-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, LZgmLFpvSDTLKE+OQjBJt62rHm/KZmxo8gsk1u4kt7jgbt4/DvooK0FhAeEeKqi/ i2Wv1+A23AC9gjrYxneSNQ== 0001337851-06-000014.txt : 20060512 0001337851-06-000014.hdr.sgml : 20060512 20060512124037 ACCESSION NUMBER: 0001337851-06-000014 CONFORMED SUBMISSION TYPE: SC 13D PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20060512 DATE AS OF CHANGE: 20060512 GROUP MEMBERS: PRAETORIAN CAPITAL MANAGEMENT LLC GROUP MEMBERS: PRAETORIAN OFFSHORE LTD. SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: INTERNATIONAL MONETARY SYSTEMS LTD /WI/ CENTRAL INDEX KEY: 0001097430 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-BUSINESS SERVICES, NEC [7389] IRS NUMBER: 391924096 STATE OF INCORPORATION: WI FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D SEC ACT: 1934 Act SEC FILE NUMBER: 005-59399 FILM NUMBER: 06833220 BUSINESS ADDRESS: STREET 1: 16901 WEST GLENDALE DR CITY: NEW BERLIN STATE: WI ZIP: 53151 BUSINESS PHONE: 2627803640 MAIL ADDRESS: STREET 1: 16901 WEST GLENDALE DR CITY: WEST BERLIN STATE: WI ZIP: 53151 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: Praetorian Capital Management LLC CENTRAL INDEX KEY: 0001337851 IRS NUMBER: 134223355 STATE OF INCORPORATION: DE FISCAL YEAR END: 1205 FILING VALUES: FORM TYPE: SC 13D BUSINESS ADDRESS: STREET 1: 407 LINCOLN ROAD, SUITE 9L CITY: MIAMI BEACH STATE: FL ZIP: 33139 BUSINESS PHONE: 305-534-8210 MAIL ADDRESS: STREET 1: 407 LINCOLN ROAD, SUITE 9L CITY: MIAMI BEACH STATE: FL ZIP: 33139 SC 13D 1 inlm13d20060511.txt INLM 13D OF 2006 05 11 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13D Under the Securities Exchange Act of 1934 (Amendment No. ________)* International Monetary Systems, Ltd. (Name of Issuer) Common Stock, par value $0.0001 (Title of Class of Securities) 46004U102 (CUSIP Number) Praetorian Capital Management LLC 407 Lincoln Road, Suite 9L Miami Beach, FL 33139 305-534-8210 (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) May 11, 2006 (Date of Event which Requires Filing of this Statement) If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of Section 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box. [X] Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See Section 240.13d-7 for other parties to whom copies are to be sent. * The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page. The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes). Page 1 of 7 Pages CUSIP No. 46004U102 13D Page 2 of 7 Pages ______________________________________________________________________ 1. Names of Reporting Persons Praetorian Capital Management LLC (See Item 2(A)) I.R.S. Identification Nos. of above persons (entities only). 13-4223355 ______________________________________________________________________ 2. Check the Appropriate Box if a Member of a Group (See Instructions) (a) [X] (b) [ ] ______________________________________________________________________ 3. SEC Use Only ______________________________________________________________________ 4. Source of Funds (See Instructions) AF ______________________________________________________________________ 5. Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e) [ ] ______________________________________________________________________ 6. Citizenship or Place of Organization Delaware ______________________________________________________________________ 7. Sole Voting Power ____________________________________________________ Number of Shares 8. Shared Voting Power 13,858,000 shares Beneficially ____________________________________________________ Owned By Each 9. Sole Dispositive Power Reporting ______________________________________________________ Person With 10. Shared Dispositive Power 13,858,000 shares ______________________________________________________________________ 11. Aggregate Amount Beneficially Owned by Each Reporting Person 13,858,000 shares ______________________________________________________________________ 12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions) [ ] ______________________________________________________________________ 13. Percent of Class Represented by Amount in Row (11) 24.9% ______________________________________________________________________ 14. Type of Reporting Person (See Instructions) IA ______________________________________________________________________ CUSIP No. 46004U102 13D Page 3 of 7 Pages ______________________________________________________________________ 1. Names of Reporting Persons Praetorian Offshore Ltd. (See Item 2(A)) I.R.S. Identification Nos. of above persons (entities only). 98-0465606 ______________________________________________________________________ 2. Check the Appropriate Box if a Member of a Group (See Instructions) (a) [X] (b) [ ] ______________________________________________________________________ 3. SEC Use Only ______________________________________________________________________ 4. Source of Funds (See Instructions) WC ______________________________________________________________________ 5. Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e) [ ] ______________________________________________________________________ 6. Citizenship or Place of Organization Cayman Islands ______________________________________________________________________ 7. Sole Voting Power ____________________________________________________ Number of Shares 8. Shared Voting Power 13,858,000 shares Beneficially ____________________________________________________ Owned By Each 9. Sole Dispositive Power Reporting ______________________________________________________ Person With 10. Shared Dispositive Power 13,858,000 shares ______________________________________________________________________ 11. Aggregate Amount Beneficially Owned by Each Reporting Person 13,858,000 shares ______________________________________________________________________ 12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions) [ ] ______________________________________________________________________ 13. Percent of Class Represented by Amount in Row (11) 24.9% ______________________________________________________________________ 14. Type of Reporting Person (See Instructions) OO ______________________________________________________________________ CUSIP No. 46004U102 13D Page 4 of 7 Pages ______________________________________________________________________ Item 1. Security and Issuer This Schedule 13D relates to the common stick, par value $0.0001 per share (the "Common Stock") of International Monetary Systems, Ltd. (the "Issuer"). The Issuer's principal executive offices are located at 16901 W. Glendale Drive, New Berlin, WI 53151. Item 2. Identity and Background (a) This statement is filed on behalf of Praetorian Capital Management LLC (the "Management Company") a Delaware limited liability company, and Praetorian Offshore Ltd. (the "Fund"), a Cayman Islands exempted company (collectively, the "Reporting Person"). The Management Company serves as investment manager or advisor to the Fund with respect to the shares of Common Stock directly owned by the Fund. The Management Company makes the investment and voting decisions on behalf of the Fund but owns no direct investments in the securities of the Issuer. The Fund directly owns the shares of the Common Stock of the Issuer but does not make any decisions as to voting or buying or selling shares of the Issuer. (b) The address of the business office of the Reporting Person is Praetorian Capital Management LLC, 407 Lincoln Road, Suite 9-L, Miami Beach, FL 33139. (c) The principal business of the Management Company is to provide investment advisory services. The Management Company is registered as an Investment Advisor in the state of Florida, and has applied to the SEC to become registered as an Investment Advisor under Section 203 of the Investment Advisors Act of 1940. The principal business of the Fund is to serve as an investment fund under the direction of the Management Company. (d) During the last five years, neither the Management Company nor the Fund has been convicted in a criminal proceeding. (e) During the last five years, neither the Management Company nor the Fund has been a party to a civil proceeding of a judicial or administrative body of competent jurisdiction. (f) The Management Company is a Delaware limited liability company. The Fund is a Cayman Islands exempted company. Item 3. Source and Amount of Funds or Other Consideration As of May 11, 2006, the aggregate purchase price for 10,358,000 shares (see Item 5 (a)) of the Issuer's Common Stock purchased by the Fund was $4,227,314. The source of funding for the purchase of these shares was the Fund's working capital. CUSIP No. 46004U102 13D Page 5 of 7 Pages ______________________________________________________________________ Item 4. Purpose of Transaction The Reporting Person acquired the Common Stock of the Issuer for investment in the ordinary course of business because it believes the shares represent an attractive investment opportunity. The Reporting Person expects to acquire additional Common Stock via open-market transactions. However, there is no timetable or pre- arranged plan related to the purchase of additional Common Stock. Such decisions will be made based on trading activity and the relative value of the Common Stock, as defined by market conditions. The Reporting Person has no current expectation of attempting to influence management of the Issuer regarding its business plans, business processes, or directors or management personnel. The Reporting Person's purchase of the Common Stock was made based on the perceived investment merits related to the Common Stock. While the Reporting Person expects to be in periodic contact with the Issuer's management personnel, the Reporting Person is in full agreement with the Issuer's business plan. Item 5. Interest in Securities of the Issuer (a) As of the date hereof, the Reporting Person is the beneficial owner of 13,858,000 shares of Common Stock, representing approximately 24.9% of the Issuer's outstanding Common Stock. As required under the SEC's regulations, those values include 3,500,000 shares of Common Stock which may be acquired under a warrant purchase agreement