Velocipede/Snowpede Borrow Bank can be found in Eugene, OR and specializes in renting snowshoes. VS will offer road, mountain, and tandem bicycles for rent as well as a variety of sizes of snowshoes. From April through November, revenue will come primarily from bicycles. The revenue source for snowshoes is changed to bicycles once the rains start to fall in the Willamette area. Velocipede/Snowpede can provide each customer with a detailed trip log/map, which will allow them to see amazing biking and hiking trails. Eugene is the ideal location for these activities due to its friendly cycling population and its proximity to Cascade Mt. range.
While Eugene has several rental stores for bicycles and snowshoes, their primary line of businesses is retail, with rentals as an ancillary distraction. VS will make use of their exceptional customer service and gain market share. They expect to be profitable by month nine and earn $150,000 in revenues in year two.
1.1 Objectives
The following objectives are set for the initial three years of operation
To create a service-based firm whose primary goal will be to exceed customers’’s expectations.
To increase the number client served by 20% annually through superior performance.
To develop a sustainable start-up business surviving off of its own cash flow.
1.2 Mission
Velocipede/Snowpede Borrow Bank’s mission it to provide snowshoe rental and suggested travels for customers. Our goal is to keep customers happy. When we adhere to this maxim, everything else will fall into place. Our services will exceed the expectations of our customers.
Medquip, Inc., a medical device company, is working to develop, patent, market and sell medical devices for niche markets. The participation of prominent gastroenterologists, surgeons, and physicians has already resulted in three devices. Seven patents have been incorporated. The company estimates $16million in annual sales for year three. The company is expecting to earn $50 million by year five. A top patent law firm has already filed patent applications for the company’s first three market entries.
The market segments are well defined and are all subject to high growth trends. One market is projected exceed $160 Million in the next three to five years. This market is endoscopic variceal (ligation) Medquip’s founder participated in the development of the market leader in this field. He has made significant improvements to the product. Another market addresses a well-defined and unanswered need in endoscopic surgery: the clearing of fundal pools of blood and tissue during surgical procedures. To fulfill the surgeons’ requirements, a novel and innovative design was developed.
The market is expected to start at $20 million, but it could grow to hundreds of millions once approvals for various surgical procedures are granted. Medquip plans to license the technology to a larger firm. The company matures by year three. If a licensing agreement is reached, the company can become profitable in year 1.
Mission
Medquip, Inc.’s mission is to develop, market, and patent new technologies in the field of medical devices. These technologies will each fill a market segment that is worth at least $20 million in potential sales. Each technology will address a specific medical need by either improving on an existing device or technology, or creating a device that meets a clear need. The product should be priced so that it appeals to managed-care markets, which emphasize the lowest total treatment costs.
Keys to Success
Medquip, Inc. is a company that has succeeded because of the following:
Initial capitalization obtained.
All filed patent applications
The ability generate early revenue from markets outside of Europe.
Licensing at the least one technology, and application to a major corporation in the field of medical devices.
Get low interest loans or grants to fully finance product development, prototype manufacturing.
Recruiting top-notch leaders before second round financing.
FDA approves Visi-Band for marketing in the U.S. with a successful 510k approval
To achieve a minimum 10% market share in the U.S. managed healthcare market, and generate $16 million in revenue in the second year, successful implementation of a sales and marketing plan.
Product development has been increased and market share has continued to grow, resulting in a company with a $50m revenue by five years.
Objectives
The principal objectives of Medquip, Inc. are as follows:
To reach a 10% market penetration in endoscopic variceal (ligation) by the third year.
To earn $16million in revenues by year three.
To raise $1 million in private seed capital in the first six months.
To receive grants and loans at low interest rates from the government of Puerto Rico in an amount totaling $1.2million for one year.
To license its technology for the obliteration/suction/irrigation market for $1 million dollars in year one.
This business plan was created to introduce NovOculi, Inc. and help raise equity capital to start production as well as continue research and development on its patent products.
