeting just as are
holders of Units, and will be entitled to vote, together with holders of Units.
Dividends……………………There are no dividends authorized, however the Company will distribute profits, if
any, as required under LLC charter.
Liquidation Preferences…...If there is any liquidation, dissolution, or winding up of the LLC, either voluntary
or involuntary ("Liquidation"), each Unit Holder will be entitled to receive, an
amount equal to the Unit Issue Price. If amounts legally available for distribution
to Unit Holders are insufficient to pay all Members, all available funds will be paid
ratably among the Members, so that each Member receives the same amount
with respect to each Unit held by them.
Risk Factors………………The Units offered hereby involve a high degree of risk. See "Risk Factors" set forth
in the Memorandum and any SEC Documents.
Restrictions on Resale…..The investor(s) who purchase any Units pursuant to this Offering will be restricted
from selling, transferring, pledging or otherwise disposing of any Units due to
restrictions under applicable Federal and state securities laws. If, for any reason,
the Units are transferred or sold, with the proper registration in place,
ELECTRICITY ON LOCATION, LLC has first right of refusal on all Units.
(a) Execute and deliver the Subscription Agreement attached hereto as Exhibit C.
Page 21 of 56
Who May Invest…………...The Units of the Company are being offered pursuant to this Memorandum solely
to persons who are "accredited investors" as defined in Regulation D
promulgated under the Act. See the Accredited Investor Suitability Questionnaire
attached hereto as Exhibit B.
Investor Suitability………..This Offering will be made pursuant to exemptions from registration provided by
Section 4(2) of the Act, Regulation D promulgated thereunder, and exemptions
available under applicable state securities laws and regulations. Persons
desiring to invest in the Company will be required to make certain representations
and warranties regarding their financial condition in the Subscription Agreement
attached hereto as Exhibit C. Such representations include, but are not limited
to, certification that the investor is an accredited investor. The Company reserves
the right to reject any Subscription in whole or in part in its sole discretion. See
“Suitability Standards.”
Plan of Distribution……….The Units are being offered on a “best-efforts” basis by the Company. The
Company reserves the right to allow broker/dealers which are registered as such
with the SEC and which are members of FINRA (“Placement Agents”) to sell the
Units. The Company may pay up to a 10% commission on the gross proceeds,
plus expenses, of any Units sold by such registered brokers. The Company may
conduct multiple closings (“Interim Closings”) up to the specified Offering amount,
at which time a final closing will be held (the “Final Closing”). The Offering will be
open until the Offering is reached or June 1, 2010, unless earlier terminated or
extended at the Manager’s sole discretion.
Subscriptions………………Investors who wish to subscribe for the Units may do so by executing the
Subscription Agreement attached hereto as Exhibit C and delivering the
completed materials and payment for the Units to the Company. A subscription
may not be considered for acceptance unless it is completely filled out and
properly executed and is accompanied by payment in full for the Units which are
being purchased. Subscriptions accompanied by payment in the form of a
personal check, if accepted, will be so accepted conditioned upon and subject to
clearance of the check and the Units will not be delivered until the check clears.
Funds accompanying any subscription not accepted by the Company will be
promptly returned to the Investor without interest thereon or deduction therefrom.
Resale of Units……………There is no public market for the Units. It is not anticipated or intended that one
will develop. This is a non-liquid investment. (See “Risk Factors” — There is no
public market for the Company’s Units.”) Further, there are substantial
restrictions on private resales.
Page 22 of 56
Suitability of Investors
The Units will be offered pursuant to applicable exemptions from the registration requirements of federal and
state securities law. Purchasers must be purchasing the Units for their own accounts and not with a view to
resale or distribution. Investors will be required to make representations to the Company consistent with such
requirements, see “SUITABILITY STANDARDS” below.
Method of Subscription
The subscription documents, specimens of which are attached to this Memorandum, include a Purchaser
Questionnaire (Accredited Investors) (Questionnaire) and a Subscription Agreement (the “Subscription
Agreement”). The Purchaser Questionnaire and Subscription Agreement constitute the “Subscription
Documents”. A person desiring to purchase Units must complete and sign the applicable Subscription
Documents and deliver these documents, to the Company at the address set forth on the Subscription
Documents. Subscriptions will be accepted by the Company until the Offering is fully subscribed or is
terminated by the Company. The full subscription price for all Units being subscribed for must be included
with the applicable Subscription Documents. The check, bank draft or money order for the subscription price
should be made payable to “ELECTRICITY ON LOCATION MANHATTAN, LLC.".
The Company reserves the right, in its absolute discretion, to reject in whole or in part, any subscription and
may, in its sole discretion, elect to accept subscriptions for fewer Units than are subscribed for by any
person. In the event that the Company rejects all or a portion of any subscription, an appropriate refund of
the subscription price, without interest, will be mailed to the subscriber. Subscribers may not revoke or
withdraw their subscriptions after acceptance by the Company. The Company reserves the right, in its
absolute discretion, to lower the minimum purchase of any prospective Investor.
A commission or fee of up to 6% may be paid in connection with the sale of Units to those persons who
effect sales of Units for the Company and to whom payment of such commission or fee may be lawfully
made. If all Units were to be sold by persons entitled to receive commissions or fees, the commission paid
would be $600,000.
Issuance of Certificates
Certificates for Units duly subscribed, accepted and paid for will be issued as soon as practicable after
receipt of each subscription. The Manager of ELECTRICITY ON LOCATION MANHATTAN, LLC shall act as
transfer agent for the Company and will issue all Units. All certificates will bear a legend restricting their
transfer except in compliance with applicable federal and state securities laws.
While the Company is a private company and is developing a market for its Units, the purchased
Membership Interests will contain a legend that identifies the Units as restricted from public trading consistent
with Rule 144. The Units will be deemed "restricted securities" under federal and state securities laws and
may not be sold, transferred, or otherwise disposed of except under certain limited circumstances and
conditions. Furthermore, it is unlikely that a lending institution will accept the Units as pledged collateral for
loans unless a regular trading market does develop.
Page 23 of 56
INVESTMENT IN THE UNITS INVOLVES A HIGH DEGREE OF RISK AND IS SUITABLE ONLY FOR
THOSE INVESTORS WHO HAVE SUBSTANTIAL FINANCIAL RESOURCES IN RELATION TO THEIR
INVESTMENT AND WHO UNDERSTAND THE PARTICULAR RISK FACTORS OF THIS INVESTMENT. IN
ADDITION, INVESTMENT IN THE UNITS IS SUITABLE ONLY FOR AN INVESTOR WHO DOES NOT
NEED LIQUIDITY IN HIS INVESTMENT AND IS WILLING TO ACCEPT RESTRICTIONS ON THE
TRANSFER OF THE UNITS.
