VALORISATION PLAN: Funding and Investment Potential
SECTION I: ESTIMATION OF COSTS
| 1 | Taking into account the rest of the cost evaluation please provide an overall estimation of the total costs for full deployment/production of the R & D result. |
| … in terms of IPR protection | |
| The cost of registering the trade mark could be estimated at 900 Euro.
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| …in terms of product development | |
In order to advance to product development, several different activities and cost factors should be planned:
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| …in terms of mass production | |
| There will be no mass production.
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| … in terms of marketing | |
| Marketing costs could be estimated at 20,000 Euro/month. | |
| 2 | Based on the above assessment as well as the marketing information please provide the correct estimation of the price for R&D product in correlation with costs | |||||
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | ||
| Fixed costs | 10.000 | 2000 | 2000 | 2000 | 5000 | |
| Personnel | 800,000 | 800,000 | 100,000 | 100,000 | 100,000 | |
| Other running costs | 5000 | 5000 | 5000 | 5000 | 5000 | |
| Marketing costs | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | |
| TOTAL EXPECTED COSTS | 835,000 | 827,000 | 127,000 | 127,000 | 130,000 | |
| Price per Unit | 500,000 | 500,000 | 500,000 | |||
| Type of Unit | Complete system | |||||
| Number of Units | 0 | 0 | 1 | 2 | 5 | |
| TOTAL Expected Revenues | 0 | 0 | 500,000 | 1,000,000 | 2,500,000 | |
| CASH FLOW REQUIRED (REVENUES-COSTS) | 835,000 | 827,000 | 373,000 | 873,000 | 2,370,000 | |
| TOTAL CAPITAL required for five years | 1,662,000 | |||||
SECTION 2: QUALITATIVE FACTORS
| 3 | Dimension of identified target groups |
| The target groups are all public sector organizations that deal with earth observation tasks although that may only be on the national level of one state. They have already solutions installed and may be hesitant to replace some components.
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| 4 | Evaluation of financial Risks for R&D result |
| The financial risks are mostly related to the market in that potential customers may be hesitant to adopt new solutions. There are also technical risks involved, in particular scalability of the solution, but this is explained in other sections. This may also drive marketing costs high. Further, since it is expected that mostly national governments may buy the solution, marketing may involve a lot of travel across Europe or further.
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SECTION 3: IDENTIFICATION OF FINANCING SOURCES
After evaluating all the above mentioned criteria, please tick the best financing source for the achievement of R&D result (i.e. own capitals, banking credits, venture capital, business angels, etc)
| 1. European Funding
Define relevance of the product with the following potential funding sources and comment |
| 1. …This is an excellent case for further funding from one of the European programmes such as FP7, although product development could not be financed from these programmes. The activity relates in particular directly to the GMES initiative.
2. …It might also be possible to obtain funding from the Interreg Programme. 3. … 4. … |
| 2. National Funding |
| 1. …There has already been national funding and it is believed that at this stage, European funds will be more appropriate.
2. … 3. … … |
| 3. Private funding |
| 1. …The real product development could be financed by venture capital sources, provided that a company is founded in Bulgaria that drives the product development and that a strategic partnership is created with one major solution providers in this area.
2. … 3. … … |
| 4. Other |
SECTION 3: FINAL EVALUATION
| It is requested a final evaluation considering the funding opportunities you believe most suitable for the exploitation of the R&D result, considering the possibility of the creation of a spin-off, further research, in particular, a cost/benefit analysis and a financial projection for the R&D result, type of collaboration identified (i.e. Licensing Agreement, Technical Cooperation, Joint Venture, Manufacturing Agreement, Commercial Agreement with Technical Assistance, Creation of a spin-off, Joint further development)… |
The research development presented here is extremely interesting, but the way to a full and mature product may still be long and there are various risks that should be overcome:
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Decision of evaluation (Please keep only the appropriate)
- The R&D result needs major revisions
- The R&D result has good potential of exploitation
ulrichboes
