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Business start-up

3

Argentina Bio Investments Production & Export of WoodPellets

The production and export of wood pellets derived from the biomass of forest and wood industry waste out of Argentina

Bioenergy means energy generating systems derived from biomass. Woodpellets is a solid biofuel - compressed wood energy - derived from forest wastes and from wood manufacturing wastes. The chosen target market is EUROPE, where pellet consumption is rapidly increasing and the production does not satisfy consumer demand. One environmental advantage of woodpellets is the CO2 neutral balance emission.

Facts

Legal status business
Not registered
Year of establishment

2008

Sales (US$)
Two years ago:
Last year:
This year (forecast): 233,064
Year 2 (forecast): 466,128
Year 3 (forecast): 466,128
Net profit after tax (US$)
Two years ago:
Last year:
This year (forecast): -36290
Year 2 (forecast): 32,871
Year 3 (forecast): 35,958
Total number of Employees
Two years ago:
Last year:
This year (forecast): 6
Year 2 (forecast): 11
Year 3 (forecast): 11

Finance needed

Finance needed for fixed assets (buying of machines, buildings, ...) 350,000
Finance needed for working capital (salaries, stock, rental, leasing, transport, ...) 150,000
Total finance needed (US$) 500,000

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 0
Loans (debt) 150,000
Share capital that you seek from investors (equity) 350,000
Other sources 0
Total finance needed (US$) 500,000

The Business

What is your product/service?

Our proposal is the production and export of solid biofuel from Argentina: wood pellets from biomass derived from forest and wood industry wastes. It is a rounded-shaped compressed wood fuel, whose length is between 20-30 mm and diameter is 6-10 mm. The pellet’s lowest heating value is approximately 4500 Kcal/kg. PELLET USES: Industrial steam, Thermal plants, Electric power generation, Residential heating for stoves and homes.

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

Principal European producers and consumers generate a growing demand for wood pellets as an alternative for regular fossil fuels, motivated by economic and predominantly environmental reasons.

How will you make the product/service?

The pellet is wood compressed energy. It is manufactured by pressing wood tailings or by-products from sawmills and wood manufacturing processes or forest waste. They are later dried granulated. After pressing, the pellets are cooled and packaged. Equivalencies: Two kilograms of pellets equal approximately one litre of petrol/gas-oil. 2 t pellets = 1 t gas-oil = 900 m3 natural gas = 4.5 m3 firewood

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

Digital Marketing: Website-based actions such as optimising the SEO (Search Engine Optimisation) in order to be found by our meta market and marketplace promotion with specialised portals and sites. Networking: partners’ personal participation and involvement in seminars, conferences, networks, and forums. Partners’ presence in Northern Europe and Spain.

To whom are you selling, what is your market?

Our target is Europe (mainly northern countries), where pellet burning systems replacing fuel burners are already developed in homes. They are also widely used in apartments and buildings, such as hotels, resorts, restaurants, hospitals, public offices, and schools. The market we are focused on is “Solid-fuels distribution in Europe.”

Describe your competitors?

At the moment we know of only one Argentinean pellet exporter to Europe: Zeni y Cía. SA, which exports 14kg-bag pellets. According to several analysts, there are currently several wood pellet projects underway in varying states of development; we find this beneficial to us, since it acquaints European buyers to the idea of a supply market from Argentina.

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

Our competitive advantage is that ArgBioInvest possesses a multicultural and international profile in overcoming the Argentine business environment gap, as well as a real presence in the N & S of Europe.

What makes your business, your product or service innovative?

The pellet is wood compressed energy (2 kg of pellets equal one litre of petrol/diesel, and 30 kg equal a tank of butane gas) that can be stored and transported easily. The pellets do not bend in the silos, allowing easy supplying of the fuel without the use of special techniques. When they replace fossil fuels, their use helps reduce CO2 emissions.

How will you ensure the growth of your business?

We project a flexible, small initial scale (0.5 ton/h). Since 2004, Europe has increasingly demanded more than 1,000,000 ton/year in imports. Starting from this level of expertise and training, and with the explicit demand for growing expansion, the enterprise can be broadened to more significant production and export levels.

The Entrepreneur & Management

Describe the entrepreneur & management

A Forestry Engineer will be sought as head of the plant; previous to employment, that person will train with the company supplying the machinery along with 10 qualified workers. ArgBioInvest partners will actively participate in the planning and monitoring of activities with the project’s new associate. Additionally, we will retain business-related experts whom we have already contacted.