INVESTOR SUITABILITY
Subject to the right of the Company to sell Units to no more than 35 persons who are not Accredited
Investors ('Non-Accredited Investors"), Units of the Company's will be sold only to those investors who
submit a Purchaser Questionnaire in the form attached hereto as Exhibit "B" establishing to the satisfaction
of the Company that:
1. The Investor is an "Accredited Investor" as such term is defined in rule 501 of Regulation D promulgated
under the Securities Act of 1933, as amended (the "1933 Act"), that is any person who comes within any
of the following categories, or who the issuer reasonably believes comes within any of the following
categories, at the time of the sale of the securities to that person:
a) Any bank as defined in section 3(a)(2) of the Act, or any savings and loan association or other
institution as defined in section 3(a)(5)(A) of the Act whether acting in its individual or fiduciary
capacity; any broker or dealer registered pursuant to section 15 of the Securities Exchange Act of
1934; any insurance company as defined in section 2(13) of the Act; any investment company
registered under the Investment Company Act of 1940 or a business development company as
defined in section 2(a)(48) of that Act; any Small Business Investment Company licensed by the
U.S. Small Business Administration under section 301(c) or (d) of the Small Business Investment
Act of 1958; any plan established and maintained by a state, its political subdivisions, or any
agency or instrumentality of a state or its political subdivisions for the benefit of its employees, if
such plan has total assets in excess of $5,000,000; any employee benefit plan within the meaning of
the Employee Retirement Income Security Act of 1974 if the investment decision is made by a plan
fiduciary, as defined in section 3(21) of such Act, which is either a bank, savings and loan
association, insurance company, or registered investment adviser, or if the employee benefit plan
has total assets in excess of $5,000,000 or, if a self-directed plan, with investment decisions made
solely;
c) Any private business development company as defined in section 202(a)(22) of the Investment
Advisers Act of 1940;
d) Any organization described in Section 501(c)(3) of the Internal Revenue Code, corporation,
Massachusetts or similar business trust, or partnership, not formed for the specific purpose of
acquiring the securities offered, with total assets in excess of $5,000,000;
e) Any director, executive officer, or general partner of the issuer of the securities being offered or sold,
or any director, executive officer, or general partner of a general partner of that issuer;
f) Any natural person whose individual net worth, or joint net worth with that person's spouse, at the
time of his purchase exceeds $1,000,000 (Net Worth may include home, furnishings and
automobiles);
Page 24 of 56
h) Any trust, with total assets in excess of $5,000,000, not formed for the specific purpose of acquiring
the securities offered, whose purchase is directed by a sophisticated person as described in Rule
506(b)(2)(ii); and
i) Any entity in which all of the equity owners are accredited investors.
2. Subscriptions will not be accepted by the Company from more than 35 Non-Accredited Investors.
Moreover, each Non-Accredited Investor will be required to meet one of the following criteria:
a) Have a minimum net worth of at least $200,000 (exclusive of home, home furnishings and
automobiles) or
b) Have a minimum net worth of at least $100,000 (exclusive of home, home furnishings, automobiles)
and during the last taxable year had and during the current taxable year expects to have a minimum
gross income of $60,000.
3. The Investor has such knowledge and experience in financial and business matters that he is able to
evaluate the merits and risks of an investment in the Units.
4. The Investor has the financial ability to bear the economic risk of an investment in the Units, adequate
means of providing for his current needs and personal contingencies and no need for liquidity in an
investment in the Units.
5. The Investor is acquiring the Units for his own account for investment and not with a view to resale or
distribution.
Page 25 of 56
The net proceeds to be received by the Company from the sale of the shares offered hereby, after deducting
the anticipated expenses of the Offering (including commissions, legal, consultants, travel, etc), are estimated
to be $9,000,000 assuming the sale of the shares offered hereby, of which there can be no assurance.
The amounts actually expended for each purpose may vary significantly depending upon a number of factors.
The Company reserves the right to reallocate the proceeds of this Offering in response to a variety of factors
and related contingencies.
The License from Visionary Energy LLC for exclusive rights for the exhaust Air Turbines for all buildings in
Manhattan includes site specific adaptation and final performance enhancements of the wind turbine
technology for EOLM’s projects to be provided by Visionary Energy LLC and it is projected to be completed
within the first three (3) to six (6) months.
As part of the License and upon payment of the License fee, Visionary Energy LLC will provide 50% of all
equipment and installation costs for each of the building projects undertaken by EOLM under the terms of the
License (the Landlord’s provide the other 50%). Visionary Energy LLC and each specific Landlord will split
any government grants available. EOLM will pay $5 million to Visionary Energy LLC for the exclusive
Manhattan License Rights; the remaining $5 million will be retained by EOLM for working capital.
As part of the exclusive License to develop Visionary Energy’s Air Turbine Technology for generating
electricity for all commercial, institutional and/or multi-unit residential properties in Manhattan, New York.
EOLM has been granted the rights to Visionary Energy’s Park ’n Plug program for Manhattan. The program
outlined is found on page 40 but since it is anticipated that Park ‘n Plug ‘Manhattan’, once fully developed, will
be operated as a stand alone operation, it has not been incorporated into any of EOLM’s financial projections.
Page 26 of 56
The Offering is a maximum of 100,000,000 Membership Interest (“Units”). The Units are being offered by the
Company on a "best efforts" basis by the officers, directors, agents and employees of the Company and may
be offered through broker-dealers who enter into selling agreements with the Company, if any, and who are
members of FINRA.
There is no firm commitment to purchase or sell any of the Units. The Offering will continue until (a) full
Capitalization or (b) June 1, 2010, subject to an extension or termination at any time, in the sole discretion of
the Company, for any reason. Other than this Memorandum and the Exhibits hereto, no offering literature
will be employed in the offering of the Units.
Subscriptions may be offered through the officers and certain representatives of the Company and by
selected registered broker/dealers on a best efforts basis. On Subscriptions placed by participating
broker/dealers, the Company may pay a commission of up to 6% of the aggregate capital placed.
It is contemplated that sales commissions may be paid to the Manager, members, agents and employees of
the Company engaged in the sale of Units. Further, the Company expects to incur certain administrative,
offering expenses and finder’s fees incurred in the normal course of completing such transactions.
METHOD OF SUBSCRIPTION
Each person intending to purchase the Units offered hereby, must deliver the following items to the
Company.
a) A check in the amount of $0.10 multiplied by the number of Units subscribed; and
b) A completed and signed "Subscription Agreement", a copy of which is attached hereto as Exhibit "A",
with the number of Units desired indicated thereon; and
c) A completed and signed "Purchaser Questionnaire", a copy of which is attached hereto as Exhibit "B".
Upon acceptance by the Company of a subscription, confirmation of such acceptance will be sent to the
subscriber. Unit Certificates may be sent to subscribers within fourteen (14) weeks of their acceptance.”
Page 27 of 56
We are assembling a board of directors and finalizing our appointment of key officers and directors which will
ultimately be comprised of founders, investors and independent directors with the requisite characteristics
associated with world-class organizations.
Mr. Bricklin has been the founder and CEO of national car companies, automotive importers, and alternate
energy technology organizations. Mr. Bricklin has over forty-three years of experience in designing,
engineering, manufacturing, importing and marketing automobiles. In 1968, he founded Subaru of America,
Inc., to import the Subaru automobile from Japan. This venture succeeded, in part, as a direct result of
Mr. Bricklin’s efforts in building a profitable and effective network of distributors and dealers.
