team purple 2.009 final presentation december 12, 2005
TRANSCRIPT
Overview
1 billion subsistence farmers Inefficient irrigation
StarvationPoverty
The IrriGator PumpHuman-powered water pumpLow costErgonomic
Business modelEconomically viableSelf-sustaining non-profit
The IrriGator Pump
CapabilitiesMax pump draw
7 metersMax pumping head
10 metersMax flow rate
1.25 liters/second
Customer Gains 3 hour daily use, 2 acres irrigated5x–10x increase watered land*
*kickstart.org, ideorg.org
-7m
10m
IrriGator
Problem
Poor irrigation methods*poverty malnutrition¼ acre
“Simple, low cost” pump**World poorestProvide foodGenerate income
Current methodsWell and bucketHand + rope pumpsTreadle Pumps
*United Nations Water Committee **International Water Management Institute
Cost vs. Area Watered
Acres Watered
Cost
$40
$120
$200
$80
$160
.5 1 1.5 2 2.5
Bucket
Treadle Pumps
Hand Pumps
Cost vs. Area Watered
Acres Watered
Cost
$40
$120
$200
$80
$160
.5 1 1.5 2 2.5
Bucket
Treadle Pumps
Hand Pumps
The IrriGator
Treadle Pumps
2 million used
Commercially available
IDE: 300,000 in India
Money Maker: 45,000 in Kenya
Specifications:
1.5 – 2.5 acres watered
Treadle Pump Analysis
Treadle Pumps
Stair-stepper motion
Piston pumps
Limited adjustment
Difficult to transport
Treadle Cost: $200fsldkjfsdf
IrriGator Analysis
IrriGator Pumps
Recumbent bicycle motion
Diaphragm pumps
Seat adjustment
Portable frame with wheels
IrriGator Cost: $125
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Portable Frame
Robust, lightweight frame
Simple design5 structural members
Wheels and handles
Corrosion resistant
Case: An IrriGator Customer
Average Income: $300 - $2000 per yearIrriGator Pump: $125Pump usage
3 hours per day8x increase in watered land
Revenue$100-$900 extra revenue per year* Salary 1.5x- 2.5x market wages*
ProfitCustomer recoups investment 6 – 18 months*International Water Management Institute, Kickstart Organization
Global Market
China: 7,000,000*
Eastern India: 10,000,000*
* International Water Management Institute
1 2 3 4 5
15,000
11,000
7,000
3,000
1,000
Sales Forecast
Year
#
Revenue Growth
- Water Partners, USAID, IMF- Manufacture in India, China
- Breakeven in Year 4- IRR: 8.3%
Year 1 Year 2 Year 3 Year 4
300 000
200 000
100 000
(100 000)
-
$250,000 Loan
Manufacture Pumps
Distribution Centers
Sales of The IrriGator
Real problem, Real solution
Customer Need1 billion people lack of irrigation
StarvationPoverty
IrriGatorReplaces current methods
InexpensiveErgonomicGenerates revenue
Testimonial
“There is no running water in my village so I've come here to check on what you are doing, to see where I could get some ideas or use your machine to pump
water to my village. ”
“This is easy… The cost is not bad… it's not as rigid as [the MoneyMaker prototype], you are relaxed and seated. Yours is perfect."
Tinka John
A rural farmer from Uganda
Community Outreach Coordinator
Any Questions?
AcknowledgementsJoe CroninBob GertsenSteve HaberekBob NuttalDick Fenner
Samir Nayfeh Doug VincentDave Wallace
The IrriGator - $125
Income/year, $100-$900*
Discount rate – 15%
7 Year product life
Product ROI
*kickstart.org, International Water Management Institute
User breakeven
High estimate – 1.5 years
Low estimate – 3 months
Low ROI: 210%
High ROI: 2700%
Year
$
Revenue Model
Sales Revenue and Profit
(100,000)
(50,000)
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Year 1 Year 2 Year 3 Year 4
Time Period
$
Discounted Profit/Loss
Sales Revenue
Financing
– WaterPartners International loans money in countries including India.
– Loans are US$25,000 - US$250,000
– must be paid back in 3 years; 5% interest.
Product Cost
High Estimate = $120*
Low Estimate = $40*
*Professors Nayfeh, Wallace, Meeker, and Doug Vincent
Non- Profit Structure
Mfg & Assm Plant
China
Mfg & Assm Plant
India
Water Partners International[ $250 000 loan ]
Distribution Centers - IndiaDistribution Centers - China