MUSIC TO THE HEAVENSG.E.M.

CURRENT OPPORTUNITY

• Grace Entertainment Media (GEM): a Global Christian “Super Site”.

• Featuring filtered Media including Social Networking (think Gracebook instead of Facebook), Music (HeTunes), Movies (GEMflix), contests (American Angels), new TV, Christian Radio genres; all things Christian media and more.

• Christian apparel & fashion trends (think Amazing instead of Amazon).

• GEM Christian books - self published, EBooks and otherwise in partnership with distributors and bookstores across the U.S and the world.

• Christian Ministries, schools, Churches, streaming worship services, seminars & speakers.

• Christian dating, personals, employment, counseling, news, and calendars.

• Non-profits, fundraising, compassion channel and issues education.

WHY THEY NEED US• As the global community recognizes that borders must be removed from our minds and hearts, technology and

the Internet allow us to expand product offerings, media, suppliers, and ever expanding demand for new goods and services through availability and education.

• Through the Internet, people learned that they want new things, things they never thought of getting or could ever access before.

• On the Web, new companies from one man shops to major corporations have popped up and offered their services to people around the globe.

• Name recognition now goes far beyond the local market or country and must be maintained online for any company to be considered foundationally safe. Implication: If you are not online, then you are not real.

• Where we once had an option to be online, we now have the option to be offline.

• With the lowering and in some cases elimination of barriers to entry, any company, ministry or organization can now find customers and constituents and provide solutions to problems to anyone anywhere in the world.

• Online companies are no longer viewed as risky. Predominantly people prefer to search and shop online, especially for things they can view or test prior to buying, such as appliances, music or videos.

MAIN MESSAGE AND FOUNDATION OF SITE

• We seek to eliminate borders & limitations for the Christ following community, uniting them and offering all things Christian irrespective of denomination, language or geography.

• Further we will demand and monitor that, at least on our company territory (website) , all comments, views and actions represent the God we follow and not just the denomination we prefer.

• It is time for the Christian community to unite and focus on its core mission. We believe that media, God’s love and common ideas, services, ministries and products will help facilitate this unifying transformation.

• We will attract Christians from all geographies, distinctives and walks of life, offering them a place to unite and love one another- at least in cyber space.

• Only God Himself can know what great and mighty things will come of this.

JUSTIFICATION FOR A CHRISTIAN COMPANY• The $1.75 trillion Christian consumer market segment is up for grabs.

• Willing to spend more and sacrifice convenience and comfort for faith-compatible brands.

• When consumers are cutting coupons, tightening discretionary spending, and shopping for the best deals, retailers can’t sell items at full price and struggle to even just to reach minimum sales goals.

• Despite some forecasters calling for a rise in retail sales (six percent growth this year), shoppers continue to pinch pennies in order to make it through this uncertain economic season.

• However, one market segment – Faith Driven Consumers – is willing to pay extra based on their values and worldview. It’s made up of 170 million Christians just in the US and over two billion Christians globally. This rapidly emerging powerful demographic group feels highly responsible to change their daily habits to more closely align with their faith convictions.

• Representing 54 percent of the US population and $1.75 trillion in annual spending, Faith Driven Consumers present a vast untapped opportunity to reach consumers who want to remain loyal and committed to retailers who are compatible with their values and meet their specific faith grounded needs. Anyone wanting to reach Christians will want to advertise on GEM. It’s the one place they can do exactly that. (Until now no company or organization could target Christians through ads. Most Christian media are donor supported. )

RATIONALE FOR SUCH A CHRISTIAN COMPANY• In fact, research shows that 84 percent of Faith Driven Consumers would spend at least five percent

extra for a brand that aligns with their worldview. This translates into more than 142 million people who would pay extra rather than going for the sale rack or deals at a competitive store.

• Drilling deeper into the data, fully 64 percent would spend at least 10 percent extra and 16 percent of Faith Driven Consumers said they would spend at least 25 percent or more on a brand that was compatible with their beliefs.

• In today’s economy, retailers are hard-pressed to find a consumer group as committed and willing to pay extra, beyond what they would normally spend, than Faith Driven Consumers.

• Rather than chase after other niche markets that have savings as their primary goal, retailers have an unparalleled opportunity with Faith Driven Consumers to focus on a group that responds favorably to appropriate marketing messages that resonate with their deeply held values and convictions. Ford, Toyota, Procter and Gamble and other global concerns will see the value in this.

• Committed, loyal and willing to go the extra mile with a faith-compatible brand – can anyone afford not to pursue this group that represents more than one in two Americans?

CHRISTIAN CONSUMERS HAVE MONEY TO SPEND, THEY ARE SIMPLY MORE SELECTIVE ON WHAT THEY SPEND IT ON.

From: FaithNomics – A retailer’s Guide to Faith Driven Consumers – May 16, 2012http://faithnomics.com/2012/05/16/1-75-trillion-christian-consumer-market-segment-up-for-grabs/

JUSTIFICATION FOR AN ONLINE COMPANY• Market research firm Forrester Research recently reported that estimates that online shoppers in

the United States will spend $327 billion in 2016, up 45 percent from $226 billion this year and up 62 percent from $202 billion in 2011. In 2016, online retail will account for 9 percent of total retail sales.

• The report, U.S. Online Retail Forecast, 2011 to 2016, by Forrester analyst Sucharita Mulpuru, was created by analyzing trends in the monthly retail sales figures released by the U.S. Census Department but does not include sales of cars and trucks, gasoline, groceries and restaurant meals.