The Company
NovOculi, Inc., is a new company that plans to market and develop ophthalmological surgical techniques and tools. During the past two years, NovOculi’s principals have had extensive experience with refractive correction techniques (both laser and non-laser based). This experience has led to the development and testing of a novel method of incisionless, non-invasive refractive correction that is called NICS.
Current refractive technologies, including LASIK/PRK and Intacs all require the removal of at least a part of the protective epithelial overlying your cornea. They also come with complications due to this loss of protection. To achieve effective refraction, the principals developed a method that uses iontophoresis and an ionic dye along with a wavelength-specific laser. This allows for efficient refraction without the need to destroy epithelium.
NovOculi will use NICS to capitalize on the market opportunities and penetration in laser refraction, where demand is almost doubling every year.
Based on financial projections that were prepared by the company’s management it was estimated that equity investment would be required in order to start the company’s operations. The funds will be used for NICS testing and market. They also provide working capital in the initial two years.
Market Potential
Laser refractive surgery has huge potential. There are approximately 54% refractive mistakes in the U.S. (162,000,000), and approximately 90% of them can be corrected with current techniques or ones on the horizon according to Federal Air Surgeon’s Medical Bulletin. In contrast, only 900,000 Americans have had LASIK (the most popular laser correction technique) as of two years ago. This represents only 0.6% of the total current market, leaving the other 99.4% untapped. (#8220’ByeBye Glasses; EyCare Business Online). The demand for laser refractive surgeries is increasing at an average of twice a year (“/Bye-Bye glasses,”/EyeCare Business Online ).
Nine of the top ophthalmological hospitals in the U.S. were contacted by the company. Seven of the nine institutions have expressed interest in collaboration research. The company has also reached out to Oregon Health Sciences, Duke University, and Harvard. John Hopkins University (Harvard), Stanford University (Oregon Health Sciences), Duke University (Duke University) and University of California at San Francisco (UCSF) are just a few of the institutions who have expressed an interest.
NovOculi’s principals conducted a preliminary market study at a Durham, NC supermarket. 50 consumers with refractive problems were randomly selected and asked questions during the survey. A copy of the survey and a summary of its findings may be found in the Market Survey topic.
Technology
Two novel devices, the NICS and NICS, have been patented by the principals. They are used to perform incisionless refractive adjustment. The patented technique involves driving an Ionic dye from the polymeric vehicle into patient’s cornea using the patented, iontophoretic devices (a device that generates a charge that then repels/attracts other charges). After the ionic dye is successfully driven into the cornea, away from sensitive structures and other delicate structures, a laser tuned according to the wavelength of dye can be used to target the dyed cornea to alter its shape. This is similar to current laser refraction protocols. After the procedure is completed, the iontophoretic device is reapplied, this time with opposite polarity, and the dye is drawn from the cornea due to the attraction of opposite charges. The patented device and method will enable the ophthalmologist to avoid the most complicated and frustrating aspect of current laser refractive surgery. This is the corneal Incision. Over 90% of all complications of current laser refraction surgery are related to difficulties associated with the incision and the subsequent healing process, virtually all of which could be avoided with NovOculi’s technology.
Strategy It is important that NovOculi market its technology to both people who are performing the procedure, and those who will be performing it. After the publicity and research data are collected, the sales force will assist in encouraging the initial investment in laser and equipment for the procedure. The demand pull for components will be generated by institutions through direct marketing to patients.
The sales team will begin with six seasoned sales personnel and swell to forty-four members by Year 5. The laser manufacturers will work closely with the sales team in order for them to promote their technology to patients and surgeons.
Six U.S. sites will provide training opportunities for ophthalmologists in the NICS procedure: San Francisco and Boston, Atlanta, Philadelphia; Kansas City, Philadelphia, Kansas City, Durham, NC. Each site will be able to offer training sessions in depth led by a prominent surgeon in ophthalmology.
For providing access to the superior technology, those performing the procedure may charge a premium. NovOculi will take approximately half the almost $1,000 premium via licensing fees and sales of individual components.
Regulatory Issues
The FDA approval for the company’s product is not required, unlike LASIK. As of two years ago, LASIK was performed on more than 900,000 patients, without FDA approval (Current trends in refractive eye surgery, 128th Annual meeting of APHA).
