Step by Step

Evening

I’ve read everyone’s messages and couldn’t help becoming overwhelmed by the love and good energy you sent. Thank you for this! For your prayers, well wishes and encouragement. If anyone has a chance to endure life a little bit longer, it’s me. I can pull from your strength and keep the fight, as one of my good friends so well stated and use the energy you resonate to move forward with what we began as this is the majority of our shareholders wish!

I’ve given this a great deal of thought as to how to keep things progressing and have a plan that would require all of us working somewhat together and by doing so this would keep us advancing by approaching this growth in steps. The key to this lays with us getting the first part of this in place. From here you will see where this would lead and how the rest would be able to happen whether or not I remain.

You’re part of a business and in order for any business to run there are expenses. There are also write offs towards these expenses which I will elaborate on later. Until now everyone of these expenses were covered by the investments the shareholders initially made, then our developers working without pay because of the new promising investments we all perceived forthcoming and when it was taking time to ensure this, which is not uncommon when anyone is considering a large investment, the developers work had to cease because they kept to task as long as they could without pay,

So this is when I chose to go “all in” monetarily as well as physically in order to release Version 2 knowing the algorithms added in this version would increase the programs selected winners substantially. And it did! This took our progress to 30% complete.

And because of this considerable improvement in the program selected winners (up from on average 19 to 24% to 30 to 40% winners and 50% on average overall in the money to 67 to 75%) I did not have concerns about doing so because I saw substantial funding forthcoming plus we were now in the position to make bets.

So when anticipated funding came to a halt and unrealized by me so did my health the dynamics changed and here we are and to relay this properly where we are is important to define.

The initial intension was to build a betting program that included Bill Benter’s already proven data points added to Ed’s whose algorithms were derived from years of successful investing in horse racing through the use of these statistics so when the output of the programs top selections reached on average 70 to 75% winners (not in the money, but actual average winners) that one person, Ed, me or a designated bettor would place wagers daily on these selections and split all profit amongst the shareholders derived from the number of shares owned.

Well……. along the way this grew slightly towards a bigger plan. Not that we weren’t going to invest in bets when we reached the maximum output of winners, we would though when we realized that with the incorporation of A I (Artificial Intelligence) that we could robotically trade in a much larger and even more consistent way this was something we should do. The Casino that we’re set up with that offers us unheard of cash rewards for our bets even asked if this was what we were going to do.

To build our program from the beginning required a daily updated horse racing database which my equistats partners and myself own, and to add algorithms through the use of this database requires clean (meaning all points must match. Without getting too involved which would get us off track to relaying this, this means every way all trainers, or jockey’s or owners are entered daily into the base, and there are many multiple ways each name is entered, these must match so when you’re getting statistics, they’re accurate because the database knows all the names that each way belongs to. Though it’s not that simple. Every day new names are added, similar names are added, people come in and out of racing. You’ll see trainers come and go and jockey’s, and especially owners and so on). The reason this is mentioned is because even though we have a horse racing database it requires daily cleanup and this has to be done in all categories so for the early part of our venture most of the time was spent cleaning up our database and while doing so we weren’t seeing any progress on our end. And this caused some issues because we couldn’t start writing algorithms until the database or sections of it were clear and since we weren’t building anything yet it was getting difficult sourcing for funds. So the solution was using our database along with purchasing data files which allowed us to move forward and this is how we made it to today. In addition there are files we purchase so we calculate our information on the upcoming races as well as keep up with race day changes. We have our program on a server that we own which adds to the monthly expense. Couple this with other absolutely necessary annual expenses such as securing the server, filing tax returns, licensing fees and the bare minimum monthly expense that does not even include one person even our assistants or myself or my partner any salary comes to $2K. All of which I personally have been paying out of pocket since our capital ran out.

These expenses are all attributed to Zen. This does not include paying anything to equistats for use of the database which is OK for now as my partners have agreed to provide this data feed until a time that Zen would be able to pay nor any expenses equistats has separate from Zen. In other words without Zen paying for the expenses directly related to our daily operation, our program that we built will not run. Even once my partner has this ready for your personal use.

And unfortunately this $2K average a month does not come due evenly. For example in January the things that come due that must be paid in January costs us $6K. Then the monthly expenses sort of even out until each quarter where we must continually maintain $6K on hand to ensure things keep moving.

That shared, there is an additional point to mention. Out of our 36 shareholders, there are only 11 who regularly bet on racing so offering the program for personal use means nothing as they would not know how to invest with it and make a return. And since the dynamics have changed and at this juncture no one person will be making bets for Zen, their share owned is in limbo unless we get Zen to fruition or sell it.

