From

SkepticismTo

CertaintyIT SOUNDS

“TOO” GOOD TO BE TRUE!

GETTING OVER THE BRIDGE OF BELIEF

Why All The Fuss?• A report like this would be unnecessary were it not for the unfathomable

propensity some people possess to fabricate and spread lies, rumors and half-truths.

• A wise man once said: “There are only two ways to have the tallest building in town…build it yourself, or tear everyone else’s down until yours is the only one standing.”

• Some of Karatbars’ detractors are simply jealous people. Some are terminated affiliates who seek to damage the company that held them responsible for their bad behavior. And then there are the gossip mongers who despise anyone who wants to rise above the mediocrity of living a comfortably miserable existence. There are the “new” yellow journalists in the blogosphere who cook up controversy to drive traffic to their websites. There are the self proclaimed MLM pundits and would-be “gold” experts who take license to make uninformed, empirical statements about a company they have little, or no knowledge of. At the end of the day they all have one thing in common, they have an agenda.

• Karatbars is here to stay. Their integrity is fully intact. They are a class act!

Who is Karatbars International?

• Founded in April of 2011 in Stuttgart, Germany by Mr. Harald Seiz• Karatbars is a private corporation • Mr. Seiz is the majority stock holder• Mr. Seiz funded the corporation from his own personal resources• The company started and remains 100% debt-free• Karatbars International, GmbH is a unique and distinct company

with no ties or affiliations with any pre-existing entity• Karatbars is registered in Germany as an e-commerce company• Offices are in Germany, Singapore and Belize• Karatbars operates under the International Bullion Laws, set forth by

the World Trade Organization, under the Harmonious Tax Codes

Who is Karatbars International?

• Karatbars specializes in the sale of 24kt 999.9 Fine, Gold Bullion from LBMA accredited refineries in minted weights of 1 Gram, 2.5 Grams & 5 Grams

• Karatbars is presently doing business in 120 countries with plans to expand into other nations that do not restrict the trade, or ownership of minted bullion

• Karatbars offers secure shipping to all nations approved for delivery, as well as both free storage, in Germany and paid storage options in Germany, Singapore and Switzerland

• Karatbars sells direct to customers and affiliates who have opened an online account and have approved KYC documents filed with the company

• Marketing services are provided through a global network of registered affiliates presently numbering around 200,000, with thousands of new affiliates registering monthly

Where Did Karatbars Come From?

• Prior to founding Karatbars International, GmbH Harald Seiz was in the employ of a company by the name of KB Gold

• KB Gold was a division of a KB Financial Group (Kapital & Business), with 26 companies under the corporate umbrella, owned by a Mr. Mike Koschine

• KB Gold, for whom Mr. Seiz worked, was the marketing arm of KB Edelmetal, a precious metals refinery owned by the parent company KB Financial Group

• KB Gold marketed its precious metals products in 3 countries: Germany, Austria and Switzerland, using traditional sales and marketing methodologies, no internet sales

Where Did Karatbars Come From?

• In 2008 Harald Seiz, who generated some $60M in sales for the company, approached Mr. Koschine about engaging in a global sales and marketing effort via an e-commerce business model that could reach millions of people all over the world. Harald called the business plan KB Vision

• Mr. Koschine was not interested in the e-commerce business model, or investing in the infrastructure required to properly address the global opportunity, thus Mr. Koschine and Mr. Seiz parted ways

• In late 2008 Harald Seiz left the employ of KB Gold to found his own company under the name Karatbars International, GmbH.

• Harald Seiz has taken the concept previously referred to as KB Vision from a business plan to a thriving, growing international success story, in less than 5 years

• Karatbars International, GmbH is authorized to conduct business in 124 countries (including the U.S.)

