LeoTronics

LeoTronics is a developer and manufacturer of mobile robots and solutions based on them. We designed a wide product range tailored to customers' needs: from firefighting robots to demining ones. Each robot model is based on a universal tracked platform, which makes it easy to adapt any model to the needs of a particular customer while simultaneously being a separate product in itself.
Thus, we are fully prepared for a rapid entry into the global market.

Now LeoTronics has:
- unique developments and know-how in the field of robotics;
- long-term vision and strategy;
- a recognizable and registered brand;
- a high-motivated team;
- a wide range of advanced marketing tools for promoting its lines of robots:
- a wide network of contacts among officials and potential buyers.
LeoTronics successfully fulfilled with first stages from an idea to the preproduction models for further manufacturing.

In 2030, the total global robotics market is expected to reach between $160 billion and $260 billion. It is also noted that in 2030, professional service robots with a market size of $90 to $170 billion will far outpace conventional industrial robots and cobots with market size of $40 to $50 billion.
All robots that we plan to put into production can be divided into two groups: emergency robots and social assistant robots. In the first case, all municipal social services (fire departments, military, sappers, ambulance crews, emergency services) are our potential clients. The second line will find its customers mainly among private organizations and persons involved in security structures, cafes, hotels, and tourism businesses. The complete set of each of the presented models allows to adjust the models to the needs of a particular client and produce robots to order.

Many advanced countries, particularly the United States, are currently experiencing a persistent shortage of personnel to form an emergency response service because of low salaries and high risks. For example, firefighters believe that wages are incomparable to life and death. In particular, at the end of October 2021, several FDNY fire companies in New York City closed due to staffing shortages. There is also a shortage of qualified personnel in the area of demining. Given the long wars in many parts of the world over the years, large areas have been littered with mines and unexploded ordnance. If employment trends continue, it will take decades to clear these areas. The COVID-19 pandemic exacerbated the staffing situation for dull, dirty, and dangerous work. In summary: In any area of human endeavor where there is a risk to life or health, physically hard work, we face a severe shortage of human resources.

Problems of the fire-fighting and elimination of accidents:
- high risk to human life and health (as a result, work efficiency decreases);
- lack of qualified personnel;
- the impossibility of a quick response due to the inaccessibility of work sites.
Demining industry challenges:
- high risk of work and shortage of deminers;
- slow speed along with an increasing number of areas in need of mine clearance - according to official estimates, the number of mines still buried underground in 60 countries of the world can reach 110 million.
Problems of the restaurant, hotel, and tourism business:
- high level of competition and the constant need to attract additional attention;
- huge fixed costs for the remuneration of unskilled personnel;
- the need to create and maintain a unique image, offering customers innovative solutions for leisure.

The solution to all the problems listed above is to reduce the cost of performing monotonous and/or life-threatening work by automating (robotization) daily routine processes. The LeoTronics line of robots is designed with many challenges to significantly improve the efficiency of industries that today are considered to be lagging in technology coverage.

Due to the wide range of manufactured robots and the Universal Platform TrackReiter, which makes it easy to create and/or adapt the manufactured model to the client's needs, LeoTronics' competitive environment is relatively small. Some analogs presented be Telerob (a subsidiary of AeroVironment, USA), Cobham Unmanned Systems (Germany), MED-ENG (Canada), Foster-Miller Inc. (USA), Remotec (USA), iRobot (USA), Howe & Howe (USA), Toshiba (Japan), Pudu Robotics (China), LG (South Korea), Woowa Brothers Corp. (Korea).
Alternatives: the lack of development of the social sector, the continued low efficiency of several social services, and the leisure and tourism sector.

The main advantages of LeoTronics robots are the versatility in their design (the possibility of easy repair and adaptability to the buyer's needs) and a wide range of functions performed. Accordingly, LeoTronics robots in pricing become cheaper than analogs on the market.

Other benefits include:

1. Flexible system of business scaling, development by opening licensed production sites worldwide. Production sites under this model will be spread worldwide, with exponential growth - from the end of 2023**.** Proven technology allows to deploy products in the shortest possible time with the available labor and material resources locally, organizing the production of robots; both single and serial production is possible — organization of production close to the consumer, optimization of logistics, economies of scale. Development model: a local partner uses local resources to organize the assembly plant and manufacture the mechanical
part. LeoTronics supplies electronics, software.
2. ServiceNow integration is an innovative solution that allows you to include robots in the ServiceNow system and remotely monitor and control the robot.
3. RaaS - in addition to selling, robots can be provided for rent, according to the "Robot as a Service" model.
4. Diversification of the model range - 3 product lines: main product TrackReitar, LeoHelper, LeoRanger.
5. Service - the "service by subscription" model.
6. Thanks to economies of scale, robots have become affordable.

LeoTronics has been in the robotics business since 2020. According to calculations, within three years after the full launch of the robots' line into production, the company's revenue value will increase dozens of times. It is also planned to develop other promising areas, particularly offering robots as a service (RaaS), expanding the line of robots based on the TrackReiter Universal Platform in agriculture, logistics, and urban infrastructures.

LeoTronics receives a one-time profit from each B2B2C sale and offers RaaS service through intermediaries, constantly expanding its geographical coverage.
Our marketing program is supported by e-commerce and digital marketing, which stimulates the awareness of customers and partners. We also create a significant presence at specialized exhibitions (ELMIA Subcontractor 2021 and PYROS 2021). As a result - adjustments to our production line, establishing contacts with leading European intermediary organizations interested in further cooperation with LeoTronics in promoting robots to the European market, and access to representatives of final customers.

Our $10M raise will enable us to scale manufacturing, and purchase technological equipment, materials, and consumables to form a warehouse, technical premises, and the involvement of additional production personnel.