In light of this, it would be difficult to ask them to pay towards this monthly fee. Which is the reason I stated that in order for Zen to move forward we have to first implement this step and this step requires on average 2 K a month to move forward. In addition there are several investors who pulled together their initial investment because they realized what we were doing yet to come up with any additional investment at this time would not be easy to accomplish. Yet if given the program to use in it’s current form they would have the opportunity to make money and because of this they would be able to invest their share at a later date. So this is my thoughts and what I suggest:

Because we require 6K in January to keep moving forward I set up some on line links for everyone to invest what they can so we can keep things moving. The links are set for $200, $500 and $1,000. If we ask each of the 11 investors that will be using the program to invest $200 per month each this would cover the expenses to keep things rolling. So to begin I’m asking the 11 shareholders that will use the program to invest. Each would be responsible for $2K for the year. If each can invest any of these amounts or more from now through January to please do so. If able to invest more now than later or the full amount now instead of later, particularly for this month of January so we can cover for January’s amount due, this would keep us going. The quantity can be added to the link upon checkout or can select multiple links in order to increase amount invested.

PLEASE NOTE: We have created a new page for these links: Shareholder Overhead Inv
This is the page to go to whenever you make an investment. Thank you

This would give time to all who use the program to make money and after you’re on this path, then you too can begin to pay your share of the operating costs in order to keep things going.

And because this is a business, you will be able to write off not only these individual expenses but also we’ll be issuing an IRS form K-1 for the losses incurred in 2022 by Zen. Since we haven’t yet moved out of the building stage, all money is spent without a return so the loss incurred in shared by each share owned. As an example, it is realistic to say that in 2022 Zen lost over 300K so each share would get to write off $3K per share loss on their personal return. Added to this, would be any money that you personally paid towards overhead.

I spoke to my equistats partner today, our head developer and he said that the program for personal use will be ready within the week.

By now almost everyone should have received an email from my assistant Jon which return address is from one of my equistats partners, named Russell Staggs. The email is in his name because he is the one who opened our Rocket Lawyer account. This message sent is a review of our Non-Disclosure Agreement for the personal use of our betting program. As stated presently this is set up for One person to use and my equistats partner is making the necessary changes for us so this can be used individually, on a personal level and because we want to protect everyone’s investment we have set up an NDA so our program states only for the use of Zen Racing LLC shareholders, the rightful owners who paid for it. Anyone who wishes to use the program must first sign this NDA and anyone who did not receive an invite for this, please let me know and we’ll set up an NDA for you.

Also anyone who did receive notice and does not want a copy of our program for personal use, please let us know so we can close out your NDA.

Since this post is long and I have more to share about how we can keep things rolling I’ll stop here and resume a new post soon.

I am moving slower than I have in the past. Sleeping a lot which is good, taking supplements that have assisted in my lasting this long and I have been able to put most of my personal affairs in order. Though I ask you to be patient with me regarding correspondence. Have much positive to share and once I do I think you will see too how things can keep moving forward and all the initial plans we have for Zen can continue.

A Most Difficult Post for me to Write

This is the toughest post I’ve had to write to date. I’ve started 20 different times, 20 different ways and this is the best I can do. Hope you can appreciate how difficult this is for me.

Apologies in advance for the length of this though you’ll soon understand its necessity.

I’m exhausted but have recovered from the diverticulitis. While in the hospital they ran additional tests due to other complications that were present and though not unexpected it still felt like a gut punch when directly stated. I have been diagnosed with end stage ADPKD, which stands for autosomal dominant poly-cystic kidney disease, and unfortunately this is end of life stuff. Along with this the doctor discovered what they referred to as suspicious cells. Could be cancer though this would require a Pet Scan to confirm that it is.

I say not unexpected because for the past few months my health has been declining to the point where I used to be able to recover in a few days after a push to not getting better and overall feeling absolutely awful. When finding out about the diverticulitis I hoped this was the cause but I know now that it is not.

About a year or so ago I let everyone know about the 2011 undifferentiated connective tissue disease (multiple autoimmunes) diagnosis and stopped there as this explained enough however in this same year I was actually diagnosed with 16 chronic ailments.

Lupus is one of the autoimmunes and at the time my Urologist believed was the culprit to the on going issues with my kidney’s that included repeated stones, regular UTIs, blood in urine and more and this doctor stressed the importance of keeping my kidney’s active because he said later in life I would be at high risk of getting ADPKD. He prescribed a drug called hydrochlorothiazide which is a blood pressure medicine that acts like a diuretic to combat however due to having insurance, not having insurance, having it again, I was on again off again for this drug.

