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Novo Aero Technologies Business Plan!

 

As employing our innovative Compact Propeller within an aircraft will enable producing quieter, Helicopter-like, Vertical Take-off and Landing (VTOL) aircrafts that are cheaper to produce and maintain, safer and easier to operate, and can fly at higher speeds and altitudes; so once fully developed, it is expected to find application in all future VTOL aircrafts, and to boost the worldwide production in this sector.

Nevertheless, in order to fully appreciate its competitive advantages, we need to know the competitive advantages of this proposed technology that will make it attractive for Aircraft manufacturers to use in their production lines, and for consumers to look for in the aircrafts they buy. In addition, we need to learn about the risks associated with developing this technology and introducing it to its respective markets.

Competitive advantages:

An aircraft employing the Compact Propeller technology will have several unique competitive advantages making it very attractive for Aircraft manufacturers to use in their production lines, and making it very desirable for customers to have in the aircrafts they purchase, with these competitive advantages being as follows:

  • Exceptional fuel saving potentials:

Based on provisional performance calculations, employing the Compact propeller Technology within an aircraft will provide between 30-40% reductions in the aircraft’s rate of fuel consumption. This will decrease the aircraft’s operating costs, and extend its operating range, making it desirable for small and medium sized aircraft operators to use in their fleets.

  • Combining the competitive advantages of Helicopters and conventional aircrafts:

As mentioned herein above, employing the Compact propeller Technology within an aircraft will enable it to take-off and land vertically, while maintaining all the competitive advantages a conventional winged aircraft has, i.e. being safer to fly and quieter to operate. In addition, employing the Compact propeller Technology will enable building Helicopter-like VTOL aircrafts that can fly at speeds of up to 0.83 Mach, and can cruise at altitudes of up to 15,000 feet, which is not attainable by any of the currently in-use VTOL aircrafts. in their fleets.

  • Compatibility with other currently in use technologies:

As employing our technology in an already in-production aircraft model will necessitate minimal modifications to the aircraft design, so it can be adapted by aircrafts manufacturers in their production lines at a minimal cost. This will also be justified by the expected high market demand for the aircrafts employing this technology, once its competitive advantages are fully appreciated.

  • High Durability and Reliability:

Due to the simplicity of the design, rigidity of the structure, and the minimal number of moving parts within a Compact Propeller powertrain, Compact Propellers are highly reliable with a service life similar to, or exceeding, that of other conventional aircraft powertrain parts. Therefore, employing this technology will not bring up any major concerns to the Federal Aviation Administration (FAA), and will not result in any delays in the certification of the aircrafts employing it by the FAA. (N.B.: FAA certification of a new aircraft design typically takes between 4-7 years, and that is why we do not expect the company to begin generating decent revenue until 2025.)

Accordingly, once fully developed with its advantages being fully appreciated by the aircraft manufacturers and the Customers, it is expected to find application in more than 30% of newly produced small/medium sized aircrafts worldwide, with a production potential of up to 3,000 units/year, and with a net profit of up to $150 Million/year (based on 50K Royalty/unit).

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Risks

The risks associated with investing in this technology are as follows:

  • Technology Feasibility:

Although the technology feasibility was provisionally assessed using the reputable Multi-Element Airfoil CFD Analysis tool developed by “Hanley innovations” http://www.hanleyinnovations.com/mefoil.html, which is currently used by NASA and several other Aeronautical Research Centers, a proof-of-concept prototype needs to be built and tested for conclusive assessment of technology feasibility, which will be executed during Phase I of the R&D work. Accordingly, the highest risk in this investment will be during the current round of investment, which is compensated for by allocating high equity shares for interested investors.

  • Emerging Competitive Technology:

As this technology is considered a “Technology Leap”, and as it does not compete with other technologies being currently developed by VTOL aircraft manufacturers, but it goes along with them, so aircraft manufacturers and their affiliated Research Centers will be more concerned with developing this technology, and adapting it for use in their aircraft models, than with competing with it. This will be encouraged by licensing the technology to aircraft manufacturers through attractive licensing agreements to motivate them to apply it in their aircrafts on a wide scale.

Accordingly, the risks associated with bringing this technology out to the markets, after the successful completion of Phase I of the R&D work, are negligible. For more information, please email us at info@novoaerotech.com

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