United States, Ne... "Summary Information Company Smart Shoes, Inc. (SSI) is an ""S"" corporation founded in April of 1995 in the State of Nevada. The total authorized capital stock of the corporation is twenty-five-thousand (25,000) shares with a par value of $ .001. Business Our company is at the Seed/Start-Up stage of business. Our goal is to market a proprietary “gaming accessory” to the world’s casinos. We have one full time employee, however we maintain no offices. Smart Shoes, Inc. is the sole owner of: 1. U. S. Patent No. 5,722,893 which issued March 3, 1998; and 2. U. S. Patent No. 6,039,650 which issued on March 21, 2000. U. S. Patent No. 6,039,650 is a Continuation-In-Part to U. S. Patent No. 5,722,893. 3. Patent Cooperation Treaty (PCT) Application No. PCT/US00/040245 was filed By SSI on February 24, 1999 for U. S. Patent No. 6,039,650. Smart Shoes, Inc. has filed PCT applications to obtain foreign patents in Canada and Australia. 4. The “Notice of Allowance & Issue” for a pending design patent for a “Card Dispensing Shoe with Scanner” has been received from the U. S. Patent Office. This patent will be within days or weeks. 5. A second Continuation-In-Part (CIP) to U. S. Patent 5,722,893 has been filed and is pending in the U. S. Patent Office & Trademark Office. 6. The Smart Shoe (TM) is a registered trademark belonging to Smart Shoes, Inc. 7. SSI owns the Registered Copyrights to a software program than can be modified to drive the monopolistic features of the SS protected by out U. S. & Foreign patents. The above patents ‘893 and ‘650 will expire in October, 2015. The Product Our principle product will be The Smart Shoe (TM). (SS) The SS will, in appearance, look similar to manual card dispensing shoes currently used by casino dealers, worldwide, to deal the casino card games of Blackjack and Baccarat. The SS is different from other standard type card shoes used by casinos to deal card games. The SS is connected to a central processor and houses one or more electronic devices that automatically, and in concert with data input by the dealer of the card game, records and generates ""real time"" data relative to the play of the game and the game players being monitored by the SS. The SS’s purpose is to improve the accuracy of player ratings, identify the strategy and betting skills of casino BJ and Baccarat players, and to identify all highly skilled card-counters and card-cheats, and to reduce the game dealer’s settlement errors during real time. In combination the patented, and therefore monopolistic features of the SS are protected from use by others in the U. S. The SS in combination with the SSI’s software programs that support the SS can increase a casino’s BJ and Baccarat games average daily gross win by as much as twenty-one-percent (21%). We’ll shoot for a highly realistic increased daily gross win of ten-percent (10%) or approximately $50,000 per year per BJ or Baccarat game table. The SS will be the only gaming accessory available to U. S. casinos that is capable of performing these tasks during real-time:1) “Theoretical Win” player ratings; and 2) identify 100% of all casino Blackjack players who are highly skilled Basic Strategy players who are playing for casino “Comps or Gratuities”; and 3) identify 100% of all Blackjack players who are highly skilled “Card-Count-System” players who will maintain an advantage over the game if these CCS players are allowed to continue to play; and 4) calculate with 100% accuracy all casino BJ and Baccarat game player’s “True Worth”, or real Earning Potential or value to the casino, thereby preventing 100% of all unwarranted comps to BJ and Baccarat players; and 5) the SS will further identify and prevent most methods used by Card-Cheats, customers and dealers, to cheat BJ and Baccarat games; and 6) prevent and reduce BJ & Baccarat settlement errors made by the game dealer(s); and 7) identify and prevent all methods of cheating the game of Baccarat; and 8) prevent all dealing errors during the delivery of the Baccarat game cards to the “Player” and “Bank” hands; and 9) prevent all dealer hole-card “tells” by means of the “No-Peek” hole-card scanner; and 10) all of the above can be achieved while increasing the number of hands-dealt-per-hour and providing a casinos management with the most secure card games in the history of gaming; and etc. etc. The SS system will also display over 100 different types of game and player information, for any game monitored by a SS, during real-time, on a “workstation” located in the casino pit in the immediate proximity of the game(s) being monitored. The Market In the U. S. there are approximately 10,000 BJ games and 200 Baccarat games. SSI can also sell the SS to all foreign casinos excluding those in Canada and Australia as SSI has already granted exclusive distribution rights to another company. The SS software features can be restricted to allow SSI to offer a SS product that will fit the needs of all legalized casinos . . . large or small. (the ability to grant unlimited access, or preventing a licensee from accessing all features of the SS expands our