teviot tecchnology

Teviot Technology Pitch.
Business Summary
The global lithium battery market is forecast to grow at >CAGR12%to $116B where 40% is consumed in NA/Eu. The market for Teviot in NA/Eu is by identifiable sectors and represents a calculated TAM of >$500M, Teviot sectors are: Mobility ( Scooters, Golf Carts, Forklifts, Light electric vehicles [ half Tesla size],  Industrial,  Medical,  UPS. RV & Marine.
The Teviot Razor branded packs are rich in USP and communications to address the growing importance of local wi-fi & cloud-based data.   Teviot designs and builds the brains of the mandatory  Battery Management System(BMS)- a powerful product differentiator versus our competitors.  New Products are the lifeblood of all firms. The Teviot model focuses on this fact.
Key executable is the design -in  of new batteries for OEM products. Delivered by the  SalesForce with Teviot technical  and financial focus ( pricing)

 Core Team of 4. ( CEO, CTO, Head of Engineering, Head of Sytems). Detailed BIOs available.
All battery /BMS experienced undergraduates and cofounders. Ken Chisholm  BSc, DMS, MBA  is the lead founder and is a very experienced businessman.  The last venture was as co-founder of Vecture inc. and CTO with literally hundreds of BMS designs in the field. Sold to Eberspaecher a large German automotive company.  Vecture inc, the brainchild of Ken started from zero and rapidly became profitable in its chosen niche market of lithium safety and energy BMS.

Design-in strategy As evidenced by academia  New Products are the lifeblood of all firms- it would be surprising if any of the firms identified in the broader scheme of things had no new products either developing or advanced concepts.  Experience tells us the battery is often almost an afterthought, so flexbility and speed are key levers. The only thing that does not shift much is the launch of the   OEMs new product; so the time to capture a design-in win maybe only be a few weeks- if you fail you fail. Design in wins is tomorrow's cash cows, often having product life cycles > 8 years. Design-in wins allow high barriers to entry through developed USP for that project. The future business can be forecast per project! A designer can do between 5 ad 7  medium complex designs a year. The final choice of projects to undertake in a resource-limited (short term) scenario will depend on ROI. Sale Force individuals are rewarded on a bonus for proven design in wins worth over $100K annually.. The design in strategy was promoted by my(Kens) former mentor Jack Gifford of Maxim Integrated Circuits. It is a proven succcess process.

Scalability. The forecast has  5 year target of $30M. It is quite linear but steep. To service this demand and where needed a) Design & Development subcontractor Engineers will
supplemen the team . b)The Vecture  designed BMSwill be built in Toronto by Eberspacher  -Vecture but for Teviot Technology  designed BMS we can use other subcontractors as well as Vecture. c)  Assembly by Amigo in Mexico, overflow can be accommodated by other firms in Mexico or battery assemblers in USA. d) core pack supply by a strategic  APAC  partner where Teviots requirements will always be small compared to the bulk of cell manufactured. Scalability is not an issue.

Sales & Marketing:  Sales is the primary means focused by the design in strategy. Sales are fronted by folk like EMT Engineering and other Commissioned Reps currently covering most of NA and UK/IRE.. Over 50 professional Salespeople work with Teviot Technolgy. Many have complementary lines creating relationships- ZOOM cant do it all! The rep companies will recieve 7.5% commision as well the aforementioned bonus for design in wins.  WEB SEO is being developed. Trials of products include trolling motor, Club/race car 12V battery with an engine auto kill, 26V scooter with APP to mitigate range anxiety- supported by Ontario Centre of Innovation. These activities will be filmed for YOUTUBE, Advertise in selective magazines along with technical articles. NOVI 2022 planned ' it's the major show for batteries and automotive power in NA. From an Operations standpoint companies in the market sectors of interest are identified by rep regions- go get them:). Teviot Technology will work with the reps and likely hold Teams or Zoom meetings, This support to Field Sales and our "can do" attitude will win those design -ins. There is of course room for catalog distribution of "standard "which will be addressed

Traction launch products to prove capability and processes delayed due to COVID where component microchips have been on 35weeks- still a problem Nevertheless our first lanch product the U1 12V for Medical Cart is here[ this is an industry-standard product so early sales anticipated, now completing mandatory UN38.3. The second launch product is a more powerful Group 31 offering   25.6V  1.5kWh  smart pack prototype due Feb 2022.  These launch products will confidently allow Salespeople the confidence to pursue sales-  hard to sell smoke.
Revenue this year $125K
AVED Electronics UPS500 development US$125K contract placed
Daymak Boombuster  Scooter battery  12V 3.2kWH $750K annually, prototype order placed
Daymak 25.8V 42Ah scooter with Blue tooth prototype order, estimate  $$150K year. This acting as a trial vehicle for the important Range anxiety Mitigator APP.
FMG Electronics medical cart battery 50 ordered  $25k
LF distributor Medical Cart batteries stocking order  $20K
Pink frog industries Prototype  order for Golf Cart (supplied  directly to a Golf Course)
Pink Frog Industries  trolling battery issued FOC for trials
LF 12.8V42Ah -SB  prototypes ordered. This is for automotive club car

Strategic alliances:
 Daymak for developing Scooter, ATV, and more
Daymak on developing 37kWh high voltage  batteries for Light Electric  vehicles
Daymak in developing range anxiety mitigation APP, Ontario Gov, support
Eberspaecher Vecture on designs and manaufacture of BMS
Amigo  assembly partner
CALB & Gold cell core pack suppliers
EMTS environmental test lab

Finance,  working capital increase   is the business rate key variable.The core pack from APAC always needs to be paid for in advance and it will take about 3 months to turn. The pack assembler will purchase and add the interest charge to the cost of manufacturing, On the BMS he will be allowed 60 days credit. When  packs shipped  directly to end customer  from assembler Teviot Technology will invoice the end customer on net 30 days but pay the pack assembler in 60 days so no cash flow burden due to the increasing working capital demands

Investment $600k by family finance, seeking another  US$800K  to support operations and product development. The annual salary budget currently is US$330K. product development estimate  $60k, monthly burn aboutbUS$2000 includes building tax and condo. The $800K will allow break even by end of year 2
The risk is low and where at end  of year 5 the FMV on trade sale will be about $37M Noting the target EBIT is 22%
Terms are negotiable but will be designed to return a multiple on investment
Conclusion The business model matches both the technical & commercial needs of this vibrant market space added to which the very motivated core management team and the near perfect timing as we exit Covid ? completes a solid robust approach. The TAM  is honestly estimated and where sales forecast is a very small ratio.  The biggest problem is not the model its the human stuff like Customer loyalty that needs overcome but there is so much opportunity we will overcome and become  the leader in advanced lithium battery systems, We will leverage our and specialist skills and commercial acumen "we can do- profitably"