This was possible as the FDA doesn’t approve procedures. However, they do approve the equipment used in them. (“: Eye centers aim to LASIK surgical growth. Houston Business Journal. July 16). Also, all components of their procedure have been approved for medical use by the FDA. NovOculi will not need to obtain approval to market their patented technique and devices due to the fact that the FDA has approved similar devices for medical use in the following arenas: 1) The 440 nm laser has been approved for dermatologic uses. 2) Iontophoretic devices have been approved for drug delivery to the epidermis. 3) Polymeric contact lenses were approved. They can be used as an external aid to refractive error.
Major Milestones
These are the key milestones that will define the startup period.
Completion of strategic plan nine months before start date.
Research grants applied for by seven months before starting date.
All patents, domestic and foreign, applied for by six months before starting date.
Start-up capital required by the start date
According to the business plan, all other milestones for the first year are on schedule.
Competitive Advantage
NovOculi is uniquely positioned to take advantage of this market opportunity due to its protected, proprietary positions. In the U.S., there have been three patents filed. One protects the reversible, iontophoretic device; the second protects the NICS technique; and the third protects the unique vehicle to produce the ionic colour.
To date, the principals have invested a lot of time in research and development of the current products, which will satisfy market demand to create a safer, simpler laser refraction correction system.
Financial Summary
Based on detailed financial projections and if the company gets its funding, it will be profitable by Year 4 with a substantial net profit. Below is the summary of projected financial information.
1.1 Mission
To provide the field of ophthalmology with innovative designs which will facilitate the treatment of ophthalmologic diseases and conditions.
This business plan was developed to help us present our company and potential partners to investors, employers, or suppliers. Zenergy Medical Industries, a start-up company, is initially focused on distribution of the most trusted therapeutic systems for residents of Homecare and assisted living facilities that are susceptible to complications from X. After building a market share in this product area, we plan to expand to offer additional products for managing and treating complications of the condition.
The market is currently being served inconsistently and poorly by a few local pharmacies. We will offer a regional, and ultimately national, network of clinical sales professionals, which will make us the partner of choice for large, geographically diverse Homecare and Assisted Living (A.L.) chains, and will make us attractive to potential supplier partners.
Potential Market
Two major markets are the ‘#8220’ at-risk residents in Homecare or Assisted Living. The potential revenue from Homecare is $59.6million, and there are an estimated 345.784 at-risk residents in Assisted Living.
Competitive Advantage
This market has all the technology needed to make our products. We will differentiate ourselves by adding value through our distribution strategy and channels, and our comprehensive product lines and programs that make working with us incredibly easy. We have unique market access because of our corporate accounts and our ability quickly to build a national (ultimately regional) field clinical sales staff. There is less competition from smaller local distributors and pharmacists, who do not approach the market in a coordinated or sophisticated manner.
Strategy
Using relationships with decision makers at major homecare chains to gain unique access to sell into their facilities. This will enable us to offer ‘#8220’ pre-qualified sales opportunities to our clinical sales team.
Establishing a strong national sales team for clinical services capable of building strong relationships to clinical decision makers at facility level.
We create marketing strategies to position ourselves to be leaders in providing solutions for clinical problems.
A unique mix of top suppliers will be used to gain distribution relationships and create a range of product solutions that address the many complications of the disease. We will provide a reliable channel of distribution for suppliers to help them penetrate the post-acute markets.
We will use the therapeutic system offering to gain entry into the market, and to build our business. Then, we’ll add complementary products that manage the diseases. Next, there will be other products that deal with managing heart disease or aging.
Financial Summary
The business owners will put their personal savings into the venture. We are seeking an additional short-term (3 year) loans, to supplement initial cash flows from sales for the first year. We expect to make a profit for the first year. By year three, this should increase substantially. Zenergy Medical Industries will be a highly respected company by the end of three years.
Objectives
To achieve the goals of sales growth by month six and at the end of year one. Aggressive gains in market share and average monthly revenues in year two.
To grow the contracted team to seven field-based clinical sales reps at month eight, and to twenty-five field clinical reps at year three.
