Opportunity Snapshot
- Country: Hungary
- Industry: Food, Beverages, Tabacco
- Stage: Seed
- Investment size: $1,000,000 / min. $1,000,000
- Type of investment: Debt, Equity
Investment Opportunity
We want to start bottling and distributing premium mineral water. A site is available, as well as 2 mineral water wells which have been used for over 600 years. A bottling machine needs to be purchased in order to start the production; everything else is ready.
Specialty of the Well
The well water, thanks to its mineral content, namely high amount of magnesium and calcium in ionic form (thus able to be absorbed instantly), can help against osteoporosis. That is why our target consumer groups are pregnant women, growing children and women after menopause - they need to replace the bone components effectively and regularly. This well water has been consumed as a cure for over 600 years according to the written records. It is rarity even on the Hungarian market which has many other types of high quality water. Besides the Hungarian market the Central and Eastern European market is taken into consideration as there is really interest in this premium quality water.
About the Investment
Everything is ready to start; We just need to purchase a bottling machine.
The bottling line starts with putting the PET bottle on the line and finishes with packing on the pallet. It is half-automated - the first and the last step need human resource.
We handle the start-up capital as the maximum amount required by investors.
In the financial calculations the inflation and an accidental market setback have been taken into consideration. According to the calculation shown above the payback time of the project can be 3-4 years.
According to the hydrological report the water source is continuous so the continuity of the production is not limited by natural conditions.
Defined Marketing Goals
1. The main goal of the marketing activities is to popularize the water brand on the market.
2. The next step is to expand the business into the retail sector as firstly we have memos of intent from big supermarkets and wholesalers to sell our products.
3. Preparing such a promotion which allows reaching the consumer directly so that the demand can come directly from the consumer’s side.
We have already connected with a professional branding and marketing company to perform the marketing activities for us.
Products
Besides the traditional carbonated and non-carbonated water there is a possibility to produce flavoured mineral water with different tastes and herbs. According to the plan these products will be also made of mineral water.
The standard product - carbonated and still water - will be issued in 0,5 l and 1,5 l bottles, and will be marketed by the wholesalers.
The other product range - flavoured mineral water with 4 different tastes, will be in 0,75 l bottle and marketed on different franchise and retail shops.
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