I just read a little more about the company. A very interesting idea. Here is the actual email I received. Looks good.(OTC: AUML) is New to *************
Shares: Attractive
COMPANY OVERVIEW: Auction Mills Inc. (OTC: AUML)
Auction Mills Inc. (OTC: AUML), through its authorized eBay reseller drop-off stores, is “tapping into an untouched market: people who want to sell on eBay but don’t have the time – or don’t want the hassle of photographing their items, listing them online, answering buyers’ questions and shipping what’s sold.”
Auction Mills makes using eBay easy for the millions of Americans who aren’t computer-savvy, don’t have a digital camera, or who don’t want to put banking, credit card and other personal information on the internet. And eBay is happy to see the drop-off stores springing up! As eBay spokesman Hani Durzy has stated: “We’re excited about the possibility of these stores being able to bring some people to the eBay marketplace that up until now have not been able to participate in it.”
Auction Mills Inc. supplies the public with a convenient, professional and confidential approach to participating in the Ebay online marketplace. Experienced Ebay auctioneers provide customers with a method of turning unused items into cash. The Company actually takes possession of the items to be auctioned eliminating the hassle and wasted time associated with the selling process and allows customers an opportunity to benefit from the existing relationship that Auction Mills Inc. has with Ebay. This exciting method of marketing is currently available to franchisees. Management intends to cultivate a worldwide network of franchises that will work unanimously to offer the public the most effective tool available for online marketing.
MARKET AND OPPORTUNITY
eBay sold over $24 Billion in goods in 2003! Durzy said, “22 million items are available on the site at all times” (Courier-Jounal.com May 10, ’04). eBay claims to have 41.2 million active users and over 100 million registered users (Forbes.com, 5/5/04). However, only about 8% are sellers. With Auction Mills and other authorized eBay drop-stores, entrepreneurs expect that number to increase dramatically – and with fees randing from “20-40% of the sale price, that can add up to a lot of money.” (Forbes.com 5/5/04). With eBay estimating $10 Billion in consignment sales from drop-off stores, that could add up to $2-4 Billion in yearly revenues!
BUSINESS PLAN
Auction Mills will open drop-off stores in the Dallas area and then will offer franchises around the country. People will drop the items off at the store, and then AuctionMills.com will do the research for pricing and description, then take digital photographs, write the ad copy, and set up the auction process on eBay. When the transaction is complete, AUML will ship the goods to the highest bidder and then send the check to the seller. Also, the Company plans to increase revenues through the sale of franchises and the subsequent royalties derived from the new stores.
GROWTH POTENTIAL
As Bankrate.com states, “These ‘brick-to-click’ storefront drop-off centers are springing up from coast to coast.” (4/19/04). These stores offer a more attractive option than Goodwill, the Salvation Army, and garage/estate sales – there is the potential to make a lot more money on eBay than these other alternatives. AUML will be the first publicly-traded company in this explosive new retailing phenomenon with eBay!
The authorized eBay drop-off stores have the potential to start a new class of retailing. As the Dallas News.com reported, “The notion of new and repeat customers has eBay Inc. officials embracing the offline growth of its business, even though the company has no plans to open any drop-off stores of its own.” As eBay spokesman Hani Durzy says: “There is an opportunity for anyone to open a store and survive and thrive. People like selling stuff on eBay. Why not help them out?” “With close to 200 drop-off stores in the United States, Mr. Durzy said he expects many more to open.” (Dallas News.com, 4/19/04).
“We’re excited about this,” eBay Chief Executive Meg Whitman said at a goldman Sachs investor conference in Phoenix. “Clearly they are getting an incremental customer that would have never come to eBay on their own.” eBay estimates that consignment sales through drop-off stores may reach $10 Billion per year – which would yield $700 Million in revenues to eBay. (NashvilleCitypaper.com, 3/10/01).
CORPORATE HIGHLIGHTS
· Hassle-free authorized eBay selling experience.
· Access to 100 million registered global eBay buyers.
· Revenue streams from franchise and royalty fees.
· Opportunity to significantly increase the current 8% base of eBay sellers, plus adding new and repeat clients.
· eBay estimates $10 Billion in consignment sales from drop-off stores. $700 Million in revenues to eBay.
· Fees of 20-40%. Industry could generate $2-4 Billion!
· Investors have a chance to get in on the ground floor, as AUML is the first publicly traded company in this hot new national retail phenomenon with eBay!
KEY DEVELOPMENT
Jul 12, 2004 - Auction Mills Inc. goes public, revealing their plan to aggressively pursue corporate growth utilizing franchise networking. The Company will concentrate its efforts to convey its new marketing opportunity to the public, making its unique online network of Ebay Auctioneers available to customers needing a better, more effective tool to sell surplus goods with minimal effort.
By using the same technique that has been used in commodity trading for years, the Company actually takes possession of the goods to be sold, making the transition and the transaction much more trouble-free for both parties. This method is quicker, convenient and, because of this, attractive to people that would like to go into business for themselves through franchise ownership.
For more information about Auction Mills Inc. and opportunities associated with owning your own Action Mills location: www.auctionmills.com
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