Kaye Kotts Associates Inc.
Ticker: KTAX 15490 Ventura Boulevard
Exchange: NASDAQ-Small Cap Market Sherman Oaks, California 91403
Industry: Service (818) 382-6300

Type of Shares:Common Shares Filing Date:9/29/95
U.S. Shares:1,000,000 Offer Date:2/22/96
Non-U.S. Shares:0 Filing Price:$5.00
Primary Shares:1,000,000 Offer Price:$5.00
Secondary Shares:0 Gross Spread:$0.50
Offering Amount: $5,000,000 Selling:$0.13
Expenses:$500,000 Reallowance:
Shares Out After:2,237,400

ManagerTierPhone
J.W. Barclay & Co., Inc.Lead Manager (212) 809-5800
First Cambridge Securities CorporationCo-manager

Auditor: Feldman Radin & Co.
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/94 9/30/95 9/30/94 9/30/95
Revenue:$4.95$4.27$3.35Assets:$2.09
Net Income:$0.12$0.04$0.13Liabilities:$2.02
EPS:$0.11$0.03$0.17Equity:$0.07

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company provides representation for delinquent taxpayers, primarily in Southern California, before the collection divisions of the Internal Revenue Service or the State of California. Generally, the company is not retained to challenge the amounts owed but rather negeotiate Offers-In-Compromise or Installment Agreements.

Use of Proceeds
The proceeds from the proposed offering will be used for expansion of operations, repayment of debt, capital expenditures and working capital.

Last updated: 10/28/96

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