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

My profession has been in marketing with various principal promotional companies in Holland. I have worked as a Project Manager and learned the administration side of important companies. I have had my own company for 4 years and from experience know what it takes to be an entrepreneur. I am going to use all that I have learned to make ArgBioInvest successful inside the bioenergy business of making wood pellets.

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

My commitment will be part-time in front of European representatives, but I will be 100% aware of each development via communication with my permanent contact and cofounder Renato in Argentina and our partners

Development

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

The use of wood by-products will boost the regional economy; it will increase revenue to suppliers by revaluing the wood and forest industry’s biomass waste. It will increase employment and the revenue chain and reduce the negative impact on the environment by correctly managing wastes. Neutral balance in CO2 emissions: the amount of gas emitted was previously captured by plants during their growth.

3 comments

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WELCOME Entrepreneurs and Lenders 1. I am a non-governmental bodies of the three council president serving 800 000 people in Lithuania. 2nd However, I founded the 100 kilometers from the Lithuanian, it is the Russian Federation, the Kaliningrad special economic zone to the European way Sea Company, which deals with: 1) at European level, the construction of rural tourism and development, 2), we resort mobile home on wheels with a sauna, which can be to live and rest. They can take the place of the garden houses the major cities in collective gardens as required building permit. 3) I am of methane in a biogas reactor by the invention for FREE from the extraction of methane gas and electricity. this is a renewable source. 4) have set up 37 European countries BANK www.energyideabank.com informative website on inventions and new technologies placement MILLION innovators. 4) In the past I was the first Baltic States built the first INTERNATIONAL INVENTIONS and IDEAS FOR IMPLEMENTING plants. Lithuanian corrupt state but frustrated. 5) We need some realistic energy development ideas. 6) in Russia are opening offices in three counties. More investment is needed from 50 000 to 300 000. We are waiting for the various operational proposals. With respect. European way of Russia and General Director of Lithuanian society Zemaitijos parliamentary council president Justin Burba

The universal offer
1. Manufactures of mobile resort small houses and saunas on wheels (not demanding
Sanctions to construction), for rest and constant residing.
2. We shall construct the European universal manor of rural tourism.
3. We offer the European commercial trading and industrial business and
Services between the Russian Federation (Kaliningrad a special economic zone)
Lithuania, Latvia, Estonia of the countries of Scandinavia.
4.. The INVENTION. We accept the ideas invented and new technologists for sale in
37 countries on special a site www.energyideabank.com
5 we Shall establish biological gas a reactor for reception of free-of-charge gas
And electric energy.
6. The company, the Russian Federation the Kaliningrad area, in Special
To economic zone, near the future international casino, sells 80 hectares
The commercial and building ground on coast of Baltic sea.
7. Manufacture of trailers for small houses of a different level up to 4 tone. In the Europe cost
Trailers is from 14 000 up to 29 000 EUR. At us for 50 percent is cheaper.
8. Semifinished items from the Arkhangelsk wood for construction of houses and furniture.

The EUROPEAN WAY (Kaliningrad – Lithuania) bodies +370-67011281,
bitte11@mail.ru, info@energyideabank.com
… … … … … … … … … … … … … … …

12 Feb 10, 23:50 EUROPEAN WAY Burba, 12 Feb 10, 23:50

SWFI.

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www.swfinitiative.org, should you have interest in exploiting this funding option; please revert to me ASAP.

JB.
info(at)iifg-eu.net

22 July 10, 17:16 'James Borgensen' - DISABLED SPAMMER, 22 July 10, 17:16

PROJECT FUNDING

Greetings,

We the Abu Dhabi United Group invite you to partner with us and benefit in our new Loan and Project funding program. We offer flexible loans and funding for various projects bypassing the usual rigorous procedures. This Funding program allows a client to enjoy low interest payback for as low as 3 - 4% per annum for a period of 5-7 years. We can approve a loan/funding for up to USD 500,000,000.00 or more depending on the nature of business. We are currently funding for:

  • Starting up a Franchise
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We are open to having a good business relationship with you. If you think you have a solid background and idea of making good profit in any venture, please do not hesitate to contact us for possible business co-operation.

Best Regards,
Ahmed Ali Tahir
Abu Dhabi United Group,
Abu Dhabi,
United Arab Emirates.
Email:admin@abudhabifinancialgroup.com
www.abudhabigroup.com/

2 Jan 12, 11:35 Ahmed Ali, 2 Jan 12, 11:35