1 Mindz Brainplay Mindz Brainplay business overview | July 2017 | Phone 0412 678 179 | email:...

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Mindz Brainplay business overview | July 2017 | Phone 0412 678 179 | email: [email protected]

Mindz Brainplay General franchise information

1st July 2017 This document is designed to give interested parties a guide to the business, initial OFFER A pricing and potential income. It is not

the final franchise document which will be prepared by a Franchise Law Professional.

1. Background

Mindz Brainplay is the creation of Phil Dye, a past Educator in the School of Medical Science at the

University of NSW. First tested in 2014, the concept involves the application of a little-known

consumer Electroencephalograph (EEG) headset – the Emotiv, for entertainment and education.

Usually it is used for scientific investigation.

The headset is placed on a person/student’s head. The electricity generated from their brainwaves

is converted using software to move objects and play games. A moving image of their neuron

activity can then be seen.

The concept and the application of the hardware has taken three years to be tested on both school

and public audiences. It is the only hardware application of its type in Australia and as far as we

understand – the world.

Testing using the Emotiv Series 1 headset and software was initially at wine bars and parties.

People were invited to try the ‘Control panel’ and ‘Brain Visualizer’ applications to move virtual

objects and see a moving image of their brain activity. Very little neuroscientific education took

place.

While this was interesting and fun, audiences needed a ‘wow factor to really make the experience

memorable. School audiences needed more scientific information.

For both public and school groups, the Arena mind game was introduced and now provides the

‘wow’ factor to complete the experience.

The Neurosky Mindwave Headset was added in 2016 as an additional offering to be used when a

session finished quickly, when a person’s head was too small for the Emotiv or on Muslim women

wearing Hijabs. It also offers software / games that Emotiv doesn’t.

Due to lecturing commitments, Phil Dye has operated Mindz Brainplay in NSW on a part-time basis

of one day a week. It formally launched on May 1st, 2017.

The Federal and State Government's focus on STEM means Mindz Brainplay is set to become THE

must-have school incursion.

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2. Who does this franchise suit?

A Mindz Brainplay franchise suits people with an education, science or medicine background -

preferably teachers with a strong interest in STEM based subjects - Science, Technology,

Engineering and Maths.

It suits teachers or science enthusiasts who have experience in the classroom / presenting but who

want to break out into business while maintaining an education focus. It especially suits those who

want to work part-time as a reasonable income can be earned by working 3 days per week. The

following attributes are needed:

• Creativity

• great presentation skills

• passion

• the desire to inspire

• an interest in science

• ability to simplify complex concepts

3. The ‘OFFER A’ Franchises

Only two ‘OFFER A’ franchises will be sold before ‘OFFER B’ franchises are offered in July 2018.

‘OFFER A’ will provide the franchisor with cashflow to cover web fees, legals and the hardware that

has already been purchased. It also gives two owners the chance to enter the business at a 40%

discount.

We will be interviewing all franchisee applicants for OFFER A face-to-face or via Skype.

4. Where are ‘OFFER A’ franchises available?

• Queensland – 1 franchise – whole state

• Victoria - 1 franchise – whole state

• Western Australia – 1 franchise – whole state

• South Australia – 1 franchise – whole state

• Tasmania – 1 Franchise – whole state

5. What will an ‘OFFER A’ Franchise cost?

OFFER A will be approximately 40% cheaper than OFFER B. OFFER B fees will be based on the NSW

operation’s full financial year 2017 – 2018 which should see a revenue of $45-$65,000 in Sydney (1-

person operation – part time 2.5 days per week).

Offer A is based on the May & June 2017 revenue of 1 day per week (Mindz only formally launched

on May 1st, 2017) and the owner could only work one day per week due to lecturing commitments.

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The cost of an OFFER A Franchise is also based on September 2016 Census figures where the NSW

population (7,757,800) is regarded as 100% and all other states are calculated as a % of that figure.

The franchise fee is also calculated on the ability of the franchisee to work part-time on average 3

days per week.

