UTSA CITE Program Boot Camp
Feb. 15, 2014
Becky Ariana
CEO
Our CITE Team
• 4 Mechanical Engineering students
– Gary Walters
• 4 Business Students
– Justin Stultz
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Entire team met weekly for 2-3 hours
Additional meetings with Mentor and Business Team
Built a working prototype – “Technical Proof of Concept”
Developed detailed Business Plan
Our Inspiration: Gary is a Wounded Warrior; we saw the need
for our product daily
Why We Won
• Clearly articulate the problem and our solution to it
• Detailed Business Plan: “Plan your work; Work your plan”
– Situation Analysis
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Scope and significance of problem
Market size, segments, and dynamics of market
Competitive environment
Regulatory environment
– Strategic and Tactical
– Comprehensive
– “Tied together”
– Realistic Financials
• Worked our tails off!!
The Problem: HEAT
• Prosthetic limb provides mobility
and sense of independence
• BUT….heat and sweat build up
within the socket of the
prosthesis
CONFIDENTIAL - Not For Distribution
4
The Consequences
• For the amputee
– Discomfort
– Disruption of daily activities
– Impact on overall quality of life
The Consequences
• For the amputee
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Discomfort
Disruption of daily activities
Impact on overall quality of life
Serious medical problems:
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Friction blisters
Skin ulcers
Infection
Need for additional
surgery
Our Solution:
• The first commercially available prosthesis cooling
system
• Lightweight, battery-powered
• Activated by the patient
• Embedded in socket by prosthetist
• Kit components:
– Thermoelectric elements for cooling
– Heat dissipation system
– Power supply
Cool It.
1st generation prototype
Our Progress
• Incorporated in September
• Moved into office at SATC
• Developed 7 Provisional Patents
– Will file 2 Non-Provisional PCT Patents in April
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Design is frozen
FDA docs are prepared
Selected our Federal sales channel partner
Selected our manufacturing and order fulfillment
partner
• Executive Team in place
– 5 of 8 students
What’s Next?
Money is the
lifeblood of any
new company
What’s Next?
Money is the
lifeblood of any
new company
• Currently raising $2.0 Million
• File patents, secure FDA-clearance, conduct beta
test, launch first product, design 2nd product
• Next raise: $4.5 million
• First sale in Q3 2014
• Profitability at end of Year 3
Opportunities – How can they help?
• Raising $$
– Allow 6-12 months
– Investors must be “accredited”
Opportunities – How can they help?
• Raising $$
– Allow 6-12 months
– Investors must be “accredited”
• Provide valuable services (regulatory, marketing,…)
Opportunities – How can they help?
• Raising $$
– Allow 6-12 months
– Investors must be “accredited”
• Provide valuable services (regulatory, marketing,…)
• Key introductions
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Influence/drive demand for your product
Provide technical expertise
Serve as Business Advisors
Serve as members of your Board of Directors
Opportunities – How can they help?
• Raising $$
– Allow 6-12 months
– Investors must be “accredited”
• Provide valuable services (regulatory, marketing,…)
• Key introductions
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–
–
–
Influence/drive demand for your product
Provide technical expertise
Serve as Business Advisors
Serve as members of your Board of Directors
• Expand your product line
Opportunities – How can they help?
• Raising $$
– Allow 6-12 months
– Investors must be “accredited”
• Provide valuable services (regulatory, marketing,…)
• Key introductions
–
–
–
–
Influence/drive demand for your product
Provide technical expertise
Serve as Business Advisors
Serve as members of your Board of Directors
• Expand your product line
• Expand into new markets
Opportunities – How do you find them?
Opportunities – How do you find them?
• Sources
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Your Mentor
Professors
CITE Judges
UTSA Public
Affairs
• Potential
Investors
• Family,
Friends,
Neighbors
• Research
Opportunities – How do you find them?
• Sources
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You must be
fearless!!
Your Mentor
Professors
CITE Judges
UTSA Public
Affairs
• Potential
Investors
• Family,
Friends,
Neighbors
• Research
Our Unexpected Opportunities
Publicity and increased awareness
KC Gonzalez
Publicity
• Interviews
• Articles
Trade journal
article
Contact from
major
prosthetics
university
Our Unexpected Opportunities
An opportunity to expand our product line
CITE Judge
Researcher
New product for us; new
application for his technology
Our Unexpected Opportunities
Support from a Four-Star General
Former Deputy Commander of NATO
Chairman, Wounded Warrior Games
Mentor
Investor
CTAN
CTAN Member
General
The Challenge: Balance
• Your investors expect you to hit your milestones, on
time
• You need to “Work Your Plan”
The Challenge: Balance
• Your investors expect you to hit your milestones, on
time
• You need to “Work Your Plan”
Opportunity
Plan
Bottom Line…..
• You must deliver on your commitments to your
investors
• Assign responsibilities to your team members – hold
everyone accountable
• Communicate often with your BoD, Business
Advisors, and Investors
• Pursue opportunities as you can
Thank you!
Becky Ariana
CEO
b.ariana@letosol.com
858-705-2243