Capital Required For Investment in Decorative Concrete Venture

Opportunity Snapshot

  • Country: Ghana Ghana
  • Industry: Real Estate
  • Stage: Start-up
  • Investment size: $8,000,000 / min. $10,000
  • ROI: 20% in 3 years
  • Type of investment: Equity

Investment Opportunity

We seek funding in order to manufacture a special type of concrete, which will primarily be used for tiling.Our business is "turnkey".

We will be licensed to manufacture five (5) major product groups: stamping tools; ‘new pour’ concrete materials; resurfacing and levelling materials; masonry stains; and sealers. These product groups are associated with six (6) brand names:. There are multiple formulas for each product line as well; for example there are 20 formulas for integral colors alone. Therefore, there are well over 50 different individual products that have various design and resurfacing possibilities, making our product offering very versatile and flexible.
3.1 STAMPING TOOLS
This product group is for the manufacture of high grade professional quality stamping tools used to produce imprints on the surface of newly poured concrete and overlay materials. The stamping tools are re-usable and come in over fifty different designs.
3.2 NEW POUR CONCRETE MATERIALS
This product group includes coloration products for concrete which are integral and surface colorants. Releasing agents to be used with stamped concrete, highlighting colors, and surface retarder products for improved curing and finishing.
3.3 RESURFACING AND LEVELING MATERIALS
This product group includes two types of concrete resurfacing materials, one of which is stampable and one skim coat product. It also includes coloration materials, priming agents and leveling materials for use underneath overlays. Leveling products are a cement based material used for cracked or delaminated concrete surfaces prior to resurfacing.
3.4 MASONRY STAINS
This product is a chemical based stain product that is compatible with cement based building materials to include concrete, straight cement, brick or block and pre-cast concrete blocks.

3.5 SEALERS
Decorative concrete sealers can be used on a variety of cement based surfaces for protection and finish. Formulations available are low to high sheen, water based, solvent based, cure and seal, and high solid sealers. Sealers are suitable for almost any concrete surfaces including plain concrete flatwork, decorative concrete counter tops, overlay and pre-cast applications
Total annual sales in the concrete industry amount to billions in revenue and are projected to remain steady, if not increase. One reason for the prosperity of this industry is because there is such a large market. The company’s overall marketing strategy is based on a continuous improvement process of setting objectives, measuring results, and utilizing feedback to facilitate further growth and progress. The company plans to rapidly develop marketing alliances with industry leaders and pursue new sales of its products to residential and commercial builders. The market strategy is to capitalize on industry alliances by securing distribution contracts. Ghana is strategically located as a gateway to West Africa with good access routes to the region. Ghana is the second largest economy in West Africa and Nigeria the largest economy in Africa. Our products are already in these markets. Our international partner will also provide access to their database of clients and distributors already in our exclusive West Africa region.

We are seeking first round financing of US$8,000,000 for the purpose of acquiring starting inventory of raw materials, purchasing land, building construction, utility hook-up and site improvement, machinery and equipment, working capital, legal and accounting costs, and miscellaneous start-up expenses.

Competitive Advantage

Currently,the product is on the market and being used by some real estate companies for tiling.The product is imported at great cost which translates into higher estate prices for clients.
Ordinary tiles are mostly imported too and are costly
Our product line is innovative and very popular.We intend to expand our product range in order to sustain our market advantage .This will be done in conjunction with our international manufacturing partner.

Rationale for the deal

Most contractors use the inefficient and costly system of producing or purchasing bricks and tiles and then laying these to construct a pavement. Moreover, some contractors also lay tiles for indoor floors. These methods are time consuming, can be costlier and have limited design options. Our systems are more efficient, less time consuming and cost effective. Our innovative system requires that the contractor simply pours the concrete then use the products for the desired finish, and then produces the designs by imprinting on the concrete with stamping tools. Furthermore, as these products will now be manufactured locally together with our marketing drive, the pricing will be reduced and there will be more product penetration providing a competitive advantage.
Having a committed relationship with our international partner ensures our contractors, crews, builders, commercial and residential clients that we will not fail. These products are a true manufacturing system that meets the demands of today’s concrete innovations and will continue to provide these desired features in the future. These products can be manufactured in five (5) different name brand products. Any of the products can be used in the concrete environment. The most important feature is the quality of these products. In terms of manufacturing, our products can be compared to a world class manufacturing process. All raw materials used meet industry standards, and are built with the quality of materials in mind. Quality control is very important. Keeping this in mind, we will control our production lines to assure that quality is met. All orders will be produced in a time frame as specified by the Distribution & Inventory Manager.
Sales Strategy
Our sales program is as follows:
• Create contacts with residential and commercial contractors.
• Contact developers of residential and commercial properties.
• Contact and training for new “company approved” distributors and contractors.
• Special advertising efforts will be implemented on the Internet.
• Set up advertising for national and regional programs.
• Distribution of brochures, development of a website and social media marketing.
• Participate at national and regional trade shows.
• Employment of company sales representatives.
• Contact major construction firms.
• Regional distributor networks will be created rather than setup of operations in each country under exclusive distributorship.

Use of financing

We are seeking first round financing of US$8,000,000 for acquiring starting inventory of raw materials, purchasing land, building construction, utility hook-up and site improvement, machinery and equipment, working capital, legal and accounting costs, and miscellaneous start-up expenses. Projected revenues will increase over a five year period.

Opportunity for the investor

We are seeking to raise $8,000,000 for the development of the plant. We expect full recovery of cost plus profit after approximately 2 years, but with repayment in 5 years. We do not need an investor hands-on but are not opposed to the idea.Other than a MOU agreement and legal documents to establish the financing the investment,all other modalities of investor interest can/will be discussed with the investor.
We are offering a 15%-20% stake in exchange for a minimum financial investment of $10,000- $1,500,000.Interested investors can inquire further.All other modalities of investor interest will be discussed with the investor.

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