Photo - Finnish Innovation Board FIB
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Finnish Innovation Board FIB

The plant of innovation building constructions in Finland

Finland
Market: Woodworking, Production, Building
Stage of the project: Prototype or product is ready

Date of last change: 28.09.2018
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Idea

Elements of walls and coverings for all types of buildings and constructions without the general restrictions

Current Status

Our product has a European safety certificate and is fully ready for serial production. Small Parts of our products have been applied at the sites of Sweden and the Netherlands. A large industrial complex needs preparatory measures for the installation of equipment. We have preliminary agreements with Buyers and Suppliers of raw materials. The EU and Finland institutions support our Project.

Market

* The EU and RF market is 500 million m2 of structures per year with an average growth of 3.4% / year.
* Possible exports to the countries of the Northern America, Asia and the Persian Gulf.
* Additional demand (price and technology) and displacement of low-quality products of the lower price segment.
* Projected consumption of 5 million m2 with our plant capacity of 0.5 million m2.

Problem or Opportunity

Lack of effective enclosing structures for buildings and structures on the market: universal, technological, safe, affordable, energy-saving.

Solution (product or service)

New elements based on recycled materials, new production technology, new construction solutions. The result is efficiency and safety.

Competitors

Producers of materials and elements for walls (external and internal) and coverings of buildings and structures.

Advantages or differentiators

New levels of:
-Technology (requirements for working personnel are reduced);
-universality (external and internal walls, coverings, fire/noise screens, fixed formwork);
-Safety: resistance to fire, seismic, water, rodents, mold. - -Ecologicality and friendliness to Nature;
-Operation: low costs, close to zero;
-Price;
-individual characteristics and dimensions for the Customer's project.

Finance

-The total budget of the Project is $30M;
-The current budget of the Project is $16M, what includes the cost of equipment, preparation for its installation, working resources;
-Requirements to own capital of $4.8M;
- Co-financing by the institutions of Suomi $11M;
- Internal profitability 53%;
-Trade margin (EBITDA) is 65.4%;
- Recoupment 3 years;
-The search investment is $ 3.0M.

Business model

Classical business model: value added as a result of processing of raw materials and production of the Product, as well as its support - consulting, design, installation, guarantees, etc.

Money will be spent on

Purpose: satisfaction of the Regulator's requirements to the amount of equity capital.
Use: preparation of industrial buildings for installation of equipment.

Offer for investor

- equity participation (significant share));
-participation in management;
- annual dividends on invested capital;
- security of European jurisdiction;
- free exit from the Project with bonus payments;
- friendly atmosphere of the Project.

Team or Management

Risks

Reduction profitability in competition with low-quality low-price segment materials (developing countries).
Export restrictions in Russia.

Incubation/Acceleration programs accomplishment

Methodological support of the Finnish House for doing business in Suomi.
Consulting support of the audit company Rantalainen (Helsinki) in the modeling of financial flows

Invention/Patent

EU and US patents on technology

Photos

Photo 1 - The plant of innovation building constructions in Finland
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Idea
Current Status
Market
Problem or Opportunity
Solution (product or service)
Competitors
Advantages or differentiators
Finance
Invested in previous rounds, $
Business model
Money will be spent on
Offer for investor
Team or Management
Mentors & Advisors
Lead investor
Risks
Incubation/Acceleration programs accomplishment
Won the competition and other awards
Invention/Patent
Photos
Product Video
Presentation