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    1 Reply Latest reply on Nov 30, 2008 9:20 PM by apexfunding

    Capital Funding  - Middle East

    kbedenb194 Newbie

      My business has come across a very unique situation. As a little background, for 5 years I was a buyer for a large US based organization that operated primarily in Iraq and the surrounding areas that supported the war effort. After doing my duty I started my own business (May 2008) and persued Polaris Industries (ATV's and UTV's) for exclusive rights in Kuwait, Iraq, and Afghanistan. I have been granted these rights and we are in the planning phases to open several full service dealerships on the US Bases throughout the region.

      The problem is this. We began selling ATV parts to KBR/Halliburton in fairly small manageable quantities, but as we were outperforming our competitors we started getting larger orders, and now we are getting nearly 250K in orders per week from KBR. This has of course eaten away at all of the capital my company had for the growth of the Polaris business. A clear situation of robbing Peter to pay Paul. KBR is not a company that you can say no to. We are even in negotiations to be the primary supplier for all brands of ATV parts in the entire region (including Africa).

      Banks are willing to loan money because our company is new, US potential investors are hesitant because the business operates (sans our exporting division) out of Iraq, and Arab investors want a share that is outrageous (try 90%).

      With the right amount of capital investment we could easily sell over 10-20 Million in goods. My company has the logistical, exporting, sales, and operational know-how, but at this point we are going to have to stop selling until the coiffers refill, which can and will jeopardize our distribution rights with Polaris, and our strong position with KBR/Halliburton.

      If anyone has been in this kind of position I am all ears on a potential solution. We got orders to fill, and we want to charge forward and gather some wealth!

      Happy Holidays