Annual Report 2010 In 2010 Chocolit Inc has

Annual Report 2010

In 2010 Chocolit, Inc. has reached their 5 year anniversary, a milestone that we are very proud to share with our customers. We had a very successful year, due in large part to a fresh, new management team. Our team has grown both inside our office and outside, connecting with our community and customers. Throughout our five years of serving the chocolate community, we have been determined to give our shareholders an above average annual return on their investment and have a high satisfaction rate when consuming our products. Even though our nation has been affected by an economy shattering recession, the chocolate sector has not been touched. Our sales have stayed steady throughout the recession, due to our high quality products that bring Chocolit, Inc. our customers back in our stores. This is the reason that Chocolit. Inc is a reliable investment for all of our investors. All of us here at Chocolit, Inc are proud to announce our winning position at the Virtual Enterprise Trade show. Our employees shined as we showed off our skills at presenting our quality products in a professional manner. Chocolit Inc. is looking forward to facing a new year and improving our facilities in every aspect to provide an even better environment for our customers. Lastly, we would like to thank you, our shareholders, for your support and service to our business. Nicholas. Hrehovcik, Giselle Prego CO- Vice Presidents

Directions to Chocolit Inc. Annual Meeting of Shareholders Passaic Valley High School 100 East Main Street Little Falls, New Jersey 07424 • • • From Garden State Parkway Northbound: Proceed North to Exit 153 B; you should be in the left lane to exit 153 B (Route 3 West). Proceed onto Route 3 West and merge onto Route 46 West. Remain on Route 46 West and exit at the Browertown Road exit. At the stop sign, make a right onto Browertown Road. Travel approximately ¼ of a mile and make a right into rear parking lot OR pass entrance and make a right onto Main Street. The school will be on your right. Make a right into driveway. From Garden State Parkway Southbound: Exit at 154 and enter Route 46 West. Remain on Route 46 West and exit at the Browertown Road exit. At the stop sign, make a right onto Browertown Road. Travel approximately ¼ of a mile and make a right into rear parking lot OR pass entrance and make a right onto Main Street. The school will be on your right. Make a right into driveway. From Route 46 Eastbound: Exit at the Browertown Road exit. At the stop sign, make a right onto Browertown Road. Travel approximately ¼ of a mile and make a right into rear parking lot OR pass entrance and make a right onto Main Street. The school will be on your right. Make a right into driveway. From Route 46 Westbound: Exit at the Browertown Road exit. At the stop sign, make a right onto Browertown Road. Travel approximately ¼ of a mile and make a right into rear parking lot OR pass entrance and make a right onto Main Street. The school will be on your right. Make a right into driveway. From Route 80 Westbound: Take route 80 to Exit 55 A (Union Boulevard/Little Falls). Travel past two lights. Go over Route 46 overpass and enter Route 46 East. Exit at the Browertown Road exit. At the stop sign, make a right onto Browertown Road. Travel approximately ¼ of a mile and make a right into rear parking lot OR pass entrance and make a right onto Main Street. The school will be on your right. Make a right into driveway. From Route 80 Eastbound: Take Route 80 to Exit 53 (Route 46 and Route 3 East). Remain on Route 46 East and exit at the Browertown Road exit. At the stop sign, make a right onto Browertown Road. Travel approximately ¼ of a mile and make a right into rear parking lot OR pass entrance and make a right onto Main Street. The school will be on your right. Make a right into driveway.

Vice President: Giselle Prego Front End: Samantha Dorsey, Danielle Dellanno, Mariah Hager, Martin Hendela, Michelle Fornino. Vice President: Nick Hrehovcik Back End: Caity Schwartz, Kim Galbraith, Noel Ruggiero, Michael Sayad, Jay Mc Cluskey, Jenny Tafro, John Flannery

Chocolit Inc. not only brings awareness to the business world, but to the children as well. February 5, 2010 our company went to tell our community about the business world and the day to day activities within our business. We started by going to Washington Park Middle School in Totowa, NJ. The fifth grade students were filled with questions and were excited to learn. The impact we made on the children made us eager to want to keep up the hard work we have been doing for the past five years. We strive to make our products as widely known as possible and to use our resources to create a better understanding of the business world. Going to the children will help spread the world around the community because we knew the children would want to tell their parents about what they learned.