To achieve net profit in year one, increasing in year two, by containing costs and meeting sales goals.
To begin paying Vice Presidents a regular salary starting in year two.
At 98% or more, to maintain customer satisfaction survey results for 90 days (% who would definitely buy again and definitely recommend us).
Mission
We offer post-acute treatment facilities with product solutions that can help with complications of X-related diseases. We take great pride helping to relieve the suffering that these conditions cause.
Keys to Success
We offer a broad range of innovative and top quality products.
We offered unrivalled clinical support at a regional (national level) to post-acute facilities.
We are close to key decision-makers in the top post-acute chains and with clinicians and administrators at the facility level.
We do an exceptional job of articulating the value of our products and solutions.We position ourselves in a clear, powerful, and memorable way in the marketplace.
Our organization has a unique spirit which makes people want to work with us. Once people join us, they can’t imagine working anywhere else.
Keith’s Sporting Goods, (KSG), will be selling equipment to athletes of all fitness levels. This includes weekend warriors and college athletes. We will create a welcoming environment for everyone to come in and ask for advice or discuss equipment needs.
KSG is located in Eugene and wants to be a nationally recognized sporting goods store. The exact location of the store is still unknown, but the owners are keen to find a spot with high foot traffic. We would prefer to be located in central Eugene. This is where most people can walk a few blocks to get to our store.
We fully expect to grow quickly. Although many businesses start with the same assumptions, KSG has the potential to grow quickly. Forecasts for sales growth are conservative for the first month, but will rise by 2% each other month. The first year’s growth rate is 12%. This assumption seems to be correct, given that the wholesale sector for sporting goods is growing at an average 11.5% annually.
Keith’ s Sporting Goods is going to be filed as an S Corporation. The owners of the S Corporation will be exempt from many forms of liability and will receive tax protections. We will primarily finance our business with debt through local banks and the Small Business Association (SBA) in the initial stages. We have forecasted the need for 60% debt, the owner and operator will invest the rest.
Depending on the timing of financing, we expect to have the store open by January next year and to produce strong profits by the end of that same year.
1.1 Objectives
The principal goals of the store are:
Brand recognition. KSG will be a recognized sporting goods and fitness store in Eugene.
To have a profit at the end of the first full year.
In years one and two, achieve a 15% sales growth rate and maintain a constant 11.5% thereafter.
Maintain a constant gross margin of 40%. If we are able to do this and keep costs fixed, sales will be able to grow faster than total costs.
1.2 Mission
KSG strives for long-term relationships and trust with its customers as well as employees. Managers will emphasize community involvement, community service, and further education. We feel it is extremely important to give back to the community that supports our operations, while also maintaining an atmosphere where our employees have the opportunity to improve as individuals.
Seacliff Products (Seacliff), has developed a patent-pending fishing rod. Seacliff developed an easy-to-use kit to sell until they found a business partner to license the product. Seacliff forecasts strong sales in year one, and a steady increase in year two.
Seacliff created the Supreme hook, a new, innovative live bait holder. According to tests, there is a noticeable increase in fish catch up. The user will have greater enjoyment fishing if there are more fish hookups.
The Business Model
Seacliff will employ a laser-focused model of business that allows them focus on core competencies and outsource activities that add little value. Seacliff is an industrial design company. They will be focusing on the creation of useful products. They will partner with a strategic company that can take over manufacturing, marketing, as well as distribution. Seacliff will realize significant profits through the outsourcing of non-essential operations. This will free them from the marketing, manufacturing, distribution and other liabilities. Licensing allows a company the right to produce the Supreme hook while Seacliff will realize a steady stream of revenue without the capital costs normally associated with selling a product. Seacliff earns good profits. It has a professional marketing staff and a established distribution and manufacturing system. Seacliff is currently looking for a strategic partner and expects to enter into negotiations in the near future.
The Market
The market for the Supreme Hook is huge. The total market is worth $300 million. Over 39.1 Million anglers are in the U.S.A., who have fished more than 618,000,000 days and made 807 million trips. Even more impressive is the rapid growth of this industry. Between 1955-1996 the number of anglers has increased at over twice the rate of the U.S. population.
