EXECUTIVE SUMMARY“According to the World Malaria Report 2010, there were 225 million cases of malaria andan estimated 781,000 deaths in 2009 and approximately half of the worlds population inover 108 countries are at risk of malaria.” – WHO reportAlong with malaria, other diseases caused by mosquitoes like dengue, chikungunya, filaria,encephalitis etc aren’t behind in taking the precious lives of humans. These simply point out thatdiseases transmitted by mosquitoes are of serious concern in the present times. Governmentsacross the globe are trying to fight the diseases spread by mosquitoes and huge amounts arebeing spent by both national and international organisations towards this.Gap AnalysisToday there are various options available in the country toprevent mosquitoes and some of them being the leading brands.But according to a research study conducted by the MalariaResearch Centre (MRC), they found that NONE of the leadingbrands provided 100% protection against mosquitoes. Notonly that they cause various side effects like breathlessness,constant fatigue, muscle & joint pain, generalized physicalweakness, memory loss and persistent headaches.There are various expensive mosquito traps available as wellthey use harmful chemicals and UV radiations caused by the lightcause various skin and eyes related problems.All these are the only existing options in the market and there isa need to have a product which not only is economical in longrun but also doesn’t have any harmful effects. This is what weaim to achieve through this innovative product that caters to theneeds of the society and help create world free of mosquito borne diseases.Market SizeAs of 2011, size of mosquito repellents is around Rs 20 billion. Industry experts say sales shouldtouch Rs 39 billion by 2014-15 representing a CAGR of 25%. The potential is huge: per capitausage of repellents is still very low in India — 16.4 per cent households in urban areas, 22.6 percent in metros and a mere 6.9 per cent in rural areas.1 1 http://www.business-standard.com/india/news/mosquito-repellents-takevillage-road/419644/
“MozziQuit”: Value Proposition “MozziQuit aims to provide a unique effective solution to eliminate mosquitoes at the most economical cost without use of any chemicals and helps reduce the mosquito borne diseases.”Product Description Is an innovative, patented, tried, tested and approved device that attracts, traps and instantly kills mosquitoes Traps mosquitoes by integrated vacuum and instantly kills them with its unique self-heating element Require low power and is workable on solar and batteries as well Dead mosquitoes are collected in removable container to check before disposal Proprietary additives are combined with raw material, producing a Model 1 unique part which also attracts mosquitoes by its glowing effectBenefits Help decrease the spread of malaria and other diseases Has no side effects and is easy to use Contains no chemicals and do not emit any hazardous smoke, fume, smell or ash Helps users to reduce bites and sufferings from mosquitoes at less than half the cost of its competitors price and also long lasting compared to others Model 2Market for “MozziQuit”A Patented and Innovative Product For “MozziQuit”, in its Model Type 1, the company has already obtained Patent Grant from Indian Patent Office in the year 2010 and also obtained Design Registration in India in the year 2009 from Indian Patents, Designs & Trade Marks office for Model 1 type.
A patent has also been applied in US National Phase for Model No. 1 type which is already published and is currently in ‘Patent Pending’ status in USA. Currently the product has been developed to miniature/nano size besides making it light weight and compact for which new patent application is been submitted in Indian Patent Office. Simultaneously 5 new Design Registration Applications are submitted to Indian Design Patent Office. Indian Patent Office has already granted 3 out of 5 Design Registration Certificates during November 2011. 2 more Designs are expected to be granted shortly. PCT International Search Agency has declared all the Claims of Patent as Novelty, Innovative Step and Industrial Applicability. The product has been tried, tested and approved by the only Government Authorised Agency in India i.e. The National Institute of Malaria Research/Indian Council of Medical Research. “MozziQuit” has won the Prestigious International Gold Medal Award in DST-Lockheed Martin India Innovation Competition on 30/05/2010 conducted by IC2 Institute of Texas, USA as programme managers. Quick Look Report of IC2 recommends to commercialise the Product. “MozziQuit” has also won another Prestigious Award ISA the Best Electronic Product of the Year 2010 under Healthcare Category on 02/02/2010. “MozziQuit” has also won the First Prize of Rs. 50,000/- in inter college competition in the year 2010 presented by the MBA students of SP Jain Institute of Management & Research, Mumbai. DSIR, Delhi has granted micro finance Grant of Rs. 75,000/- under TePP Phase I and has also approved another Grant of Rs. 45 lakhs under TePP Phase II for commercialisation. Defence Research & Development Est. of DRDO, Ministry of Defense has signed Engagement Agreement for exploring the possibilities of using the same for Military Personnel and Civilians.Competitive DifferentiationMosquito repellents form the predominant solution of the existing solutions in the market toprevent mosquito bites. They do not kill mosquitos but just repel the mosquitoes for a temporaryperiod. The repelled mosquitoes will lay more than 300 eggs before they die. The mosquitorepellents are made out of harmful chemicals which lead to develop asthma and other diseasesdue to their prolonged use specially to infants and senior citizens. Moreover, there are otherdrawbacks of repellent systems – like sharp light rays and dangerous fumes which are harmful.