5a. The formula used to calculate OFFER A fees is:

NSW May/June 2017 revenue = $2635 = $1317 per month (1 day per week) x 3 (anticipated

Franchisee days per week) = $3951 x 12 (months) = $47,430 (revenue p.a.) x 60% (40% discount) x

state based population percentage.

State based population percentages:

NSW: 7,757,800 = $100% of NSW full year projected figures

Victoria: 6,100,900 = 78.64% of NSW full year projected figures

Queensland: 4,860,400 = 62.65% of NSW full year projected figures

Western Australia: 2,632,200 = 33.93% of NSW full year projected figures

South Australia: 1,710,800 = 22.05% of NSW full year projected figures

Tasmania: 519,800 = 6.7% of NSW full year projected figures

Therefore:

NSW franchise valuation (NOT FOR SALE: formula purposes only) $1317 x 3 = $3951 x 12 =

$47,412.00 x 60% = $28,447 x NSW state population proportion of 100% = $28,447

Victoria: $1317 x 3 = $3951 x 12 = $47,412.00 x 60% = $28,447 x NSW state population proportion

of 78.64 % = $22,370

Queensland: $1317 x 3 = $3951 x 12 = $47,412.00 x 60% = $28,447 x NSW state population

proportion of 62.65% = $17,822

Western Australia: $1317 x 3 = $3951 x 12 = $47,412.00 x 60% = $28,447 x NSW state population


South Australia: $1317 x 3 = $3951 x 12 = $47,412.00 x 60% = $28,447 x NSW state population


Tasmania: $1317 x 3 = $3951 x 12 = $47,412.00 x 60% = $28,447 x NSW state population proportion

of 6.7% = $1,905

5b. Royalty: $50 per week ($2,600 p.a) paid monthly in advance ($216) This covers phone

support, $10 worth of national Facebook advertising per week and website development.

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6. How long is the franchise period?

The franchise period is for 5 years with the option to extend or renew.

7. What is supplied to me as part of my investment?

We will provide you with:

1. The Control Panel, Brain Visualizer and Arena Software for Emotiv

2. Classroom or group presentation notes / videos

3. Operations Manual including advertising hints and videos

4. Listing in the menu on the Mindz Brainplay site and all referrals continuing for your state.

5. Your license to operate the full Mindz Brainplay offering in your state + any state based

brand-relevant concepts you develop (see section 10).

7. What extra equipment will I need to buy?

As well as the franchise fee, you will need to purchase the following items from us to operate the

franchise:

1. 2 x Emotive EPOC EEG Series 1 Headsets valued at $980 each. Your price = $800 each

2. 1 x Neurosky Mindave Mobile starter Kit valued at $199. Your price = $125

8. Are there any extra costs?

Extras include:

1. Your legal fees (for a solicitor to look over the agreement)

2. The Documentation Fee of $2000 + GST payable to LegalVision (our franchise lawyers)

1. Opening promotional fee of $100 + GST which we will spend on your initial state based

marketing campaign.

9. What is the anticipated income?

Mindz Brainplay began its first full year of school based operation on July 1, 2017. Some minor

Facebook advertising began on 15th April 2017 to check interest. More marketing began on May 1st

2017 for the 2017/18 financial year. This began with a Western Sydney teachers’ night on May 8

which was booked out.

However, due to the initial Facebook advertising, May / June 2017 had school-based revenue of

$2635 (four schools). $6k worth of school visits are already booked for term 3 with more coming in

each week.

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NSW does not plan to operate on a full-time basis and aims for 3 x schools per week at an average

of 2.5 days. This equates to an average revenue of $1,200 per week over 39 school weeks or

$46,800 pa. This is school based income only and does not include extras as in section 10.

While some franchisees may be satisfied with 2/3 x days per week workload, increasing the load to

5 x days per week or using extra staff in two separate school units could see revenue of

$160,000pa+.

9b. And expenditure?

