Team Purple2.009 Final Presentation

December 12, 2005

Overview

1 billion subsistence farmers Inefficient irrigation

StarvationPoverty

The IrriGator PumpHuman-powered water pumpLow costErgonomic

Business modelEconomically viableSelf-sustaining non-profit

IrriGator Demonstration

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

Product Goal

- High flow

- Low cost, ergonomic

- Pedal powered pump

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

Recumbent Seat

Ergonomic seat

Easily adjustable for height

Pedals

Pedal - power

Direct drive

Efficient

Serviceable

Pump Unit

• Diaphragm

• Self priming

• Injection molded

• Cheap parts

Quick-Connect Tubing

Ahelkhd

Field Serviceable

Replacement Parts

Diaphragm - $3

Bearings - $0.50

Valves - $5.00

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

Target Market

Eastern India

Uttar Pradesh, Bihar

10,000,000 potential customers

Non- Profit Structure

Mfg & Assm Plant

China

Mfg & Assm Plant

India

Water Partners International[ $250 000 loan ]

Distribution Centers - IndiaDistribution Centers - China

Flow Characteristics