Mosquito traps, the other alternative in existing suite of solutions have been introduced in US.The current range of mosquito traps operates with propane gas to attract, trap and kill themosquitoes. They are very expensive and cannot be used indoor. Also the exposed UV radiationfrom UV lights is harmful to human eyes & skin and the chemical used ‘Octenol’ is hazardous tohealth. Propane based traps pose risk of fire hazard as the company has recalled their product.The innovative technology of the device "MozziQuit" Multi-purpose Mosquito trap will attract,trap and instantly kill the female mosquitoes without use of any chemicals. The Device"MozziQuit" is designed to eradicate mosquito population in the defined area of its use and alsoto eliminate the invisible dust particles found in the atmosphere. This device could be used inresidential buildings, commercial buildings, restaurants, hotels, hospitals, Military installations,vehicles, aircrafts, also at external locations by municipalities, NGOs, Trusts, corporations andcorporate etc. Existing Solutions “MozziQuit” Repellents • Repel & multiply • Smoke, fumes Attracts & kill mosquitoes • Health side-effects Easy to use • Regular purchase / refills Eco-friendly Differentiation No side effects • High expenditure on prevention Great Value for money Traps Performance can be seen • Harmful UV radiation visually • Harmful Octenol Long Life, durable • Is expensive Compact and light weight • Fire hazard from Propane • Fire HazardsSales and Operation PlanThe manufacturing Plan is to start with an assembly unit from rented premises and set up a ownmanufacturing unit at tax holiday zone in 2nd year. Also set up 4 more region wise assembly cumdistribution units in 2 year. The Marketing strategy is to have a mix of direct marketing, referralmarketing, digital marketing, personal selling and sales promotions to increase adoption of theproduct. And the sales strategy is to have a dedicated sales force & marketing team to distributeat maximum retail and medical store outlets.Management Team and Advisory Board
The other key people in the organization are Prashant V. Naik, Hemant Kothare, Rudolph Lobo.Professional Experts that have served large public manufacturing sector have been identifiedand will join the Board during the commercialization period.The Advisory board will be shortly constituted and will consist of nationally prominent expertsother than above mentioned personnel. Amount Particulars (in crores) Land 1.0000 Building including Plant & Machinery 1.0460 Product Design, Product Engineering of Models 2,3 4 0.1500 Moulds as per Model 1, 2, 3 & 4 0.3600 Contract Research by NIMR/ICMR 0.1000 Furniture, fixtures & Vehicles 0.2500 Rental Deposit for Factory, Office 0.2000 Working Capital 1.8255 Expenses on R&D, Patent 0.4328 Pre-operative expenses and Product launch expenses 1.2000 Total Cost of the Project 6.5643 Means of finance Share Capital 0.1000 Promoters fund with Micro-finance grant of DSIR 0.2078 DSIR Grant under TePP Phase II = Rs. 0.45 cr. - Fund from TDB 1.6000 Funding by VC/Angel Investors 4.6565 Total 6.5643FinancialsBy the end of year 2012-13, MozziQuit will be launched in 20 districts in 5 different states, with atarget of selling 2500 units in the entire district per month.Projected Profit & Loss: Particulars 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 A Net Sales 21.20 46.64 89.78 141.09 248.31 341.43 B Cost of production 11.34 24.28 44.88 68.89 118.56 160.57 C Admin & Personnel Costs 0.84 1.10 1.47 2.01 2.44 3.25 E Repayment of loan 0.48 0.46 0.44 0.42 - F Royalty @ 3% 0.64 1.40 2.69 4.23 7.45 10.24 G Branding & Promotion 2.12 4.66 8.98 14.11 24.83 34.14 H Warranty costs @ 3% 0.64 1.40 2.69 4.23 7.45 10.24 Profit after tax 3.72 8.79 18.89 31.14 57.53 81.18 Reserves & Surplus I 3.72 12.50 31.39 62.53 120.06 201.24 (Closing Balances) Break Even Point 45% 42% 37% 35% 33% 32%