yoursmiledirect funding deck v2 4.7.14
DESCRIPTION
EI ApplicationTRANSCRIPT
GLOBAL CONSUMER DENTAL MARKET: $35 BILLION
UK DENTAL MARKET:£5.7 BILLION
TEETH WHITENING GLOBAL :$12 BILLION
Business Overview
• Direct to Consumer provider of Cosmetic Dental Braces
• At Home Impression kits & digital imagery assessments
• 75% savings to Patients• No expensive and time
consuming dentist visits• Pay in monthly installments• Uses the same Labs as the
Orthodontists
Customer Acquisition
YourSmileDirect
Google Search and Advertising
Direct TV Advertising
PR & Media
Coverage
Comparison
Building Trust
• Access to Orthodontists by phone, chat and video
• Retail product in Pharmacies
• TV Advertising, PR appearances to build trust & confidence EG TV3, Sky News
• Testimonials and videos on site & social media
Irish based Dental Disruptive Model
Smiles DentalSold to Origin for €36M to Oasis Healthcare.77 StoresFounded by Emmet O’Neill
The Team
Graham Byrne, CEO/COOEntrepreneur, Sales & TurnaroundHairspray, Pounds2day.co.uk
Maria McMenamin, CMOCustomer Loyalty program manager domain expert & EntrepreneurSalesforce.com, Art Ireland
Colum Whelan, CFOFinance professional & EntrepreneurGuardian Management Accounting
The Market
• 1M New Braces each year in the UK
• £5.7B Market Annually in the UK
• Research shows approximately 100 million adult consumers in the U.S. alone would like to improve their smile and are interested in straighter teeth, but many would never consider metal braces.
The Product
• Dental Clear Aligners £1,199 (£95 Impression Kit)
• Dental Strength Teeth Whitening included
• 4-16 trays depending on severity
• Average of 16 weeks treatment plan
• No Dentist office visits• Optional Retainer (£195)
Unit Gross Margins
• Unit Sale price: £1,199 (VAT Exempt)
• Unit Cost of goods: £490
• Unit Gross Profit: £709• Gross Margin: 59%
Business Model
• Direct to Consumer provision of clear dental aligners
• Removes traditional middleman: Orthodontist, Dentist, GP
• New additional routes to market for Home Impression kits: Pharmacies, Beauty Salons & Hair Salons
Strategic Partnerships
No 2 Global Provider of Orthodontic products and manufacturers of the Originators (clear braces)
US based direct to consumer channel for clear aligners
Competition
No 1 $600M Global leader in sale of clear braces through channel of Orthodontists & Dentists. No Direct Channel
No 3 in Clear Aligners. No Direct Channel
No 4 in Clear AlignersNo Direct Channel
Barriers to Entry
• Exclusivity agreement with TP Orthodontics for a directly marketed and retail marketed proposition.
• First to Market
Target Markets
• 18+ with cosmetic dentistry requirements
• Clients who had braces removed 20 years and now require minor cosmetic work
• NHS and Dental Insurers
Financial Overview Year 1 Year 2 Year 3
Sales Rev(units)
€176,000 (122)
€1.4M(972)
€3.2M(2,222)
Exports €176,000 €1.4M €3.2M
Net Profit before Tax -€37,500 €300,000 €675,000
Investment €50,000 €500,000 €500,000
Employment 2 5 10
Investment & Use of Funds Stage 1: Model Ready, Impression kits and Agreements with manufacturer in place. Ready for ValidationSeed Investment 3 months : €50K
Use of Funds:• Social Media Campaign to validate model and establish cost of
customer acquisition• Recruit key Staff• PR Campaign to raise awareness of the concept & attract sign ups
Stage 2 Post Validation: ‘Investor Ready’ and Validated. Ready for second stage investment of €500K