The Leviathan BALL & Sisyphean CHAMBER

U.S. Patent Number 7,803, 093B

Group: The Ball and Chamber Principal: Phillip Gilliam, CEO and Concept Development Contact: Dionne Henderson, Plan Development funding@theballandchamber.com 855-562-6178 ext. 7

Business Concept
This proposal offers a comprehensive, but condensed plan to manufacture and market patented exercise and human performance devices to be applied in the sports, fitness and research markets with impacts in technology, defense, entertainment and merchandising industries. The design of these devices, currently known as The Ball and Chamber, is protected by United Stated Patent Number 7,803,092B which is the intellectual property of Phillip Gilliam. Mr. Gilliam is an experience entrepreneur of over fifteen years. His first patent, known as the Bodyguard Compression Garments can be seen at televised football games. His primary company, Antibody, Inc., manufactures injury and performance enhancement garments. Phillip Gilliams existing customers include over eighty percent (80%) of National Football League (NFL) teams. This offering is the opportunity to partner with the proven success of Mr. Gilliam and his team to launch their next venture. The Ball and Chamber will be the Google of Human Performance. The Ball and Chambers superiority as an exercise and training system will be backed by scientific research. Proving his patent is better than any other product existing on the market based on scientific study is a proven model Phillip Gilliam has used in the past. It is anticipated that method will allow The Ball and Chamber to gain global exposure, build instant credibility and capture market share for a swift and sure investor exit within five years. As evidence this tactic is viable, Letters of Interest for the Ball and Chamber have already been received from two (2) NFL teams and the United States Navy Athletic Department. This request is for $ 250,000 or 10% of a $ 2.5M request for funding in exchange for equity positions. This capital will be used to build prototypes of The Ball and Chamber to begin focus groups testing and initiate scientific research.

The Need
State of the art facilities, elite athletic trainers, and a meticulous recruiting process simply arent enough to gain the competitive advantage that professional and college teams seek. To win athletes need to be stronger, faster, tougher, agile and more competitive with The Ball and Chamber they can be. The core marketing strategy of The Ball and Chamber is market dominance as the inventor of this technology. There is also a failure in the current collection of health, fitness and training machines, to improve a persons balance, center of gravity, core strength, power and speed while simultaneously incorporating a cardiovascular workout with inherent and continued unpredictability. In addition, no exercise system resides in one room where there is zero ability for the user to have a upper and lower body workout without the ability of the user to pause and rest as a clear signal of fatigue. The Ball and Chamber solves all of these vacancies in the market and is suitable for use with groups and individuals. The majorities of traditional training systems use level floors and provide only lower or upper body workouts. Others leave at least one or more parts of the body stationary or with the ability to rest hands, arms or fingers on parts of the machine itself, thereby allowing participants to cheat when tired. Even with machines advertised to have degrees of whole body workouts, balance and speed are not improved because the machines themselves are fixed to flat surfaces.

A key reason the Ball and Chamber is required for peak athletic performance is because once an individual enters into the room, there is an instant and ongoing work-out: the floor is steep and the ball, the height of an average human being, is unpredictable and must be controlled. Every muscle, from eye to fingertip to the sole of the users feet, is engaged from start to finish. Once inside the devices, the human instinct for perseverance works to manage the ball up and down in a series of movements promoting instant fitness development. The only way to leave the workout is the leave the room. Otherwise users are tied to the room which is why the devices are named: THE BALL AND CHAMBER, with the play on words from the ball and chain, an old fashioned way to confine a person. Therefore, there is an immediate market share to be obtained by those seeking high performance and the all-consuming workout to obtain the competitive advantage that can ONLY be gained from training in The Ball and Chamber. This fact is evidenced by the Letters of Interest the offering has already obtained from government and professional athletic teams before production has begun!

