1. 1

2. Mission Statement
POLYGEN will be the market leader in Big Data for the Green
Products Industry by providing quantifiable information to
support Green Procurement and Corporate Social
Responsibility Initiatives
2

3. Initial Sustainability Efforts
Initial Sustainability efforts placed emphasis on Recycling
Initiatives and Operational Efficiency Programs which
delivered measurable results
3

4. Growth of Sustainability Reporting
Companies, organizations, and the individual consumer are improving
their environmental footprint and reporting their efforts
Corporate Social Responsibility Reporting Statistics
2/3 of Fortune 500 Companies
2000 Companies in North America
4

5. Growth of Green Products & Services
Small Business Green Products and Services Statistics
(Green America, Association for Enterprise Opportunity, Ecoventures
International, “The Big Green Opportunity for Small Business in the U.S.”, 2013)
Indirect Increase in revenue based
on Green Behavior
75% saw an
increase in
sales (20082011)
75% plan to
expand their
portfolio of
offerings
79% strongly
agree they
offer a
competitive
advantage
Companies [we surveyed] reported that they can charge an average 19
percent premium for sustainable products and services.”
“
(Accenture, “Long-Term Growth, Short-Term Differentiation and Profits from Sustainable Products
and Services,” 2012)
5

6. The Informed Consumer
The availability of information is driven by Consumer Demand and Technology
McDonalds:
14,000 locations across the US will
voluntarily post calorie information
on restaurant and drive-thru menus
Jan Fields, president of McDonald's
USA:
"We believe it will help educate
customers. I do think people feel
better knowing this information."
Zillow:
An Online database of more than
110 million U.S. homes including:
homes for sale, homes for rent, and
homes not currently on the market
Goal:
Empower consumers with
information and tools to make
smart decisions
Kayak:
A travel meta search engine
Goal:
Enable the consumer to compare
hundreds of travel sites at once in
one comprehensive, fast, and
intuitive display
With full information the consumer can see through marketing schemes and purchase the highest
quality offering at the most reasonable price
6

7. Greenwashing
There are over 400 Green Labels and 3rd party rating systems
How do you clear through all the noise?
7

8. Consumer Confusion
Purchasers are still misinformed about green
products and make 3 general assumptions:
Price
• Green products cost more
Performance • There is a lose in performance
Impact
• The environmental impact is
negligible
8

9. Consumer Trend
A majority of consumers would purchase more green products if they:
• Had a better understanding of what makes products Green
• Could see the social & environmental benefits of the products right away
• Believed the health and environmental claims
Industry Feedback:
 “Our Sales Team is asked daily
about the environmental
impact of green products”
 “Looking for a Turnkey Solution”
RE:THINKING CONSUMPTION Consumers and the Future of Sustainability
©2012 All rights reserved BBMG, GlobeScan, SustainAbility
9

10. CompTool Offering
A platform which provides the user
with:

Side by Side Product Comparison

Quantitative Information from an
environmental and cost perspective

Analytics around market trends
within verticals

Self reporting capabilities
Providing this information allows the user to make informed business decisions
10

11. Revenue Model: PaaS
No company aggregates data to provide the quantitative environmental impact
Sales Tool
MRO & Big Box Retail
• Subscription Fees
with upgrades:
• Sustainability
Reporting
⁻
Self Reporting
• Data/Analytics
⁻
⁻
⁻
Impact by
Product Group
Estimated Price
of Impact
Market Trends
• Affiliate Programs
Procurement Tool
Corporations & Government Entities
11

12. CompTool Market Strategy
•
Marketing Channels:
 Direct Sales
 Online Marketing Campaign
 Third Party Affiliates
CompTool
Final
Offering
• Additional Focus:
 Value Add within Strategic
Partners Offering
Strategic
Partners
Offering
12

13. CompTool Status
Database / Verticals
Channels
• Through a Strategic
Partnership with
• 45,000 products within:




Lighting
Material Handling
Cleaning Supplies
Paint
13

14. CompTool Screen Shot: Grainger
14

15. CompTool Screen Shot: Grainger
15

16. Product Analysis: Grainger
6,021 Total Products
1,049 Green Products
16

17. Analytics: Lighting Category
Complete Lighting Product Bar Chart
2,593 Lighting Products
907 Green Lighting Products
17

