“recall the face of the poorest and the weakest...“recall the face of the poorest and the...

“Recall the face of the poorest and the weakest man whom you may have seen, and ask

yourself, if the step you contemplate

is going to be of any use to him.”

-Mahatma Gandhi

Soy Laabh Venture Team

Kiju Jung Judy Lee Sindhura Mekala Adri Platt

William Smith Hirotoki Takemasa Roselyne Yao

Monday May 4, 2009

Agenda

• Protein-Energy Malnutrition in India

• Our solution: SoyChoyce

• Our Competitive Advantage

• Your Investment Opportunity in Soy Laabh

• SoyChoyce Implementation Plan

• Summary

Meet Family Tamilselvi Tamil Nadu, India

FATHER “Breadwinner”

Manual LaborSubsistence AgricultureMain source of income

MOTHER“Breadmaker”

Household care Subsistence AgricultureMinimal income generationLow Income (< Rs. 5000 per month)

Low Literacy High Probability for Protein-Energy Malnutrition

Potential profile of 4.6 million

households

ISSUE OPPORTUNITY WHY US? IMPLEMENTATION PLAN

Protein-Energy MalnutritionThe Alarming Situation in India

• “One in every three malnourished children in the world lives in India.” – UNICEF India

• “About 50 per cent of all childhood deaths are attributed to malnutrition.” – UNICEF India

• “44 per cent of children under 5 years old suffer from malnutrition in India.” – Word Bank 2007



Protein-Energy MalnutritionA Preventable Health Care Issue

Negative impact on health, education, productivity

Growth Failure / Loss of Muscle MassGeneralized swelling

Decreased immune systemPermanent physical and mental disabilities

Protein-Energy Malnutrition

Protein-Energy MalnutritionNutritional Power of Soy


0

10

20

30

40

50

60

70

80

0 100 200 300 400 500 600 700 800 900Prot

eins

(in

gram

s) p

er c

up

Calorie Count per cup

Protein vs. Calorie Content

Chicken Breast Eggs Chickpeas Soynuts Tofu Soymilk Whole milk Defatted Soy Flour

High calorie / protein content for SOY NUTS

SOY MILK vs. WHOLE MILK

CHICKENvs.

DEFATTED SOY FLOUR

Our Solution: SoyChoyce



Our Solution: SoyChoyceContainer Product Concept

Our Solution: SoyChoyceBenefits of Defatted Soy Flour

Healthy•50% protein•High in energy•Safe if stored properlyAffordable

Made from waste material of soy oil

production

Easy to use•Dissolves in water•Long shelf life•Mild taste


Why SoyChoyce?Affordability vs. Protein Content

Protein content

Affo

rdab

ility

Rs. 320/kg; 18%

Rs. 2500/kg; 90%


Rs. 54/kg; 50%

Rs. 50/kg; 50%

Why SoyChoyce?Affordability vs. Ease of Use/Reuse


Rs. 30/kg; 50%

Ease of Use/Reuse

Affo

rdab

ility

Rs. 320/kg; 18%

Rs. 50/kg; 50%

Rs. 2500/kg; 90%


Why Invest in Soy Laabh?Mission Statement

Harvest the power of soybeans

People

PlanetProfit

Why Invest in Soy Laabh?Management Team

Kiju Jung Masters in Communications

Judy LeeBFA Industrial Design

and Art Education

Sindhura Mekala MS Industrial Engineering,

Master of Management Studies

Hirotoki TakemasaMBA Marketing, MS Plant Biology

Roselyne Yao MBA Finance and Marketing,

BSBA Finance and International Management

Adri Platt MBA Marketing, BS Engineering

William SmithMBA Finance, BS Engineering


Why Invest in Soy Laabh?Partnership with Soybean Research Leader

National leader in soybean research

Promotes soybean research, education and outreach in the areas of production, nutrition and international development

Diverse association of research programs


Why invest in Soy Laabh?Profit Opportunity

(INR 100,000)

INR 0

INR 100,000

INR 200,000

INR 300,000

INR 400,000

INR 500,000

INR 600,000

INR 700,000

INR 800,000

Year 1 Year 2 Year 3 Year 4 Year 5

Revenues

After-tax income

Revenue and Income graphs for growth rate of 15% (Price/ 500g= Rs 27)


SoyChoyce Implementation PlanDistribution Process


SoyChoyce Implementation PlanEducational Component


SoyChoyce Implementation PlanEducational Pamphlet


SoyChoyce Implementation PlanTriple Bottom Line Commitment


People

PlanetProfit

SoyChoyce Implementation PlanCommitment to Planet

Reducing Carbon Footprint

•Sourcing Locally

•Eliminating middlemen

Resource Conservation

•Durable and reusable container

•Use recycled materials

Sustainable Agriculture

•Flour suppliers committed to sustainable soybean production


SoyChoyce Implementation PlanCommitment to People

Market OpportunityThe family household living with Rs. 5000 or less More specifically: The Mother-child dynamic

• Tamil Nadu•Approx. 18 MillionShort-Term

• India•Approx. 309 MillionLong-Term


SoyChoyce Implementation PlanPotential Launch Timeline


SoyChoyce Implementation PlanPotential Launch Timeline

Year 0Setup Central Office,

Advertising, Education & Training

Establish Supply, Manufacturing & Distribution

Networks.

