CollisionSyzygy, Inc.
Company Summary
CollisionSyzygy is the product of founder and president William Smith. Opening its doors in 1995, CollisionSyzygy began its mission of streamlining claims processing while creating economies of scale that allow small and mid-sized insurance companies to compete with larger companies. Cost containment, improved and timely reporting, swift resolution of the claim process, and quality repair service are all characteristics of the CollisionSyzygy program. CSI’s strategic business partner, Mitchell International, provides software that aids CSI in servicing its repair shops.
2.1 Company Ownership
For the past five years, Mr. Smith has guided CollisionSyzygy, Inc. as its founder, CEO, and sole shareholder. The firm currently has authorized 300,000 shares of common stock, half of which have been issued and are owned by Mr. Smith.
Mr. Smith brings nearly 18 years of claims experience to CollisionSyzygy.
CSI maintains an active strategic business partnership with Mitchell International, another substantial player in the third party administration (TPA) process.
2.2 Company History
CollisionSyzygy opened its doors for business in 1995. Its founder, William Smith, envisioned an independent, generic process that would allow small- and mid-sized insurance companies to “pool” claims so that they could enjoy the cost savings formerly achieved only by their larger counterparts. The larger volume of business created by this pooling of claims gives smaller insurance companies the economies of scale needed to compete with larger companies, such as volume pricing, for the repair shops.
In 1998, CollisionSyzygy formed a strategic business partnership with Mitchell International in order to compliment CSI’s ACT software with ImageMate® and UltraMate® software technologies. UltraMate® is an advanced technology, Windows®-based software program for estimating job costs. ImageMate® is also a Windows®-based program used by automotive collision-repair shops to send images and other estimating data via phone modem and Internet.
The following is a chart and table of past performance for the past two calendar years. Year 1 is an estimate based upon actual first quarter results and projections for the remaining three quarters, assuming that investment capital is employed into operations at the beginning of Year 1.
| Past Performance | |||
| FY 1998 | FY 1999 | FY 2000 | |
| Sales | $333,669 | $274,758 | $1,685,200 |
| Gross Margin | $183,479 | $139,070 | $1,364,458 |
| Gross Margin % | 54.99% | 50.62% | 80.97% |
| Operating Expenses | $84,811 | $94,765 | $1,089,024 |
| Collection Period (days) | 0 | 0 | 0 |
| Balance Sheet | |||
| FY 1998 | FY 1999 | FY 2000 | |
| Current Assets | |||
| Cash | $14,469 | $18,850 | $1,961,328 |
| Accounts Receivable | $0 | $0 | $130,597 |
| Other Current Assets | $0 | $0 | $0 |
| Total Current Assets | $14,469 | $18,850 | $2,091,925 |
| Long-term Assets | |||
| Long-term Assets | $30,043 | $57,791 | $192,291 |
| Accumulated Depreciation | $24,970 | $24,970 | $40,664 |
| Total Long-term Assets | $5,073 | $32,821 | $151,627 |
| Total Assets | $19,542 | $51,671 | $2,243,552 |
| Current Liabilities | |||
| Accounts Payable | $0 | $0 | $71,551 |
| Current Borrowing | $0 | $0 | $0 |
| Other Current Liabilities (interest free) | $0 | $0 | $0 |
| Total Current Liabilities | $0 | $0 | $71,551 |
| Long-term Liabilities | $0 | $0 | $0 |
| Total Liabilities | $0 | $0 | $71,551 |
| Paid-in Capital | ($80,488) | ($92,665) | $1,907,335 |
| Retained Earnings | $34,650 | $100,031 | $144,336 |
| Earnings | $65,380 | $44,305 | $120,330 |
| Total Capital | $19,542 | $51,671 | $2,172,001 |
| Total Capital and Liabilities | $19,542 | $51,671 | $2,243,552 |
| Other Inputs | |||
| Payment Days | 0 | 0 | 0 |
| Sales on Credit | $0 | $0 | $0 |
| Receivables Turnover | 0.00 | 0.00 | 0.00 |
2.3 Company Locations and Facilities
CollisionSyzygy is located in Costa Mesa, California. The company contact is the vice president of Marketing and Administration.
CollisionSyzygy’s strategic business partner, Mitchell International, is headquartered in San Diego, California. Mitchell International also maintains offices in Chicago, Milwaukee, and Toronto. The company is comprised of six operating units: electronic products, publications, business systems, medical, National Auto Glass Specifications (NAGS) and the E. H. Boeckh Company.
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