18. Analytics: Linear Fluorescent
515 Linear Fluorescent Products
Non Green vs. Green Product Price Comparison (Sample Size of 30 Products)
Non Green vs. Green Product Environmental Comparison
18

19. Product Comparison: Linear Fluorescent
T12
T8
Manufacturer
GE
GE
Product Part #
F40XL/SP41/ECO
F28T8XLSPX30ECO
Price Per Unit
$8.66
$12.25
Green Environmental Attribute
Useful Life
Price Comparison over Useful Life
Watts
Product Contributes To Reducing Energy Consumption
24,000 Hours
42,000 Hours
$17.32
$12.25
40
28
19

20. POLYGEN P3: Environmental Comparison
Environmental Impact: T12 vs. T8

Please note: Comparisons calculations use a baseline average
useful life of 24,000 hours
 Alternate Product has a 66% longer useful life

Units of Measure
o CO2 Emissions - LBS
o Electricity - kWh
o Oil – Barrels (BBL)
Overall Environmental Impact

30% reduction in CO2 Emissions, Energy Usage, and Barrels of Oil
20

21. POLYGEN P3: Everyday Comparison
Environmental Impact: T12 vs. T8

Please note: Comparisons use a baseline average useful life of 24,000
hours for calculations

Units of Measure
o Miles Driven
o Trees needed to Sequester CO2
o Homes Powered
Overall Environmental Impact

30% reduction in Miles Driven, Trees Required to Sequester CO2, and
Homes Powered
21

22. Beta Development
• Project Scope- 6 Months
 Platform Design
• Dashboard/User Functionality
• Analytics
• Reporting
 Implementation
 Testing
 Maintenance
• Additional Scope
 Increase Database
• Additional Verticals
• Additional Channels
22

23. Funding Requirements
Seed Round - CompTool Development/Customer Acquisition
• Use of Funds
 Beta Development- $200,000
 Marketing - $72,000
 Operating- $54,000
•
Total - $326,000

•
Sales
See appendix for breakdown
Operating
Development
Key Personal with Focus on:
 Why will Customer Pay for Product
 Creation of Product Customer will pay for
23

24. 24 Month Milestones
POLYGEN CompTool
Beta Platform…
6 Months
Sales Contract #1 Signed
3 Months
Procurement Contract…
3 Months
CompTool Launch
1 Month
Product Roll Out
$
6 Months
Customer Acquistion
On Going
Product Development
On Going
0
3
Revenue generated
Series A Funding- $1.5MM
6
9
12
15
18
21
24
Ramp Up-Additional Developers, Sales Staff,
Marketing, Operating
24

25. Exit Strategy
Two Potential Exit Strategies:
• Acquisition by Strategic Partner, Customer or Technology Company
 Corporations may see POLYGEN as a value add to current offering
 MRO, Large & Mid Cap Tech Firm, Procurement Software Company
• Initial Public Offering
 POLYGEN will explore this option once the company generates revenue
to justify offering
25

26. Contact Information
Jason Hancock
Matt Stawiarski
(224) 717 – 4686
(847) 757 – 6210
jhancock@polygeninc.com
mstawiarski@polygeninc.com
Website: www.polygeninc.com
26

27. Appendix
1.
2.
3.
4.
5.
6.
7.
8.
9.
Market Statistics (p. 28)
Competitive Landscape (p. 29-32)
CompTool: Additional Benefits (p. 33)
Risks (p. 34-35)
Seed Funding Burn Scenarios (p. 36)
Why are we raising money? (p. 37-38)
Subscription Model (p. 39-40)
Revenue Projections (p. 41-44)
CAC Projections (p. 45-46)
27

28. Market Statistics
•
Lifestyle of Health and Sustainability consumer has grown to over $300 billion in buying power
•
Green Building market (2013) $96 - $130 Billion
•
Per Transparency Market Research, Global Green Packaging market was $109 billion in (2011) and
expected to grow at a CAGR of 7.6% from 2013 to 2018
•
Per The Freedonia Group, World demand for green packaging - including recycled-content, reusable
and degradable packaging - is projected to rise 5.7% per year to US$212 billion in 2015
•
Per Markets and Markets, Global Green Solvents and Bio Solvents market (2012) was $4.0 billion and
is estimated to reach $6.5 billion by 2018, growing at a CAGR of 8.5% from 2013 to 2018
•
In a joint study with McKinsey & Co. on the (Sustainability software) market, SAP predicted the
market for SAP’s solutions would be worth as much as a total of 7.5 billion euros between 2009 and
2014.
•
Wikibon forecast the Big Data market will grow at an astounding CAGR of 58% between now and
2017, hitting the $50 billion within five years.
28

