-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, IpnwLhVV7DOuFlTIlfa79+5LETKgEGBjjPqCPVKoCvOYYNvd5tu4VahkHbnfdKh5 q1C1Cts3VjeVwHGRFDKMbg== 0001021771-03-000128.txt : 20030715 0001021771-03-000128.hdr.sgml : 20030715 20030714175335 ACCESSION NUMBER: 0001021771-03-000128 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030714 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20030715 FILER: COMPANY DATA: COMPANY CONFORMED NAME: DCAP GROUP INC/ CENTRAL INDEX KEY: 0000033992 STANDARD INDUSTRIAL CLASSIFICATION: HOTELS & MOTELS [7011] IRS NUMBER: 362476480 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-01665 FILM NUMBER: 03785990 BUSINESS ADDRESS: STREET 1: 90 MERRICK AVE STREET 2: 9TH FLOOR CITY: EAST MEADOW STATE: NY ZIP: 11554 BUSINESS PHONE: 5167946300 MAIL ADDRESS: STREET 1: 90 MERRICK AVE 9TH FLOOR STREET 2: 90 MERRICK AVE 9TH FLOOR CITY: EAST MEADOW STATE: NY ZIP: 11554 FORMER COMPANY: FORMER CONFORMED NAME: EXTECH CORP DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: EXECUTIVE HOUSE INC DATE OF NAME CHANGE: 19911119 8-K 1 k8.txt FORM 8-K DATED JULY 14, 2003 RE: M&T CLOSING 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: July 14, 2003 (Date of earliest event reported) DCAP GROUP, INC. ---------------- (Exact name of Registrant as specified in charter) Delaware 0-1665 36-2476480 - ---------------------------- --------------------- ---------------------- (State or other jurisdiction (Commission File No.) (IRS Employer incorporation) Identification Number) 1158 Broadway, Hewlett, New York 11557 -------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (516) 374-7600 -------------- Item 5. Other Events and Required FD Disclosure. On July 14, 2003, DCAP Group, Inc. issued a press release (the "Press Release") announcing that it has obtained an $18,000,000 credit facility from Manufacturers and Traders Trust Company to finance its premium finance operations, together with $3,500,000 of related subordinated debt. The Press Release is attached hereto as Exhibit 99.1. Item 7. Financial Statements, Pro Forma Financial Statements and Exhibits. (c) Exhibits. 99.1 Press Release, dated July 14, 2003 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. DCAP GROUP, INC. Dated: July 14, 2003 By: /s/ Barry Goldstein ------------------------------ Barry Goldstein Chief Executive Officer EX-99 3 release.txt EX. 99.1 - PRESS RELEASE DATED JULY 14, 2003 [image] FOR: DCAP Group, Inc. - OTC BB: DCAP.OB CONTACT: Barry B. Goldstein (516) 374-7600 DCAP Group Obtains $21.5 million of Financing To Fund its Premium Finance Operations ----------------------- HEWLETT, N.Y., July 14, 2003 - DCAP Group, Inc. (OTCBB: DCAP) today announced that its premium finance subsidiary, Payments, Inc., has obtained an $18 million two-year revolving line of credit from Manufacturers and Traders Trust Co. to finance its premium finance operations. Concurrently, DCAP Group obtained $3.5 million in funding from a private placement of subordinated debt and warrants to support its premium finance operations. The private placement lenders include the Sanders Opportunity Fund and a group of New York investors led by Jack Seibald. "We've worked hard to grow our premium finance business for more than two years. With this line of credit and funding, we go from being a "broker" of these loans to that of a principal," said Barry Goldstein, DCAP Group Chairman and CEO. Goldstein continued, "In the past we originated loans through our insurance agency affiliates and others under the name Payments, Inc., but immediately sold them to a licensed subsidiary of Flatiron Credit Company, Inc. of Denver, CO. For this, we received from Flatiron a fee per loan. In essence, Flatiron, acting as the financing source, provided the incubator and allowed us to grow our brand. With Flatiron's exit from the transaction, the profits of the lending business will be entirely for the benefit of Payments Inc. Input 1 LLC of Woodland Hills, CA, the third party servicer that had been employed by Flatiron, will continue to service our loans, so the transition will be virtually seamless to our agency clients. "Payments, Inc. will retain ownership of the loans, and will recognize interest income, late fee and loan fee revenues over the life of each loan. As well, we will incur typical operating expenses, including those relating to servicing, interest on our senior and subordinated debt, bad debts and the amortization of the credit facility costs. Rather than recognizing all of our revenue during the month in which a new loan is booked, our income will be spread out over the life of the loan, which is generally ten months," said Goldstein. Goldstein pointed out that this will cause a reduction in both revenues and net income for the third quarter of 2003 as compared to the second quarter. "While the net income per loan retained should substantially exceed the fees we previously received, it will take approximately three to four months until we build up enough receivables to get us to the same monthly revenue and income. Assuming that our current monthly rate of loan originations continues, I estimate that at the close of 2003 our balance sheet will reflect loans in excess of $20 million," said Goldstein. The securities offered to raise the $3,500,000 were not registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. About DCAP Group: DCAP Group, Inc. is the largest chain of independent storefront insurance agencies in the Northeast. DCAP is focused on building the business into a community-based, vertically integrated one-stop financial services center. The Company offers several services to its retail customers at the most competitive rates with a complete portfolio of insurance and related products and services, including premium financing. DCAP currently provides car, motorcycle, homeowner, business and life insurance products from a number of major carriers. The Company also offers tax return preparation services. The Company's storefront agencies are located throughout the New York City metropolitan area and upstate New York as well as in New Jersey and Pennsylvania. More information is available at the Company's website at www.dcapgroup.com. Forward Looking Statements: Statements in this press release, other than purely historical information, including those contained in the comments above by Barry B. Goldstein and the comments regarding the Company's future plans and objectives and expected operating results, and statements of the assumptions underlying such statements, constitute forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. The forward-looking statements contained herein are based on certain assumptions that may not be correct. They are subject to all of the risks and uncertainties incident to the Company's business that are described in the reports and statements filed by the Company with the Securities and Exchange Commission, including (among others) those listed in the Company's Form 10-KSB. -----END PRIVACY-ENHANCED MESSAGE-----