UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): June 3, 2019

 

DANIELS CORPORATE ADVISORY COMPANY, INC.

(Exact Name of Registrant as Specified in Charter)

 

Nevada   333-169128  

04-3667624

(State of Other Jurisdiction   (Commission   (IRS Employer
of Incorporation)   File Number)   Identification No.)

 

Parker Towers, 104-60

Queens Boulevard

12th Floor

Forest Hills, New York

  11375
(Address of Principal Executive Offices)   (Zip Code)

 

Registrant’s telephone number, including area code: (347) 242-3148

 

 

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-k filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

[  ] Written communications pursuant to Rule 425 under the Securities Act
   
[  ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act
   
[  ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
   
[  ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

 

 

 

 
 

 

Item 9.01 Financial Statements and Exhibits

 

Exhibit

Number

  Description
     
99.1   SUCCESS OF CORPORATE STRATEGY / OVERSIGHT SENIOR MANAGEMENT MODEL PROVEN IN THE PAYLESS TRUCKERS, INC. SUBSIDIARY / START-UP .PROMPTS A REDUCTION IN REVERSE SPLIT.

 

 
 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

  DANIELS CORPORATE ADVISORY COMPANY, INC.
     
Date: June 3, 2019 By: /s/ Arthur Viola
    Arthur Viola
   

Chairman & President

 

 
 

 

NEW YORK, NEW YORK:

 

Title:

 

Successful Corporate Strategy / Oversight Senior Management Model

Proven in Payless Truckers, Inc. Subsidiary/Start-up

Prompts A Reduction in Reverse Split.

 

NEW YORK, JUNE 03 2019: DANIELS CORPORATE ADVISORY CO. INC. (#DCAC)

 

Funding Options For The Credit Enhancement - Rent To Own business of Payless - Are Aggressively Being Pursued.

 

There appears to be more funding options, including conventional ones, now that the Payless start-up has proven operating results. The Corporate Strategy Model and Oversight Management of Daniels (“DCAC”) - whose corporate aim it is to raise funding not only on the cash flow potential of subsidiaries like Payless but also on the DCAC publicly traded stock - is being implemented with a good degree of success. We are committed to a balanced capital structure, one with a blended cost of capital. The financial leverage available through Asset Based Lenders will allow us to continue to use funding from existing institutional providers for the required 20% - $40% down-payment amounts needed in any leveraged asset deal. This acceleration of Sales and Earnings should produce a valuation on the stock that can support their continued use of institutional funds until we are large enough to refinance the entire company and/or ask our current and respected institutional investors to become equity partners with us when we apply for listing on a major Stock Exchange.

 

An additional Balancing Effect to the Capital Structure could come in the form of Conventional Financing - namely through the use/presentation of collective results of any and all subsidiaries of Daniels. Discussions are currently in progress with a major financial institution.

 

Progress in the Payless - “Flip” Business” To Improve Prospects For an Overall Banner Year.

 

The Payless Subsidiary now has a series of Floor Plan Financing lines of Credit in the total amount of $550,000 at an average interest expense of 8 % per annum. While this type of financing is very short term - having to be paid off once a vehicle is serviced and leaves our Facilities - it is solid financing that gives credibility to our bidding at Auctions for numerous opportunities at once. At wholesale buying groups, it allows for volume purchases of the best bulk opportunities.

 

We are currently operating at a rate of two trucks per week, for a total of $100,000 in Sales/Revenue per week and creating a positive cash flow. This is on a limited working capital level and with very expensive cost of funds that help in the acquisition of trucks. These new Floor Plan Lines will be implemented immediately as needed, and will certainly change the game - In increases in Sales Revenues, and positive cash flow, while at the same time lowering operation - interest expense - costs. The Company expects the use of this financing to positively impact coming fiscal quarters.

 

We have the participation and respect of the major Floor Plan Financiers - Next Gear Capital (a subsidiary of Cox Enterprises, Inc. of Atlanta, Georgia), AFC and Western Financial.

 

Current Update On Our Reverse Split:

 

Due to our limited manpower resources - (and its commitment to the construction and Auditor Review of our Consolidated Financial Statements) - we had limited time available to respond fully to all the preliminary requests for information/comments required in the FINRA response letter within their required time limit. We therefore, and at our option, have withdrawn our application for the reverse split of 1 for 1000.

 

We now have the time and professional manpower to fully respond to FINRA. During our response to FINRA’s Preliminary Letter we have amassed much of the information that was needed to proceed but needed to be current in our reporting to be approved. The Company believes that our application for a reverse at this time should be fast-tracked. We are an operating business with approximately 845 shareholders (counting those in DTC/CEDE), and because of our current circumstances (operations are running and profitable) we should be on a fast-track for the reverse split application we will be filing next week.

 

We have decided to reduce the size of the reverse split in order to keep liquidity in the stock as well as to keep as much of our current stockholder base intact as possible. We will be filing for a 1/200 (one new share for every 200 old shares) reverse split and expect clearance within weeks of FINRA’s receipt of all the requested information.

 

Arthur D. Viola

Chairman & President

(917) 617 - 5445

onewallstreetn@aol.com .

 

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