Selling chocolate is like selling anything else. The first step is personalizing each approach. No one wants to feel like they are talking to a computer, if you can make each costumer feel as though you are communicating to them individually, it will improve your sales dramatically. Customizing each sale can change a sale of $20 into a sale of $200. Chocolate makes people feel good and it tastes delicious, therefore it’s only natural that people buy chocolate on impulses rather on logic. Knowing this I use vivid imagery to dramatize their feelings about chocolate. Another tip is leading with the best sale. Personally I explain how buying the “ 4 Season Special, ” is their best buy and in the end saves the most money. Now combining that with a vivid description of the chocolate they will receive and then personalizing it to their needs it creates a great buying atmosphere. After explaining that I look at their body language and listen to their questions, if they can’t afford that I then promote the “Chocolate of the Month Club. ” The object is to only promote one thing at a time. In conclusion, by following these simple steps any one will be selling thousands of dollars in chocolate in no time! -John Flannery

In order to generate a consistent revenue growth we are constantly creating specials, new chocolate designs, and withholding our delectable chocolate taste. In 2008 we generated $125, 554 in revenue, and in 2009 we generated $309, 915. 11 in revenue. The company saw an annual revenue increase of 146%! We are continuing to provide the greatest taste for the lowest price for people of all ages. The great thing about chocolate is that it appeals to all age groups. This means that children that experience the delicious taste of our chocolate will continue eating it for their whole lives.

IBPF Funds Deposit Withdrawl Final Profit Green Army 2, 244. 00 1, 526. 00 718. 00 Chocolate - Halloween 1, 009. 00 donation 1, 009. 00 Additional Green Army 1, 896. 00 1, 062. 50 833. 50 Coco Buttons - Winter 2, 846. 00 2, 000. 00 846. 00 Green Army - Football 293. 75 -293. 75 Hill Publishing 246. 00 -246. 00 50. 00 -50. 00 5, 178. 25 2, 816. 75 Valentines Display Case 50% 7, 995. 00 Total Final Amount Flooring Furniture (Grant Included) Miscellaneous Expenses Final Amount $2, 816. 75 35. 23% Margin 1, 238. 76 356. 00 721. 99 500. 00

MEET OUR EMPLOYEES SPRING/FALL 2010 Giselle Prego, Vice President of Front-End Operations Giselle will be attending Penn State University at the Smeal College of Business this fall with an intended major of finance or international business. Giselle oversees the front-end of the company which includes Public Relations, Advertisement, and Marketing. Reporting to the Chief Executive Facilitator, Mr. Ketcho, every week, she passed on information about the company’s whereabouts in terms of the front end and made sure Chocolit Inc. looked great at all times. She has been accepted into the Sapphire Leadership Program at Penn State and hopes to take with her all that she has learned about leadership with her to perform strongly within this program. Nick Hrehovcik, Vice President of Back-End Operations As a co-vice president, Nick oversees the back-end of the company. With seven employees reporting to him, he fully understands the quote, "with great power comes great responsibility. " Throughout the year Nick worked with Giselle at the forefront leading the company to many great achievements. As a vice president he made sure everyone was working on their given task, and would relay the employees work habits to the Chief Executive Facilitator (Mr. Ketcho). This class was a great learning experience that will be used in the future. Nick will be attending Ramapo College in the fall majoring in Biology.

Sara Tencza Sara will be attending Montclair State University next fall with a major in Fashion Studies. She hopes to eventually be involved with Fashion Merchandising and Marketing. IBPF introduced her to the business world and gave her some background to base her decision on. During the year she purchased virtual products, sold product for the company, advertised and promoted events, and worked towards a common goal of the trade show. This is exactly what She is interested in, and she hopes to take what she has learned into the fashion industry. Mariah Hager Mariah is the head of Merchandising in the front end here at Chocolit, Inc. She plans on attending Montclair State University in the fall, majoring in Fashion Studies as she one day hopes to become a Fashion merchandiser. The social skills that she has gained over these past nine months in IBPF has given her the confidence she needs to go on and apply her knowledge in the real world. “Most high school classes don't offer much experience as far as business is concerned, so it was such a great advantage to have a hands-on class like this one”, she says, “students are actually involved in a virtual business rather than learning through typical learning styles. ”

Samantha Dorsey This summer Sam will be taking summer classes at Bergen Community College and will receive her associates’ degree there. She will then be transferring to Rutgers University to receive her bachelors’ degree. She plans on majoring in communications, which was inspired from taking part in IBPF. The class has showed her what this field entails and has taught her strategic approaches in order to strive in her desired profession. Noel Ruggiero Noel is the production head of the company. Next year she will be attending Pace University in NYC to study business and she is very exited. She has learned a lot this year in IBPF and really thinks she has a grasp on how a company runs now. She had a lot of fun with the chocolate business and it really gave her an idea of what to expect in the future if she decides to start her own business.