• Karatbars, like all German companies, is governed by strict German laws and has successfully passed all audits for 4 consecutive years

• Karatbars has passed the vetting process of MasterCard Worldwide® to secure a co-branded card bearing the name Karatbars International, accepted by merchants and banks worldwide

• Karatbars acquires their gold from only LBMA accredited refineries for the production of 24kt, 999.9 Fine, gold bullion

Credibility

• The Vatican signed a licensing agreement with Karatbars to allow the production of a limited edition “Pope John”, 1-gram Karatbar

• Karatbars International offers affiliates in the USA the opportunity to participate in a Self Directed IRA program. Karatbars works in cooperation with a number of IRA companies to provide the application, set up and administrative oversight of qualified assets

• Karatbars is recommended by Bund der Sparer a non-profit, consumer watchdog agency that reviews investment vehicles, educates the public and lobbies on the public’s behalf with the German government

Credibility

The internet is a great resource for information and research, however not all postings, articles or blogs address the facts in an accurate fashion. This section will deal with several online issues that could inadvertently discourage one from taking Karatbars

International at face value and viewing them in the positive light they deserve. Karatbars’ reputation is truly golden.

“Whoever is careless with the truth in small matters cannot be trusted with important matters” 

― Albert Einstein

Note: Many online complainers and detractors are terminated affiliates who’s actions caused their expulsion from the company. Ex-affiliates often seek revenge by posting spurious comments hoping to damage Karatbars’ reputation. Karatbars has a zero tolerance for affiliates who violate the company’s Terms and Conditions.

Dealing with Detractors

1. An assertion by several online sources implies: Karatbars and KB Gold are one and the same. – Absolutely not true! (read the section on “Where Did Karatbars Come From?”) Karatbars is not now, nor ever has been KB Gold!

2. Someone posted online that Karatbars International has a “C” Rating from the BBB (The Better Business Bureau). - Absolutely not true! Karatbars International is a German corporation. When did the BBB start rating German companies? The answer is “never”. The BBB is a North American watchdog agency with offices in the U.S. and Canada. Karatbars is neither a free, or paid member of the BBB.

3. There are several websites misusing the trademarks of Karatbars International, violating copyrights in word and with images. These sites are systematically being contacted and served legal notices to change, cease and/or desist

Dealing with Detractors

3. MLM Watchdog dated March 2009 states that KB Gold had 500,000 Francs held by UBS Bank because a competitor claimed that no one could produce the number of small gold bars sold by KB Gold in such a short time. The investigation was closed and the monies released as all gold was accounted for, plus 30,000 grams. Again…Karatbars International is not KB Gold.

4. MLM Watchdog in September 2009 tells the story that 815,000 Euros bound for a refinery in Turkey to fulfill a bullion order, was impounded due to a failure to make a declaration. The courier for KB Gold failed to declare the funds in Frankfurt, the second leg of his journey, after he had already declared the monies the first time in Munich where his journey began. In the end KB Gold fulfilled the customer’s order from its own funds and the gold was produced and delivered on time. The misunderstanding was resolved and the matter was dropped. This story has nothing to do with Karatbars International.

Dealing with Detractors

• On March 20, 2014, the AMF, Quebec’s equivalent to the SEC in the U.S. issued a press release regarding Karatbars International regarding complaints, prohibition orders and the details of an impending “investigation” they were going to conduct. The investigation which has now been going on for the better part of 2014 is near a conclusion and a final disposition. The following is a synopsis of the facts and causal events that precipitated the investigation and subsequent internet frenzy by “so-called” watchdog sites. http://www.lautorite.qc.ca/en/press-releases-2014-corpo.html_2014_alert-karatbars.html

Dealing with Detractors

– The four affiliates who received the cease and desist orders relocated to other provinces of Canada and continued pursuing their Karatbars efforts with no issues. Quebec has different jurisdictional laws than the other provinces of Canada.

– Around that same time a journalist by the name of Adam Kagal attended several Karatbars meetings in Montreal and secretly recorded conversations with affiliates asking questions that were designed to cause controversy.

