SIRENITA -SANTACROCE“In the Art of working with Leather….Creativity has no limits”

PROGRAMA FACILIDAD - GIZ

Our Business involves:

We are three vertically integrated Companies located in El Salvador, C. A.

•Processing raw hides into leather using Clean Technologies. This are cow and pig hides by-product of the meat industry.

•Manufacturing and Merchandising leather and leather products of high quality, environmentally friendly, that go along with fashion trends.

•Constant research in the advances of the Leather Industry to develop an eco-leather.

For over 30 years the main production was leather for Shoe & Handcrafts Industry distributed in the domestic market.

Sirenita S.A de C.V IASA - Industrias Americanas, S.A. de C.V.Founded 1974 - Tannery

Founded 1976 - Leather Workshop) Founded 2005 - Fine Leather Studio

SustainabilityContinuous improvement & innovation Social and environmental consciousness

Since it’s beginning in the 70’s, SANTACROCE GROUP started operations with SIRENITA under the principles of:

Sirenita S.A de C.V

IASA - Industrias Americanas, S.A. de C.V.

this area is considered a “lung” for the community

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Santa Ana is the 2nd most important city in El Salvador.

Strategically located in the surroundings of Santa Ana with a total area of 120,000 mt², of which almost 70% is being kept as vegetation area.

SANTACROCE

Since 2001

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SIRENITA starts the Investigation and Development of an effluent treatment plant and more environmental processes and techniques, based on studies made in Germany and INCAE.

The natural conditions and topology of the site (sufficient area, natural inclination , vegetation) represent an advantage and an important factor for the Environmental Management and the

development of today’s Effluent Treatment Plant.

Since 1996

Introduction of Clean Technologies, eco-friendly products, and continuous improvement methods in the Tanning Process resulted

in production of high quality fashion leather.

This opened a new innovative market: demand for fashion leather products not found in the domestic market.

40%32%

In the 70’s it was set as a rule to be a source of employment for people in the community. Since then our team are being constantly trained in Leather Industry as well as in different “life” issues.

For over Over 40 years has remained the only source of formal employment in a rural a and vulnerable community

Today

SANTACROCE GROUP

Energy Water80families of the community are b e n e fi c i a t e d w i t h t h e productive activity in Sirenita and IASA.

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By 2005 exclusive leather items, specially ladies bags, started to be designed and manufactured.

Conservation of natural features, marks and characteristics of the hides Artisan “ingredient”

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In 2009, SANTACROCE’s show Room was

created, as an answer to

customers’ demand for a

permanent exhibition space in San Salvador, capital city of El

Salvador

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Leather exclusive/fashion accesories • US Embassy


• Designers: Fibras, MOKA Handcrafts 


• Upholstery Leather for VIP Costumers

Shoes • ONG´s: UNBOUND and

COMPASSION Intl.


• MINED School Program


• Shoe Distributors: Sandra Escobar, Victor Bonilla

Leather: • Local Leather Distributors:

Peleterías Mithchell, Jubis, González

• Shoes Workshops: SantaMaría, Mario Amaya

OUR MAIN CUSTOMERS

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International Experience

Regional Exports:

•Honduras – since the 1980´s, mainly football and casual ladies shoes – B2B •Belize – Starting relations with new customer and sent shoe samples in 2016 – B2B •Participation as one of 9 Salvadoran Fast Runner Companies in the US Department of State “Professional Fellows Program”

and in Bpeace Organization - BEBE Project in 2014. As a result we begun process for business relations to export to New York in the US:

1. A SantaCroce design bag for MZ WALLACE fashion Store 2. Manufacture a design for the CATRINKA PROJECT

“An ethical fashion label that invests in women and girls around the world”

Strategically alliance with MOKA Handcrafts to export special designed bags to the US

Special designed Executive bag for Stephanie Link - Designer at Missouri UniversityGroup

RECOGNITIONS

•“Certificados de Sello Verde, Categoria Balsamo I y II para la Micro y Pequeña Empresa” for Sirenita and Industrias Americanas

•Since 2001 the area where Sirenita and IASA are located is considered a “lung” for the community by Ministerio de Medio Ambiente Diagnostico Ambiental.

•Insurance Company have rated very good and not risky instalations of Sirenita and Industrias Americanas

•Effluent Treatment Parameters were set by the Government of El Salvador (CONACYT- Consejo Nacional de Ciencia y Tecnología) based on the ones SIRENITA had reached in 2001

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Francisco Gilberto Linares.

