The Mexico's Industrial Incubator Program was designed to help companies to start business operations with automotive, aerospace, electronics, medical devices and oil and gas supply chains in key regions throughout Mexico minimizing the investment and risk of entrance into a country with unfamiliar laws, culture and even language or most importantly: how to do business and WHO to do it with. The incubator program will help you to try Mexico and to see if being in this country will be profitable for you or not. To learn more go to www.AmericanIndustriesGroup.com/incubator

1. Mexico’s Industrial Incubator Program
Helping companies to minimize risks with their first step to start doing business in Mexico

2. About American Industries Group
American Industries Group is a private Mexican company that has helped over 200 global companies to successfully start up and grow distribution and manufacturing operations throughout Mexico since 1976 through Site Selection, Incubator Programs, Administrative “Shelter” services and Industrial Real Estate.

3. How we help companies to succeed in Mexico!
We are present at all stages of your industrial business needs in Mexico:
We help you find the right location for your operations in Mexico
Site Selection
Start up under an Incubator
Shelter Program
Expansion in other regions in Mexico
Supply Chain Relocation
We take care of all start up, legal, operational and environmental permits, human resources, customs, logistics, fiscal, accounting and all the administrative part of the business.
We help you grow your business by working together with industrial clusters and associations to promote your business in different regions in Mexico.
We help you to educate and relocate your foreign suppliers near your operations in Mexico.

4. Reynosa
Monterrey
Gómez Palacio & Torreon
Camargo
El Paso
Gómez Farias
Chihuahua
San Luis Potosi
México D.F.
Juárez
Querétaro
Delicias
León
Monclova
Guadalajara
Saltillo
Regional Offices, Incubator Locations
Shelter and/or Real Estate Customers
Silao
Our Locations & Score Card Real EstateWe have built over 12 M Sq. Ft. Portfolio inthe most important industrial regions throughout MexicoShelter & Start-up Services•50 Customers•Over 9,700 Customer’s headcount•Over 30,000 trouble-free import and export transactions per year

5. Contents
Key industries with growth and business opportunities in Mexico.
Mexico’s Industrial Incubator Program.
What it is and how it works.
How the incubator takes responsibility for your operations in Mexico.
How to qualify and apply for this program.
Request your Incubator Application.

6. Key industries with growth and business opportunities in Mexico
5thplaceinthetoplightvehiclesexporterintheworld.
1stautopartsexporterfortheUSmarket.
8outofthetop10multinationalelectronicsmanufacturersoperateinMexico.
1stexporterofflatscreenTVsandrefrigeratorsintheworld.
1stdestinationofaerospaceforeigndirectinvestmentand6thaerospacesupplierintheNAFTAmarket. When are you planning to integrate your products and services to these supply chains?
DifferentindustriesareboominginMexicothankstoitscompetitivecostofproductionandstrategiclocation.Whataretheindicatorsandopportunitiesforindustrialsuppliers?

7. Automotive Industry in MexicoAre you ready to start providing your products and services to any or some of these supply chains?
ThismapshowsthelocationofthelightvehiclesandheavydutyindustryOEMsestablishedthroughoutMexicowheremorethan400suppliercompaniesareexpectedtobefullyoperationalbefore2020.

8. Automotive Clusters and Supply Chain IntegrationWhen will you start the distribution or even manufacturing operations of your core business in those automotive clusters?
ThisisasampleofanautomotiveregionalclusterinChihuahua,Mexico,thenumber1regioninautopartsexportsinthecountry.Inordertokeepgrowing,thisclusterneedskeysuppliersinforging,casting,machining,plasticinjectionmoldingandtooling,amongplentyofservicestointegrateandfinishthoseproducts.
ThesameishappeninginotherautomotiveclustersthroughoutMexico.

9. Aerospace Industry in MexicoThe aerospace industry in Mexico is expected to triple its size between today and 2020. In which region will you serve this growing industry? Coming up next: Let’s review the Chihuahua’s Aerospace Cluster.
ThismapshowshowdifferentaerospaceOEMsandsuppliersaregettingestablishedthroughoutMexico.SomeoftheclustersareinclinedtowardsmanufacturingandsomeofthemtowardsMRO.