Management
The whole foundation of the business model is to concentrate at what you are good at. Seacliff takes this principle to heart, focusing on design. Willamette University JD/MBA is the owner’s education. This dual degree allowed him to gain valuable insights in business development, as well as the useful legal tool of patents and licenses. Following graduate school, he was unsure of what direction his career should take him so headed off to Oregon to be a fly fishing guide. He became passionate about fishing over the course of his 2 year stay. He decided to return to school for a Masters’ in Engineering, so that he could focus on the design and engineering aspects of fishing-related products. It was near the end of his last graduate degree that he developed the Supreme hook. His previous degrees (JD/MBA), made it easy for him to start his own company and locate a manufacturer to license the product.
Seacliff is an exciting company that shuns the typical need for extensive start-up capital for production by licensing a patented product. By licensing the product it frees up Seacliff’s time to concentrate on value added activities such as future designs. Within a month, profitability will be attained.
1.1 Mission
Seacliff has two goals: to maximize the potential profit of the Supreme, its newly patented fishhook invention, via licensing or other means; and to continue developing innovative fishing gear products.
Success Keys 1.2
The following are key factors to maximize profits when licensing a patent:
To separate the manufacturing and marketing for the Supreme.
Make sure you find a manufacturer that is capable of making the hook.
Choose a marketing company with significant fishing gear knowledge who is willing and able to allocate the necessary marketing budget.
Seacliff and marketer can create a well-thought-out, reasonable licensing agreement to ensure mutually beneficial partnership arrangements.
These are the keys for success when profiting off the patent in make–it-yourself form.
Recognize there is a wider market for the product.
Follow the proven price structure formula that provides attractive margins to all levels of the distribution chain (manufacturer’s representative, wholesaler, retailer).
Reach the narrow market niche through free publicity in fishing magazines and catalogs, website, trade shows, etc.
Keep overhead low and stay alive until word-of-mouth begins to generate clients.
1.3 Objectives
The main objectives are:
Locate a suitable manufacturer who is willing, on an exclusive basis, to produce the patented Supreme hook at a reasonable price. This would, at the retail level, cause the Supreme to sell for under 150% of a normal hook of similar size.
Find a medium-sized marketing company that specializes in fishing gear and who is open to the idea of using the patent to mass-merchandise Supreme products both at home and abroad. A three percent royalty will be paid on all purchases made by the exclusive manufacturer under an exclusive license arrangement.
Successfully introduce the product in kit form. In the first three month, you will reach breakeven (370 kits). The first year saw the sale of 8,333 kits.
Complete the website design.
Join the American Sportfishing Association and reserve a booth at this year’s ASA tradeshow in Los Vegas.
Professional Athletic Equipment, Inc., will manufacture and sell a protective device designed for young athletes. The brand name and identity for the product will be Body Armor. The product is designed to protect the abdomen, chest, and side from injury caused by blunt trauma. The device may also prevent sudden death by commotio Cordis (heart stoppage caused external trauma). This injury can occur in many sports, including baseball. The United States has filed a patent application for the device.
This business plan is part our regular business planning process. This plan is reviewed semi-annually.
In the next full-year, we will produce and market the initial product. To date, no sales have been made.
We expect to sell 750 units per months on average during year one of our marketing campaigns. This will bring the total year’s sales volume to $242,550. Management predicts sales exceeding $4 million and profitability in year three. Before taxes, the expected year three profit is $593570.
In order of importance, these are our keys to success for next year.
Initial product production for the first three sizes.
Basic research and testing marketing are key to product acceptance.
Multi-channel distribution is being tested.
Test marketing of media, PR, pricing, and product endorsement plans.
Goal of recouping production start-up costs and first year depreciation on initial three molds in year one.
Then, there’s the rest:
Limiting loss to less that $200K for the second year
Reaching limited retail distribution in the third year (2nd sales year).
In the third year, achieve profitability.
1.1 Objectives
Professional Athletic Equipment, Inc. has set a modest goal for year one sales. These minimums will help us reach an over-all breakeven in year one. In year two, this will give us a platform for business expansion.