In light of this news I understand everyone would want to know What will happen to Zen Racing Stats LLC?

First because of how I felt before I knew about the diverticulitis I elected to look into options with the first potentially selling the company and sought out the guy who offered 2 + million for it before we released Version 2 and found out he died. Then I looked into another potential interest and no go there too.

The second option is something I have been considering for some time, especially when the anticipated capital investment came to a halt but the only reason I did not move forward on this then was because of the decline in my health.

At first I attributed this to the massive on going push that I endlessly give to Zen, the many hats I wear every day to pull all this together that is driven by the certainty of our success because I am well aware that someone else named Bill Benter has already proven a billion dollar return building what we are in the process of and as brilliant as he is, Benter did so without the algorithms and expertise that Ed knew to apply that I thought the decline in my health was a result of this push.

This option is equity crowd funding which is different from crowd funding where you’re selling a product. Simply put (minus the details) you can run an equity campaign if you have a company, which we do, you can show what your company is about and how you make money, which we have and most important to these potential investors is how they will receive a return on their investment which we already can do by providing proof of concept from our Version 2s results.

The reason I haven’t committed to this option yet, or opened up a discussion even before my terminal diagnosis is because I honestly don’t know if I am able to give this the push needed. I am not sure I have any push left. Yet now that I know my fate and because my hearts desire is not to leave all Zen’s 36 shareholders hanging, I would use what time I have left to push forward though I am fully aware that I cannot do this alone. I am in discussions about this with my assistant Jon who just made me aware that he’s on board if we choose to go this route and with one of my equi-stats/ Zen racing partners to see what they would be able to help with though this alone may not be enough because of what’s involved. But lets say we can group together and pull this part off, then to run an equity campaign would require around a 30K investment of which $10K gets paid to Start Engine (the crowd funding company) to get us platform ready including adhering to SEC requirements, and we’d be required to provide financials and projection statements so we’d have to hire for this, with the rest going to video productions showing the potential shareholders what we have so we’d have to raise 30K first.

And if we did elect to go this route I would be opening up the 4 remaining shares in Zen that we have back and would campaign for 5 million, amount needed to complete the module to where it’s producing on average 70 to 75% winners (not 70 to 75% in the money) and then would incorporate A I (Artificial Intelligence) so Zen could robotically trade. And so you’re made aware, the Casino that we have our arrangement with that gives us unmatched cash rewards on our investment Will accept robotic trades.

This option for capital influx would put Zen in the position to hire our developers full time as well as the data scientists, pay all outstanding balances including the loans from shareholders so our slate is clean and if I’m gone before we roll, between my assistant Jon and my two equistats partners (one is our head developer) they would know how to get us there.

Getting us there would take about a year and a half to complete. Honestly it’s really way to soon for us to be betting with the program now because even though what we’ve accomplished to date is nothing short of amazing, at on average 30 to 40% winners (more closer to 30), 19 to 24% on average placing, 11 to 14% showing and an overall in the money hit rate of 70+% it still requires too much analyzing. But the reason we were betting now is because we did not get the anticipated funding and it was an option to make money and keep us moving forward. Yet because of my health and the amount of time that has to be allotted before deciding bets, our progression was extremely slow.

Now there is one more important thing you should know.

The biggest concern I’ve had since I realized how south my health went is You guys, your investment. I don’t want you to lose any part of it and my prayers for this were answered because in August I signed up with a law firm that is handling the government compensation for the veterans who served at Camp Lejeune and had water contamination that lead to quite a few health issues, esophageal cancer is one and unfortunately this is the cause of Ed’s death and though it can and probably will take up to 3 years to settle, the firm I am with says the payout will be anywhere between 300K and 1 Million and in some cases, like death and cancer could very well go to jury and these cases could be awarded a bit more. So this is what I’ve done. I have a revocable living trust and was able to list this Camp Lejeune settlement in this trust and I’ve listed every person who owns shares in Zen that they will receive the initial investment of $6K per share for each share they have at the time of settlement and for those who loaned Zen money with the promise of double back, I’ve included this in your payout too. So if we stop here. If we decide to go no further and not go after equity crowd funding, your investment will not be lost. And by listing this in a trust instead of a will you’ll receive this because it does not go to probate.

