Executive Summary

The purpose of this summary is to briefly outline our business in relation to Money Transfer services
and Travel Money services. We seek to become the largest Independent Transaction processing
organisation enabling authorization and clearing of transactions in Zimbabwe that originate from
foreign issued cards. We are currently developing and will deploy an EFT-POS infrastructure for this
purpose. We are also developing applications that integrate into the local switch – ZimSwitch to
enable a seamless ability to transact whilst in Zimbabwe. We require a transaction processor in
South Africa / International to enable this to be a reality.

This platform will enable us to better serve our customers in Money Transfer and Travel Money
services.

The opportunity

1. Zimbabwe has a Diaspora of over 4 million comparing to a resident population of about 12

million. There is great dependency on the local population to family members in the Diaspora.
There have been various methods of remitting to families back home, many informal. With the
liberalization of the foreign currency market in Zimbabwe, remittance methods are more formal.
With more than 2 million Zimbabweans in South Africa, there is an opportunity to offer
remittance services to that market via a remittance card funded from South Africa and Locally.
2. At present, there is no means of clearing transactions from cards issued outside Zimbabwe. With
the current upsurge in tourist arrivals and an expected influx during the 2010 world cup, we are
overwhelmed by request from hospitality concerns to offer this service. (The ability for visitors
to Zimbabwe to use their international cards for purchases and related services). At present we
are deploying a Point of Sale infrastructure of EFT-POS machines. These need the capabilities to
clear South African and internationally issued cards.

The Solution

1. Prepaid stored value cards for remittances (RemittoZimbabwe.com) which can be uploaded
internationally. Our main focus will be South Africa as the majority of our remittances to
Zimbabwe are from South Africa. This enables us to offer an electronic based remittance service
which is cheaper and more efficient as it is not overly dependent on physical outlets. The need
for cash and purchasing means will be substituted by our EFT-POS infrastructure and In-store
banking facilities.
2. A South Africa / International transaction processing partner that enables us to clear
transactions from South African / internationally issued cards. The card will be usable locally and
in South Africa.

Our main focus market in South Africa as the majority of tourists and remittances are coming from
South Africa. We want to also to make inroads into online transaction capabilities through a
payment gateway which allows the card for purchases in South Africa and Zimbabwe.

Partnerships

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South African / International Transaction processor: Partnership for a South African / International
payment processor is essential to enable clearing of South African and internationally issued cards
(credit and debit).

Local Clearing: The current interbank transactions are conducted via ZimSwitch. ZimSwitch owned by
the banks and a technology partner Fintech. We have received the present transaction structure set
for the switch and are implementing compliance with our EFT-POS terminals.

Central Bank Licensing. With our strategic partnership with Yeildgate Investments (Duly licensed
Money Transfer Agency + Travel Money – License Number 0034, 2009) we are licensed to carry
Money transfer services transactions and Travel money/ Traveller’s Cheques etc. See
www.remittozimbabwe.com

Revenue and Revenue Model

We receive revenue from transaction fees, prepaid card sales, Travel Money Orders, Travellers’
Cheque commissions, EFT-POS acquirer fees from ZimSwitch.

Our revenue model will also be anchored by a private label client model similar to a franchise model.
We with act as transaction processor on behalf of other financial institutions which will want to take
advantage of the system. Private label revenues consist of once-off installation fees as well as
recurring monthly charges for the use Transaction processing and stored value infrastructure.

The Team

The head of the RemittoZimbabwe (www.remittozimbabwe.com) project / transaction processing

framework George, has vast experience in the local and South African banking environment.
Educated to honours level at the University of Port Elizabeth (Now Nelson Mandela Metro) he is the
principal at Yieldgate Investments, a duly registered Money Transfer and Travel Money Agency. He
has also served as project consultant for the Spinalong Money project in conjunction with Net1-
UEPS.

Jackson Kanhenga, Estrategix Africa (www.estrategix.net) has vast experience in the Information
Technology sector in Zimbabwe and South Africa. Educated at the University of Port Elizabeth (BSc
Information Technology) he will head the IT side of the project. He has served as project for
CellSwitch (A financial services gateway)

Other Members

Gerald Makarutsa – BBA, Currently doing a Masters in Development Finance, Kingdom Bank
Allen Zinyama – Bcom Computer Science
Tapiwa Kanhenga – Bcom Accounting, ACCA finalist, BancABC

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Transaction Processor Role in Project

Overview

The critical role of the South African / International Processor is to facilitate the following:

1. Clearing of South African / Internationally issued credit / debit cards. Point of sale infrastructure
will reside in Zimbabwe via our EFT-POS network allowing transactions to be routed to South
Africa for authorization. People travelling to Zimbabwe from South Africa and other areas will be
able to transaction on the local switch eliminating the need for cash.

Travel Services

1. South African Partner to issue Travel card that can be cleared via our transaction platform. We
will also facilitate access to the local switch – ZimSwitch
2. Acceptance and en cashing of Travel Money (Money Order) from Zimbabwe.
3. Enabling Travel Card Issued in Zimbabwe (Can be co-branded) that works in South Africa and
Internationally.

Money Transfer Card

1. Enable issuance of prepaid card for money transfer service.

2. If possible, become money transfer services agent for the RemittoZimbabwe platform and
enable transfers from South African branches to card in Zimbabwe.

Prepared by Estrategix Africa Private and Confidential