• Steady growth in the number of Web shoppers is helping to boost ecommerce sales. Forrester claims that 192 million U.S. consumers will shop online in 2016, up 15 percent from 167 million in 2012. But the bigger factor in driving ecommerce growth is that each shopper will spend more on average, the report says. U.S. consumers in 2016 will each spend an average of $1,738 online, up 44 percent from $1,207 in 2012.

• The report also claims that much of the growth in US ecommerce sales comes from online retailers improving their websites and services. Mulpuru writes in the report. “This is particularly true of categories such as apparel and jewelry, which have integrated rich selling tools such as zoom, color switching, and configurators, as well as office supply stores, which have broader payment options (e.g., small business purchase orders online) and subscription plans for their buyers.”

ADDED FACTORS ENSURING OUR ONLINE SUCCESS• In addition, other factors contribute to the increase including aggressive

merchandising and discounting from flash sale and daily deal retailers. Seventy percent of holiday shoppers in 2011 said they made purchases online rather than in stores because online retailers offered better deals.

• More online loyalty programs also added to expected increase. The report says that 12 percent of online shoppers belonged to such programs as Amazon Prime in 2011, are up from 9 percent in 2010. Of those consumers who belonged to such a program last year, 61 percent said they purchased from that retailer more often.

• Smartphones and tablets are also helping to boost ecommerce sales. According to the report, smartphones and tablets lead consumers to spend more time online and spend more money making purchases.

Previous 2 slides were obtained from performancemarketingassociation.com May 12, 2012 http://performancemarketingassociation.com/forrester-predicts-continued-online-shopping-growth

PHASE I• Startup-

– Company formation.– Investor website.– Website to gather programming, talent, sponsors, advertisers & audience.– Market research for feasibility and final format and product offering.– Social network surveys and creating awareness.– Recruiting of internal employees & external partners.– Traveling to present opportunity to larger investors for phase II.

PHASE II• Procure $6MM capital (to be determined by research in phase I).

• Build out site to offer initial 3-5 major media categories and products to draw eyeballs to the site.

• Obtain sponsors, advertisers, strategic media partners, talent and products.

• Commit to technology back office to insure 24/7/365 operation .

• Add employees.

• Launch major online and offline advertising campaign.

WHY INVEST IN PHASE I• Lower buy in to company.

• Higher returns for angel investors.

• Last or first right of refusal for phase II funding.

• Opportunity to help shape the company.

• Ability to get inside the company at lower investment level to determine your desire to invest at larger level.

• Phase I anticipated to close in early 2013- therefore short term investment with ROI twice as high as market availability.

• This investment provides a low cost yet global reach of online media including television, film, radio, music and social networks to reach additional markets for the company as well as it partners.

• This investment provides a means of connecting and uniting Christian members across multiple tribes around the country and around the globe where they reside or travel.

• This investment provides options of adding private channels of communicating and holding large meetings as well as segmented TV, radio and social media platforms for the tribal communities as members and investors of this site.

MORE BENEFITS TO INVESTING FOR YOU

PHASE I FUNDING REQUEST• $150K - $250K cash by December 31, 2012.

• 20% interest paid if contribution is a loan

• OR 2 to 1 stock purchase up to the first $500K as investment.

• Seat on the board of directors if Phase I investment is supplemented by Phase II funding of $2MM or more.

• Note:

• Timing of funds is essential to capturing some revenues around the holiday season and testing smaller sets of products for real-time data and revenue prior to the end of year 2012.

• Final funding amount will depend on investor’s required deliverables.

USE OF PROCEEDS

• Business Plan-Financials

• Marketing Plan-Detail of step-by-step Action Items

• Creation of media channels & List of Products to Create

• Creation of Investor Packages-

• Key Investors- Christian Athletes & Celebrities

• Travel and presentation to Investors.

• Travel and presentation to key pastors for support.

• Legal- Contract Creation, Negotiation and Other Needs with Larger Investors

• Credit Establishment and Growth of Company

• Printing Of Materials and Collateral to Send Investors, Churches, Talent…

• Registration on angel investor sites

External Market Supplies• Purchase of market research statistics to

align marketing activity

• Website Mockup for Investors (building, hosting, content, mkt.)

• Investor Site with Passwords and Info-(building, hosting, content, mkt.)

• Online domain, hosting & purchase capability

• Online storage capacity

• Salary/Contract Pays For Employees

• Marketing to prospective sponsors, advertisers

• SBA loan applications and process

• Online Surveys From Target Markets

Internal Funds

Dear prospective investor,

We want to thank you for your time and consideration in a dream that we have visualized and hope to bring to fruition with your assistance. We have provided returns significantly greater than market conditions to entice you to join our cause and partner with us as an angel investor.

We hope you will chose to move forward with this request and are confident that you will be rewarded handsomely for your faith and decision to act accordingly. Please keep in mind that the materials provided at this juncture are preliminary and the funds raised from this round of investments will primarily be used for perfecting the plan, complimenting our partner opportunities, adding segments to benefit our partners and preparing a complete prospectus to attract the right partner for the larger funds anticipated to successfully launch the company.

We acknowledge that our first intent is to create a profitable entity, however the worthiness our cause is what will bring the revenues in the long run. Thank you again for your time. We are all available to answer any questions or concerns you may have .

Sincerely,G.E.M. Executive Team