Mr. Bricklin also created the innovative Bricklin SV-1 gull-wing safety sports car, which was the first of its kind
in utilizing acrylic and fiberglass panels, and a chassis capable of withstanding a high-velocity impact without
deformation – a first in automobile safety.
Mr. Bricklin founded International Automobile Imports to import and distribute the Pininfarina Spider and the
Bertone X1/9. He also formed Yugo America, Inc. to import the Yugo automobile which, during its launch
phase, sold over 160,000 vehicles, making it the fastest selling European import in automotive history.
He has devoted his energies to the development of electric vehicles and to alternative energy, particularly
energy cells, working closely with the Jet Propulsion Laboratory in Pasadena, California, and Adelan Ltd., in
Birmingham, England.
Mr. Bricklin has demonstrated the ability to build and lead profitable innovative organizations, fund large-scale
projects, assemble OEM suppliers into a cohesive technical network, and motivate others to commit to his
vision.
• Malcolm Bricklin
o Founder of Subaru of America, Yugo America, Bricklin Motor Cars, and most recently creator of
Visionary Vehicles
o Original exclusive importer of Pininfarina Spyder and the Bertone X1/9
o Co-founder of the Electric Bicycle Company which produced the EV Warrior – which started the
electric bicycle industry in North America
o Contributed to energy cell and hydrogen development in conjunction with the Jet Propulsion
Laboratory and Birmingham University, UK.
• Ron Pitcock
o A successful technology entrepreneur for over 35 years, including: Chairman and CEO of Iptimize, Inc,
a Voice over Internet Protocol Company (IPZI.PK), Chairman/CEO/President for HomeSync,
CEO/President and board member for ICC Speed cell, ComPath as a board member, Chairman and
CEO of LifeStyle Innovations (lfsi) and Integra5 as President and board member
o Co-founded and served as President of High Speed Access Corp. (HSAC), a high-speed Internet
access via cable: took the company public, raising $194 million with a market cap of $2.5 billion.
o Began his telecommunications career in 1974 as an engineer and chief technician; served on several
corporate boards, as well as social and government boards and agencies, which includes
Commissioner on the State of Colorado’s Science and Technology commission, board member SCI of
Denver, board of advisors for Coax Corporation; current member of the Cable Pioneers, an industry
Page 28 of 56
• John Cavanagh
o International construction expert and former President and COO of AMEC Construction Management,
Inc (formerly Morse Diesel), one of the largest construction enterprises in the United States.
o Appointed by Mayor Giuliani to head up the 9/11 Cleanup
o Worked closely with Mayor’s Blue Ribbon Committee’s Report on NYC’ future energy demands
(which forecasted that NYC will be on electrical energy rationing by 2012)
• Mitch Simpler
o Managing partner for Jaros, Baum & Bolles, the engineering firm specializing in designing electrical
systems for large commercial and industrial buildings. Projects have included the former Sears Tower
(now the Willis Tower) and the Freedom tower in NYC
o Former CEO of Delco Electronics, Hughes Aircraft, Currie Technologies, and Regal One as well as
Undersecretary of Defense for Research and Engineering.
o Co-founder of the Electric Bicycle Company and it’s innovative EV Warrior
• Maurice Strong
o One of the world’s leading proponents of the United Nations' involvement in world affairs. Supporters
consider him one of the world's leading environmentalists.
o Former Senior Advisor to the president of the World Bank, Chairman of Stockholm Environment
Institute, Director, Foundation Board World Economic Forum, and Member and is on the International
Advisory Board, Center of International Development at Harvard University.
o Former Executive Vice President and then President of Power Corporation of Canada, one of
Canada's leading investment corporations, Chairman; CORDEX Petroleums, Inc., and Chairman,
Ontario Hydro
o Secretary General of both the 1972 United Nations Conference on the Human Environment, which
launched the world environment movement, and the 1992 Earth Summit; and first Executive Director
of the United Nations Environment Programme (UNEP).
• I. M. Lyons
o An extensive background in business growth and management from a wide variety of industries that
were specifically centered on new technologies.
o An expert in environmental technologies and the development cycles involved in transitioning from
Research & Development to Commercialization
o Developed growth strategies for distribution channel, growth management, sales & business
development, International licensing, and corporate & IP strategies
• Kevin Krauss
o Thirty year career as founder and CEO in a number of startup companies, specializing in innovative
technologies. Experience includes electronics/computers; software; medical; desalination and liquid
separation as well as a number of green technology startups.
o Served on the faculty of The Sawyer Business School at Suffolk University in Boston and served as
Director and founder of the University's Center for Entrepreneurial Studies, earning Suffolk University
a top 25 national program ranking by Entrepreneurship Magazine in 2008.
Page 29 of 56
o A seasoned entrepreneur, possessing over thirty years of managerial experience with successful start-
up companies serving as a private consultant to diagnostic technologies, communications, computer
systems and alternative energy firms, including:
o Companies include: TechNovas, a business technology incubator; Visionary Vehicles, LLC as
Managing Director of Business Development; President and COO of Fuel Cell Companies, Inc., (Micro
Fuel Cell Systems and SOFC Energy), which was acquired by TechSys, Inc.; President of Computrol
Systems, Inc.; Founder, Principal and VP of Operations for MicroScan (acquired by American Hospital
Supply Corporation/Baxter HealthCare)
o Partner-in-Charge of Boca Raton, Florida office of Adorno & Yoss LLP, an international law firm
providing a full range of interdisciplinary services to its clients throughout the Western Hemisphere
through 290 professionals in 20 locations.
o Partner with Adorno and Yoss for 9 years trying complex cases
o Partner with Entin Schwartz et al for 6 years trying complex cases
o Entrepreneur and Business consultant for 9 years
o J.D., New York University School of Law (1968) B.B.A., City College of New York -Baruch School
(1965)
• Bob Bleecker
o Over twenty-five years of experience designing, implementing and managing complex IT systems
including data, voice and video.
o Experience has encompassed planning complicated, expansive IT infrastructures; directing the
purchase of IT equipment; Windows XP migration of 10,000+ computers at 34 sites; integration of
widely dispersed IT processes; established IT standards, policies and operating procedures; oversaw
databases integration; supervised the installation of IT systems.
o Worked in various IT-related capacities at CIGNA Corporation, and in 1996 received CIGNA’s highest
award (The Pinnacle) for a cost saving initiative that saved over $250,000 during the OS/2 rollout.
o An expert in branding, PR, marketing and constituent communications, building profiles of disruptive
technologies, innovative business models and thought leaders, strategic branding, positioning or
public relations campaigns for many companies including, DuPont, Samsung, Breakthrough
Management Group, Visionary Vehicles, The Quigley Corporation, Chaotics, iDNA, Cybersettle,
Briggs & Riley, Cano Petroleum, DebtSettlement.com, Aveso Displays, Esselte, and others.
o Conducted crisis communications campaigns, rebranding, messaging and repositioning initiatives
and constituent communications.
o Former broadcast journalist for CNN, FNN and CNBC; Executive Producer and VH-1. host
o Holds a Bachelor of Arts in Psychology from Cornell University and a Masters of Business
Administration (MBA) from Columbia University; co-author of Communication and Implementation:
Sustaining the Practice” and ghostwriter of “Settled” and “101 Ways to Help the Cause in
Afghanistan.”
