what is the opportunity. experience 50+ year engineering company us/canada proven certified...
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Bed Bug BusinessWhat is the Opportunity
• Experience• 50+ Year Engineering Company US/Canada• Proven Certified Technologies (ANSI/CSA
Standard Boards)• 30,000+ Systems Throughout North America• 3+ Billion Sq Ft to +/- 4°F• 5 Years RxHeat® Leadership• Restoration and Pest Control Market
Who Are We?
• RxProtect® Launch – 2011• Fully Licensed Pest Control Operator• Columbus, OH Pilot Site• 3-4 Full Time Crews• Surge Capacity to 10 Crews• 10 Heat Treatment Systems• Full Time Sales• Full time Operations Manager
Who Are We?
Answer 3 Primary Questions• What is the size of bed bug opportunity?• Why Heat Treatment?• Why are successful restoration contractors
positioned to capitalize?• Two Business Options• Sub Contracting• Stand Alone Pest Control Company
Frequency Increasing Worldwide
Source: Bugs Without Borders – Potter, et. Al
Showing Up Everywhere• Apartments/Condos (89%)• Single Family Homes (88%)• Hotels/Motels (67%)• College Dormitories (35%)• Homeless Shelters (31%)• Nursing Homes (24%)• Office Buildings (17%)• Hospitals (12%)• Primary/Secondary Schools (10%)
Source: Bugs Without Borders – Potter, et. Al
Source: Bugs Without Borders – Potter, et. Al
Key Factors Driving Growth• Current Solutions are Failing Miserably• Litigation & Legislation• HUD Notice H 2011-20 – Guidance for Bed
Bug Control• Education (Media Attention, Task force
formation, etc.)
Why Heat Treatment is Winning• Penetrating Power (Walls/Attic/Mattress)• No Resistivity• Fumigation’s effectiveness without the safety
concerns• One day process• Less Reliant on Preparation• Kills all life cycles of bed bugs everywhere
inside of a structure• Whole Structure or Single Apartment
RxHeatTreat™• One Day Eradication• Certified Systems• Safe & Effective
Feeding a “Rearing Jar”
RxHeatTreat™ (Large Scale)• 70 Units• Attached Office
Space• 18000 sq ft• Canine Inspection
• 75% infestation level
• Total Building Heat Fumigation
• 2.5 Day Project
Technology SolutionsSmall ScaleLarge Scale
Large Scale Gas-fired technologies• Raise temperature quickly• Flexibility for a wide range
of structures • Scalable• Quick Set Up• Trained Personnel
Why Restoration Contractors
Restoration Contractors
Bed Bug Heat
Treatment
Pest Control
Operators
Successful Restoration Contractors Know• Crew Routing• Project Management• People Management• Equipment Deployment• Site Monitoring (Temperature, fuel, etc.)• Regulatory Compliance
• Client Base overlap (Commercial and Residential Client Base)
Client Base overlap• Apartments/Condos (89%)• Single Family Homes (88%)• Hotels/Motels (67%)• College Dormitories (35%)• Homeless Shelters (31%)• Nursing Homes (24%)• Office Buildings (17%)• Hospitals (12%)• Primary/Secondary Schools (10%)
Source: Bugs Without Borders – Potter, et. Al
Key Questions• Prime or Sub Contractor?• Current Company or New Corporation?• Investment (Capital and Leadership)
Prime Contractor• Licensed Pest Control Operator
• Hire or Train• New Business Start Up
• Not a line extension
Sub Contractor• Market service to existing Pest Control
Operators• 15-20% mark-up for PCO• Surge capacity (equipment and personnel)
• Lower capital investment• Lower risk
Prime Contractor• Prime Contractor
• Initial Investment Breakdown• $150K to $275K
• Sub-Contractor Model• Initial Investment Breakdown• $50K to $100K
