To: Jeffrey EMeevacation@gmail.comj
From: Richard Joslin
Sent Sun 8/3/2014 2:50:24 PM
Subject: Fwd: Trends and Reconciliation to Tax Returns
I am looking as use of loans. Mostly to pay legal and M&A fees and TriNet is payroll
Begin forwarded message:
From: Richard Joslin
Date: August 3, 2
To: John Murphy ileen Alexanderson
Subject: RE: Trends and Reconciliation to Tax Returns
There are a smattering of bank statements on dropbox. An extract from the July Chase
statement summarizes large inflows and outflows (pasted below) — not sure if readable
on handheld. Capital Infusion by equityholders — Canaan, Vroom, Levene, Mott,
Kramlich = $412K; payments to Pillsbury Winthrop $235k, Trinet $153K; Sparring Capital
Partners $30K. Sparring appears to be M&A advice.
CANAAN IX 116,666
CHRIS VROMM
20,000
CHRIS VROOM
33,333 53,333
DANIEL LEVENE
10,000
DANIEL LEVENE
15,000 25,000
KRAMLICH 16,666
16,666
TIM MOTT
100,000
TIM MOTT 200,000
100,000
EFTA_R1_00349427
EFTA01912215
411,665
PILLSBURY
WINTHROP
100,000
PILLSBURY
WINTHROP
135,000 235,000
TRINET
83,008
TRINET
3,378
TRINET
1,059
TRINET
15,022
TRINET
51,111
TRINET 153,970
392
SPARRING CAPITAL
PTRS
30,000 30,000
418,970
From: John Murphy
Sent: Friday, August 01, 201111
To: Richard Joslin; Eileen Alexanderson
Subject: Trends and Reconciliation to Tax Returns
Richard/Eileen,
I have created a simple spreadsheet (ArtSpace Trends) that shows the major Income
statements and Balance Sheet items by month. I will look at this to verify where the cash
is going.
In the meantime I also used this file to tie back the QB financials to the Tax Returns and
highlight any differences.
EFTA_R1_00349428
EFTA01912216
Note 2013 is based on accruals, while 2011 and 2012 was on a Cash basis.
As I look at 2012 and 2013 the major differences are disallowable T&E for Tax purposes.
Comparing the tax returns to the QB files this gives us a comfort level on the validity of
the data. I will perform some substantial testing to verify salaries etc.
(I will also question Catherine on some of the classification of 2011 expenses)
I will keep you updated as I make progress.
Regards,
John.
John Murphy
COO/CFO
Phaidon Press
65 Bleecker Street
New York, NY 10012
phaidon.com
EFTA_R1_00349429
EFTA01912217