– A zealous affiliate in Montreal met a news commentator and arranged to appear on TVA, a French Canadian TV station on a program much like 60 minutes.

– The affiliate received a list of questions in advance so that he could prepare for the interview.

Dealing with Detractors

– Somehow the journalist got wind of the scheduled interview on TVA and provided copies of his tapes to the show’s producer.

– As the program aired the Karatbars Affiliate was ambushed on live TV with Kagal’s tape recordings full of misstatements and references to investments and other inappropriate terminology that would ultimately provoke a mandatory investigation by the authorities (regardless who the company was).

– Improper language used by the affiliates representing Karatbars created the situation that brought the investigation in April 2014. http://www.lautorite.qc.ca/en/press-releases-2014-corpo.html_2014_karatbars-quebec-activities-covered-by-prohibition-orders01-05-2014-09-3.html

– The only complaints on record are from 3 network marketers from other companies active in Montreal, Quebec.

– The AMF ran ads in the major newspapers throughout Quebec seeking to identify people who have complaints against Karatbars.

Dealing with Detractors

– The AMF received no complaints in response to the newspaper ads.– Karatbars International has retained the top business attorney in Quebec

to represent their case. The attorney formerly worked for the AMF.– To date he has never taken a case that he can not win.– The next court date was scheduled for October 2014 and the outcome was

expected to be favorable to Karatbars, as they have done nothing wrong.– The AMF asked the court for a continuance as they are trying to figure out

how to save face since they have no case against Karatbars.– The lesson for Karatbars Affiliates is this: Read your Terms and

Conditions. If the individual who went on TV had read the T’s & C’s it would not have created the mess and expense incurred thus far by Karatbars International. Karatbars vigorously enforces its Terms and Conditions and expects all affiliates to be aware of the contents. Failure to comply and/or willful disregard of the T’s & C’s can result in immediate termination

Dealing with Detractors

6. An assertion on the internet implies: Karatbars Intl. says it has a New York office, when in reality it is only a mail box.– A separate company by the name Karatbars International US

Corporation has an office in the Regus executive office facility located at 14 Wall Street, along with 34 other companies.

– What is the purpose of the office at 14 Wall Street?• Originally intended to be a Support and Logistics facility for

the U.S.• In late 2011 the facility was used as a collection point for

first generation Karatbars that had a faulty lamination issue.

Dealing with Detractors

• All customers and affiliates affected were able to return their damaged cards to Karatbars International US Corporation for rapid replacement.

• The lamination issue was corrected and has been perfected.– The future plans for the Regus office has not been determined

and/or disclosed at this time. The location may eventually change.

7. An assertion on the internet implies: Karatbars doesn’t actually have your gold in storage. They hold your funds and keep them liquid until you want your gold.– Karatbars ONLY uses your money for the purchase of goods and

services contracted by you.– Karatbars does not use your gold as collateral.

Dealing with Detractors

– Within 72 hours after receipt of order, your money is turned into physical gold bullion and either put into storage for free, or put into the production queue to be delivered by FedEx Secure, or another high security delivery service right to you hands.

– All gold is stored in private vaults, not public facilities where it may be confiscated, or shut down like a bank.

– The gold savings and purchase accounts do not fall under the jurisdictional authority of any government other than Germany, without due process.

– Karatbars accounts are not subject to the SWAPS derivatives process, whereby governments can seize hard assets and replace them with public trust bonds.

Dealing with Detractors

Where are You on the Bridge?• Dale Carnegie once said: “A man convinced against his will is of

the same opinion still”. That is a truism. • If you are not convinced that Karatbars International is a unique

and successful company with a tremendous future, then there is nothing left to say.

• But…if you are now willing to be objective and open minded, then you are closer to the center of the bridge, and that is a very good thing. You obviously still have questions.

• For those who feel their skepticism is gone, you have a decision to make. Will you become a “Free” Affiliate and open your own Karatbars account today? You really have nothing to lose and everything to gain.

Thank you for your attention!