• MRGroup, LLC
o Extensive experience in a wide range of marketing disciplines, including advertising, direct marketing,
market research, public relations, customer relations management, and customer loyalty and retention.
o Clients have included Subaru of America, Yugo, Charles Schwab, Wells Fargo Bank, Bank of America,
PacBell, KQED Public Television, Valisys, GMA/INA Insurance, the US Peace Corps, Stanford
University Law School, Hilton Corporation and Intercontinental Hotels.
Page 30 of 56
Page 31 of 56
Industry Overview
The US industry for electricity generation, transmission, distribution, and sales is highly complex, fractured,
and heavily regulated. The industry can be segmented by ownership structure, geographic location, and
position in the value chain and types of customers (retail/wholesale). Each segment serves different market
niches and is regulated by various local, state, and federal legislation.
Market Overview
The market for clean, renewable energy is both expanding and changing rapidly as a result of the present
crises in energy, finance, and climate change. More specifically, three circumstances are contributing to
increased market pressure for change:
1) Market Drivers
• Clean and renewable energy generation has fostered the introduction of new wind power technologies
• Highly efficient and small size wind mills
• Increased storage capacity for excess wind generated electricity
Market Size
Manhattan, the exclusive market in which EOLM plans to operate, has over 69,000 commercial properties
that meet the EOLM minimum criteria, 20,000 of which would accommodate 50 KWh and 238 extant
buildings and buildings in progress that meet the criteria of 1 million square feet of space:
• 191 skyscrapers taller than 500 feet (82 of these are taller than 600’)
• 24 buildings over 600’ proposed for development in the next 10 years.
Page 32 of 56
The overall market for the generation, transmission, and distribution of electricity is enormously complex,
highly regulated, and involves many competitors. However, EOLM plans to operate as a micro-utility -
whereby EOLM owns, in partnership with the Landlords, the source of power generation and directly
transmits the power to the urban buildings. Due the physical constraints, existing wind generation
technologies are too large, costly and cumbersome to be affixed to the building structures - in fact; such
technologies could cause destabilization of the building structure. Therefore, EOLM currently faces little or no
direct competition to its proprietary technologies and targeted market.
Competitive Advantage
For the most part, existing wind turbine technology focuses on the development of better systems and blades
for large-scale wind farm deployment. Large-scale wind turbines are certainly a viable option for remote
installation; they are not an option for installation in an urban market/city.
Large-scale size (hundreds of feet tall) requires location in remote areas far from the grid
Cost of units average $2.5 million with an additional $1.5 million required to transport/install
Regular maintenance is key—current backlog to repair a broken large-scale unit is six months
Transportation requires a semi-trailer and a half truck to transport the components
Blade disengagement is an issue—a disengaged blade can easily slice through a car
Requirement to locate far from the grid makes transmission costs a key factor in P&L
Current backlog to order and receive one unit is over a year
Shut down of units is required during times of high wind speed
Visionary Energy’s Air Turbine Technology is completely new to the market and completely innovative in
design and operation. The turbines are akin to a jet engine by design, and include blades which are round in
shape and can be stacked. The main advantages are small-size but powerful turbine units, powered by the
exhaust air flow from HVAC systems and regenerative breaking energy from building elevators, perfectly
suited to installation and operation in the heart of any urban metropolitan city market.
Technology
1. Air Turbine Technology utilizes the predictable exhaust air produced by building HVAC systems rather
than unpredictable winds;
2. Air turbine design allows individual blades to be stacked on one another with little loss of power-
generating capacity as the air flow moves further from the air source;
3. Blade design which encompasses a patent-pending center hole which fosters maximum airflow and
airflow acceleration through the turbine;
4. Patent pending use of the outside of blade (most all technology generates electricity using the central
shaft), in which motors are placed along the outside of the blade to generate electricity;
Page 33 of 56
8. Smaller size of unit and individual blade, and scalable to size of wind/air source
9. Alternative Power sources, including Regenerative Braking Energy recovery from Building Elevators
Page 34 of 56
EOLM will deploy the patent pending exhaust Air Turbine Technology that generate electricity by way of
aerodynamically engineered turbines driven solely by the excess exhaust air created by all building HVAC
systems. The efficiencies cost justify installations as small as 5 KWh.
• Jet Engine Technology consisting of up to 15-30 small (3’x3’x10’) turbines aerodynamically stacked
behind each other in order to maximize the energy produced from available air flow.
• Increased aerodynamic surface area for harnessing the greatest power from the available air flow.
• Alternative Power sources, including Regenerative Braking Energy recovery from Building Elevators
Initial Manufacturing
West Gate Sheet Metal, Inc.(www.wgsm.net) located in a low-income Enterprise Zone in Riviera Beach,
Florida is a state-of-the art fabrication/manufacturing facility that will produce the prototypes required for wind
tunnel testing for EOLM. This company will commence initial production of the EOLM products and has the
expertise and capacity to enable EOLM to use other materials in the manufacturing of its unique wind
turbines.
Additional manufacturing facilities, in the U.S. and elsewhere, will be utilized by EOLM as growth and product
demand require.
Warranties
Prior to commencing production of the EOLM systems, EOLM wants to optimize the design and specification
of its Air Turbine by submitting the second-generation prototype to wind tunnel testing at a state-of-the art
facility in South Florida (this facility is not associated with West Gate Sheet Metal, Inc.). The results of the
wind tunnel testing will then be subjected to Computational Fluid Dynamics, a computerized evaluation
process, that will enable EOLM to “fine tune” its system with regard to blade angle and thickness, the
dimensions of the rotating axle and any other components of the EOLM system that will result in optimal
performance of the product for the customer.
This third-party validation of the EOLM systems and the recommended enhancement of its components will
be incorporated into the product engineering and design. In addition, these modifications will be included in
supplemental filings associated with the already filed U.S. Patent application.
Page 35 of 56
Assumptions
EOLM expects that the first building will begin generating revenues within the first 6 months from completing
funding, and a controlled installation schedule will start at 5 per month and grow every few months to a rate of
th
40+ per month in the 5 year. The Company has prepared three different revenue projections to reflect a
low, medium and high range for average installations; 50 KWh, 100 KWh and 150 KWh Project Management
is calculated at 8% of revenue, Maintenance at 2% of revenue and an annual Legal and Accounting of 2% of
revenue. The PPA with the building owners will be calculated at a rate of $0.20/KWh over the term. As part
of the Partnership Agreements, the Landlord will pay 50% of all required equipment and installation costs and
Visionary Energy LLC will contribute the balance; and they will split any available government grants
(potential 30% rebate on equipment costs). Equipment and installation costs will vary by location; it is
estimated that these costs will average $525,000 (or $3,500 per KWh). The Landlords will receive 50% of net
revenues.