Expert in Technologies and Tannery Industry 
Professional in Business Administration of the University of Miami with specialization in Finance, and technical training specialized in Leather Industry. With 30 years of working in the tannery industry, footwear and leather goods. He has participated as a speaker and technical expert of the industry in national, regional and international events in which ANPIC stand out. Francisco is a benchmark in the business environment as a specialist in leather quality and finishes. In Sirenita-SantaCroce, he is the General Director and Legal Representative. 

TEAM WORK

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Marta Elena Linares.

Design, Innovation and Environment

Professional in Business Administration of the University Dr. José Matías Delgado, with postgraduate studies in International Marketing at Export Akademie, Reutlingen; Diploma in Environmental Management at Matías Delgado University and INCAE. Marta Elena has participated in training programs such as Product Design of Leather Accessories with Marta Martini Design School of Santa Croce Sallerno, and as Fast Runner of the Bpeace Program of the United States. Responsible for the development of products, design and creativity, passionate about the environmental theme and with an enormous social sensitivity, she is the Director of Design - Environment and Sustainability.

TEAM WORK

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Jose Mario Linares.

Marketing and Commercial Director 
Professional in Legal Sciences of the University Dr. José Matías Delgado - specializing in business law and intellectual property, and in the 90s he facilitated the signing of the Central American Intellectual Property Agreement. Jose Mario has been in charge of exports to Honduras and of international contacts for Sirenita-SantaCroce, as well as distribution. He has represented the company in national, regional and international events related to the business group. Since 2005, he has held the position of Commercial Director and International Business.

TEAM WORK

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Today 90% of the Work Team belongs to the community and they are constantly trained in production and new

technologies in the Leather Industry.

GOAL: “Improve the quality of life of our team, for

they are our most important asset”

• Leather products and accessories of exclusive design elaborated with leather in textures and colors that go along with fashion and worked with clean technologies and fair trade - SantaCroce Brand

• Genuine Leather products customized to meet distributors’ needs

• Small Leather Accessories elaborated by single mothers of the community with leather “scraps” left from shoes and bags production

Internationalization ProjectEXPORTS

TECHNICAL ADVICE AND IMPORTS OF ENVIRONMENTALLY FRIENDLY TECHNOLOGIES & PRODUCTS 


•Environmental, Fair Trade and relevant other Certifications required and applicable to Germany and EU •Strategic Alliances to distribute, in El Salvador and the region, a complementary environmentally friendly line of Leather care products. •Transfer of Renewable Energy to adopt in the production processes (Solar Energy)

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•Retail importers of Genuine Leather Products.

•Specialized Leather Stores. •Exclusive Design Brands that

C o m m e r c i a l i z e l e a t h e r products.

•Corporate Businesses that demand personalized leather articles for their associates.

BUSINESS MODEL - STRATEGIC DEVELOPMENT IN TWO WAYSCUSTOMER SEGMENT

•B2B for all customer's segment •B2C for future sale promotion

through e-commerce.

•D I R E C T: w i t h i m p o r t e r s , s p e c i a l i z e d s t o r e s a n d companies.

•C r e a t e i n E l S a l v a d o r D i s t r i b u t o r s f o r t h e commercialization, locally and regionally, of the line of products to take care of leather and leather goods.

CUSTOMER RELATIONSHIPSCHANNEL

1. Genuine Leather goods manufactured with clean technologies and certified green seals. 2. High quality, innovative and exclusive designs that go along with fashion trends. 3. Diversify of colors and textures of Leather to fit customers needs. 4. Importation of Biodegradable products from Germany for the care of Leather and Leather products. 5. Importation of State-of-the-art and Innovative Technologies to produce an eco-leather. 6. Importation of German Technical advice/equipment of Renewable Energy, such as solar energy.

VALUE PROPOSITION

•Formal Integrated Sustainability, Social and environmental Program.

•Meet requirements and Certifications for processes/ products to export to Germany and EU

•Investigate thoroughly German´s market: •Preferences, potential, Distributors, Prices •Develop prototypes of leather products

specially designed to meet German´s taste and market

•Investigate German producers of equipment solar energy biodegradable products for leather care.