The Opportunity
Whether Amateur, Professional or Olympian, strength and conditioning programs, in every sport, throughout the world are continually striving for new methodologies, systems and equipment with which to more efficiently and effectively develop performance qualities within participants. Due to the highly lucrative and thus competitive commercial environment, new equipment designs are constantly being launched on the market with the claim of being the next magic fix for performance training. Very few hold up to scientific examination and therefore never reach meaningful penetration into strength and conditioning practice and ultimately fail in the marketplace. The Ball and Chamber is being introduced according to a proven model that includes scientific proof it works based upon world renowned team of experts. In addition, the devices include technological systems that instantly transform the devices beyond training equipment into the realm of research, gaming and entertainment systems due to imbedded technology. Once journals and publications by scientists testing the products is released, The Ball and Chamber will be confirmed to have incomparable benefits. Receiving credibility and exposure to a global customer base by means of publishing scientific evidence of product benefits is a proven model to penetrate the market that has been used by The Ball and Chamber team for the past fifteen years. This offering is an opportunity to partner with the group to produce a product that can change lives for the better in exchange for outstanding l insulated, diverse stream of revenue.

Product Description
In totality, The Ball and Chamber is a fitness development system consisting of an exercise chamber with an inclined floor and sized five feet (5) ball whose weight can vary from seventy-five to three hundred pounds. The first model of the CHAMBER is a portable, modular, rectangular shaped area measuring a ten (10) foot wide by twenty (20) long made of from clear fiberglass. Comparable hardy materials, such as transparent plastics, can also be used. The floor is inclined at fourteen degrees (14o) and padded to absorb impact. A texturized surface covering increases the coefficient of friction relative to the shoes of

the athlete. Later versions are projected to change the floor to allow for hydraulic undergirding. Movable flooring adjustments vary the incline of The CHAMBER creates ongoing challenge at every level of fitness. One of the most important features of the patent is its acknowledgment that the combination of inclined floor and gravity is uniquely captured resulting in direct competition to treadmills that require more complex and costly systems and corresponding maintenance. Owners of the second model of The CHAMBER can use it to generate revenue. Model II features a semi-permanent and/or permanent foundation that adds a monitoring room for researchers to observe participants performing repetitions in The CHAMBER. According to U.S. Patent Number 7,803,092B, repetitions completed in The CHAMBER can be with any object variable in height, shape and weight. The prototyped object in this offering will be for The Leviathan BALL. The BALL is made from custom foam molded into a perfectly oversized five foot (5ft.) sphere covered with a texturized surface that stimulates human touch. The inside of the ball is simply hollow to allow for a minimum weight of seventy-five pounds. Due to this empty inner chamber, The BALL can be filled with assorted items to increase the weight. Water, sand and gravel are natural materials that can be poured into The BALL to steadily increase the weight for more resistance. For gaming and entertainment purposes, more exotic or slippery substances can be used. Nick Jr. and Disney demographics would definitely have The BALL burgeoning with slime and plain goop! Whether water, sand or slime, with five feet or three feet diameters, each Leviathan BALL can replace standard training routines. Water will fill the prototype to a burgeoning capacity of three hundred pound fit for an entire team of competitive Olympians to attempt to move. The BALL has unlimited versatility as a revenue generating opportunity for the right investor due to this patented flexibility to vary its weight and dimensions. The ability of The BALL to adapt from seventy pounds to three hundred pounds allows individuals, groups or teams to use an inexhaustible energy source for the development of upper and lower body, strength, power and speed: gravity. Gravity is zero cost which makes The Ball and Chamber an inexpensive ultimate test of human endurance. Gravity is never depletes. The devices combined promote optimum fitness development. Additional benefits include the improvement of balance, core strength and end-user center of gravity. Cardiovascular endurance is also enhanced. If an Olympian or Professional Athlete pushed a twenty-five pound boulder up a hill for eternity, they could compete against their personal best by how many times they could push the ball back up and down. Hand over hand, hand to eye, and feet to hand coordination would be necessary for the control of weaving intricate patterns of lateral, vertical and horizontal movements across the incline floor. The randomness of a BALL and CHAMBER workout guarantees continual confusion of all muscular groups at each session or repetition. No two exercises are alike. The simplicity and effectiveness of ascending and descending within the fourteen degrees of The Ball and Chamber create strength and conditioning program that will immediately change the landscape of human performance. Being a part of disrupting the landscape of health and fitness is a core benefit of investing in The Ball and Chamber.