Projections
At the anticipated Power Purchase Agreement (PPA) rate of $0.20/KWh (current utility rate of $0.22/KWh in
New York City) or $1,500 per year per KWh installed:
• EOLM net profit, net of all management, maintenance, legal & accounting and Landlord (50% of net
Revenues) costs, are projected to be:
Page 36 of 56
Page 37 of 56
Page 38 of 56
Page 39 of 56
Project Overview
Automotive manufacturers are responding to market demand and global pressure to reduce dependence
on oil imports and reduce greenhouse gases by introducing a range of capable, energy-efficient, low
emissions, electric-powered vehicles (EV). Manufacturers will make electric vehicle models available for
sale to the public in late 2010 and expect that by 2012, twenty models will be available and that by 2015
there will be over 3 million plug-in electric vehicles in use worldwide. Experts say that a nationwide Electric
Vehicle Charging network, in place to support the growth and acceptance, will be the difference in US
being a leader or follower of the future.
To meet the urgent need for a US wide EV Charging infrastructure, EOLM is pursuing an innovative
business approach that includes parking facility operation, innovative sustainable energy sources, industry
collaboration, and government funding programs. Based upon the number of EVs expected to be on the
road over the next number of years and, more importantly, to encourage and support the acceptance and
growth of EV ownership, a nation wide EV Charging station infrastructure will require collaboration, vision
and will have to be subsidized
o Strategically located parking facilities will be invited to join the EV Park ‘n Plug - Electric Vehicle
Charging Infrastructure
o All parking spaces (average 100 per facility) will be equipped with a 220v EV Charging Points,
complete SAE J1772 connectors plugs (the industry standard)
o Each facility with be equipped with a Electricity on Demand Solar/wind power generating
equipment to provide power to the EV Charging Points; at no cost to the parking facility (any
excess power will be provided to the facility for free and/or sold back to the power grid)
o Parking facility will be part of EV Park & Plug Network and will be able to promote that it is
providing EV charges to paying customers
o Parking facilities contributes $1 per day per EV Charge Point as a surcharge to parking rates.
Revenue from the Parking space component of the VE Park & Plug Network will help support the cost of
building and managing the operations. Support from Federal, State and Local governments, in the form of
currently in place grants, low cost loans and tax credits will also be an integral part of the partnership.
Electric vehicles (EVs) are beginning to appear on city streets, and city planners are growing increasingly
concerned about how to provide electric vehicle charging services cost-effectively. Industry experts expect
that EV drivers will be concentrated in major metro areas, and residents will be looking for easy, convenient
ways to charge their vehicles.
1
As part of the exclusive License to develop Visionary Energy’s Air Turbine Technology for generating electricity for all commercial, institutional
and/or multi-unit residential properties in Manhattan, New York. EOLM has been granted the rights to Visionary Energy’s Park ’n Plug program for
Manhattan. The program outlined, but since it is anticipated that Park ‘n Plug ‘Manhattan’, once fully developed, will be operated as a stand alone
operation, it has not been incorporated into any of EOLM’s financial projections.
Page 40 of 56
Visionary Energy will integrated proprietary wind and solar energy sources and other cost and carbon free
electricity with state of the art EV charging station and management technology; resulting in the most
advanced environmentally friendly sustainable EV charging solution available. When coupled with the
vision and drive of a select group on partners, advisors and stakeholders, The EV Park ‘n Plug - Electric
Vehicle Charging Infrastructure will:
o Provide the American consumer with access to 1,000,000 carbon neutral EV Charging Points in
convenient, safe locations, such as where they work, play and shop;
o Integrate EV charging points into parking spaces in existing parking facilities and spaces;
o Power EV charging points by a sustainable, carbon neutral energy source charging points
plugs, wherever possible;
o Leverage under existing private parking lot inventories nationwide as free EV Charging Points;
o Equip each participating parking facility with on-location Electricity system that will provide the
Electricity on Location Solar/Turbine electricity generating facilities to provide sufficient
electrical energy for the EV charge point requirements;
o The American Recovery and Reinvestment Act of 2009, also referred to as the “Stimulus Bill”,
supports EV development with more than $2B in grants for manufacturing advanced batteries,
plus tax credits to cover the cost of manufacturing facilities; tax credits of up to $7,500 will be
available to those who buy new plug-in electric vehicles along with $300M set aside for federal
agencies to buy alternative fuel vehicles (including plug-ins); $400M for “transportation
electrification.”; and $4.5B will be set aside for improving the nation’s electric grid.
The EV Park & Plug - Electric Vehicle Charging Infrastructure provides both an economic opportunity and
meets the need of implementing a fiscally responsible EV charging infrastructure that lowers greenhouse
gas emissions, provides safe and open services for all consumers.
Project Scope
The EV Park ‘n Plug - Electric Vehicle Charging Infrastructure is a targeted solution specifically tailored for
to providing an EV charging infrastructure that lowers greenhouse gas emissions, provides safe and open
services for all consumers. The EV Park ‘n Plug - Electric Vehicle Charging Infrastructure represents a
collaboration of expert in all phases of:
The NASA Jet Propulsion Laboratories (JPL), through the California Institute of
Technology will be contracted as the Technology Advisor to the Partnership and will be
responsible for coordinating the integration of the variety of technologies required and
Page 41 of 56
Each parking facility and EV Charging Points will be retrofitted to generate its own
power utilizing an integration of advanced on-site sustainable power generation
technologies, including:
• Wind turbines, including Visionary Energies proprietary Exhaust Air Turbine
• Solar power
• Alternative Power sources, including Regenerative Braking Energy recovery
from Building Elevators
• Hydrogen Fuel cell power distribution
Respected parking lot management with expertise gained by managing the largest US
parking lot services organization with all types of facilities nationwide
To meet this important and pressing challenge, EOLM will leverage its scientific and technical expertise as
well as extensive business and government networks. Working with State and local officials, national
corporations, and local business, communities, the EV Park & Plug - Electric Vehicle Charging
Infrastructure objectives are projected to realize 1,000,000 EV Charging/Parking spaces within three years
Page 42 of 56
• An investment in the Units involves a certain degree of risk, including, but not limited to the following. For a
more detailed description of the risks involved in an investment in the Units see RISK FACTORS below.
• The Units are illiquid and should only be purchased if the investor is willing to hold the Units for an indefinite
period of time.
• In order to implement the Company’s growth strategy, there may be a need for additional funding through
public and private placement of the Company's securities.
• Identifying, completing and realizing profits from alternative energy investments has from time to time been
highly competitive, and involves a high degree of uncertainty.
• Many of the Company's competitors for investments are far larger than the Company, may have greater
financial resources than the Company and may have management personnel with more experience than the
officers of the Company.
• The Company’s technologies may fail to perform as expected and capital expenditures may exceed
estimates.
• The Company may be forced to abandon development opportunities after expending resources to determine
feasibility.
• Sales of the Company's products and services are subject to changes in national and regional economic
conditions, including levels of employment and discretionary disposable income, consumer confidence,
available financing and interest rates and may be affected by changes in legislation of the use of copyright
protected material and the distribution of it.
• Certain risks are inherent with the implementation of the Company’s growth strategy. These risks include,
but are not limited to, access to capital necessary for the Company’s ability to sustain and manage growth,
competition and risks common to the wind industry.
