- Revcad Ltd have completed a 12 month research and development project to develop the ‘Archery Scope’, a new, unique, high-tech electronic archery targeting device that fits on a bow for: (1) range shooting (2) bowfishing - solving the problem of refraction, and (3) archery training. The device has been prototyped and proven through field testing.
- We require investment of £350K to match fund a development grant of £150K to setup, manufacture and market the device.
- We will sell the product via distributors at a retail price on first release for $1395 (USD) per unit, reducing to $995 as production is optimised. Manufacturing costs will be approximately 25% of the retail revenue. Distributors (if required - see later) will take 50% of retail revenue. Profits will be 25% of retail revenue (assuming the use of distributors) with a pre-tax profits forecast of nearly £5M per annum when in full scale production.
- The primary target market is North American hunting, fishing, sports and leisure with sales of around 400,000 bows per year and 12 million registered archers. We project sales of the archery scope to be10,000 units per year to North America alone, with an estimated worldwide projection of 30,000 units per year once distribution channels are established.
- Our route to market is through several major US retailers, the biggest of which having a turnover in excess of $2Billion per year. Market exposure will be achieved through a number of marketing initiatives but by far the quickest and easiest is by exposure on the US hunting TV channel. This will be handled by either the distributor or the major retailers. We also have other routes via small business hunting shops who will add value to the product by offering related services.
- By the end of year 3 we forecast profits to be approx £7.2M assuming the use of a distributor, or potentially considerably higher if the distributor is not required. After 3 years we forecast the value of the company to be approx £20M and offer a potential exit for investors from company profits and/or sale of the company.
- If you are interested in exploring this opportunity further please contact us, we would be delighted to open a discussion with you. A full business plan has been produced explaining the product, the market etc and showing a 3 year financial forecast. Trevor Maddison - Managing Director.
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