Production Resources

The Ball itself will be made with two types of custom blended material for the creation of its two inner spheres and tailored skin. There is a proprietary molding to create each mold for Ball that is the result of a global search of several manufacturers. New entrants must overcome the methods to create the size, compression, engineering, water-tight shaped which can house a variety of substances. The custom blend of materials includes temperature controlled manufacturing environments and may include hand processes. Known methodologies will include universal fittings, wide enough for material to flow through in order adjust the weight of the Ball. The surface of the Ball is texturized by a tactile, non-slip surface material special formulated to increase friction. Patented methodologies will protect manufacturing as a Ball and Chamber trade secret. The products will initially be made in the United States so Made In the USA branding can be obtained. However, one prototype will launch in Germany at the Fitness and Bodybuilding exhibit while the other will receive exposure in Australia as a research lab giving The Ball and Chamber an instant international tagline: Made Local. Born Global.

The Chamber will require an engineering firm to be sure the device is structurally sound. Manufacturers and suppliers of various materials, primarily steel and plexi-glass will be identified. . Wood and/or steel will be used for flooring depending on the model. Rubber channels along the top of the Chamber will hide electricity and technology wiring. Cost efficient plumbing fixtures will be installed under the ramp. Universal PVC will be used for piping. Research and gaming aspects of the Ball and Chamber will include two different Chamber additions. Digital video cameras are requiired to track the ball in real-time. Initially, there will be two per Chamber. Wireless computers, capable of high speed USB will be required. Custom computer software will then analyze the video signals locating the ball, tracking it and then determining its motion in three dimensions. Merchandising will involve branded gloves, shoes and various body bracing to stabilize joints. Preventive and orthopedic bracing for performance enhancement will be provided by Antibody, Inc. as the premier manufacturer. However, there is a need to retain a buyer or agent familiar with creating a branded clothing and product line.

Marketing Plan
Versatility in the product and the potential go-to-market strategies also position The Ball and Chamber for market dominance. The offering can be sold as a stand-alone product, added to another companies offering, or added as an Antibody, Inc. product. The Ball and Chamber will be marketed as both a luxury product to higher end segments of the target audience as well as a consumer good for more broad segments. Future growth plans will show that when you lower the hydraulic floor, the Ball and Chamber will serve for dual use of the CHAMBER as a functioning office, banquet or meeting space. This enhancement will be marketed to schools or entities that can now use the Ball and Chamber as a novelty with the potential for secondary income source for end-users as a rental space. And, promotions will also show owners of The Ball and Chamber will have a high performance system combined with a gaming / entertaining venue and an income stream for end users as fundraising source. Ultimate positioning will expand the reach of the Ball and Chamber to include a wider market of exercisers classified as high risk, including the ill, injured or those in jeopardy from diseases, such as obesity and hypertension.

The initial offering will focus on the fitness industry; both professional and individuals, both males and females with age ranges from 21 to 64. These individuals represent 88% of fitness equipment purchasers based on 2010 research from the National Sporting Goods Association. Market appetite is further confirmed by the 2011 State of the Industry Report from the Sporting Goods Manufacturers Association (SGMA), which states more than 60% of Americans purchased fitness related services or fitness equipment in 2010. Also in 2010, 14 of the top 20 sports and activities Americans participated in were fitness related. Therefore, marketing for The Ball and Chamber will target these six segments of consumers identified as: Professional Athletes: Owners, athletic trainers, and individual players in the NFL, NBA, MLB, NHL, Boxing, MMA, Olympics, and other professional sports are ideal clients for The Ball and Chamber. Stronger, faster, agile, and highly conditioned players translate into wins which in professional sports equals revenue. Semi-Professional Athletes: Athletic departments at High Schools and Colleges as well as Gaming Competitors are the second target audience for The Ball and Chamber. These institutions are able to train and recruit players at a higher level with promise of state of the cutting edge training allowing them to perform at a higher level and be able to move to the next peak in their athletic careers. Military Personnel: The US Department of Defense as well as the various Branches of the Armed Forces is able to use The Ball and Chamber or the smaller balls as both a recruiting tool and a part of servicemen training. Weekend Warriors & Fitness Enthusiasts: Marathon runners, triathletes, competitive swimmers, and body builders are several examples of weekend warriors and fitness enthusiasts who would benefit from the use of the Leviathan BALL or Leviathan BALL and Sisyphean CHAMBER. This audience is comprised of both individuals and organizations. Retail Store Chains & Gyms: The smaller versions of the Leviathan BALL are ideal for at home exercisers and those seeking to lose weight. In order to reach this audience retail stores, gyms, and boot camp programs are a key target audience.