between the Issuer and the Reporting Person. All percentages set forth in this Schedule 13D are based on the Issuer's statements to the Reporting Person. The number of shares outstanding after the Reporting Person's purchase of 7,000,000 shares on May 11, 2006, via a private placement, totals 52,177,769. If the warrants were exercised, the total number of shares outstanding would be 55,677,769, and it is that number of shares outstanding that was used in the calculation of ownership percentage. The shares that may be acquired under the warrant agreement have not yet been purchased, and there is no plan to acquire such shares in the immediate future. Without the warrant shares, the number of shares owned is 10,358,000, which represents 19.9% of the 52,177,769 shares of common stock outstanding (where the number of shares outstanding does not include the shares represented by the warrant). (b) See Item 2(a). (c) The following table sets forth all transactions by the Reporting Person with respect to the Common Stock of the Issuer. No. of Shares Price Reporting Buy/ Purchased per Person Trade Date Sell (Sold) share How effected Fund 3/3/2006 Buy 7,520 $0.264 Open Market Fund 3/7/2006 Buy 15,000 $0.276 Open Market Fund 3/8/2006 Buy 55,000 $0.278 Open Market Fund 3/9/2006 Buy 25,000 $0.275 Open Market Fund 3/9/2006 Buy 10,000 $0.285 Open Market Fund 3/10/2006 Buy 44,000 $0.278 Open Market Fund 3/10/2006 Buy 5,000 $0.282 Open Market CUSIP No. 46004U102 13D Page 6 of 7 Pages ______________________________________________________________________ Item 5 (c)-Continued No. of Shares Price Reporting Buy/ Purchased per Person Trade Date Sell (Sold) share How effected Fund 3/10/2006 Buy 80 $0.279 Open Market Fund 3/13/2006 Buy 8,000 $0.300 Open Market Fund 3/14/2006 Buy 20,000 $0.322 Open Market Fund 3/15/2006 Buy 9,000 $0.342 Open Market Fund 3/15/2006 Buy 50,000 $0.344 Open Market Fund 3/15/2006 Buy 2,400 $0.353 Open Market Fund 3/15/2006 Buy 5,000 $0.325 Open Market Fund 3/16/2006 Buy 10,000 $0.330 Open Market Fund 3/17/2006 Buy 1,000 $0.362 Open Market Fund 3/17/2006 Buy 38,000 $0.355 Open Market Fund 3/20/2006 Buy 10,000 $0.365 Open Market Fund 3/21/2006 Buy 10,000 $0.342 Open Market Fund 3/21/2006 Buy 45,000 $0.332 Open Market Fund 3/21/2006 Buy 10,000 $0.342 Open Market Fund 3/21/2006 Buy 8,600 $0.332 Open Market Fund 3/21/2006 Buy 5,000 $0.352 Open Market Fund 3/21/2006 Buy 5,000 $0.325 Open Market Fund 3/22/2006 Buy 1,400 $0.343 Open Market Fund 3/23/2006 Buy 5,000 $0.322 Open Market Fund 3/23/2006 Buy 30,000 $0.320 Open Market Fund 3/24/2006 Buy 4,400 $0.335 Open Market Fund 3/27/2006 Buy 3,200 $0.332 Open Market Fund 3/27/2006 Buy 3,000 $0.332 Open Market Fund 3/27/2006 Buy 2,600 $0.335 Open Market Fund 3/28/2006 Buy 8,800 $0.332 Open Market Fund 3/28/2006 Buy 10,000 $0.332 Open Market Fund 3/30/2006 Buy 300 $0.305 Open Market Fund 3/31/2006 Buy 30,500 $0.325 Open Market Fund 3/31/2006 Sell (5,000) $0.314 Open Market Fund 3/31/2006 Sell (5,000) $0.325 Open Market Fund 4/3/2006 Buy 10,000 $0.325 Open Market Fund 4/4/2006 Buy 10,000 $0.335 Open Market Fund 4/4/2006 Buy 5,000 $0.369 Open Market Fund 4/5/2006 Buy 500 $0.335 Open Market Fund 4/6/2006 Buy 1,700 $0.365 Open Market Fund 4/6/2006 Buy 5,000 $0.365 Open Market Fund 4/7/2006 Buy 5,000 $0.404 Open Market Fund 4/11/2006 Buy 2,700,000 $0.370 Private Placement Fund 4/17/2006 Buy 7,800 $0.372 Open Market Fund 4/17/2006 Buy 2,200 $0.362 Open Market Fund 4/17/2006 Buy 6,000 $0.352 Open Market Fund 4/17/2006 Buy 4,000 $0.372 Open Market Fund 4/17/2006 Buy 10,000 $0.365 Open Market Fund 4/17/2006 Buy 5,000 $0.362 Open Market Fund 4/17/2006 Buy 4,000 $0.372 Open Market Fund 4/17/2006 Buy 3,000 $0.372 Open Market Fund 4/17/2006 Buy 3,000 $0.372 Open Market Fund 4/19/2006 Buy 14,000 $0.368 Open Market Fund 4/19/2006 Buy 1,000 $0.369 Open Market Fund 4/27/2006 Buy 30,000 $0.382 Open Market Fund 4/27/2006 Buy 5,000 $0.369 Open Market Fund 4/28/2006 Buy 29,000 $0.369 Open Market CUSIP No. 46004U102 13D Page 7 of 7 Pages ______________________________________________________________________ Item 5 (c)-Continued No. of Shares Price Reporting Buy/ Purchased per Person Trade Date Sell (Sold) share How effected Fund 4/28/2006 Sell (1,000) $0.375 Open Market Fund 4/28/2006 Sell (5,000) $0.325 Open Market Fund 4/28/2006 Sell (5,000) $0.365 Open Market Fund 5/1/2006 Buy 5,000 $0.385 Open Market Fund 5/11/2006 Buy 15,000 $0.585 Open Market Fund 5/11/2006 Buy 7,000,000 $0.429 Private Placement (d) Not Applicable (e) Not Applicable Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer None Item 7. Material to Be Filed as Exhibits None Signature After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. May 12, 2006 _________________________________ Date /s/ Harris B. Kupperman _________________________________ Signature Harris B. Kupperman President, Praetorian Capital Management LLC Director, Praetorian Offshore Ltd. _________________________________ Name/Title Attention: Intentional misstatements or omissions of fact constitute Federal criminal violations (See 18 U.S.C. 1001) -----END PRIVACY-ENHANCED MESSAGE-----