On4 Communications – Six of the Best from a Champion Stable
For most people, annoying experiences cause, well, annoyance. If they continue to happen, they can engender fury and raised blood pressure. In a few people, however, recurring irritations spark the kind of creativity that spawns ingenious solutions. Instead of moaning about problems, those people solve them either personally, or they seek out an expert to do so. Steve Berman, the CEO of the holding company, On4 Communications, knows how to seek out the best.
Steve and On4 Communications have ambitious plans broadly centered on targeted and diverse business types. A common thread and admirable purpose links all those businesses together: It is to build a highly profitable enterprise through making people’s daily lives better and safer. At present, On4 Communications is waiting for the greenlight from the Financial Industry Regulatory Authority, Inc. (FINRA) to change its name to Hexagon Holdings Inc. Steve says they chose that name because of the six major divisions they plan to establish within the holding company.
The six divisions are: 1) App & App Design, 2) Manufacturing, 3) Dental Care, 4) Digital Media. The fifth will include a cannabis-related business. Berman has not yet released details of the manufacturing and digital media divisions. As for the still-unnamed sixth division, all he is willing to reveal is that “it will be huge.”
If it were not for Steve Berman’s obvious enthusiasm and impressive CV, investors would be forgiven for thinking that On4 plans are largely pie in the sky. When it comes to relatively new or fast-expanding enterprises, however, canny investors don’t put their money just on the company, its products or its services. They bet on people – people with credible proposals and impressive track records – people who have already produced good returns for investors. As the racing saying goes: “successful punters bet on the jockey as much as on the horse.”
One company in the On4’s App & App Design division has been in operation for some years, and its products mesh neatly with On4 Communications corporate ethos. The company is Cogosense Technology
and one of its main products addresses a dangerous (and often illegal) habit that annoys almost everyone: people using smartphones and tablets while driving. The company’s product is called bSafeMobile
and is a software- and hardware-based system available through auto dealerships and auto parts stores. It is aimed at families and small businesses and addresses the growing problem of distracted driving. The app is available for users of both iPhones and Android devices and connects to the vehicle system via Bluetooth.
Though distracted driving has existed since cell phones first arrived on the market, it has become a bigger and growing problem because of the proliferation and increasing functionality of smartphones and tablets, and is a particularly acute issue when it comes to younger drivers. The US Centre for Disease Control and Prevention reports that the category of drivers with the highest number of fatalities attributable to distracted driving is that of drivers under 20. In an article last year in the New York Times
, journalist David Leonhardt reports that vehicle deaths surged by 14% in the previous two years. That was the first significant rise in half a century. The only plausible cause, he says, is phone-related distracted driving.
When bSafeMobile is installed and “safe mode” activated, a virtual “curtain” blocks access to the device’s touch screen preventing the driver from making calls and typing texts. The software can be configured to enter safe mode as soon as the vehicle starts moving. In addition to its main safe mode function, bSafeMobile has other very useful features. It can produce detailed reports for the driver on journey times and driving events, and highlight unsafe behavior like excessive speed, aggressive acceleration, and hard braking. The reporting feature can be activated only when the vehicle is stationary.
In addition to the individual vehicle “stand-alone” version, bSafeMobile can be installed as a monitoring device to help improve fleet safety. In this configuration, it is linked to an administrator via a designated network through bBeacon. This network version is ideal for families where parents want to remotely monitor their children’s driving behavior, and for smaller companies that want to monitor employees’ driving. The remote features allow an administrator monitor each driver and, if necessary, block phone usage when a vehicle is in motion. On4 Communications also markets an enterprise version of the product aimed at operators of bigger fleets anxious to promote safe and legal use of mobile devices while employees are driving for their work. This product is called FleetSafer. FleetSafer can be configured to provide company administrators with detailed reports and analysis (including data on tampering and overrides) that facilitate fleet auditing and help ensure conformity with company safe driving policies.
The company has already negotiated significant deals involving bSafeMobile with numerous US and international partners. These sales make the App division the most currently active and profitable within the group. This division’s order book is rapidly growing with existing and new dealerships placing large orders for inventory every day.
In a letter to investors, the group reports that in March 2018 alone it closed new deals with companies in six US states and is about to close further ones in another four states in the near future. Its sales activities are not confined to North America. The company reports that it expects to sign a deal shortly with a Turkish insurer, and its products are on test in Dubai with Dubai Taxi.
Apart from the apps division, Steve Berman is especially enthusiastic about the business potential related to cannabis. He believes the most promising opportunities currently are in Canada, and he has examined a number of prospective cannabis-related companies there. Some Canadian operators, however, have license problems due to the government limiting the number of licenses it is willing to issue. Many companies have applied for licenses, but have yet to receive them. So Berman narrowed down those of interest to just four, one each in Vancouver, Saskatchewan, Quebec, and Ontario and has provided outline information on three of those. One is a grower with ample land and options on adjacent acreage. Another is a company that manufactures specialist lighting designed for accelerated indoor growing. The third is a seed import/export business with operations in Canada and Europe
Other imminent plans
Berman believes strongly in the growth potential of new businesses in the health sector. This huge area is ripe for rationalization and modernization, he says. It has the potential to provide big rewards to forward-thinking investors and make healthcare more accessible to more people especially since many can’t afford comprehensive health insurance plans. He is particularly keen on developing business opportunities related to “Urgent Care Dental” and “Urgent Care Medical.” He regards the status quo of single freestanding stores, where some offer urgent dental care and different ones urgent health care inefficient business models. He sees an opportunity for consolidation, creating a new single comprehensive urgent care facility that caters to the needs of both types of patient. He says he is in talks with a number of these businesses in the New York area. Currently, the discussions are at a delicate stage and he is reluctant to elaborate further. Urgent care in general is of particular interest to Steve, and he is determined to establish a business model that streamlines its delivery. Going on past form, when he sets his mind on something, it doesn’t just happen, it usually prospers.
A little about Steve Berman
Steve Berman was born in New York. For over thirty years, he led a successful career in sales, as well as setting up a number of startup businesses, which he skilfully steered to success. During that time, he was instrumental in sourcing capital financing for a number of public and private companies. Steve was senior vice-president of Time Warner Cable NY, where he was responsible for growing advertising sales there from $11m to over $100m. This helped increase national sales by 200% and led to the company becoming the number one billing cable market in the US.
He later served as a senior vice president at YES Network, the country’s leading regional sports network. During his tenure with YES, he developed the network’s advertising platform and significantly increased the network’s sales. In more recent times, he co-founded 3DMC, a digital multimedia company. In addition, he was CEO of Stealth Sports and Marketing, a consultancy that specializes in marketing and multimedia solutions for professional sports teams.
Even a great racehorse isn’t guaranteed to always win, and even a great jockey can’t turn a poor horse into a winner. That’s why champion jockeys select the horses they ride very carefully, and why they consistently win more races. You might say that Steve Berman is a “jockey” with a winning CV, an enviable track record, and a stable of exciting and promising business ideas. Nobody can predict for certain how his ideas will all pan out, but canny investors, who are impressed by his past form, are likely to keep a close eye on how his plans develop.
Technically the shares are ready for a big pop with $0.013 being the first level of resistance. Good news from the company will only help add fuel to the fire, and we expect a ton.