The lead generation plan will include both a push and pull strategy with a heavy push at the start of execution tapering off into more of a consumer-driven pull strategy. PR Campaign: A key component in the early success of The Ball and Chamber will include a public relations push, specific to the sports and fitness industries. Specific tactics will be determined based on campaign budget. Examples of potential public relations tactics would include participation in industry conferences and events, charitable event that incorporates The Ball and Chamber, magazine/TV features. Direct Marketing Campaign: Leveraging existing contacts from sales of the Body Guard product through AntiBody, Inc. a direct marketing campaign will be developed to cross-sell past customers and contacts. The direct marketing campaign will rely heavily on social media, videos, email marketing and leveraging the efforts of a small sales team. The list of potential clients will be prioritized to target high-profile clients first creating the opportunity for early testimonials. Search Engine Marketing Campaign: Working with a reputable SEO agency the website for The Ball and Chamber will be optimized to generate search traffic. Pay-per-click and display

advertising campaigns to drive search traffic to landing pages that are customized for each target audience. Leads that are driven through the website will be nurtured based on the sales process as defined by The Ball and Chamber leadership. A triggered email program will be used to automate the process to help bring leads to close. Other assets to be used for a successful launch: Marketing Landing Pages: A landing (squeeze) page for each of the specific target audiences should be created to drive traffic to from marketing efforts. These pages should also be accessible from the main company site. The squeeze pages should include key sales message that includes an emotional and rational appeal, marketing videos, and call to action. Demonstration Video: Because of the size of the full product it will be essential to capture the target audiences attention and clearly demonstrate the effectiveness of the product. A 2-3 minute demonstration video should be created to show prospective buyers how the product works and how it would benefit their program. This video should be a blend of the marketing message and a product tutorial. Marketing Videos: Six 1-2 minute videos should be created for use during the early stages of the buying cycles. There should be one video for each of the key target audiences that speaks directly to their needs and pain-points. These videos should touch briefly on how the product works but are meant purely to capture interest. Spec Sheet: A one-page specification sheet should be created that outlines the details of each of the products. These should identify the space required for use, ideal targets, potential return and other pertinent information. Research Summary & Articles: Because this offering is heavily based in scientific research a summary of the research summary and findings as well as excerpts from published articles should be leveraged as a part of the marketing strategy. These assets should be created with the target audience in mind and written in laymen terms. Lead Nurture Email Program: Using a trigger based program to drip information to prospects over the defined ideal sales cycle. These emails should be developed with the goal of guiding the buyer through the buying cycle. Implementation Tools: Tools like required space calculators, workout plan ideas, athlete progress tracking programs and other useful post-purchase assets demonstrate that the company cares about the success of its clients and that support is available beyond the initial sale. Case Studies: Potential clients will want to know what results can be expected. At least 3 case studies should be completed using the initial prototype that would address the needs of the various target audiences.

Competitive Landscape
Competitors for the makers of The Ball and Chamber will be large fitness and sports related equipment manufacturers such as Cybex which has research, manufacturing and product divisions. Large retailers, such as Dicks Sporting Goods and the fitness innovator, Icon carry a range of treadmills, incline trainers and elliptical machines. All of these entities have established brand names with extensive global supply chains. Historically, these companies have maintained their market share with profit margins created by economies of scale. Ball and Chamber competitors have seasoned distributions channels and merchandising partnerships. However, their product lines only provide portion of the benefits of the

