a root chopper for producing a
natural plant supplement
2.009 Blue Team
December 12, 2005
12/12/05
12/12/05
12/12/05
1 minute later…
Scale: 1 grid = 0.25 inches
12/12/05
12/12/05
10 months later…
+12%
+17%
12/12/05
Technical
Innovations
12/12/05
Technical Innovation
Bent Flail Blades
Increased Safety
Increased Life
Blade Geometry
12/12/05
Technical Innovation
Detachable Cutting Chamber
Increased Functionality
Easy Access
Constrained Movement
12/12/05
Technical Innovation
Toggle Latch
12/12/05
Technical Innovation
Safety Mechanisms
Reed Switch
Motor Braking: 0.13 seconds
12/12/05
Product Realization
Initial Target Market
Organic Farmers
Small Farmers
12/12/05
Product Realization
Costs
Cost to Manufacture = $215
Retail Price = $850
NPV Over Next 6 Years = $1.3M
Return on Investment = 76%
12/12/05
Product Realization
Business Plan
First Year Sales: 1000 units
Projected Increasing Sales
Secondary Customers
12/12/05
Product Realization
Consumer Incentive
Projected sales
increase per
harvesting season
on a 10 acre potato
farm
Yield
Increase
Increase in Sales
Farmer 5%
A
$700
Farmer 10%
B
$1,400
Farmer 50%
C
$7,000
12/12/05
Product Realization
Competitors
Plant Success
Price per 100
Plants
$40.00
BioOrganics
$16.00
First Fruits
$7.50
InocuPro
$2.00
12/12/05
12/12/05
Acknowledgements
Thank You’s
Dr. Dave Douds, USDA
Steve Haberek
Prof. Woodie Flowers
Bob Nuttal
Prof. Samir Nayfeh
Bob Gertsen
Prof. Dave Wallace
Joe Cronin
Dick Fenner
Chet Reshamwala
12/12/05
Questions?
Product Realization
USDA Research
Bahia Grass
Mychorrizal Fungus
QuickTime™ and a
TIFF (Uncompressed) decompressor
are needed to see this picture.
12/12/05
Technical Innovation
Coffee Grinder
QuickTime™ and
TIFF (Uncompressed) decom
are needed to see this pic
Technical Innovation
Electronics
Technical Innovation
Current “Chopping” Methods
food mill
cheese grater
linear grater
herb mill
chopper
Technical Innovation
Current “Chopping” Methods
food processor
Cuisinart
Product Realization
Projected Cash Flow
Cash Flows Over Time
NPV of Cash Flows in Thousands
1400
1200
1000
800
Periodic Cash Flows
600
Cumulative NPV of Cash
Flows
400
200
0
NPV
of
-400 Cash
Flows
-600
-200
Quarters
12/12/05
Product Realization
Cost Comparison
Competition
Break Even
Plant Success
22.4 Grow Bags
7.5 Acres
BioOrganics
60.7 Grow Bags
20 Acres
154.5 Grow Bags
52 Acres
First Fruits
12/12/05