PART B: VALORISATION PLAN
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|
1000-1500 EUR for IPR protection through a utility model
2000-3000 EUR for IPR protection through patent – for the local market only.
|…in terms of product development|
|No further product development is needed. The product is ready for industrial production.
|…in terms of mass production|
In terms of mass production it would be recommendable to organise it with a strategic partner, e.g. an enterprise from the chemical industry that already has in place some of the equipment needed to optimise investments.
In that case an amount of about 15 000 EUR is envisaged to be needed for introducing this product into the industrial site of that enterprise.
|… in terms of marketing|
|Provided that the production is organised jointly with another industrial enterprise the marketing costs are not expected to be high as that enterprise is supposed to already have its distribution channels for the other chemical products of its portfolio. With this in mind, the costs for marketing are estimated to be about 5-7 000 EUR a year.
|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 EUR||20 000||40 000||40 000||40 000|
|Personnel||15 000||20 000||25 000||25 000||25 000|
|Other running costs||3 000||5 000||5 000||5 000||5 000|
|Marketing costs||7 000||5 000||5 000||5 000||5 000|
|TOTAL EXPECTED COSTS||35 000||50 000||75 000||75 000||75 000|
|Price per Unit||8 EUR/kg||8 EUR/kg||8 EUR/kg||8 EUR/kg||8 EUR/kg|
|Type of Unit||kg|
|Number of Units||2 000||5 000||10 000||10 000||12 000|
|TOTAL Expected Revenues||16 000||40 000||80 000||80 000||96 000|
|CASH FLOW REQUIRED (REVENUES-COSTS)||-19 000||-10 000||5 000||5 000||21 000|
|TOTAL CAPITAL required for five years|
SECTION 2: QUALITATIVE FACTORS
|3||Dimension of identified target groups|
|The target market are mainly companies from the construction, transport and energy sectors. These are about 200-300 companies in total in Buglaria – potential clients.
An assumption can be made that with the exit from the present financil crisis the consumption of chemical products will gruadually grow as the sectors increase their performance ont he local market.
|4||Evaluation of financial Risks for R&D result|
|As no significant investments are envisaged and the production is intended to be organised jointly with a chemical enterprise, no considerable financial risks are expected. The return of the small investments needed in putting the prduct in industrial production shall be highly dependent on the distribution channels of the strategic partner (the industrial enterprise that shall undertake the production) and the marketing.
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. Competitiveness Operational Programme – grant scheme for commercialisation of innovative products
|2. National Funding|
|3. Private funding|
|1. …private financing from the enterprise that will be the strategic partner for industrial production.
2. …Bank loan
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)…|
|Provided that industrial production is organised jointly with an already operating industrial chemical enterprise, the costs for setting up the production are relatively small. Hence it is not deemed justifiable for the institute to set up a separate spin-off enterprise or a completely independent enterprise for the production of this product only.
The most appropriate way of going on the market would be to outsource the production to the strategic partner as mentioned above. This can be negotiated through aManufacturing Agreement or a Commercial Agreement with Technical Assistance. Thus the needed financing can be secured by the strategic partner, mainly with own financial resources. If the company decides to apply for funding under the Competitiveness Operational Programme, then it would have to acquire the IPR protection rights, that shall belong to the Institute, through Licensing agreement or Joint-Venture.
Decision of evaluation
- The R&D has a high potential of exploitation