The Company has only a short operating history and a relatively new business model in an emerging and
rapidly evolving alternative energy market. This makes it difficult to evaluate our future prospects and may
increase the risk that we will not continue to be successful.
We have only a short operating history. As a result, we have very little operating history to aid in assessing
our future prospects. Also, we derive nearly all of our revenues from the alternative energy market, which is
a highly competitive industry. We will encounter risks and difficulties as an early-stage company in a new and
rapidly evolving market.
Although we will take all prudent measures to deploy industry experts and proven business practices in this
industry, such early market risks may materially harm our business and impact operating results. Rapid
company growth is an important element of our market strategy and although it is expected, shortcomings in
our growth may impact our business and operating results could be harmed.
The alternative energy industry has experienced, and will continue to experience, rapid growth which has
placed, and will continue to place, significant demands on managerial, operational and financial
infrastructure. If we do not effectively manage our growth, the quality of our products and services could
suffer, which could negatively affect our brand and operating results. Our expansion and growth in both
domestic and international markets heightens these risks as a result of the particular challenges of
supporting a rapidly growing business in an environment of multiple languages, cultures, customs, legal
Page 43 of 56
Our business depends on a strong brand, and failing to maintain and enhance our brand would hurt our
ability to expand our base of customers and partners. The technology, business model and brand identity
that we are developing will significantly contribute to the progress of our business. Maintaining and
enhancing our technology, business model and brand is critical to expanding our base of customers and
partners. We believe that the importance of brand recognition will increase due to the relatively low barriers
to entry in the power generation market. If we fail to maintain and enhance our brand, or if we incur excessive
expenses in this effort, our business, operating results and financial condition will be materially and adversely
affected. Maintaining and enhancing our brand will depend largely on our ability to be an industry leader and
to continue to provide high-quality products and services, which we may not do successfully.
Our intellectual property rights are valuable, and any inability to protect them could reduce the value of our
products, services and brand
Our pending patent, trademarks, trade secrets, copyrights and other intellectual property rights are important
assets for us. Various events outside of our control pose a threat to our intellectual property rights as well as
to our products and services. For example, effective intellectual property protection may not be available in
every country in which our products and services are distributed or developed. Also, the efforts we have
taken to protect our proprietary rights may not be sufficient or effective. Any significant impairment of our
intellectual property rights could harm our business or our ability to compete. Also, protecting our intellectual
property rights is costly and time consuming. Any increase in the unauthorized use of our intellectual property
could make it more expensive to do business and harm our operating results.
Although we seek to obtain patent protection for our innovations in wind power technology, it is possible we
may not be able to protect some of these innovations. In addition, given the costs of obtaining patent
protection, we may choose not to protect certain innovations that later turn out to be important. Furthermore,
there is always the possibility, despite our efforts, that the scope of the protection gained will be insufficient or
that an issued patent may be deemed invalid or unenforceable.
We also seek to maintain certain intellectual property as trade secrets. The secrecy could be compromised
by outside parties, or intentionally or accidentally by our employees, which would cause us to lose the
competitive advantage resulting from these trade secrets.
Innovation
If the company does not keep up with research and development, there is a strong risk that competitors
would take over. Clients would also drop the products and services if they felt that new technology could not
be accommodated.
Seasonal Changes
Our quarterly installation and operating results may vary significantly from quarter to quarter as a result of
seasonal changes in weather. We predict that our sales will be highest during the third and fourth quarters as
a result of good weather and robust bookings in the second quarter. Our business depends on the availability
of rebates, tax credits and other financial incentives; reduction or elimination of which would reduce the
demand for our products and services.
Financial incentives
Page 44 of 56
Availability of Financing
The execution of our growth strategy for our systems segment is dependent upon the continued availability of
third-party financing arrangements for our customers. For many of our projects, our customers will enter into
agreements to finance the power systems over an extended period of time based on energy savings
generated by our wind power systems, rather than pay the full capital cost of purchasing the wind power
systems up front. For these types of projects, many of our customers will choose to purchase wind electricity
under a power purchase agreement with a financing company that will purchases the system from us. These
structured finance arrangements are complex and may not be feasible in many situations. In addition,
customers opting to finance a wind power system may forgo certain tax advantages associated with an
outright purchase on an accelerated basis which may make this alternative less attractive for certain potential
customers. If customers are unwilling or unable to finance the cost of our products, or if the parties that have
historically provided this financing cease to do so, or only do so on terms that are substantially less favorable
for us or these customers, our growth will be adversely affected.
The success of our systems segment will depend in part on the continuing formation of such financing
companies and the potential revenue source they represent. In deciding whether to form and invest in such
financing companies, potential investors weigh a variety of considerations, including their projected return on
investment. Such projections are based on current and proposed federal, state and local laws, particularly tax
legislation. Changes to these laws, including amendments to existing tax laws or the introduction of new tax
laws, tax court rulings as well as changes in administrative guidelines, ordinances and similar rules and
regulations could result in different tax consequences which may adversely affect an investor’s projected
return on investment, which could have a material adverse effect on our business and results of operations.
We are dependent upon our suppliers for the components used in the systems we design and install; and our
major suppliers are dependent upon the continued availability and pricing of required raw materials used in
wind and other renewable energy modules.
We are subject to market prices for the components that we purchase for our installations, which are subject
to fluctuation. We cannot ensure that the prices charged by our suppliers will not increase because of
changes in market conditions or other factors beyond our control. An increase in the price of components
used in our systems could result in an increase in costs to our customers and could have a material adverse
effect on our revenues and demand for our services. Our suppliers are dependent upon the availability and
pricing of silicon, one of the main materials used in manufacturing wind panels. The world market for wind
panels recently experienced a shortage of supply due to insufficient availability of silicon. This shortage
caused the prices for wind modules to increase. Interruptions in our ability to procure needed components for
our systems, whether due to discontinuance by our suppliers, delays or failures in delivery, shortages caused
by inadequate production capacity or unavailability, or for other reasons, would adversely affect or limit our
sales and growth. In addition, increases in the prices of modules could make systems that have been sold
but not yet installed unprofitable for us. There is no assurance that we will continue to find qualified
manufacturers on acceptable terms and, if we do, there can be no assurance that product quality will
continue to be acceptable, which could lead to a loss of sales and revenues.
Page 45 of 56
Competition
Competition in the power generation services industry may increase in the future, partly due to low barriers to
entry, as well as from other alternative energy resources now in existence or developed in the future.
Increased competition could result in price reductions, reduced margins or loss of market share and greater
competition for qualified technical personnel. There can be no assurance that we will be able to compete
successfully against current and future competitors. If we are unable to compete effectively, or if competition
results in a deterioration of market conditions, our business and results of operations would be adversely
affected.
If we are unable to attract, train and retain highly qualified personnel, the quality of our services may decline
and we may not successfully execute our internal growth strategies.
