Problem with common light Problem with common light bulbs bulbs

high costing electric bills maintenance issues environmental issues.

Mission statement: Save the community power.

Vision: Skies the limit; lighting is everywhere.

Values: Allow companies to be environmentally safe while also saving money.

Strategies: Start up, Promote, Grow, Name Recognition.

Lighting Industry/Market PotentialLighting Industry/Market Potential Lighting industry is dominated by several

international name brands: GE, Sylvania(Osram), Philips who are focused on Fluorescent & Incandescent lighting.◦ Market potential: Per Israel Morejon, President of

LedNovation/Tampa: the U.S. Market buys over 5.7 million lights per day, 365 days per year = 2,080,500,000 lights/yr

◦ OCT. 2010; GE closed last U.S. light MFG plant & moved to China due to cost. Sylvania & Philips have all plants in China to lower costs to help prevent LED lighting from establishing foothold.

◦ LED light growth in Japan now exceeds 50% of domestic market with expected growth to exceed 17.5%/yr. due to lower operating costs and longer useful life.

◦ A change to LED lighting helped Mandalay Bay Resort & Casino in Las Vegas lower their electricity costs from $36 million/yr. to $4 million/yr. A reduction of 80%, not including the savings from maintenance reductions.

Market ObjectiveMarket ObjectiveMarket focus is the commercial market potential

of 2 billion plus lights in the U.S. marketplace (the following lighting have LED equivalents):◦ T8’s (Fluorescent tube lights) are the most commercially

required light for office lighting◦ Par 30’s & Par 38’s are flood lights used frequently in

architectural highlight lighting in office locations.◦ MR 16’s are used in commercially to display products.

We are not attempting to pursue the commodity market such for individuals

University of Miami believes their maintenance cost for changing a light bulb is $56 (Lower maintenance cost plus lower electricity costs = savings)

CompetitionCompetition Competition:

◦ Toshiba: Japan, Par 30 & 38, Plastic (6 LEDs), Lower Cost, Magazine, life time.

◦ VA Opto: USA, T8, Par 30 & 38, MR16, Metal (7 LEDs), Higher Cost, Trade Shows, Constancy

◦ GSSI: USA, Street Lights, T8, Par 20, 30 & 38, Plastic (138 LEDs) higher Cost, Internet, Price

Competitior Name Strength Weakness Opportunity Threat

Toshiba Par 30 & 38 Limited Product Line Lower Cost Cost & Product Name Recogition

VA Opto T8; Par 30 & 38; MR 16 Product Consistancy Lower Cost Volume pricing; production Capability

GSSI Street Lights; T8; Par 20,30 & 38; Mr16 Name Recognition Higher Cost Broader product offering

Business ModelBusiness Model Business Model: Focus on large potential customers for LED

Lighting: Resorts, Cruise Lines, Office Complexes. Sales (Commission 8%)

Expenses

Expenses 2011 Profit/(Loss) 2012 Profit/(Loss)2 2013 Profit/(Loss)3Salaries 300,000.00$ 450,000.00$ 600,000.00$ Travel 10,000.00$ 12,500.00$ 15,000.00$ Insurance 3,000.00$ 4,000.00$ 5,000.00$ Cars 60,000.00$ 75,000.00$ 80,000.00$ Entertainment 10,000.00$ 15,000.00$ 20,000.00$ total 383,000.00$ 85,000.00$ 556,500.00$ 239,500.00$ 720,000.00$ 820,000.00$

Target Market 2011 Commission 2012 Commission2 2013 commission3Resorts 5,000,000.00$ 400,000.00$ 7,500,000.00$ 600,000.00$ 15,000,000.00$ 1,200,000.00$ Cruise Lines 250,000.00$ 20,000.00$ 1,250,000.00$ 100,000.00$ 2,500,000.00$ 200,000.00$ Offi ce Complex 600,000.00$ 48,000.00$ 1,200,000.00$ 96,000.00$ 1,750,000.00$ 140,000.00$ Total 5,850,000.00$ 468,000.00$ 9,950,000.00$ 796,000.00$ 19,250,000.00$ 1,540,000.00$