Here are the sales targets for each size
Units as small as 4500
Medium’#82112250 units
Large–2250 units
These targets will result in year-one sales volume of $242.550, which will confirm that the test was successful.
The costs will be controlled in order to keep margins at these modest sales levels. To achieve growth, additional production and increased marketing activity may be necessary if sales exceed this goal. On the safe side, some sales may be missed in order to gear up for year two.
1.2 Mission
Professional Athletic Equipment, Inc., an American manufacturing and marketing company, is dedicated to protecting young athletes against tragic injury and death. We aim to produce quality products that have been tested and to earn a fair return on our investments. Our initial product, “/Body Armor ”, will be sold to youth baseball players’ parents via targeted direct marketing. The #8220Body Armor aims to both prevent injury and enhance athletic performance through its confidence-enhancing qualities among youth sports participants. The #8220Body Armor#8221 is designed to encourage youth sports participation. We plan to expand the business and establish ourselves as an innovator and product leader in our niche. After our marketing platform is established, we will continue to finance internal and external growth. Once that happens, we will develop and acquire additional products. We will be a business that adheres to Christian values.
1.3 Keys To Success
Professional Athletic Equipment, Inc.’s success keys are:
High Quality Products. The new molds need to be created and production must begin. Initial orders must be placed and suppliers of all components identified. You must ensure that all components are delivered on time and assembled with minimal waste.
Marketing. Professional Athletic Equipment, Inc. can only be successful if the product is quality. The “Body Armor” is a brand new product. Consumers must be informed about its availability and purpose. The control of media costs is crucial to generating sales.
Management.
While there is a temptation to grow a business exponentially, it is critical that Professional Athletic Equipment, Inc. management concentrate first on proving product salability within certain price points, margin requirements, distribution channels, and establish consumer acceptance. After these answers have been found, controlled expansion (which involves increased production and investments in inventory) can then be achieved with confidence.
House of Projectors (HOP) is an Ohio based Limited Liability Corporation (L.L.C.) Start-up that rents Liquid Crystal Display (LCD), computer projectors. John Laaklytte will lead the company, an industry veteran who has also founded it. HOP has identified three distinct market segments that they will target. Entrepreneurs are the first segment. Entrepreneurs often require projectors for presentations to angel or venture capital investors. Projectors are a standard in professional presentations. Most presentations these days are PowerPoint-based. This customer segment is experiencing a 9% increase in sales with 33,243 potential clients. The second segment is small size companies which can be defined as companies with less than 15 employees. These companies have the need for a projector, but do not use it frequently enough to justify the high capital expense. With 5,423 potential clients, the group enjoys a 7% rate of growth. Medium-sized businesses that employ 15-50 people and share a similar passion for renting projectors are the last group. This group can rent projectors to 3,433 customers and has a growth rate of 6%.
Industry
The $745million industry of computer-based office equipment rental is the largest in the world. Many players in the sector rent a variety of equipment rather than focusing on one particular type. This creates a greater customer base but reduces their ability and quality of service for each type of technology. Because the industry is organized primarily as comprehensive service providers, House of Projectors will be able to excel within their niche of just offering projector rentals. They will be capable of providing technical and customer support that is hard to find in the vast array of comprehensive service providers. This is House of Projectors’#8217; unique competitive advantage and industry-standard customer care. House of Projectors believes it has the ability to maintain this competitive advantage for two reasons.
HOP can excel in their chosen niche due to its concentration on projectors.
It is expected that all employees of HOP have this high level support.
Management
John Laaklytte is going to lead House of Projectors in the early stages of market penetration. John received a Bachelor of Science, Business major from Case Western Reserve University. John worked as an assistant manager in a CompUSA local retail store while he was in school. John’s business skills were developed during this time, which will be crucial for the success of his own company. John also held the position of computer lab director at the University. John worked at (name withheld), a national computer rental company. John quickly rose to the position of Regional Manager at this company.
John will use his experience and knowledge to transform House of Projectors into a well-established player in the computer hardware industry. John will create exceptional revenues in year 2 and 3, with a well-planned and tested business model. HOP will become profitable in the second year.