Ongoing expenditure in a Mindz Brainplay franchise is minimal. Here’s why:

• No shopfront or commercial space needed. A home office is fine

• No special vehicle required

• A good laptop is all that’s required to begin (i7 + top graphics minimum)

• While most schools have data projectors in every room, franchisees may want to purchase

their own for parties and other events

Overall, between $3-5,000 should be allocated for fuel, accounting fees, replacement sensors,

casual staff, office supplies and regional special event marketing per annum.

10. What are the other possible Mindz Brainplay opportunities?

Here’s a short list:

• Dinner parties

• 21st birthdays

• Conferences

• Neuroscience in the Pub

• Markets

• Special festivals eg: Vivid

• Wine bars and nightclubs

• Gaming events

• School holiday camps

• School Holiday library presentations (via local councils)

• Crowdfunding for regional festivals or disadvantaged school programs

Example 1: The Franchisor has been accepted into the Surry Hills Festival in central Sydney to

project brain images up on a major building. These will generate immense interest in the brand.

Example 2: The Franchisor is doing a day at a large private school on Sydney’s North Shore. From

that, they have been asked to project images during the local STEM evening at a fee of $1100.

Example 3: The Franchisor is doing 2 x regional school ‘tours’ during terms 3 and 4 with each ‘tour’

lasting for up to 5 days. Bookings are already being made by schools for these tours. Once school

locations are confirmed, we will do Neuroscience in the Pub nights in each town to bring in extra

revenue.

If interested, please email:

[email protected] and I will send

you the full franchise agreement

Please also send your resume

including any education

experience / qualifications.

mailto:[email protected]

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11. An overview of the Hardware / Software

Emotiv

The Emotiv Epoc 14 + 2 sensor headset is the centerpiece of the Mindz

Brainplay experience. The Epoc headset is the first-generation headset from

Emotiv and is NOT the current Epoc+ model. The current model, while

giving more accurate brainwave analysis, does NOT work with the Arena game or the more

attractive 1st generation brain visualizer. It is a more advanced neuroscientific tool with capabilities

beyond what is needed for the Mindz Brainplay school or public experience.

Mindz Brainplay has purchased all remaining 1st generation Epoc headsets from Emotiv. There are

no more unused headsets in existence. These headsets have been reserved for Franchisees. In this

way, the current presentation cannot be duplicated by competitors.

The software used with the Emotiv headset consists of the following and are

all downloadable or available free from the franchisor:

• Control Panel

• Brain Visualiser 1st generation

• The Arena game

The Emotiv Epoc is little known in Australia. With regular cleaning and storage, each headset should

last 4-6 years. Maintenance instructions and a cleaning kit will be provided in the Operations

Manual / training.

Neurosky Mindwave

This is a single sensor headset which displays brainwaves in a bar graph. It is not

as visually attractive as the Emotiv display and has limited capability.

However, it is ideal for use on children where their heads are too small for the Emotiv. It is also

ideal for adults wanting to increase their meditation (Theta wave) abilities.

The analysis of brainwaves is easier to understand with the Mindwave as only certain brainwaves

can be observed in the two free ‘games’ provided (Theta and Beta).

The Mindwave is also significantly cheaper than the Emotiv (less than $200).

11. OK, I’m interested. Where do I go from here?

This document is not the final franchise agreement. If you are serious and would like to take the

next step, please email Phil Dye at [email protected] with a brief resume including education

experience.

You should also specify the state franchise you are interested in. Neither you or the Mindz

Brainplay franchisor is bound by your initial application.

________


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Appendix A: Current school pricing for NSW

Mindz Brainplay Fun Neuroscience

DET provider number 0100392629

Costs for schools & syllabus links (as at June 2, 2017) Recommended session times per group (depending on school timetables): Years 5 and 6: 60-minute session (+ 60 minute ‘EEG Control’ session if desired) Years 7-10: 60-75-minute session Years 11-12: 80-90-minute session

Format: Small or large group presentation depending on school needs. Mindz can present to a small group

(<8) where every student will get a ‘turn’ or to larger group where several students show what is

possible.

For all groups we need to connect to a large TV or data projector. For large areas, a sound system is needed. We can supply a data projector and sound system if necessary at no extra cost.

