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Long Term Financial Strategy

The Ragusa Fund Business and Estate Strategy Prepared by Anthony Ragusa December 16 2012 fund n a sum of money saved or made available for a parBcular purpose
The     Ragusa     Fund      Business     and     Estate     Strategy      Prepared     by     Anthony     Ragusa         ...
The Ragusa Fund Objec2ve 1 The Ragusa Fund is simply that a fund Succinctly de ned a fund is a sum of money saved or made available for a par2cular purpose 2 The Ragusa Fund is being created speci cally and enBrely for the bene t of my family 3 Since 1988 I have been implemenBng an estate and asset strategy that is meant to enable the Advantage Co to not only endure but more importantly be the embodiment and manifestaBon of my business Root Philosophy 4 At the core of my strategy is the desire to keep the Advantage Co assets intact see slide 5 I do not want to dissipate the equity and asset base that is meant to be the foundaBon of future opportuniBes and growth for my heirs The Ragusa Fund will be solely responsible for the welfare of the Advantage Co 5 My primary goal therefore is to create a suitable nancial enBty C corp Trust Holding Company LLC FoundaBon etc that will allow for the enduring ownership of the Advantage Co assets with the ability to manage them to their full potenBal without ever dissipa2ng or diminishing in any way the family s equity ownership or family governance 6 I have let my seven children know that The Ragusa Fund is not an inheritance rather it is a fund that is being created speci cally for the furtherance of the Advantage Co while allowing for very speci c bene ts to family members see slide 4 7 Accordingly I want to create a share voBng dynamic that allows for the equal par2cipa2on of the seven families produced by my seven children This will create a family board that will have equal votes regardless of the eventual size or demise of any family vein see slide 3 8 In essence I want the nancial enBty The Ragusa Fund to endure for generaBons as a family vehicle for opportunity It has the potenBal if managed enthusiasBcally to provide opportuniBes for generaBons to come 9 While it is prudent that I maintain complete and uncontested control of the The Ragusa Fund unBl my death it is essenBal that upon my demise The Ragusa Fund always remains in the complete and uncontested control of my family I wanted it protected form all intrusion especially divorce family discord and investment speculaBon
The     Ragusa     Fund     Objec2ve      1.     The     Ragusa     Fund     is     simply     that,     a     fund.      ...
The Ragusa Fund Family Board 1 I want to create a share voBng dynamic that allows for the equal par2cipa2on of the seven families spawned by my seven children This will create a family board that will have equal votes regardless of the eventual size or demise of any family vein 2 Each of my current seven children Ariana Alison Katherine Kelly Gabriela Juliana and Anthony will receive one vote each on the The Ragusa Fund Family Board 3 This individual vote will be passed down to their oldest living child or grandchild This vote can not be passed on to any other living heir adopted children or grandchildren niece cousin etc It must be passed down in a direct and unaltered lineage 4 In the event that there is no suitable heir to pass a vote on to the vote will simply be reBred 5 In the event that there remains an even number of family votes a_er the subsequent reBrement of a vote the Chairman of the Family Board will cast the deciding vote in the event of a deadlock 6 The Chairman of the Family Board will be the oldest surviving family member unless removed by a unanimous vote of the other remaining family votes The replacement Chairman of the Family Board will then be elected by a simple majority of all the family votes 7 I realize there are more intricate scenarios that will have to be addressed in advance but that can be further delineated in a future report 8 I will also provide a more detailed voBng regimen for speci c instances While a simple majority will be required for most voBng situaBons other situaBons will call for di erent criteria for passage Some of this will come to light in the next slide The Ragusa Fund Bene ts
The     Ragusa     Fund     Family     Board      1.     I     want     to     create     a     share-     voBng     dynam...
The Ragusa Fund Bene ts 1 The Ragusa Fund is not an inheritance rather it is a fund that is being created speci cally for the furtherance of the Advantage Co while allowing for very speci c and limited bene ts to family members 2 The purpose of this fund in terms of bene t to my family is to provide two speci c ongoing and available bene ts funding for educa2on and entrepreneurship It is not available to provide for living expenses 3 First of all I must state that I value the autodidact path as much if not more than the more tradiBonal insBtuBonalized learning process The funding for educaBon therefore is not simply for tradiBonal schooling but it is also meant to fund apprenBceships and real world experience My sole intenBon is to create a foundaBon for independent experiences in educaBon and business 4 All direct birth heirs will be enBtled to 100 000 for their educaBon A This allotment can not be used in annual increments beyond 20 000 unless approved by a majority vote of the board B This 100 000 enBtlement is limited to no more than 1 of the liquidated value of the assets of The Ragusa Fund C Any annual installment is limited to no more than 1 of the net EBITDA of The Ragusa Fund D Any addi2onal funding for educaBon must be authorized by a majority vote of the board E A unanimous vote by the board can rescind this enBtlement in whole or in part 5 All direct birth heirs will be enBtled to 100 000 for the development of a personal business opportunity A This allotment can not be used prior to the recipients 18th birthday unless approved by a majority vote of the board B This funding is not for direct or indirect investment in non involved business opportuniBes It is for direct parBcipaBon only No passive investments C This 100 000 enBtlement is limited to no more than 1 of the liquidated value of the assets of The Ragusa Fund D Any enBtlement is limited to no more than 5 of the net EBITDA of The Ragusa Fund E Any addi2onal funding for business acBvity must be authorized by a majority vote of the board F A unanimous vote by the board can rescind this enBtlement in whole or in part
The     Ragusa     Fund     Bene   ts      1.     The     Ragusa     Fund     is     not     an     inheritance,     rathe...
The Ragusa Fund Assets 1 At the core of my strategy is the desire to keep the Advantage Co assets intact I do not want to dissipate the equity and asset base that is meant to be the foundaBon of future opportuniBes and growth for my heirs 2 Currently The Walker Kids own my G8 Partnerships and the Walker Center I would like to somehow put these assets into The Ragusa Fund while adding these addiBonal assets to The Ragusa Fund as well G8 Partnerships 5 000 000 Currently owned enBrely by the kids The Walker Center 9 000 000 Currently owned enBrely by the kids Tony Walker Co 5 000 000 If Peg does not want to parBcipate then this is what I would like to use for my 5M exempBon Prato Way 1 750 000 This property is Peg s condo in Florida I will have to see if she wants to parBcipate 4069 Main Street 1 000 000 If Peg does parBcipate then this can hopefully be included using her 5M exempBon LifeBme Service 2 000 000 If Peg does parBcipate then this can hopefully be included using her 5M exempBon 394 North Forest 170 000 If Peg does parBcipate then this can hopefully be included using her 5M exempBon 345 North Forest 270 000 If Peg does parBcipate then this can hopefully be included using her 5M exempBon The Ragusa Fund Total 3 24 190 00 With the 10 190 000 we d be adding tax free this would be a solid founda2on As for your other tax strategies I will wait unBl I discuss them with you this week I will be in town this week and I look forward to gefng together I arrive late on Wednesday the 19th and I leave early on Thursday the 27th If there is any Bme in that window that you can make Bme to meet with me I would appreciate it Sincerely Tony
The     Ragusa     Fund     Assets      1.     At     the     core     of     my     strategy     is     the     desire   ...