Ball and Chamber, although they all fall within the manufacturing categories of all-in-one fitness equipment. Depending on the quality and grade of the materials used these whole body workout fitness gyms that will compete with the offering, range in price from two to ten thousand dollars. Institutions and corporations may spend upwards of twenty thousand or more for industrial and light industrial grade equivalents. Current projects rivaling The Ball and Chamber include treadmills with wider bases or that mimic race conditions or natural terrains through iFIT or Google Street View technology. In 2012, Cybex introduced the concept of progressive stabilization with their Bravo Press and Bravo Pull multi-function cable training stations which won the 2012 FIBO, or Fitness and Bodybuilding, international fitness and trade show award for innovation in 2012. Foreign competition arises from new market entrants from emerging markets, such as the first sports brand out of China, Li Ning which received professional athlete endorsements from the NBA in 2011. The future competitive environment as outlined in industry reports confirm the anticipated degrade in intellectual property from foreign manufacturers. Enhanced entertainment packages on exercise equipment will appear first. Then, competitors will likely to begin research and development on slanted flooring and dissect The Ball to reverse engineering components. Therefore it is expected that nonbranded imitations will attempt to weaken market share. Anti-patent infringement efforts and swift legal and public actions will be maintained by monitoring competitive landscape along with lobbying efforts protecting intellectual properties. The Ball and Chamber team proactively addresses these threats with a well-defined five year plan: Each new product line will be rolled out with such timing to have left each niche market by the time new entrants have surpassed entry barriers.

Model Type Portable Semi-Permanent Semi-Permanent Permanent Permanent Half-Wall Ultra-Portable

The Chamber Flooring Technology Stationary Stationary Hydraulic Hydraulic Hydraulic Folding Monitoring & Gaming Holographic Gen. Next Gen. Next Gen. Next Gen. Next

Dual Use Organic Research Lab: 5 Lab: 10 + Storage User-Revenue Banquet/Meeting Gyms Consumers

Retail Size Large Large Medium Small Medicine Hand

The Ball Feet 5 5 4 3 2 1

Year Prototype Two Three Four Five Six/IPO

Financial Returns
The short term target audience for The Ball and Chamber includes six key segments of the Athletic & Sport Equipment, Footwear and Clothing subsections of the Consumer Goods industry that is $53.7 billion according to The National Sporting Goods Association (NSGA) Annual Sporting Goods Market report of 2011.

The ratio to watch for the first five years of the offering will be net profit margins, which should trend to 11% and 6% respective for domestic and internationals ales. Keeping in line with industry trends will validate the marketing push to pull strategy. Due to the uncertainties of the political climate and flatter global economies, the Ball and Chamber team is using a dual, instead of a singular revenue mode. Net sales growth is anticipated at 8%. The portable version of the Ball and Chamber enters the market with higher volume at a lower price which pits it competitively against the sporting goods retailers in order to make it affordable to non- professional sports teams, groups and companies to gain swift market share. The second model with holographic imaging, research capabilities and real time performance tracking will be priced for professional teams and large universities and research labs globally. The second Ball and Chamber model will have a smaller market share, but larger retail price appealing to luxury and corporate clients as a research with a semi-permanent foundation models. There is a high, or 60% cost of goods sold until processes and manufacturing become more well-known and economies of scale can be achieved. Net margins are 6% after the break-even point in year two. An increase of eight points moves the net margin to 14% by year six after the investor exits from a M & A with a competitive force combined with Management / Employee Stock Purchase Plan to protect pension funds.

Management Team
The group positioned to execute this business plan is comprised of over one hundred years of collective experience. Phillip Gilliam is the Principal and Lead. In 1999, Mr. Gilliam earned U.S. Patent Number 5,957,878 and in and in patents. The first is successfully marketed as the BodyGuard compression garments for healing and injury prevention and the second offered here is presently known as the Ball and Chamber. Robert D. Newton, PhD is the Foundation Professor and Director of Exercise and Sports Science of Edith Cowan University in Perth, Australia. Dr. Newton will oversee the implementation of technology to monitor Ball and Chamber participants for research purposes, including physical responses and adaptations to exercise within Chamber. Dr. Newton will be joined by Dr. Gregory Haff, recipient of the 2011 Fitness Scientist of the Year award. The team historically successfully partnered to receive peer review and journal acclaim on Mr. Gilliams first patent. We will be repeating that formula in this transaction. Legal advice for the offering comes from consulting with William Sherman, a longtime colleague of Mr. Gilliam, since college, Mr. Sherman is now Partner of the Law Firm of Dinsmore & Shohl and co-owns Antibody, Inc., the company that produced the first patent. Dionne Henderson joins the Ball and Chamber as the Chief Operating Officer. Mrs. Henderson owns the Metro Atlanta, Better Business Bureau accredited financial consulting firm, 1st Capital Finance, Inc. with a mission of bringing cost savings , corporate responsibility and a holistic responsibility to her clients with the . With over twenty years of banking experience, Dionne previously worked for companies such as JP Morgan Chase and has