For years 7-12 (stages 4, 5 and 6), we’ve found that groups of students are happy to watch 5-7 ‘demonstrators’ show what is possible using the EEG headsets. A 75-90-minute session is usually fine.

For years 5/6 (stage 3), we’ve found that while we get 5 or 6 students to demonstrate, nearly EVERY student in a class wants to have the experience. We can provide an extra ‘EEG Control’ session to give up to 25 additional students the chance to see their brain activity. See costs below.

While not all students in a group will experience moving virtual objects or animating gaming characters with their thoughts, up to 7 students from a group can use the headset briefly to demonstrate one or two aspects of mind control. They can then take a photograph of this image to show friends and family.

Costs We operate on a flat fee basis. We can do one session with your students, a half day or a day or two presenting to many groups. We are flexible and will fit in with school needs. Regional schools booking for outside our tour schedule will pay an additional travel fee depending on location.

Cost - single session (up to 75 mins): Small / large group format: $290 + gst

Cost - half-day (3 hours): We can present two sessions: $450 + gst

Cost - full-day (6+ hours): We can present four sessions + : $750 + gst

Regional schools

Please contact us for

tour dates as we will

be visiting NSW

regions in terms 3 and

4, 2017. Email

[email protected]

stating your school

name.


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Extra ‘EEG Control’ session: Where up to 25 extra students get to use the EEG to see their

brain activity. Added to single session or half day bookings only: $200 + GST

Mindz post-visit activity packs: We always give teachers a page of definitions and follow-up

activities. However, we can also can provide basic EEG headsets with matching experiments at extra cost. Please discuss this with us before our visit. (basic pack with experiments: $150).

Contact us at [email protected] or phone 0412 678 179

Stages and Outcome points

Stage 3 Outcomes: Science incorporating technology

Stage 4 Outcomes: Working Scientifically

Stage 5 Outcomes: Working scientifically

Stages 4 and 5 Science Outcomes (Life skills)

Stages 4 and 5 Outcomes: Visual design

Stages 4 and 5 Outcomes: Photographic and digital media

Shows interest and enthusiasm (ST3-1VA

Appreciates science (SC4-1VA

Appreciates importance of science (SC5-1VA)

Recognises role of science (SCLS-1VA)

Wearable technologies / body adornment (points 5.1 – 5.6)

Investigates ideas for digital works (5.4)

Informed attitudes on future use of tech (ST3-3VA)

Finding solutions (SC4-2VA)

Scientific knowledge – energy transfer (SC5-11PW)

Working scientifically increases understanding (SCLS-2VA)

Stages 5 and 6 Outcomes: Textiles technology

Scientific understanding of electricity transfer (ST3-6PW)

Creates plausible solutions (SC4-8WS)

Biological understanding – society needs (SC5-14LW)

Science and tech has improved human health (SCLS-19LW)

Wearable technologies / body adornment (points 5.1 – 5.6)

Social influences on information and communication systems (ST3-15l)

Scientific Knowledge – energy transfer (SC4-11PW)

Undertakes first hand investigations (SC5-6WS) Mindz post-visit activity

Participates in investigation (SCLS-6WS) Mindz post-visit activity

Investigates with testable questions (ST3-4WS) Mindz post-visit activity

Biological evidence (SC4-15LW)

Developed hypothesis to be tested (SC5-4WS) Mindz post-visit activity

Collects, records and interprets (SCLS-7WS) Mindz post-visit activity

Identifies questions and makes predictions (SC4-4WS) Mindz post-visit activity

Strategies to solve problems (SCLS8WS) Mindz post-visit activity


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Follows instructions in Investigation (SC4-6WS). Mindz post-visit activity

Strategies to communicate information (SCLS-9WS) Mindz post-visit activity

Stage 6: Senior Science and Biology Mindz relates directly to Senior Science 9.3.1: Bionics. Brain-computer interfaces like the EEG are progressively being used to drive prosthetic limbs. A prosthetic hand is shown and both traditional and future methods of driving artificial limbs are explained and demonstrated. Neuronal activity and communication is explained relating directly to the Biology ‘Communication’ option.

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