I realize this is a lot to process. This is the second saddest day of my life with the first being when I lost Ed because I wanted more than anything to take you, all of you across the finish line. For Ed, for me and for You! and now I know I won’t be able to do this and it hurts.

My drive has never been for the money. I wanted to make it but because I wanted to give back. To use the money I made from this to help injured jockeys, horses, and good causes for all things in our world.

I will leave Zen’s course of action up to You. Meaning what ever way you as a shareholder want to go, let me know through email and once I hear back from all we’ll move in the direction of the majority. Please take your time and think this through and when ready let me know.

and

As of today and until Zen reaches it’s conclusion whichever you choose, we are posting the full list of Standouts for all shareholders to use that can be accessed daily at the following link: stand-outs which there is also a link to above in the main menu. Please remember that these are for Zen Shareholders eyes only and can not be shared or sold as the non disclosure applies throughout the life of Zen. These will be posted around 7 PM EST each evening before.

and

I ask a favor. I am so worn out after all this and I really need to rest and also some time, meaning time before I answer anyone who writes because this has taken so much out of me.

I Love You and think of each of you as close friends. I want to thank you from my heart for sharing this journey with me!

Susan

Non-Disclosure

Non-Disclosure Agreement

This Non-disclosure Agreement (this “Agreement” is effective as of May 08, 2020 the “Effective Date”), by and between Zen Racing Stats LLC (the “Owner”), of 8465 W Sahara Ave Suite 111-515, Las Vegas, Nevada 89117, and all LLC Members (the “Recipient”) where

Zen Racing Stats LLC will be sharing proprietary information with all its members, investors, and silent partners and as long as they own stock in and/or work for Owner in any capacity is prohibited from sharing, giving away, selling, showing or collaborating with to any person and/or entity outside Zen Racing Stats LLC company indefinitely.

The Owner has requested and the Recipient agrees that the Recipient will protect the confidential material and information which may be disclosed between the Owner and the Recipient. Therefore, the parties agree as follows:

I. CONFIDENTIAL INFORMATION. The term “Confidential Information” means any information or material which is proprietary to the Owner, whether or not owned or developed by the Owner, which is not generally known other than by the Owner, and which the Recipient may obtain through any direct or indirect contact with the Owner Regardless of whether specifically identified as confidential or proprietary. Confidential Information shall include any information provided by the Owner concerning the business, technology and information of the Owner deals, including, without limitation, business records and plans, trade secrets, technical data, product ideas, contracts, financial information, pricing structure, discounts, computer programs and listings, source code and/or object code, copyrights and intellectual property, inventions, sales leads, strategic alliances, partners, and customer and client lists. The nature of the information and the manner of disclosure are such that a reasonable person would understand it to be confidential.

A. “Confidential Information” does not include:

– matters of public knowledge that result from disclosure by the Owner;

– information rightfully received by the Recipient from a third party without a duty of confidentiality;

– information independently developed by the Recipient;

– information disclosed by operation of law;

– information disclosed by the Recipient with the prior written consent of the Owner;

– information disclosed by the Recipient with the prior written consent of the Owner; and any other information that both parties agree in writing is not confidential

II. PROTECTION OF CONFIDENTIAL INFORMATION. The Recipient understands and acknowledges that the Confidential Information has been developed or obtained by the Owner by the investment of significant time, effort and expense, and that the Confidential Information is a valuable, special and unique asset of the Owner which provides the Owner with a significant competitive advantage, and needs to be protected from improper disclosure. In consideration for the receipt by the Recipient of the Confidential Information, the Recipient agrees as follows:

A. No Disclosure. The Recipient will hold the Confidential Information in confidence and will not disclose the Confidential Information to any person or entity without the prior written consent of the Owner.

B. No Copying/Modifying. The Recipient will not copy or modify any Confidential Information without the prior written consent of the Owner.

C. Unauthorized Use. The Recipient shall promptly advise the Owner if the Recipient becomes aware of any possible unauthorized disclosure or use of the Confidential Information.

D. Application to Employees. The Recipient shall not disclose any Confidential Information to any employees of the Recipient, except those employees who are required to have the Confidential Information in order to perform their job duties in connection with the limited purposes of this Agreement. Each permitted employee to whom Confidential Information is disclosed shall sign a non-disclosure agreement substantially the same as this Agreement at the request of the Owner.

III. UNAUTHORIZED DISCLOSURE OF INFORMATION – INJUNCTION. If it appears that the Recipient has disclosed (or has threatened to disclose) Confidential Information in violation of this Agreement, the Owner shall be entitled to an injunction to restrain the Recipient from disclosing the Confidential Information in whole or in part. The Owner shall not be prohibited by this provision from pursuing other remedies, including a claim for losses and damages.