The small and micro wind power design and integration industry is in its early stages of development and is
highly fragmented, consisting of many small privately-held companies with limited operating histories and
information available to us. We believe the principal competitive factors in the small and micro power
generation services industry include:
• quality of service;
• price;
• company reputation;
• installation technology; and
• responsiveness to customer needs
Personnel
Our success depends in large part upon our ability to continue to attract, train, motivate and retain highly
skilled and experienced employees, including technical personnel. Qualified technical employees periodically
are in great demand and may be unavailable in the time frame required to satisfy our customers’
requirements. Expansion of our business will require us to employ highly skilled technical personnel. We
expect competition for such personnel to increase as the market for wind power systems expands. There can
be no assurance that we will be able to attract and retain sufficient numbers of highly skilled technical
employees in the future. The loss of personnel or our inability to hire or retain sufficient personnel at
competitive rates of compensation could impair our ability to secure and complete customer engagements
and could harm our business.
Availability
The Company anticipates that its growth and expansion activities will be largely financed by externally
generated funds from additional private placement of its securities, borrowings with credit facilities and other
secured and unsecured debt and equity financings. In addition, these financings might not be available or
would be available only on disadvantageous terms. Accordingly, were the Company unable to obtain funds
from borrowings or the capital markets, the Company's growth activities could be curtailed.
Management believes that the cash flow generated from the current operations will be sufficient to conduct
its operations as currently contemplated. Although such belief is based on our best judgment, there can be
Page 46 of 56
Restricted Transferability
Transferability of the Units is restricted and investors will likely not be able to liquidate their investment in the
event of an emergency. Additionally, the Units may not be readily acceptable as collateral for loans.
Accordingly, purchase of the Units must be considered a long-term, illiquid investment. Each component of
the Units will carry the following restrictive legend:
THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR CERTAIN APPLICABLE STATE SECURITIES ACTS. THESE SECURITIES MUST BE
ACQUIRED FOR INVESTMENT PURPOSES ONLY AND NOT WITH A VIEW TO DISTRIBUTION OR
RESALE. THESE UNITS MAY NOT BE TRANSFERRED UNLESS REGISTERED OR QUALIFIED FOR AN
EXEMPTION FROM THE REGISTRATION REQUIREMENTS UNDER FEDERAL AND STATE
SECURITIES LAWS.
The Units are being offered in reliance upon a non-public offering exemption provided under the Securities
Act of 1933 (the "Act"), Regulation D promulgated thereunder. The Company has used its best efforts to
assure compliance with the requirements of these various registration and qualification exemptions. Since
compliance with the securities statutes is highly technical and often difficult, there is no assurance that a
court reviewing the facts and circumstances of the Offering might not determine later that one or more of the
applicable exemption provisions was not properly complied with. Should it be determined that the Company
failed to comply with the requirements of the Act or any applicable exemption and a sufficient number of
investors were to seek rescission, the Company could face financial demands which could adversely affect
its ability to continue to conduct business which, in turn, could result in adverse consequences to both
rescinding and non-rescinding investors.
The Company is subject to government regulation, other than laws and regulations applicable to businesses
generally, and there are currently few laws or regulations directly applicable to the Company.
No Limitation on Indebtedness
The organizational documents of the Company do not contain any limitation on the amount or percentage of
indebtedness, funded or otherwise, the Company might incur. Accordingly, the Company and its Subsidiaries
could become more highly leveraged, resulting in an increase in debt service that could adversely affect its
ability to make expected distributions to its stockholders and result in an increased risk of default on its
obligations.
As of April 2, 2010, the Company’s Manager, members, and their affiliates beneficially owned approximately
100% of the Company’s outstanding Units. As a result, these members, acting together, would be able to
significantly influence many matters requiring approval by the members of the Company, including the
election of managers. These Units are available for sale in accordance with Rule 144. Rule 144 provides, in
essence, that a Unit Holder who is an affiliate of the Company, after holding restricted securities for a period
of one year, may, every three months, sell them in an unsolicited brokerage transaction in an amount equal
to 1% of the Company's outstanding Units, or the average weekly trading volume, if any, during the four
weeks preceding the sale. Non-affiliated Unit Holders holding restricted securities are not subject to the 1%
Page 47 of 56
Compensation received by Manager, members and management personnel of the Company and its
subsidiaries will be determined from time to time by the members of the Company. Manager, members, and
management personnel of the Company and its subsidiaries will be reimbursed for any out-of-pocket
expenses incurred on behalf of the Company.
The Manager, members, and employees of the Company and its subsidiaries may receive significant
compensation, payments, and reimbursements regardless of whether the Company or its Affiliates operates
at a profit or at a loss.
Conflicts of Interest
Some of the members of the Company are employed independently of the Company and those persons may
engage in other activities.
The Manager of the Company is accountable to the Company and the Company's Unit Holders as fiduciaries
(subject to the restrictions set forth in the paragraph entitled "Limitation on Liability of Manager, members of
the Company" above), which requires that the Manager and members exercise good faith and integrity in
handling the Company's affairs. Moreover, the Manager, members of the Company believe that the
Company will have sufficient staff, consultants, employees, agents, contractors, and managers to adequately
conduct the business of the Company.
The purchase price of the Units has been determined by the Company after consideration of a number of
objective and subjective factors, and does not necessarily relate to the assets, book value, results of
operations, or other established criteria of value of the Company and its subsidiaries. Among the factors
considered in determining the offering price were the future prospects of the Company, sales, earnings, the
capital requirements of the Company, certain other financial and operating information of the Company and
other financial and operating information of companies engaged in activities similar to those of the Company.
The price of the Units does not necessarily indicate current market value for the assets owned by the
Company or its subsidiaries. No valuation or appraisal has been prepared for the business and potential
business expansion of the Company or its subsidiaries.
The Company’s business, results of operations and financial condition are subject to many risks, including
those set forth in the Risk Factors section. Certain statements contained in this report, including without
limitation statements containing the words “believes,” “anticipates,” “expects,” and words of similar import,
constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of
1995. Although we believe that the expectations reflected in the forward-looking statements are reasonable,
we cannot guarantee future results, levels of activity, performance or achievements. Such forward-looking
statements involve known and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company, or industry results, to be materially different from any
future results, performance or achievements expressed or implied by such forward-looking statements. The
Company has made forward-looking statements in this report concerning, among other things, the impact of
future acquisitions and developments, if any, and the level of future capital expenditures. These statements
are only predictions, however; actual events or results may differ materially as a result of risks facing the
Company. These risks include, but are not limited to, those items discussed in the Risk Factors section.
Certain of these factors are discussed in more detail elsewhere in this report. Given these uncertainties,
readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as
Page 48 of 56
NOTE: In addition to the above risks, businesses are often subject to risks not foreseen or fully appreciated
by the management. In reviewing this Memorandum, potential Investors should keep in mind other potential
risks that could be important, although not mentioned or anticipated.
DESCRIPTION OF SECURITIES
The authorized capital of the Company consists of 200,000,000 Units, 100,000,000 (50%) of which have
been issued to existing members. Unit Holders do not have the right to take part in the management or
control of the business or affairs of the Company, to transact any business for the Company or to sign for or
bind the Company as set forth in the operating agreement. Unit Holders have the right to vote on any matter
properly brought before the Unit Holders as set forth in the operating agreement.