29. Competitive Landscape
•
Current participants:


Green Certification and Labeling Organizations
Green Rating Systems
Green Labels
Rating Systems
29

30. EPEAT
Label Description:
•
EPEAT is an online rating tool helping institutional purchasers select and compare computer desktops, laptops
and monitors based on product criteria.
•
EPEAT was developed in response to growing demand by institutional purchasers for an easy-to-use evaluation
tool enabling them to compare electronic products based on environmental performance, in addition to cost
and performance considerations.
•
Over 3,000 registered products
Criteria:
Ratings:
4.1 Reduction/elimination of environmentally sensitive materials
4.2 Materials selection
4.3 Design for end of life
4.4 Product longevity/life cycle extension
4.5 Energy conservation
4.6 End of life management
4.7 Corporate performance
4.8 Packaging
http://www.epeat.net/
30

31. Green Seal
Label Description:
• Third-party organization offering life cycle-based sustainability certifications for
products, services and companies that meet Green Seal standards
• Green Seal has 31 issued standards that cover over 375 product and service categories
Products:
• Household
• Construction Materials
• Paint
• Paper
• Food Packaging
• Cleaning Products
• Personal Care
http://www.greenseal.org
31

32. GoodGuide
•
GoodGuide rates products based on the health, environmental, and social performance of products and
companies to help consumers make purchasing decisions
Rating System:
• GoodGuide's summary rating combines product and company level information to characterize a
product's health, environmental and social impacts.
•
The best products rate 8 or above; the worst rate 4 or below
•
Health, Environment and Society individually rated as ‘Sub Scores’
Product Categories:
• Personal Care
• Food
• Household
• Babies and Kids
• Pet Food
• Apparel
• Cars
http://www.goodguide.com/
32

33. CompTool: Additional Benefits
Sales:
•
•
•
•
New revenue stream with reporting capability
Increase price competitiveness
Indirect increase in sales through improved green behavior
Utilization of the CompTool’s procurement function to report on purchasing
Procurement:
• Indirect increase in revenue based on green behavior
• Potential savings around price comparison
• Savings around self reporting environmental impact
33

34. Risk Factors
Tool & Technology
Can POLYGEN develop the tool with the necessary functionality for customer use & satisfaction?
POLYGEN has developed the foundation of the CompTool with the initial integration of Grainger lighting and
material handling products in the CompTool platform. Similar integration is expected around additional sales
channels and product verticals currently being aggregated.
Does the CompTool deliver accurate information on price and environmental impact?
The key data points such as price, material content, and weight are aggregated by Market Track and filtered
through our CompTool’s formulas and backend analytics to provide the environmental impact and market trends.
Our analytics for the environmental impact are derived from industry leaders in Life Cycle analysis, international
manufacturing trade associates, and government research agencies.
Market
Will customers pay for the CompTool?
Our market research indicates a gap within the green products market, specific to the environmental impact of
green labeled products. Potential users of the CompTool have indicated their demand for a turnkey solution to
address this issue. The growth in the Big Data industry illustrates the markets willingness to pay for similar
information.
34

35. Risk Factors
Competition
Will Good Guide or other market participants present quantitative information?
Good Guide’s current methodology and business model revolve around providing the consumer with a rating on
each product within their database. POLYGEN’s methodology revolves around providing the user with quantitative
information to a) come to their own conclusion by comparing products side by side taking environmental impact
and price into consideration b) provide measurable impact reports to include within their CSR Reports.
Team
Can the POLYGEN team deliver a commercial product and effectively take that product to market?
POLYGEN has successfully built the foundation of the CompTool and partnered with industry leaders to support
our efforts.
Funding
Will POLYGEN be able to obtain the funds needed for further development and launch?
POLYGEN believes by developing it’s MVP (basic platform, robust database with industry leading supply channels,
and high volume products within the green products category) and mitigating as much risk as possible we will be
able to obtain funding at the right valuation to successfully launch the CompTool and provide the necessary ROI
for its seed round participants.
35

