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Nerds On Site Inc. (CSE:NERD) New Listing

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The company provides mobile IT support for small to medium-sized enterprises with services including computer set up, network installation, tailored software services, and IT support.

Additional Information:

Company: Nerds On Site Inc.
Website: http://www.NerdsOnSite.com
Stock Symbol: CSE: NERD
Date Published: Nov 27, 2018
Transcript: Available

Video Transcript:

I’m Megan Edwards for Investmentpitch Media

Nerds On Site Inc. is one of the latest new listing on the Canadian Securities Exchange, trading under the symbol “NERD”.

The company provides mobile IT support for small to medium-sized enterprises with services including computer set up, network installation, tailored software services, and IT support.

The rise of cloud computing, with data and programs stored and accessed over the internet instead of on a computer’s local hard drive, and the increasing complexity of computer networks, has created a large market for IT solutions and maintenance services.

The company uses a network of technically proficient & specially trained independent IT consultants to help clients on site by providing effective, consistent and customized IT solutions.

Before joining Nerds on Site, consultants must demonstrate relevant education and experience, with the company’s University of Nerdology providing continuing education in more than 250 competencies.

The consultants, called nerds, are independent contractors responsible for their own costs relating to client origination and development, retaining 37%-50% of revenues from each client contract, with the balance of the revenue going to the company.

Approximately 54% of revenues are derived from consulting service fees performed by consultants under written service contracts with customers, and 39% is derived from the sale of off-the-shelf hardware, software and related support.

The remaining revenues are derived from miscellaneous fees charged to customers, including software licensing fees, shipping fees, cloud storage fees, web hosting fees and fees for other miscellaneous services.

The majority of the consultants lease and operate fully branded red-colored vehicles known as nerdmobiles with the company’s branding.

The company boasts a strong and growing nerd-force of 125 technicians in Canada servicing 13,000 to 14,000 clients annually, with more than 160,000 served to date.

Over the last two years, the company reported annual revenues of approximately $8.0 to $9.0 million per year.

Operations are handled by an online, on-tablet mobile operating system called “I am a Nerd”, which handles the majority of the day to day administration takes autonomously, providing almost unlimited scalability.

This allows the company to accept clients as large as Canadian Tire Corporation, with the company currently providing IT support services to 175 Canadian Tire stores across Canada.

According to Statista, spending on IT services is expected to amount to US$987 billion worldwide in 2018.

The IT services market in the U.S. is the largest in the world, currently accounting for approximately one third of the global IT services market.

The company intends to expand its business into the United States including a 10 city roll out plan, through licensing and franchising agreements, building a network of U.S. based IT consultants that operate under the “Nerds on Site” brand.

The company completed its IPO, raising gross proceeds of $4.73 million from the placement of approximately 13.5 million units, priced at $0.35 per unit.

Each unit consisted of one share and a half warrant, with each full warrant exercisable at $0.70 for 24 months.

Canaccord Genuity Corp. acted as lead agent for the offering, with a syndicate including Mackie Research, Haywood Securities and PI Financial.

For more information please visit the company’s website www.NerdsOnSite.com, contact Eugene Konarev, Director, at 416-562-6030.

For investor relations visit www.Investors.NerdsOnSite.com, 877-778-2335, or email IR@NerdsOnSite.com.

I’m Megan Edwards for Investmentpitch Media