Live GreenLife Beautiful
Phos2light Company
Live Green, Life Beautiful

Executive Summary:
In 2016, there are 304 million streetlights consuming global electricity, whereas these numbers contribute largely to theenvironmental pollution due to the energy used. Based on a research conducted by electrical engineers from theUniversity of Washington found that tree can store energy, tree power. A tree can absorb a large amount of sunlightfrom the sun and uses this energy to survive. Researchers have found out that tree has a few electrical tension between
the tree trunk and the surrounding ground. By implanting an electrode, we can recover a very low electric current
enough to power simple electronic circuit.
Phos2Light (Live Green, Life Beautiful) is using tree power to light up the surrounding by the infusion ofbioluminescence phosphorescence in tree. We provide phosphorescence infusion services into trees, which enable thetrees to glow at nighttime, and light up the surroundings using its own tree power through photosynthesis energy
storage from the daytime.
Phos2Light will work closely with bioluminescence chemical supplier mainly from Japan to obtain ourphosphorescence component. Phosphorescence is extracted from a type of phytoplankton called Dinoflagellates,
which contribute no side effect to human being. Once the component is transferred to our company, we will further
modify it then later deliver service to our main target such as public, schools, parks, and residential area. Our main
service will be provided according to the number of tree. We will advertise our product via social media such as,
Facebook, Instagram, Twitter and our own Phos2Light’s website.
Our startup cost is $57,000 with a gross margin of 62% in year one and loss in the first 3 years. However, we will earn
profit from 4th year and 5th year.

Product and Services:
Phos2light Company implements the idea of having beautiful glowing
trees come into practice. We offer phosphorescence infusion services into
trees allowing the trees to convey its energy source for later uses in thenighttime. Our main component consists of phosphorescence fluids andthe practical interjection will be made through syringes. To ensure thetechnical safety and efficiency of the procedure we will send ourspecialist to facilitate on-site services. This service model aims topromote great social impression and spread the idea of energy
conservation, minimizing electricity usages as well as lowering expensesof the users.
Photo 1: prototype of phosphorescence tree at daytime
and nighttime

Operations:Chemical Supply Company will be our main supplier who will supply us with adequate amount of phosphorescenceneeded for our service.
Cost of Goods Sold
Phosphorescence
Material
Labor Cost
Total COGS per unit

Amount Standard # Usage Unit Cost
Costof Tree
1kg
1Unit
1hour$$$

448
0.10
0.72

250 $
1 $
30 $$

1.79
0.10
0.02
1.92Figure 1 : Component of cost of goods sold per unit

Photo 2: Photosynthesis chemical equation

Photo 3: phosphorescence chemical equation

It is vital to note that our company will keep the phosphorescence fluid which we imported are safely packaged andstored in our sanitized warehouse.
Our specialists will inject the phosphorescence fluid to the trees and give maintenance service accordingly to thecontract we made with the customer.

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Competitive advantage:
Our business is very unique because it is a new creative business idea by conserving energy and makes good use of thenatural sources with existing trees to provide light energy as well as long as efficient uses of finite resources. By theway, our business is carefully think about humanity and living by saving energy, safe to use, and social responsibility.
Furthermore, we will supply handy maintenance service and professionals to consult directly with customers if
necessary. Additionally, we will always make sure that we have a healthy supply chain assuring sufficient supply
quantities.

Marketing:In order to popularize our service, we will promote ourselves through social media such as Facebook, Instagram,Twitter, as well as our Phos2Light website and ads in apps. We will also cooperate with government to offer free trials
by doing sample injections for 1-2 trees in the middle of the city.
Furthermore, we offer promotion as follow:
 1% discount for 10 to 15 trees
 3% discount for 20 to 40 trees
 10% for 50 trees or higher
Our company will dispatch the salesmen to personally contact the owner of residential areas, resorts and malls toencourage them to implement our services for their benefit of energy conservation. Furthermore, we will cooperate withthe government to apply our service.

Finance:Start-up
Start-up Expenses
Legal ( Register, Patent)
Stationery
Reasearch & Development
Temporary Rental
Other$$$
$
$

2,500
350
2,000
1,500
250

Total Start-up Expenses$ 6,600

Start-up Assets
Cash Required
Start-up Stock
Other Current Assets
Fixed Assets$$$$

Total Assets$50,400

Total Requirements$57,000

PROFIT & LOSS STATEMENT

Year1
Q1
$ 69,692 $ 15,000$ 26,706 $ 5,748$ 42,985 $ 9,252$ 47,932 $ 13,011

Sale
COGS (45%)
Gross Profit
Operating ExpenseAdvertising Expense
Depreciation
Gasoline
Rent
Utilities
SalaryTelephone & Internet Fee
Office Supplies
Other Expenses

$
$
$
$
$
$
$
$
$

25,0005,000
250
20,15025,880
4,085
2,088
3,600
2,550
8,400
400
696
232

$
$
$
$
$
$
$
$
$

7,640
1,021
450
900
600
2,100
100
150
50

$ 13,386$

8,748$ 12,787

Year2$ 73,176$ 28,042$ 45,135$ 46,885

$
$
$
$
$
$
$
$
$

$
$
$
$
$
$
$
$
$

3,300
1,021
545
900
540
2,100
100
182
61

$
$
$
$
$
$
$
$
$

$
$
$
$
$
$
$
$
$

Q2Q3Q4$ 15,750$ 18,113$ 20,829

$

6,036

$

$

9,714

$ 11,172

7,800
1,021
495
900
750
2,100
100
165
55

6,941

$

Earning before Tax (EBT) $ (4,947) $ (3,759) $ (3,672) $ 2,424 $Tax 20%Net Income$(497) $-$-$

7,982$ 12,847(485) $$ (5,444) $ (3,759) $ (3,672) $ 1,939 $

7,140
1,021
599
900
660
2,100
100
200
67

23,292
4,085
2,402
3,600
2,805
9,240
440
766
255

Year3$ 80,494$ 30,846$ 49,648$ 51,267

Year4$ 88,544$ 33,931$ 54,613$ 54,523

Year5$ 97,398$ 37,324$ 60,074$ 57,564

$
$
$
$
$
$
$
$
$

$
$
$
$
$
$
$
$
$

$
$
$
$
$
$
$
$
$

25,621
4,085
2,642
3,600
3,086
10,626484842
281

61 $ (1,750) $ (1,619) $(12) $$$49$ (1,750) $ (1,619) $26,902
4,085
2,774
3,600
3,240
12,220
508
884
309

90

$ 2,510(18) $

72

27,709
4,085
2,913
3,600
3,402
14,053
534
929
340

(502)

$ 2,008

Figure 2: Startup Projection, Financial projection, and Profit and loss Statement in 5 years

Our business startup will be $57,000 where 88% is our total startup assets. Our first year operating expense will cost
approximately $47,932 and whereas we cover 54% on advertisement and 18% on salary. As we will break-even in$77,712. Even if our first three years will get lost but we will be expecting our profit in our fourth year and the year
after.

Conclusion:
We strongly believe that our business will be successful because it is unique and smart for saving energy, safe to use,and social responsibility. This concept will be applicable for not only Cambodia but also globally.

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