10. Chihuahua’s Aerospace Cluster: certifications and reach
ChihuahuahasoneofthelargestandmoreintegratedaerospaceclustersinMexicoledbythegrowthplansofkeyOEMsandsupplierslikeTextronAviation(Cessna,Beechcraft,BellHelicopters),Embraer-Zodiac(EZAir),HoneywellandLabinalfromSafranGroupalongwiththeirsuppliers.
The aero parts manufactured in Chihuahua reach more than 60 international airlines.
All of the operations established in the region have been certified by the highest Aerospace global standards.

11. Chihuahua´s Aerospace Cluster Analysis
Interiors
Windows and wings
Electrical Wiring - Harness
Armament and equipment
Ground support and equipment to the airfield
Landing gear
Signal and recording systems
Software systems
Treatment processes
Electronic Components
Aerostructures- Fuselage
*Fuel systems
Control systems and equipment
Avionics
CNC Machinery
Aircraft engine components
Security equipment
Communication systems and equipment
Fabrication of aircraft engine manufacturing
Aerostructuresand forging
Automatic flight navigation
Assembly for aircraft construction
Aircraft structures subassemblies and aircraft engines
Aviation services
Special systems and equipment
*Galleys equipment
*MRO (Maintenance, repair and overhaul)
Subsystems
Components
Systems
Assembly
Other Activities
High participation
Participation
No participation
Low participation
* On the radar
In2013,theAerospaceClusterinChihuahuadecidedtoanalyzethesupplychainintegrationofthefinalassemblyof2aircraft:B737andCJ4.
Thisanalysiswasbrokeninto5mainareasand27majorprocesses.
Thecolorsindicatethelevelofdevelopmentwiththecurrentcompaniesestablishedintheregionandtheircapabilities. Would your products and services fit the needs of the industry gaps?

12. Aerospace Technological Road Map 2013 -2023
High Participation
Participation
LowParticipation
No Participation
Deep Analysis and/or Business Case Development
Deep Analysis -BussinesCase Development Progress
OK
Basedonthepreviousanalysis,theChihuahua’sAerospaceClusterorganizedaseriesofworkshopswiththedifferentaerospaceOEMsandsuppliersestablishedintheregiontoplotthegrowthvisionforthe2013- 2023periodforeachoneofthe27processesidentified.
Thisroadmapshowsthedifferentgapsintheindustryandatwhatpointintimeitisplannedtointegratethatprocess.Thisishowtheroadmaplookslike:

13. ThosearesomeofthewindowsofopportunitythatMexicooffersforcompanieslikeyours,butthisisaspeedgame:thefastercompanytostartservingthemarketatacompetitivecostandlocationwillgetthebusiness.
So,howcanyoutestthemarketandactuallystartdoingbusinessintheregionswheretheactionistakingplace?
We created our Mexico’s Industrial Incubator Program to make it very easy for companies to test drive Mexico.
Let’s go through it!
So, how do you get into the Mexico’s market opportunity?

14. MEXICO’S INDUSTRIAL INCUBATOR PROGRAM
DesignedtomakeiteasyforyourcompanytostartbusinessoperationstoservetheindustryinMexico.

15. Mexico’s Industrial Incubator Program: what it is
ItisaprogramthatgotspeciallydesignedforcompaniesthathavenopreviousexperienceindoingbusinessdifferentregionsthroughoutMexico.
Whenyousignupforthisprogram,youwillgetalltheprivileges,benefitsandincentivesasifyouwerealreadyanexpertindoingbusinessinMexicowithalargeandmatureoperation.
Takethisopportunityasanewcompetitiveedgeforyourcompanywhereyouwillbeconqueringnewmarketswithaveryuniqueadvantage:beingabletofocusonyourclientsandproduction! What are the benefits that you will get?

16. Mexico’s Industrial Incubator Program: Benefits
Youwillgetassistancewith:
B2Bmeetingsandbusinessagendacoordinationwithaerospace, automotiveandmetalmechanicclusterstohelpyoupromoteyourproductsandservices.
Realestatespace:startingfrom5,000SqFt
FreedomtostartdoingbusinessinMexicowithoutaLegalEntity!
Legalandoperationalpermits:faststartupin9weeks
Humanresources:wewillhelpyoufindandrecruityoursales, distributionandoperationsstaff(startingfrom5employees).
Governmentincentivesnegotiationontechnicaltraining.
Customs:wewillhelpyougetthemaximumtariffssavingsfromthefreetradeagreementswith45countriesforyourimportsandexports.
Fiscalandaccountingmanagement+
NOINCOMETAXforthefirst4years
NOVATeffectoncashflow
NOStartuporExitFEEs
NOrisks:nolegaloradministrativeliabilities
Startingatanestimatedfullyloadedcostperhourof$16USDperemployeeincludinglabor,logistics,realestateandutilities.