Kimberly Galbraith Kim is an accountant for Chocolit. In the fall Kimberly will be attending Rutgers University and will be majoring in Communications and Business. This year in the accounting department, she cut checks for the employees of Chocolit, counted how much money was made from the fundraisers, and made deposits/withdrawls from Chocolit’s bank account. Michelle Fornino Michelle is in the marketing department of Chocolit Inc. Being in IBPF this year gave her a great experience of the business world. Next year she will be attending Bergen County Community College for two years. As of right now she works part time at A&P in Woodland Park. She’s been working there for two and a half years and plans on still working there over the summer. She will then start school in the fall and start her life as an adult, a thought that has become less daunting with the experience of this hands-on class.

Mike Sayad Mike will be attending the University of Scranton this fall. This class has taught him a lot of valuable lessons that will be very useful in his upcoming college years. “Participating in this class has given me a taste of the business world and overall how to handle a lot of experiences that I will cross in my future years”, Mike says at the near end of the school year. • John Flannery John is going to the University of Rhode Island intends to major in finance. This class showed him what it was like to be in the financial sector of a business. He came in to this class with basic knowledge about how a business is run but now towards the end of the class he has a much better understanding of what it means to run a business. “Considering, I want to work in Corporate America; this class was a great first step in to what life would be like in the business world”-John.

Caitlin Schwartz Caity is a member of the Accounting Department of Chocolit, Inc. She is the Department Head and has been working along with Kimberly Galbraith all year. As members of the Accounting Department, it is her responsibility to keep track of all of the funds for our company. She keeps track of withdrawals, deposits, etc. “After each fundraiser, we determined the total profits and costs in order to determine whether or not the fundraiser was successful or not. We also manage the U. S. Network Bank online which is where our ‘virtual’ money is kept. Taking this class this year was a wonderful experience and being a part of the tradeshow made it all the more enjoyable”, Caity says on behalf of herself and Kim Galbraith. In the fall she is attending Fairleigh Dickinson University in Madison, New Jersey, where she will be majoring in Accounting. “This class influenced me somewhat on the major that I wanted to choose for next year. All year I was comfortable with my position in this company, and I feel that I should pursue a career in Accounting. I definitely had a fantastic school year being a part of the Chocolit, Inc. Company”. Martin Hendela Martin is the sales manager at Chocolit. “Being the Sales manager for this class not only has given me the starting business experience I need before taking business classes in college, but it helped me to get into college too. During a few college interviews I was able to reference this class as a reason I want to go into Business. I feel this class has helped by future in business. ” Martin will be attending Seton Hall this fall.

Jenny Tafro Jenny is attending Montclair State University next year, majoring in justice studies. “This class showed me all the work that it takes to run a business. The front and back end both have very different but equally important tasks and jobs to do. I had no clue what it took before I took this class to run or work in the business world. Even though I’m not going into the business field, I’m glad I had the experience of this class to get an idea and a better understanding on what the business world entails”. Jason Mc. Cluskey Jay is the head of Human Resources at Chocolit Inc. “I am not sure as of right now where I will be attending in the Fall. I would like to major in some type of business next year. I am in charge of making sure everything in the company is going well and that all members hand in weekly forms otherwise they get penalized. Employee of the month and the rapport of our employees is my responsibility”.

Danielle Dellanno Danielle is the head of the Advertising Department at Chocolit Inc. She made sure that our display case in the hallway was always up-to-date and up to Chocolit standards. At the Trade Show in NYC, Danielle walked around advertised our company to other virtual businesses and attracted many customers to our booth. She does not intend to major in business; however, she is glad she was able to experience it through the IBPF class.

Chocolit, Inc.