Finalize Prototype

Years 1-5

Year 1: Projected Units

Sold 15,000

Year 2 Projected Units

Sold 17,000


Sold 20,000


Sold 23,000


Sold 26,000


Summary

Large Scale Preventable

IssueOur Solution Your

Opportunity

Protein-Energy Malnutrition

Potential of 4.6 million households

in Tamil Nadu

Positive

FinancialSocial

Environmental

Returns

ANY QUESTIONS?Thank You

Thank you!

We would love to hear any comments

and questions. Smile with SoyChoyce.

APPENDIX

Financial ForecastBenchmarking AnalysisNutritional Power of SoyScale of Potential Impact

Financial ForecastFinancial Forecast Assumptions and Calculations :• Each packet of SoyChoyce is 500gms, which can be used over a period of 1 week

by a family of 4.• Assumed 14 refills on an average per household in 1 year.• Year 1-> 10 villages, 100 households each• Total units that can sold in Year 1= 15*10*100= 15000• Cost: 15 INR/ 500 Gms of SoyChoyce

15 INR/ Bottle1 INR/ Polythene bag

• Tax rate= 33%• Personnel: Salary per year per person= 36,000 INR (Minimum wage in India is Rs

80 per day on average. But in the food processing industry, it is Rs 44)

Appendix

Financial Forecast

Category Year 1 Year 2 Year 3 Year 4 Year 5

Revenues 405,000 465,750 535,613 615,954 708,348

Soy flour 225,000 258,750 297,563 342,197 393,526

Bottle 7,500 8,625 9,919 11,407 13,118

Polythene packets 14,500 16,675 19,176 22,053 25,361

Total Cost of materials 247,000 284,050 326,658 375,656 432,005

Rent 100,000 100,000 100,000 100,000 100,000

Education & Marketing 30,000 10,000 10,500 11,025 11,576

Personnel 72,000 79,200 87,120 91,476 96,050 Commission for SHGs 15,000 16,500 18,150 19,965 21,962

EBIT (59,000) (24,000) (6,815) 17,832 46,755

Tax payable (19,470) (7,920) (2,249) 5,885 15,429

Income Statement (YOY Growth rate= 15%)

Appendix

Benchmarking Analysis

Product Name Design Type

Product Price Key Tagline

Complan(H.J. Heinz)

Health Drink Mix

Paperboard box

319.00 INR - 1 Kilograms

“23 vital nutrients … 100 per cent protein content”

Sri Matha(Sri Matha Soy Food

Products)

Soybean Flour

Plastic packet

25.00 INR -500 Grams

"the soybean flour is defatted, 100 percent vegetarian and

contains 50 percent of protein."

Horlicks(GlaxoSmithKline)

Malt Drink

Laminated box

100.00 INR -200 Grams; 190.00 INR -500 Grams

"It is rich in protein and is forfeited with DHA for brain

development with an essential Omega 3 fatty acid."

Appendix

Benchmarking Analysis

Product Name Design Type Product Price Key Tagline

Protinex(Wockhardt

Ltd.)

Diabetic Protein

Supplement

Tin / Metal with plastic

lid

140.00 INR - 200 Grams

"High Fiber; High Minerals; High Vitamins; No Saturated Fat; No Sugar;

Vegetarian"

Soylife(Coolex

Industries Ltd.)

Isolated Soy Protein Powder

Plastic container

250.00 INR - 100 Grams

"High Protein; Vegetarian"

"It is reportedly ideal for diabetes, obesity, sports people, growing children,

pregnant women, lactating mothers, menopause women and old aged

people. "

Appendix

Why Investing in SoyChoyce?Nutritional Power of Soy

PROTEIN vs CALORIE CONTENT (PER CUP)

Food Item Calories Per Cup Protein (G) Per Cup

Eggs 347 31

Chicken Meat 231 43

Mature soybeans

(yellow), cooked298 28.6

Soy flour, defatted 328 47.2

Soy nuts 776 68

Appendix

SoyChoyce Implementation PlanCommitment to People

Breadth of potential impactAs of 2007, 44% of children under 5 years old were suffering from malnutrition in

India.

363 Million(14 & under in India)

18 Million New every year

(Population Growth 1.55%)

Educate Provide

Appendix

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