What is the Opportunity. Experience 50+ Year Engineering Company US/Canada Proven Certified Technologies (ANSI/CSA Standard Boards) 30,000+ Systems.

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Presentation transcript:

What is the Opportunity

Experience 50+ Year Engineering Company US/Canada Proven Certified Technologies (ANSI/CSA Standard Boards) 30,000+ Systems Throughout North America 3+ Billion Sq Ft to +/- 4°F 5 Years RxHeat® Leadership Restoration and Pest Control Market Who Are We?

RxProtect® Launch – 2011 Fully Licensed Pest Control Operator Columbus, OH Pilot Site 3-4 Full Time Crews Surge Capacity to 10 Crews 10 Heat Treatment Systems Full Time Sales Full time Operations Manager Who Are We?

Answer 3 Primary Questions What is the size of bed bug opportunity? Why Heat Treatment? Why are successful restoration contractors positioned to capitalize? Two Business Options Sub Contracting Stand Alone Pest Control Company

Frequency Increasing Worldwide Source: Bugs Without Borders – Potter, et. Al

Showing Up Everywhere Apartments/Condos (89%) Single Family Homes (88%) Hotels/Motels (67%) College Dormitories (35%) Homeless Shelters (31%) Nursing Homes (24%) Office Buildings (17%) Hospitals (12%) Primary/Secondary Schools (10%) Source: Bugs Without Borders – Potter, et. Al

Key Factors Driving Growth Current Solutions are Failing Miserably Litigation & Legislation HUD Notice H – Guidance for Bed Bug Control Education (Media Attention, Task force formation, etc.)

Why Heat Treatment is Winning Penetrating Power (Walls/Attic/Mattress) No Resistivity Fumigations effectiveness without the safety concerns One day process Less Reliant on Preparation Kills all life cycles of bed bugs everywhere inside of a structure Whole Structure or Single Apartment

RxHeatTreat One Day Eradication Certified Systems Safe & Effective

Feeding a Rearing Jar

RxHeatTreat (Large Scale) 70 Units Attached Office Space sq ft Canine Inspection 75% infestation level Total Building Heat Fumigation 2.5 Day Project

Technology Solutions Small ScaleLarge Scale

Large Scale Gas-fired technologies Raise temperature quickly Flexibility for a wide range of structures Scalable Quick Set Up Trained Personnel

Why Restoration Contractors Restoration Contractors Bed Bug Heat Treatment Pest Control Operators

Successful Restoration Contractors Know Crew Routing Project Management People Management Equipment Deployment Site Monitoring (Temperature, fuel, etc.) Regulatory Compliance Client Base overlap (Commercial and Residential Client Base)

Client Base overlap Apartments/Condos (89%) Single Family Homes (88%) Hotels/Motels (67%) College Dormitories (35%) Homeless Shelters (31%) Nursing Homes (24%) Office Buildings (17%) Hospitals (12%) Primary/Secondary Schools (10%) Source: Bugs Without Borders – Potter, et. Al

Key Questions Prime or Sub Contractor? Current Company or New Corporation? Investment (Capital and Leadership)

Prime Contractor Licensed Pest Control Operator Hire or Train New Business Start Up Not a line extension

Sub Contractor Market service to existing Pest Control Operators 15-20% mark-up for PCO Surge capacity (equipment and personnel) Lower capital investment Lower risk

Prime Contractor Initial Investment Breakdown $150K to $275K Sub-Contractor Model Initial Investment Breakdown $50K to $100K

Contact Information Marc Braun (636) Randy Hove (314)