No Investor will be personally liable as an Investor for any of the debts, or liabilities of the Company.
Transfer of Units
Until registration, the Units offered herein and hereby will be deemed “restricted securities” under federal and
state law securities laws and may not be sold, transferred, or otherwise disposed of except under certain
limited circumstances and conditions. The Company has no plans to register the Units.
Additional Information
During the course of the Offering and prior to any sale, each offeree of the Units and his or her professional
advisor(s), if any, are invited to ask questions concerning the terms and conditions of the Offering and to
obtain any additional information necessary to verify the accuracy of the information set forth herein. Such
information will be provided to the extent the Company possess such information or can acquire it without
unreasonable effort or expense.
Each prospective investor will be afforded, and should seek, the opportunity to obtain any additional
information which such prospective investor may reasonably request, to ask questions of, and to receive
answers from, the Company or any other person authorized by the Company to act, concerning the terms
and conditions of the Offering, the information set forth herein and any additional information which such
prospective investor believes is necessary to evaluate the merits of the Offering, as well as to obtain
additional information necessary to verify the accuracy of information set forth herein or provided in response
to such prospective investor's inquiries. Any prospective investor having any questions or desiring additional
information should contact:
Page 49 of 56
Gentlemen/Ladies:
The following information is furnished to you in order for you to determine whether the
undersigned is qualified to invest in the above referenced company pursuant to Section 4(2) and
Regulation D of the Securities Act of 1933, as amended (the “Act”), and appropriate provisions of
applicable state securities laws. I understand that you will rely upon the following information for
purposes of such determination, and that the Units will not be registered under the Act in reliance upon the
exemption from registration provided by Section 4(2) and Regulation D of the Act, and appropriate
provisions of applicable state securities laws.
Please complete, sign, and date this Questionnaire, and deliver it to the Company. Your answers will be
kept strictly confidential. Each prospective investor agrees that the Company may present this
Questionnaire or a copy hereof to its attorneys or such other parties as the Company deems appropriate in
connection with a subsequent offering, if any, of Units. If Units are subsequently offered and sold, you
agree to reaffirm or update this questionnaire (if the information you provided has changed) so that the
Company can be assured that any such offering and sale will not result in a violation of the registration
provisions of the Securities Act of 1933, as amended ("Securities Act"), or a violation of the securities or
"blue sky" laws of any state.
1. General Information
Name:
________________________________________________________________________
Spouse's
Name: ___________________________________________________________________
Home
Address: _________________________________________________________________
Business Address:
_______________________________________________________________
_______________________________________________________________
Business Telephone:
_______________________________________________________________
Occupation:
_____________________________________________________________________
Page 50 of 56
______________________________________________________________________
________________________________________________________
2. Income
3. Net Worth
4. Investment Experience
Please describe briefly your prior investment experience in both marketable and unmarketable
securities. If none, please state so.
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
Page 51 of 56
5. Investment Knowledge
I have such knowledge and experience in financial and business matters that I am capable of
evaluating the merits and risks of an investment in the Units and do not desire to use an
Investor Representative in connection with evaluating such merits and risks. I understand,
however, that the Company may request that I use an Investor Representative.
[ ] Yes [ ] No
[ ] Corporation
[ ] Partnership
[ ] Trust
[ ] Other (specify)
_________________________________________________________
________________________________________________________________
________________________________________________________________
____________________________________
(e) Was the entity organized for the specific purpose of acquiring the Units?
[ ] Yes [ ] No
(f) The entity had in 2009, and expects to have in 2010, income (before deductions related to
investments) a portion of which was or will be taxable at the maximum rate for federal income
tax purposes (________% in 2009 and ________% in 2010).
[ ] Yes [ ] No
(h) Please attach a copy of the relevant document: article or certificate of incorporation,
partnership or trust agreement, or other organic document.
The foregoing statements are true, accurate, and complete to the best of my information and
belief, and I hereby agree to notify promptly, and supply corrective information to, the Company
if, prior to the consummation of any purchase of subsequently-offered Units, any of such
information becomes inaccurate or incomplete.
Page 52 of 56
______________________________________ _____________________________________
______________________________________ _____________________________________
______________________________________ _____________________________________
Page 53 of 56
Subscription Agreement
This agreement shall be deemed accepted by the Company upon execution of the “Receipt and
Acceptance” below. After that time, I will possess all the rights and powers of a Unit Holder in the
Company.
Representations:
(a) I have by virtue of personal or business contacts and/or a personal or business relationship to the
Company, access to all business and financial information pertaining to the Company that I deem
material to an informed investment decision.
(b) I have been advised and am aware that the Units to which I have subscribed will not be registered
under the Securities Act of 1933 or any state securities lows on the grounds that the issuance of such
Interests is exempt from the registration provisions of those laws.
(c) I have been advised and understand that I must continue to bear the economic risks of ownership of the
Units between 3 and 5 years, because the Units have not been registered under the Securities Act of
1933 or the securities laws of any state and, accordingly, cannot be sold unless it is so registered or
exemptions from registration are available.
(d) I have received and read a copy to the Private Placement Memorandum dated April 2, 2010, and am
familiar with the terms of the offering, including but not limited to the fact the current Unit Holder shall be
the majority Unit Holder and Manager of the Company.
(e) I understand the risks of an investment in the Company. I have consulted with an attorney or accountant
to the extent I deemed it necessary in reviewing this investment. I have been advised and understand
that ELECTRICITY ON LOCATION MANHATTAN, LLC, has reserved the right to purchase my Unit(s)
at its note book value
(f) I have had an opportunity to question the principals of the Company as to all matters which I deem
material and relevant in my decision to make an investment in the Company and have had the
opportunity to obtain any and all additional information necessary to verify the accuracy of the
information received or any other supplemental information which I deem relevant to make an informed
investment decision.
(g) I have such knowledge or experience in business and financial matters, or competent professional
advise concerning the Company, that I am capable of evaluating the merits and risks of the prospective
investment Units.
Page 54 of 56
(i) I am an ‘accredited investor’ defined by the SEC elsewhere in this document or I am one of 35 non-
accredited investors allowed to purchase Units in the Company.
(j) I am purchasing the Units for my own account for investment only and not as a nominee for others; I am
not purchasing such interests with an intention or a view toward resale, transfer or distribution thereof,
and will not, in any event, resell or otherwise transfer such interest within twelve months after the date
of purchase.
(k) I am duly authorized and empowered to legally represent and bind the principal, person, trust,
corporation, or other entity, if any, named below, as the subscriber for the Units.
(l) If a corporate or other entity, the subscriber was not formed for the specific purpose of making this
investment.
( ) Individual
( ) Corporation
( ) Joint Tenants WROS
( ) Specify
Signature of Subscriber:
____________________________________________________________________
Mailing Address:
__________________________________________________________________________
ELECTRICITY ON LOCATION MANHATTAN, LLC., hereby acknowledges receipt from the subscriber of
$__________________, for (# of Units)_____________Units and accepts such applicant’s above
subscription.
Page 55 of 56
Date: ______________________
(Title)
Page 56 of 56