1.1 Objectives
To be the top source for LCD computer projections rentals.
To develop a significant base of long-term customers.
To reach profitability by the end of year two.
1.2 Keys to Success
Use strict financial controls. This will be used as a way to analyze all aspects the business.
Treat each customer like the most important HOP customer.
Always evaluate the market and the customer’s needs. HOP does not always know what the customer wants. An interactive feedback mechanism will be just one method used to gain insight into the customers’ preferences.
1.3 Mission
House of Projectors aims to be the most trusted source of computer projectsors for the Cleveland area business community. House of Projectors will soon be regarded as the best store in its field, thanks to their fair pricing and outstanding service.
MedNexis, Inc., which is the company, is a medical-device development company that has created and patented medical products it plans to market. With the assistance of biomedical and medical experts, a magnetic stimulator/field generator was created. One patent was initially filed.
Allopathic Medicine
One market addresses the unmet need for atrophy prevention/treatment in conditions that result in patient immobilization lasting more than two weeks. After two weeks, an average muscle has lost over 30% of its weight, which can lead to a longer time for complete recovery. MedStim, a novel and innovative design, was developed to meet this need. As further research into the benefits of pulsed electromagnetic fields becomes available, this device will likely be used in more ways. Pulsed field magnetism, for example, has been demonstrated in controlled trials to be an effective treatment to speed up the healing process of skeletal fractures.
There is an existing market for magnetic stimulation devices in allopathic medical. However, this market is still embryonic and will continue to expand once the technology becomes cost-effective. This potential market has reached an estimated 4.2 million patients in the United States. MedStim, an innovative new device to target this market, has been created.
Alternative Medicine
Another market addresses the unmet need for a device with a stronger, more consistent therapeutic magnet field. The treatment of soft tissues with magnetic pulses using dynamic magnetic field therapy is believed to have positive effects on circulation and immune system function. These effects are proportional to the strength the magnetic field generates. TheraMag, a novel design to meet this demand for an enhanced therapeutic magnetic field in alternative medical treatment, has been created. This market exists today and has the potential to serve approximately 40,000,000 people in the United States at our beginning date.
Technology
Patent applications on the company’s first market entries have been filed using a patent agent specializing in biomedical device patents. MedNexis’#8217TM technology uses the principle that a magnet in a coil generates a magnetic fields which, in turn creates a current through any conductive materials within this field. This model has been used in diagnostic studies. Only single nerves have been stimulated with magnetism. MedNexis developed an electromagnetic device that will painlessly stimulate the muscles of humans to contract using this model. This technology has many uses. The following devices are the ones that were initially released:
MedNexis’#8217’s patented device will be able to stimulate muscle effectively. This device will need higher electrical currents, more functionality and a wider range settings. This device will not be sold in the mainstream of allopathic medicine.
TheraMag MedNexis’#8217’s patented device will heat tissue with a magnetic field. This will not cause contraction. This device will be used in other applications.
Strategy
MedNexis will target the following two markets: allopathic and alternative medicine. The devices will be named separately in order to distinguish them from possible negative connotations associated allopathic medicine.
MedStim distribution will be through large distributors. This will make it easier to gain acceptance in this market. MedNexis’, which is focusing on the market’s first efforts, will focus heavily on the production of controlled, randomized study data.
TheraMag can be distributed to alternative medicine centres that are less centralized and direct sales will also possible. This market will not require any scientific proof. Entry to the market is possible as soon as the FDA issues an Investigational Device Exemption.
Regulatory Issues
You can get an Investigational Device Exemption for your product and clearly label it.
FDA regulations will be followed and market entry will be made quickly. These products will be accepted based on the successful research results. This will greatly increase demand and open up new markets.
Major Milestones
Research and Development at the animal stage is ongoing, in the first year of one.
In the middle year one, extend patent coverage to Australia (Europe) and Canada (Canada).
Human clinical trials underway, middle Year Two.
Published research studies, year two
TheraMag available for purchase, year one
MagnaStim is available for purchase, marked ‘For Investigational Purpose Only’ at the end of Year 2.