market potential to 100% of all casino BJ and Baccarat game tables) Marketing Plan Our marketing plan is fundamental. Although the gaming industry represents a world market for the SS ... the number of casinos worldwide are few. All of these casinos are accessible through industry trade shows that are frequently held in various gaming jurisdictions throughout the world. The two largest of these trade shows are held in Las Vegas, Nevada once a year. Our primary sales efforts will be focused on Nevada's casinos and their 4,000 plus casino card game tables that are capable of utilizing all of the features of the SS. Once we are able to demonstrate that the SS can perform during real time, without any loss or reduction of-hands-dealt-per-hour, (this can be achieved with 100% certainty), we will publicly display the SS at industry trade shows. Casino executives will not be able to ignore the positive impact of the SS on their casino's bottom line. Distribution Channels Smart Shoes, Inc. sales efforts will also be focused on other legalized gaming jurisdictions within the U. S. To expedite the sale and distribution of the SS, with the exception of Nevada, our products will be sold and distributed to casinos through alliances with licensees and/or distributors that are presently active as vendors in other U. S. gaming jurisdictions. Research & Development Currently we do not have a prototype of the SS. There is nothing technically difficult about building the hardware for the SS. Most of its components can be purchased off-the-shelf. SSI owns the copyrights to a “Player Rating” and “Player Strategy Evaluation” software program that can be modified for use with the SS. This program is a DOS program written in the Clarion computer language. It must be rewritten in “C” for Windows. I estimated that prototypes suitable for demonstration to the gaming industry can be ready within six-to-nine months from the date of funding. Offshore sales could occur within the same time frame. Domestic sales could occur within one-year of obtaining funding for the prototypes. The Competition Many gaming vendors market Player Tracking systems. None have come up with a system that offers a casino the financial and security benefits of the SS. Any entity or competitor may infringe Smart Shoes, Inc.'s patent 6,039,650 by using a card dispensing shoe coupled with an OCR to calculate the proficiency or strategy skills of casino BJ players; to calculate a player's ""True Worth""; to identify Card-Count-System BJ players; and/or performing numerous other tasks related to the games of BJ and Baccarat, during ""real-time"". Risks Market Risks - There will always be a market for the SS. Technology Risks - Smart Shoes, Inc. patented technology will survive any tests of ownership. The Smart Shoe concepts were independently created and the U. S. Patent Office has found no prior art to thwart the claims of our issued patents. Financial Risks - The financial risk in this project is the cost of building the prototypes. Once the prototypes have been built and field tested to prove that the SS will perform as promised additional financing may be obtained from the potential licensees. The Management Risk - At this time Smart Shoes, Inc.'s management team solely consists of one person, myself. I am the inventor of The Smart Shoe (TM) and the founder of Smart Shoes, Inc. I have over thirty years of experience in the gaming industry as a mid-level casino executive and I am currently acting as our company’s president. My knowledge of the gaming industry qualifies me to know and understand the gaming industries need for The Smart Shoe (TM) and its huge value to the industry. I will remain with SSI in the capacity of a gaming consultant and will be intimately involved in the development of the SS and the creation of other new SSI products for the gaming industry. I have made a cursory search for an experienced executive with administrative, financial and technical skills to replace me as SSI’s president which generated excellent results. The rules of BJ and Baccarat games do not change. Therefore our development costs should essentially be a one time cost. Our primary market is centrally located. Our profit margin will be high and we will be able to offer an employment package that will enable us to rapidly acquire a highly experienced management team that will be more than capable of achieving SSI’s objectives. Capital Requirements SSI primary interest at this time is to acquire $ 500,000 in equity funding to develop several prototypes of the SS that will be suitable for demonstration to high echelon gaming executives. Additional funding in the amount of $ 3,000,000 may be needed over the next two years. Exit An exit for this investment can be provided at the end of the third year by distribution of the gross net profits or an IPO or both. Sales Projections The SS designed for BJ and Mini-Baccarat will sell for $3,000, and the SS for Big-Baccarat will sell for $ 5,000. When all features of the SS software programs designed for BJ and Mini-Baccarat games are utilized they can be licensed for $ 500 a month...