GSM Tracking Collar for Pets

Opportunity Snapshot

  • Country: South Africa South Africa
  • Industry: Technologies
  • Stage: Initial growth (first revenues)
  • Investment size: $70,000 / min. $10,000

Investment Opportunity

Marx P.E.T.S is a startup company that will design and market a tracking collar for dogs and cats, which will use GSM technology to track and retrieve lost pets by means of a mobile.

This Business Plan has been developed to present Marx P.E.T.S to prospective investors and assist it in raising the capital needed to begin production and launch our product.


The Pet industry is a large and expanding market. Its most rapidly growing segment is pet products and supplies which represents 15% of the market totalling R120 million per year, up from R95 million in 2009, and R82 million in 2008, according to W.O.D.A.C. The reason for this tremendous growth in pet products and supplies is the growing number of pet owners and pets.

According to a recent survey, there were approximately 18 million households which own pets. These households represent 60% of all South African Households and 40% of these households have more than one pet. Another survey found that the average South African household spends more on pet products than it does on over the counter drugs or television sets, it spends more on veterinary services than it does on books or computer software.


According D.A.R.G, 20 000 pets go missing in South Africa every year, of only 38% of which are ever found, and the average reward posted by owners are between R500 and R1500. A survey conducted by Marx P.E.T.S with over 100 pet owners in all areas of Cape Town has seen an exceptional 85% agreeing that a need for this product does exist and that the average person would spend between R500 – R1500 for the device.

Competitive Advantage

To date the only viable alternative to the tracking collar and the technology we have developed is the Identipet microchip, which aids in the retrieval of lost pets by means of a microchip inserted between the shoulder blades of the animal. The drawback to this alternative is that the animal would have to be first found, taken to a veterinary clinic and have the microchip scanned for the owner's details.

Use of financing

Start-up Requirements

Pre Start-up Expenses:
Research And Development R317 000
Total Pre Start-up Expenses R317 000

Start-up Expenses:
Legal - patent, trademark, and counsel R20 000
Consultants – marketing R50 000
Corporate/Product Identity R50 000
Satellite Tracking Service R15 000
Website Hosting R1200
Total Start-up Expenses R136 200

Start-up Assets
Cash Required R100 000
Start-up Inventory (1250 Units) R361 875
Other Current Assets R0
Long-term Assets R0
Total Assets R461 875

Total Requirements R915 075
Less Pre- Start Up - R317 000
Total Investment R598 075

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