held a four billion dollar signing authority in the secondary market. She is a minority owner of the Ball and Chamber and the primary contributor to the operational plan. Mrs. Hendersons associate for over a decade is Brandi Starr, owner of CassiusBlue Consulting. Leveraging a Masters in, Mrs. Starr has created a dynamic market penetration strategy for The Ball and Chamber. Manufacturing for the Ball is underdevelopment with Doug Collver of the Western Roller Corporation in Oregon. For over forty years, WRC has produced custom blended foam and polyurethane solutions applied for custom use. The Chamber is subcontracted by Carlino and Company, a local building contractor from Fayetteville, Georgia.

Future Recruitment & Resources

The Ball and Chamber team is currently in the process of receiving quotes for a local commercial software development company to contract the instrumentation of the Chamber. The identified organization will work directly with the Australian research team to insure scientific parameters are met with the most cost efficient method of implementation. Currently, the team has reached out to GA Techs and others for quotes. Next, additional contractors are being located to provide competitive quotes for all aspects of operations and for the manufacturing The Ball and Chamber itself to insure no key person dependencies, business continuity and manage any overflow in capacity. An expert in the area of retailing required to identify manufacturing, branding and supply chain opportunities for Ball and Chamber merchandise. Long term, the will be the need for a Board of Directors and a strong Executive Team, including CEO, CFO and COO. Human Resources will leverage an optimal blend of Independent Contractors or Outsourced function to fill core functions: 1. 2. 3. 4. 5. 6. 7. 8. A/R A/P Administrative Customer Service Investor & Government Relations (Strategic Alliances & Lobbying) Legal / Compliance / Regulatory Manufacturing and Supply Chain Marketing Team Sales a. The Ball b. The Chamber c. Merchandise 9. Others as Identified

Milestones & Financial Highlights

0 6 Months: Receive $ 250,000 sufficient to begin prototyping process Manufacture prototypes, retain and identify alternate contractors for business continuity 60% COGS / 40% Profit Margin Due to Low Volume / Customized and New Processes

9 Months: Receive $ 250,000 to finish prototyping process Prototype delivery and roll-out of the portable model at a FIBO 2013, Cologne, Germany Global exposure and acceptance from 600+ International Health & Fitness Tradeshow

12 Months: Receive $ 250,000 to successfully start-up operations (1st Round) Prototype delivery of semi-permanent model to Edith Cowan University, Perth Australia Net Loss from start-up

18 Months: Receive $ 250,000 to begin US / International Touring (2nd Round) Test marketing basic research to determine multi-channels and product acceptance. Test marketing of media, public relations, pricing and product endorsement plans. Close first retail sales from LOI, grass root and indirect marketing efforts from Gilliam network 15% Decrease in COGS - Processes Known, Efficiencies Identified

24 Months: Publishing of research findings stating superior product 20% gross sales increase from 1st Year - State of Success: Initial Published Findings Recruitment of CEO / COO Identification of Athlete & Grassroots Crowd Funding Opportunities 8% net sales growth

30 Months: Peer Review and publishing of Refereed Reports of benefits in scientific journals 20% gross sales increase State of Success: Peer Review of Journal Findings Identification of Competitor / Company for M & A Break-Even

36 Months State of Success revealed of Competitive Pre-Emptive Exit / Next Market Entrance Strategy Receive $ 500,000 Growth Capital for Equity Exit Strategy of Seed and 1st /2nd Round Investor(s): Refinancing or Athlete Crowd Funding Profit Achieved

42 Months Recouping production and start-up costs while limited losses using cost savings strategy.

48 Months Attaining profitable and sustainable operations Insulated and diverse stream of revenue for investors

Exit Strategy: Original CEO / COO Third Party Sale for Equity

54 Months Having multiple product lines Being purchased as normal and luxury good markets Strategically aligned with several non-competing industries.

60 Months VC / Investor Exit: Management Buy-Out or M & A with Competitor Employee Stock Purchase Plan 11% net profit margin