36. Seed Funding: Burn Scenarios
Assumptions:
•
•
•
•
Total Seed Funding: $326,000
Monthly Operating: $3,000
Monthly Marketing Burn: $4,000
Development: 3 Payments
9 Months
18 Months
*Tool Development
$99,000
$200,000
Operating
$27,000
$54,000
Marketing
$36,000
$72,000
Total Operating
$162,000
$326,000
Dry Powder
$164,000
Total
$326,000
Expenses
*Subject to adjustments dependent on Phase 1 Design (Month 1-3)
$326,000
36

37. Why are we raising money?
1. Why are you raising money?
POLYGEN identified a void of quantitative information around the environmental impact
of green products . Research and market feedback validated the need for a solution leading to the initial
development of the CompTool
2. What would you use the money for?
Beta Development of the CompTool Platform and initial customer acquisition…getting in the door,
generating product awareness.
Key Personnel acquisitions specifically… Developer/Development Team /CTO
3. What are your goals as founders? How will raising money impact these goals?
Our primary goal is developing a product that we can take to market. With a team that shares our goals
and business ethics. Raising capital allows us to accomplish these goal.
37

38. Why are we raising money?
4. What milestone will the funding get you to? Will this milestone lead to either (a) breakeven or
(b) another round of financing where the value of your company higher than the previous round.
Key Milestones: Identify Product Development Team, Development of Product, Customer Acquisition,
Revenue Generation.
Leads to Series A round (est. $1.5MM) to launch the product, expand personnel and marketing efforts
5. How are other companies in the industry capitalized and what implications if any does this
have for you?
Following the roadmap of MVP development, traction and ramp up.
Food Genius : $3.6MM over the course of 2 years
6. What is the macro-economic climate? Is the economy growing/shrinking and what will it be
doing in six months?
US Equity indices are at all-time highs. At the micro level within the green products and services
market research points to growth within the industry. Additional government mandates may
positively influence this sector.
38

39. Subscription Model: Sales Tool
Sales Tool
Features
Level - 1
Compare Product (Enviro)
Compare Prices
Level - 2
Compare Product (Enviro)
Compare Prices
Reporting
Level - 3
Compare Product (Enviro)
Compare Prices
Reporting
Data Analytics
# of Users
1 to 10
# of Users
1 to 10
# of Users
1 to 10
Per Year
Per Month
Price
$150,000
$12,500
Price
$170,000
$14,167
Price
$220,000
$18,333
Average User Fee
*Additional Users
$15,000
$11,250
$17,000
$12,750
$22,000
$16,500
*Additional User Fee discounted @ 25%
39

40. Subscription Model: Procurement Tool
Procurement Tool
Features
Level - 1
Compare Product (Enviro)
Compare Prices
Level - 2
Compare Product (Enviro)
Compare Prices
Reporting
Level - 3
Compare Product (Enviro)
Compare Prices
Reporting
Data Analytics
# of Users
1 to 10
# of Users
1 to 10
# of Users
1 to 10
Per Year
Per Month
Price
$15,000
$1,250
Price
$17,000
$1,417
Price
$22,000
$1,833
Average User Fee
*Additional Users
$1,500
$1,125
$1,700
$1,275
$2,200
$1,650
*Additional User Fee discounted @ 25%
40

41. Revenue Projections: Sales Tool
Year1
Rate
Addition
Fee
Fee
Retention
40% *$ 170,000
Churn
2
$ 300,000
10%
Total Clients
Total Revenue
Year 4
Year 5
**$ 220,000
User
Revenue
Users
Revenue
Users
Revenue
4
$600,000
6
$900,000
3
$450,000
$150,000
3
$450,000
6
$900,000
1
$ 150,000
50% $ 150,000
Upgrade
1
Revenue Users Revenue
Year 3
1
$ 150,000
Users
Year 2
$170,000
2
$390,000
5
$1,000,000
0
1
$ 150,000
% Revenue Growth
(Year to Year)
*$170,000 represents Level 2 Subscription Fee
**$220,000 represents Level 3 Subscription Fee
-1
6
2
-1
11
14
$ 300,000
$920,000
$1,740,000
$2,350,000
200%
307%
189%
135%
41