17. Mexico’s Industrial Incubator Program: Stages
TheincubatorprogramwillhelpyoutotakeyourfirststepsinMexicoentirelyfocusedonsales,customerserviceandproductionandyouwillnotfaceanylegaloradministrativerisksorliabilitiesonyourstartupstage. Request your Incubator Application
YouwillgetatailoredevaluationandroadmaptostartoperationsintheregionsthattheremightbepotentialforyourbusinesstogrowinMexico.
Youwillgetatailoredcostmodelwhereyouwillbeabletocomparethetotalcostofproductionperhourineachregion. Get a Business Agenda in MexicoStart up (9 weeks)
AtthispointwewillcoordinatebusinessagendasintheselectedregionsforyouroperationsinMexicowithindustrialassociationsandclusters.
Aspartoftheagenda,youwillbeabletovisittheIncubator’srealestatefacilitieswhereyouwillbeabletooperate.
Additionally,youwillgetapresentationofthedifferentenablingservicesthatyouwillgetaspartoftheIncubatorandyouwillbeabletomeetwithgovernmentofficials.
At this stage you will get all permits for your operations.
You will get your human resources hired and organized (including payroll management).
You will get your machinery and equipment installed.
You will get all your customs & logistics set up.
You will get all paperwork and administrative task done so that you can start serving your clients from your new location

18. Sharing Responsibilities under the Incubator Program
•Management to direct operations.
•Machinery & equipment.
•Raw materials.
•Full control over distribution,
production and quality.
Manufacturing
Maintenance
Client
American Industries
Engineering
Design
Quality
Scheduling
Raw Materials
Inventory
Management
Purchasing
Direct Mat
Purchasing
Indirect Mat
Import & Export
Customs
Duties Optimization
Logistics
Operational
Permits
Accounting
Fiscal
Accounts Payables
& Receivable
Human
Resources
Recruitment
& Selection
Training
compliance
Salary & Benefits
Administration
Payroll
Labor
Management
Union Relation
General Manager
General
Administration
Environmental
compliance
Expat Support
Sorting & Kitting
Labeling
Just-In-Time
delivery to clients
ThisdiagramshowsthefunctionsthatyouwillneedtoperforminyournewbusinessoperationsinMexicotoserveyourclients.TheIncubatorprogramtakesfullresponsibilityofthebluesideofthebusiness.

19. Mexico’s Industrial Incubator Program: Layout and shared costs
Shared costs with other small operations:
Reception Area
Infirmary
Meeting Room
Equipped Cafeteria & Kitchen
24/7 Security
Facility Maintenance
Janitorial Labor and Supplies (General areas)
Hazardous material room
Aisles
Parking
Shelter Staff
Consolidated shipments
Freight Forwarding cost
Hook up costs
NNN Shared
Management of operations

20. Mexico’s Industrial Incubator Program: How to qualify
Youcanqualifyforthisprogramifyouwanttostartanyofthefollowingoperations
Just-In-Timeordistributionoperation
Assemblyoperation
Kitting&labelingoperation
Orifyoufitintoanyofthesecategories
YouhavelittleornoexperienceindoingbusinessinMexico
Youdon’thavealegalpresenceinMexico
Youdon’trequirealargefacility
YouwanttoexperiencedoingbusinessinMexicoforthefirsttimewithalowriskframework
Youwanttosharecostswithothersmalloperations. Are you pre-qualified for the Incubator Program?

21. What are the Next Steps?
Request your free Application Form to apply for the Incubator Program todayat:
www.AmericanIndustriesGroup.com/incubator

22. Thank You
www.AmericanIndustriesGroup.com
For more information contact:
José Nuñez / Myrna de lasCasas
Soft Landing & Start Up Facilitator in Mexico
facilitator@americanindustriesgroup.com
US Toll Free +1 877 698 3905
Mexico +52 614 439-3631