IV. NON-CIRCUMVENTION. For a period of five (5) years after the end of the
term of this Agreement, the Recipient will not attempt to do business with, or otherwise solicit any business contacts found or otherwise referred by Owner to Recipient for the purpose of circumventing, the result of which shall be to prevent the Owner from realizing a profit, fees, or otherwise, without the specific written approval of the Owner. In such circumvention shall occur the Owner shall be entitled to any commissions due pursuant to this Agreement or relating to such transaction.

V. RETURN OF CONFIDENTIAL INFORMATION: Upon the written request of the Owner, the Recipient shall return to the Owner all written materials containing the Confidential Information. The Recipient shall also deliver to the Owner written statements signed by the Receipt certifying that all materials have been returned within five (5) days of receipt of the request.

VI. RELATIONSHIP TO PARTIES. Neither party has an obligation under this Agreement to purchase any service or item from other party, or commercially offer any products using or incorporating the Confidential Information. This Agreement does not create any agency, partnership, or joint venture.

VII. NO WARRANTY. The Recipient acknowledges and agrees that the Confidential Information is provided on an “AS IS” basis. THE OWNER MAKES NO WARRANTIES, EXPRESS OR IMPLIED, WITH RESPECT TO THE CONFIDENTIAL INFORMATION AND HEREBY EXPRESSLY DISCLAIMS ANY AND ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. IN NO EVENT SHALL THE OWNER BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL, OR CONSEQUENTIAL DAMAGES IN CONNECTION WITH OR ARISING OUT OF THE PERFORMANCE OR USE OF ANY PORTION OF THE CONFIDENTIAL INFORMATION. The Owner does not represent or warrant that any product or business plans disclosed to the Recipient will be marketed or carried out as disclosed, or at all. Any actions taken by the Recipient in response to the disclosure of the Confidential Information shall be solely at the risk of the Recipient.

VIII. LIMITED LICENSE TO USE. The Recipient shall not acquire any intellectual property rights under this Agreement except the limited right to use as set forth above. The Recipient acknowledges that, as between the Owner and the Recipient, the Confidential Information and all related copyrights and other intellectual property rights, are (and at times will be) the property of the Owner, even if suggestions, comments, and/or ideas made by the Recipient are incorporated into the Confidential Information or related materials during the period of the Agreement.

IX. INDEMNITY. Each party agrees to defend, indemnify, and hold harmless the other party and its officers, directors, agents, affiliates, distributors, representatives, and employees from any and all third party claims, demands, liabilities, costs and expense, including reasonable attorney’s fees, cost and expenses resulting from the indemnifying party’s material breach of any duty. representation, or warranty under this Agreement.

X. ATTORNEY’S FEES. In any legal action between the parties concerning this Agreement, the prevailing party shall be entitled to recover reasonable attorney’s fees and costs.

XI. TERM. The obligations of this Agreement shall survive Indefinitely from the Effective Date or until the Owner sends the Recipient written notice releasing the Recipient from this Agreement. After that, the Recipient must continue to protect the Confidential Information that was received during the term of this Agreement from unauthorized use or disclosure indefinitely.

XII. GENERAL PROVISIONS. This Agreement sets forth the entire understanding of the parties regarding confidentiality. Any amendments must be in writing and signed by both parties. This Agreement shall be construed under the laws of the State of Nevada. This Agreement shall not be assignable by either party. Neither party may delegate its duties under this Agreement without the prior written consent of the other party. The confidentiality provisions of this Agreement shall remain in full force and effect at all times in accordance with the term of this Agreement. If any provision of this Agreement is held to be invalid, illegal or unenforceable, the remaining portions of this Agreement shall remain in full force and effect and construed so as to best effectuate the original intent and purpose of this Agreement.

XIII. WHISTLEBLOWER PROTECTION. This Agreement is in compliance with the Defend Trade Secrets Act and provides civil or criminal immunity to any individual for the disclosure of trade secrets; (1) made in confidence to a federal, state, or local government official, or to an attorney when the disclosure is to report suspected violations of the law; or (11) in a complaint or other document filed in a lawsuit if made under seal.

XIV. SIGNATORIES. This Agreement shall be executed by Susan L. Sweeney Bain, Owner, on behalf of Zen Racing Stats LLC and Recipient and delivered in the manner prescribed by law as of the date first written above.