BUSINESS MODEL - STRATEGIC DEVELOPMENT IN TWO WAYSKEY RESOURCES

•Vertical Integration •Environmental and Social Management •Innovation and continuous improvement

Philosophy •Working with standardized processes

and products •Qualified artisan labor force •Financial solvency •Flexibility and ability to accept changes

•GIZ •BASF •FONDEPRO •PROESA •BANDESAL •CNE-DICA •Camara Alemana-Salvadoreña

de Comercio e Industria

•Priority to define and create prototype of genuine leather good/goods to be exported •Main costs of the product include design, leather, pay roll •Costs of meeting requirements and Certifications to export to Germany and the UE •Costs of sending samples to Germany to receive customer's approval •To calculate the revenues is necessary to know prices in Germany of similar genuine

leather products, •Knowing that our selling price should be no more 1/3 of the selling price in Germany

COSTS AND REVENUES

KEY ACTIVITIES KEY PARTNERS

Offer our customers products and services of excellent quality in line with fashion trends.

Use modern processes and systems to ensure efficient business management.

Work with standardized quality and productivity.

VALUES

Impacto del Proyecto

Social Environmental

Economic Community Development

Impact of the ProjectSocial

•Create a new production line for exportation products •Create more jobs in a vulnerable and conflictive rural

community, helping to prevent young people from joining criminal groups.

•Improve and create more qualified labor force, through training, to reach international standards

Environmental

•Improve and increase our clean production processes •Decrease the negative impact from the our

production activity through the use of renewable energy.

•Improve our role of being a “lung” for the community. •Improve and create more qualified labor force,

through training, to reach international standards. •Be a reference in the use of renewable energy to

motivate other companies to apply them in their processes.

•Achieve international environmental and fair trade certifications for our products and processes.

•Support to achieve the development of eco-leather and eco products.

Economic

•Increase sales through exportations to Germany, EU, USA and locally.

•Increase sales with the representation/distribution, locally and regionally, of Germany’s environmentally friendly products to take care of leather products.

•Economic savings with the use of renewable energy ceasing to depend on an unreliable energy supply.

•Achieve an added value to our eco products.

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Consistent focus on research and development of new products and environmentally friendly technologies

( Eg.: upholstery leather development using eco friendly products)

VALUES

Customized Projects Group

Work for Sustainability, striving to meet our current and future needs and contributing to social, economic and

environmental development of the community in which we live and work

VALUES

• Offer services and products of excellent quality in line with fashion

trends

• Experience and skills of Salvadorian Artisans

• Requests from specialized leather fans markets for high quality

genuine leather products

• Increasing demand for leather products socially and

environmentally responsible

• Leather is becoming scarce, more valuable, and is a natural

product demanded by an

exclusive market.

• Potencialidades en términos de diferenciación e innovación.

• Potencialidades en términos de la colaboración conjunta.

• Competitive Advantage due to vertical integration


• Continuous innovation of processes and products


• Experience in Leather Industry and continuous improvement in the use of environmentally friendly processes and methods

• Potencialidades en términos de mercado: Tamaño del mercado calculado en Alemania para este producto, servicio, tecnología, en unidades y pesos.


• Potencialidades en términos financieros (indicadores de rentabilidad, VPN, TIR, EBITDA, etc)


• Offer service of customization of products, colors and textures of

leather

What makes the Project SuccessfulGroup

Innovation and continuous improvement philosophy Efficient environmental management reducing our negative

impact on the environment VALUES

“Provide our customers with products and services that meet their expectations based on fashion trends, quality, personalized service and acting in the best interest of our community and the environment “

“Being a Sustainable Business, merchandising internationally a high quality fashion Eco-Leather Brand, making the best use of limited

resources and seeking to meet current and future needs of our customers, staff, partners, suppliers, community and the environment"

VISION

MISION

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CHALLENGES

Focus Tannery´s production growth in Fashion Leather, by improving the quality, giving added value to finished leather and reducing the negative impact to the environment

Launch Two Trend Collections per year using quality hardware accents and accessories

Keep the artisan handcraft aspect in our leather products to develop the skills of our people

Keep and/or increase labor supply (jobs) in an area surrounded by gangs in one of the countries with highest criminality rate

Increase our sales locally and internationally through aggressive merchandising and strategic alliances

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Siganos en Facebook

Francisco Gilberto Linares SIRENITA S.A. DE C.V. Tel.: (503)2486-9700

Email: sirenita0374@gmail.com

Marta Elena Linares Industrias Americanas, S.A de C.V.

Tel .: (503)2486-9707, Cel.: (503)7862-4116 Email: iasadecv76@gmail.com

Jose Mario Linares SantaCroce-Estudio de Cuero

Tel.: (503)2223-8337, Cel.: (503)7450-3513 Email: santacroce09@gmail.com

CONTACT INFORMATIONGroup

Thank You2016

"En el Arte del Cuero... la Creatividad no tiene límites"

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