42. Revenue Projections: Procurement Tool
Year 1
Rate
Addition
Fee
$
15,000
Retention
50% $
40% *$
Churn
10%
Total Clients
Year 3
Users Revenue Users Revenue Users Revenue
15,000
Upgrade
Fee
Year 2
1
$
15,000
10
$ 150,000
Year 4
Users
Year 5
Revenue Users
50
$750,000
450
5
$75,000
30
$450,000
255
$3,825,000
4
17,000 **$ 22,000
$6,750,000 330
Revenue
$78,000
24
$468,000
204
$3,978,000
-1
1
Total
% Revenue Growth (Year
to Year)
*$17,000 represents Level 2 Subscription Fee
**$20,000 represents Level 3 Subscription Fee
$
15,000
-51
59
10
-6
504
$4,950,000
789
$ 150,000
$903,000
$7,668,000
$12,753,000
1000%
602%
849%
166%
42

43. Revenue Projections: Affiliate Fees
Year 1
Year 2
Year 3
Year 4
Year 5
1
10
59
504
789
$25,000
$25,000
$250,000
$1,475,000
$12,600,000
$19,725,000
3.0%
3.0%
3.0%
3.0%
3.0%
3.0%
$750
$7,500
$44,250
$378,000
$591,750
Users
Average Procurement $
Affiliate %
POLYGEN REV
43

44. Revenue Projections: Consolidated
Year 1
$150,000
$ 300,000
$920,000
$1,740,000
$2,350,000
200%
307%
189%
135%
$150,000
$903,000
$7,668,000
$12,753,000
1000%
602%
849%
166%
$7,500
$44,250
$378,000
$591,750
1000%
590%
854%
157%
$457,500
$1,867,250
$9,786,000
$15,694,750
277%
Sales Tool Total Revenue
Year 2
408%
524%
160%
% Growth (Year to Year)
Procurement Tool Total Revenue
$15,000
% Growth (Year to Year)
Affiliate Fee Revenue
$750
% Growth (Year to Year)
Total Revenue
$165,750
% Growth (Year to Year)
Year 3
Year 4
Year 5
5 Year Revenue Projections
$18,000,000
$16,000,000
$14,000,000
$12,000,000
$10,000,000
$8,000,000
$6,000,000
$4,000,000
$2,000,000
$0
Yearly Revenue
Projections
1
2
3
4
5
44

45. CAC: Sales Tool
Revenue Assumptions:
Cost Assumptions:
Sales MMR
Subscription Term (Month)
LTV
Max CAC (1/3)
Ideal CAC (1/5)
$12,500
24
$300,000
$100,000
$60,000
Salary (Sales)
Marketing
Overhead
Commission
Commission in $
$50,000
$15,000
$5,000
7.5%
$22,500
CAC Assumptions:
Cost
Direct Sales
Audience
Conversion Rate
Conversion
CAC
LTV
Rate
$87,501
20
5%
1
$87,501
$300,000
29%
45

46. CAC: Procurement Tool
Revenue Assumptions:
Google AdWords Assumptions:
Procurement (MMR)
$1,250
Subscription Term (Month)
24
LTV
$30,000
Max CAC (1/3)
$10,000
Ideal CAC (1/5)
$6,000
SEM
CPC
Budget/Day
Budget/Month
Budget/Year
Clicks/Day
Clicks/Month (30 Days)
Clicks/Year
$6
$133
$3,990
$47,880
22
660
7,920
CAC Assumptions:
Direct
SEM
Green Biz
Webinar
Cost
$57,500
$47,880
Audience
200
7,920
Conversion Rate
5%
0.3%
Conversion
10
20
CAC
$5,750
$2,418
LTV
$30,000
$30,000
Rate
19%
8%
$30,000
500
1%
5
$6,000
$30,000
20%
*$135,380
Direct Cost Includes: Salary, Commission &
associated overhead
*35
*Cost & Conversion are summed in total
**CAC, LTV, and Rate are averaged in total
**$3,890 **$30,000 **13%
46