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Business established

4

Aatelco

Aatelco is a new 21th century formula for ICT recycling business .

Aatelco is in the recycling business (telecom and computer equipment).
By purchasing, refurbishing and selling this equipment Aatelco is adding value by realising a second product life cycle for these products.
In fact we use the “3 R formula”. We recollect (from our suppliers), Re-use (second life e.g. in Uganda) and Recycle (E-waste in Uganda and bring raw materials back to Europe) ICT products.

Facts

Legal status business
Formally registered
Year of establishment

1999

Sales (US$)
Two years ago: 1,156,835
Last year: 1,391,768
This year (forecast): 1,346,680
Year 2 (forecast): 1,572,000
Year 3 (forecast): 1,800,780
Net profit after tax (US$)
Two years ago: 74,020
Last year: 70,200
This year (forecast): 78,600
Year 2 (forecast): 112,660
Year 3 (forecast): 154,500
Total number of Employees
Two years ago: 5
Last year: 6
This year (forecast): 5
Year 2 (forecast): 7
Year 3 (forecast): 8

Finance needed

Finance needed for fixed assets (buying of machines, buildings, ...) 371,000
Finance needed for working capital (salaries, stock, rental, leasing, transport, ...) 280,000
Total finance needed (US$) 651,000

How do you expect this to be financed? Please note: the total amount mentioned here should be equal to the total finance needed at the previous question.

Own Contribution in cash 371,000
Loans (debt) 0
Share capital that you seek from investors (equity) 280,000
Other sources 0
Total finance needed (US$) 651,000

The Business

What is your product/service?

Our product/service market approach is based on the 3 R concept. We by (recollect) surplus or end-of-life ICT hardware like computers en telecom equipment. After refurbishment we sell this (re-used) equipment again and we make arrangements with our clients in order to solve their E-waste problem (Recycle) even in the African continent. This helps preventing an e-waste disaster for the local community. Therefore Second Life Uganda is very proud to have been given the official E waste license since April 2010.

What customer need/problem do your products/services satisfy?

We believe that our company creates value for our clients by opening the ICT segment for them. By solving a part of the e-waste problem in Europe we create market value as well.

How will you make the product/service?

At this moment Aatelco carries out this activity. In 2011 Aatelco will be connected to the No time to Waste foundation ( NTTW). This platform is an Advanced Recycling system. The main objective of NTTW is to make money out of ICT recycling solutions in Europe (with a focus on re-use) and to use this for commercial development projects in Uganda.

Explain how you will sell your product/service (marketing strategy) and how you will reach your customers (distribution strategy)?

For the year 2009 and 2010 our main goal in Uganda is upgrading our resellers network. Target groups are small sized businesses, schools and individuals. As said before, we will focus on the so called “change agents”.

To whom are you selling, what is your market?

Re-export, Small Medium Enterprices, consumers, governments en NGO

Describe your competitors?

We meet two important competitors in Europe: Itancia IP Telecoms (France) and STD (France).
IP Telecoms has a staff of 80 persons and mainly focussed on telecom product (Alcatel) and occupied with French speaking countries and/or clients.
STD France (6 staff) has no export plans as well; Alcatel is their favourite product.

What makes your business different/better than your competitors (competitive advantage)?

We offer good quality refurbished products at a fair price. But on top of that we offer our 3 R formula: Recollect; re-use and recycle. This is our unique selling point nobody has.

What makes your business, your product or service innovative?

We developed a green circle between IPAR, Second Life and End of life.
We will prove that dispose surplus equipment succesfully can enclose the new markets if there is space for a dignified second life cyclus. Waste is the new gold, there is a short of commodities and the circle is commercial. If the equipment is end of life it returns back to Europe.

How will you ensure the growth of your business?

We now sell 200 personal computers a month and we expect to grow to 600 computers month this year. We estimate the total Uganda market at about 20.000 personal computers a month. Our sales target is a market share of 15% in 2010, which means a sale of 3000 computers a month. Uganda has export potential for countries like Tanzania and Rwanda. Our first goal however is to strengthen our Uganda local business.

The Entrepreneur & Management

Describe the entrepreneur & management

Since 1996 I’m in the business of buying, refurbishing and selling pre-owned and used telecom equipment under the trade name Aatelco. In 1997 I added pre-owned and used computers to my product range and sell the products under the trade name Second Life.
In the Netherlands I also had a fresh start in 2006 with a new company called Telecom Refurbished Services BV (TRS). I use the trade name Aatelco.

What specifically makes you and (if relevant) your management team most qualified to build this business?

My management team does do business in Afrika in several accomplishments. Like marketing, organisation, managing and they are fully skilled to make this formula towards a succes.

How much time do/will you expect to spend per week in the business?

This is a part of my daily job.

Development

How does your business improve the local living standards (social and environmental)?

Because our close commitment and future corporation with No Time To Waste foundation we will follow the (WEEE) which means EU regulations regarding environmental rules for ICT waste. We apply for the necessary ISO 14001 and ISO 9001 certifications. This allows us to operate as an international recognized professional in this region. Since we have accepted to work under WEEE terms, our local partners have to take back the end of life computers.

4 comments

hello

moi j ai crée un cyber campus pr aider les eleves de mon village.mais je n ai pas franchement les moyens k il faut pour finir le nombre d ordinateures necessaire.et là je suis à la recherche d une subvention j attends un contacte.
merci de votre attention

7 Jan 10, 01:03 charles de gaulle sarr, 7 Jan 10, 01:03

Can you supply Me

Send me a Phone quote at sales@greenpower.ug

22 Jan 10, 21:02 ABDUL MBABAZI, 22 Jan 10, 21:02

Re: Can you supply Me

ABDUL MBABAZI, 22 Jan 10, 21:02
Send me a Phone quote at sales@greenpower.ug

Dear Abdul,

What are you seeking for

Best regards,
Martijn van Engelen

31 Aug 10, 13:06 Martijn van Engelen, 31 Aug 10, 13:06

I take interest...

I take interest in your business.

ghaliinvestment@gmail.com

23 Nov 10, 10:46 Ghali Marnwan, 23 Nov 10, 10:46