Year Four sees the establishment of profitability.
Competitive advantage
While the MagnaStim and TheraMag devices are effective and user-friendly, with multiple home healthcare applications, all the competing devices currently on the market are only partially effective or difficult and awkward to use for the recommended therapeutic treatment. MedNexis will use its patented designs to fill the need in the market for an easier to use, more effective magnetic stimulator/field generator.
Financial
According to financial projections, the company will be profitable by year 3 if it receives $750,000 in funding. The company projects $23.5million in sales with a remarkable net profit in Year 3. These projections are based on penetration of less that 3% in each market segment.
Stretch ‘?r Wings, a start up company, makes medical interiors for helicopter pilots and hospital flight program operators. Stretch ‘?r Wings can design and sub-contract certain manufacturing.
Stretch ‘r Wings has identified and is working to complete four objectives that will assist them on their path to profitability. The FAA approval of Supplemental Type certification (STC), is the first objective. The second objective involves a preliminary prototype. Next is the need to secure parts manufacturer approval. Finally, a marketing campaign and plan must be developed.
Stretch ‘’r Wings targets both aircraft operators and hospital flights programs in both the United States as well as international markets. These two segments currently have the greatest market potential. These segments will be reached by Stretch ‘ ;r Wings in a variety of ways. They can send brochures and direct mail, as well as brochures and advertisements through trade publications and the internet. The US market as a whole, the international markets and military are the key segments. All three segments experience a five percent annual growth rate. 800 potential US customers, 300 in international and 100 in military markets are possible.
Stretch ‘?r Wings will use their competitive advantages, which are based primarily on product innovation/features and pricing competitiveness. Their use of aluminum frames creates an easy-to-assemble unit that is strong, lightweight and sturdy. Next is a built-in storage device which maximizes space. Finally, Stretch ‘’r Wings will use a glide ease stretcher system to make entry and exit as simple as possible. All Stretch‘:r Wings units were designed to be compact, efficient, and safely.
Stretch ‘ ;r Wings has put together a strong management team in order to implement their solid plan. Stretch ‘ ‘r Wings’s product design master is **. After a 20-year industrial design career, he has recently focused his designs on medical applications. His wife is a doctor. **, who is the business mind of our company, complements our designer master. ** will be responsible for operations and strategic planning. He was Vice President of Operations at a $45,000,000 bicycle manufacturer for 17 years.
Stretch ‘’r Wings will be profitable by year one. Profits will continue to rise through year five. For year two, sales were conservatively projected at $230,000. Year five will see sales of $634,000. Stretch ‘: Wings is an exciting company that creates innovative designs to fill a niche market need. The company will be managed by a team of experienced managers.
**Names have been withheld for confidentiality.
1.1 Objectives
These are the business goals and targets for Stretch ‘ r wings:
You can obtain STC approval from FAA on eight popular general aviation planes.
Prototype of a Medical Interior for FAA Conformity Inspection
Upon completion of the first STC, Stretch ‘r Wings will secure a Parts Manufacture Approval (PMA) from the FAA.
Develop a marketing plan, sales literature, website, e-commerce, and sales department. After approval by several STCs, this step will be executed.
1.2 Mission
Stretch ‘’r Wings will market a quick-change medical device for aircraft and helicopters. This product is unique and will enable the owner/operator of an aircraft to either carry regular passengers or to quickly switch to carrying a medical passenger. The medical unit can be described as a self contained life support system. It has an internal component with oxygen, vacuum, DC and AC electricity. Stretch ‘r Wings will develop, manufacture, and market this product.
1.3 Keys to Success
Because the aviation industry is very regulated, Stretch ‘’r Wings will have to obtain the required STCs or PMAs from FAA. Although the company’s staff has had several years of successful experience in doing STCs, this process may take longer than is planned, which could negatively affect the company’s prospects.
Strong marketing efforts will help increase brand awareness and customer acceptance once the products have been approved by the FAA. Stretch ‘ is the best tool for this purpose.
r Wings will be at all major trade fairs, publishing high quality sales literature and providing after-sales services to its clients.
