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54921

LLC "DUGOVI PECHI SIMENSELEKTROSILA DSP ",

Manufacturing and repair of steelmaking equipment

Ukraine, Zaporozhye region
Market: Mechanical engineering, Metallurgy, Production, Trade, Services
Stage of the project: Prototype or product is ready

Date of last change: 22.11.2021
Min amount of loan
$  750.000
Estimated yield
12 % a year
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0
Total required
$ 10.000.000
Rating
equalizer from 1000
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Idea

We have worked in test mode for 1.5 years, had communication with potential customers, the total amount of possible orders was in the range of 25-30 million dollars per year, the minimum, and at the maximum volume, the cost of contracts can be within the range of 1 billion dollars per year.

Current Status

Our company is engaged in the manufacture of steel-making and steel-making equipment, which is currently in great demand all over the world, so despite the crises and coronavirus, people are born, the population is growing and, accordingly, the consumption of metal is growing all over the world. New houses, bridges and other industrial facilities are being built. The equipment on which the metallurgists work inevitably wears out and requires either a major overhaul or a complete replacement of the entire complex of equipment, as many large companies have big plans with the intentions to build completely new facilities for metal processing. We created this new enterprise because we have our own vision and methods of solving the problems of our potential clients. At the moment, after working in a test mode for 1.5 years, we came to the conclusion that now we need to start working at full scale. Over the past period, we had communication with potential customers, the total amount of possible orders was in the range of 25-30 million dollars per year, the minimum, and at the maximum volume, the cost of contracts can be within the range of 1 billion dollars per year. In order to receive these contracts, we need working capital in a minimum annual volume of at least 750,000, maximum 10 million dollars.

Market

At the moment, including in Ukraine, a number of companies are planning to build new and repair their old metal smelting and processing facilities. According to our information, the total budget for these facilities is at least $ 3 billion. Also, at the moment in the countries of Central Asia, such as Uzbekistan, Kazakhstan, Mongolia and others, our services are in great demand.

Problem or Opportunity

Since our company is new and a potential client knows little about us, therefore, we need working capital in order to fulfill orders of our clients without receiving an advance payment from them, but by fulfilling their orders with a deferred payment, that is, clients will pay for the equipment received and services rendered upon delivery, or upon completion of work. Naturally, the client will be obliged to provide a bank guarantee for the fulfillment of his obligations under the contract.

Competitors

We have very few competitors in the world, but our price and our developments give us an edge over our competitors.

Advantages or differentiators

We have energy saving technology that is achieved in arc furnaces through the use of our software and a few more innovative ideas. For example, on our equipment, electricity consumption is 430 kilowatts per hour per 1 ton of molten metal, while for all the others this figure is in the range of 650-1300 kilowatts, this is a significant savings, which allows, if necessary, to sell their products cheaper than competitors.

Finance

We participate in tenders, there are a lot of these tenders in all countries of the world, being able to work without prepayment from the client, we can potentially win up to 80% of these tenders. The costs will be, salary fund, office rent, rental of industrial premises, purchase of the necessary equipment for production and payment for participation in tenders. The rest of the funds will go to the manufacture of equipment that will be supplied to the customer.

Loan terms

60 months

Interest rate, %

12

Solution (product or service)

Based on the above, we ask you to consider the possibility of financing our company in the amount of at least 750,00 and maximum 10 million dollars. At the moment, including in Ukraine, a number of companies are planning to build new and repair their old metal smelting and processing facilities. According to our information, the total budget for these facilities is at least $ 3 billion. Also, at the moment in the countries of Central Asia, such as Uzbekistan, Kazakhstan, Mongolia and others, our services are in great demand.

Team or Management

Risks

Our equipment is currently in great demand all over the world, so despite the crises and coronavirus, people are born, the population is growing and, accordingly, the consumption of metal is growing all over the world. New houses, bridges and other industrial facilities are being built. The equipment on which the metallurgists work inevitably wears out and requires either a major overhaul or a complete replacement of the entire complex of equipment, as many large companies have big plans with the intentions to build completely new facilities for metal processing. with sufficient funding at the initial stage, we do not see any risks.

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Idea
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Finance
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Solution (product or service)
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Product Video