Flex is a curated photobooth, for your social media life.


This document, and the information it contains, is provided for discussion purposes only, and does not represent an offer of any kind. Formal offers and terms are contained in the subscription or partnership agreements, which are available on request. A signed non-disclosure agreement is required for more detailed information. This document is not to be disseminated, copied, or shared.

For anything further please contact
courtney@nikhedonia.ca


SUMMARY

Opportunity

Flex is a curated photobooth, designed to thrive in a retail environment, launching a new store in Kamloops, British Columbia.

In co-operation with Nikhedonia and Twin Creek, Flex offers this market a new social media based business, that drives retail performance, in real life, in real time.

Expectation

Nikhedonia is providing operational and management support to Flex, along with creating opportunities to deploy marketing partnerships and strategies to meet the goals of the company.

We expect to exceed the minimum performance outlined in this document.

What are we doing?

We are implementing tactical marketing strategies to establish this retail / entertainment model, build stable and consistent revenue, then expand rapidly into other local markets.

Why are we doing it?

There is unrealized potential in the interaction between online and real life.

What do we know?

Heyde Haus has been a successful operator for decades. They have delivered exceptional builds, in challenging environments, and structure their business model around service to the client. Building dreams that last. Dreams you get to live in.

Nikhedonia has a depth of management and business development expertise that makes this process simple, clean, and efficient.

Twin Creek Media has proven results in comparative industries.

What will it take to get it done?

Cash: $250,000
ROI: return of capital +30%, within 24 months.
Team: Nikhedonia, Twin Creek.
Lead: Courtney Leigh


OPPORTUNITY

Challenge

Heyde Haus is a certified passive house design build firm, with years of experience delivering high end commercial and residential passive and net-zero projects.

They do not have the necessary business or marketing experience to grow past where they are today.

Heyde Haus engaged the Nikhedonia team to review and assess their operational practice, find opportunity, and offer the strategic plan to achieve their goals.

Solution

Nikhedonia is managing the growth strategy and implementation that will allow Heyde Haus to build their business. 

Part of that solution is Klimat Control Ltd.

Klimat is a business established to provide marketing and market development for Heyde Haus.

Klimat is the platform to educate, inform, seek, and acquire new build clients for Heyde Haus.

Klimat is essentially a matching service between a passive house builder, and prospective clients. We intake the client, determine their goals, and pair them with the builder that best suits their needs. Heyde Haus gets the clients that are best suited for them. The rest can be monetized through other builders and developers.

Market

Market planning and execution is delivered jointly by Nikhedonia and Twin Creek Media. A sample of a recently completed plan is here: Macatac Roadmap

The primary client is currently high net worth European immigrants re-locating to Canada. This will remain the primary target for the initial campaign.

As operational capacity expands, targets will shift to commercial partnerships, pre-fab manufacturing, multi-family developments, and higher value custom work.

Competition

Heyde Haus is one of only a handful of certified passive, net-zero design build operations in BC. There is a current waitlist with all builders, so while there is friendly competition, there is an increasing, un-met demand industry wide. The only real competition for growth is with internal operational capacity.

BC Passive House: The most significant competitor of Heyde Haus. A large commercial operation with good build quality and wide market presence.

We build to a higher standard and attention to excellence.

Naikoon: A high end custom home builder.

Due to our enclosed manufacturing facility, and line production, we are able to deliver comparable envelopes that are significantly more cost-efficient than one-off builds.

BC Timber Frame: A traditional timber frame design build firm, that offers passive as an option.

Most builders offering passive to clients do so as a small part of their commercial operation. By focusing almost entirely on passive design and construction, we are able to deliver envelopes to a consistently higher standard, and lower cost. While still offering all of the same features and amenities of a traditional timber builder.

Advantage

Heyde Haus builds to a higher quality than any other builder in the industry.

Heyde Haus delivers certified performance envelopes at a lower cost than other manufacturers.

Current operational capacity is 10 builds per year.

Heyde Haus works on the principle of Concept to Keys. That the client experience should be seamless from the moment they walk in the door to our office with an idea, to when they take the keys, and walk in the front door of their new home.

Why?

Heyde Haus is an exceptional builder. 

Nikhedonia has the expertise to establish the structure and relationships necessary to meet the goals of the business. 

Twin Creek has the marketing ability to meet the goals of the growth model.

With changing legislation, energy efficient construction methods will become mandatory. Heyde Haus already exceeds the requirements of any current or proposed legislation.

Klimat has a dedicated buyer, a clear path to consistent profit, and the tools and team to deliver exponential growth.


EXECUTION

Marketing

Marketing strategy is outlined in the Klimat Roadmap.

Sales

Klimat provides client referrals to Heyde Haus. There are no direct sales. Any prospective clients that do not fit the Heyde Haus model, can be referred to other builders.

Operations

Klimat has no active operations. It simply engages Nikhedonia and Twin Creek to deliver prospects to Heyde Haus.

Location

Heyde Haus is based out of Vernon, BC, with a manufacturing facility outside of Lumby, BC.

Heyde has delivered completed projects across BC, AB, and SK.

Tech

There are no proprietary technical or operational tools in Klimat.

Equipment

There is no equipment in Klimat.

Milestones

The process for deploying Klimat is simple.

Secure financing.
Incorporate.
Secure contracts.
Engage Twin Creek.
Accept deposits.

Metrics

Metrics and deliverables are established and tracked as will be detailed in the Klimat Roadmap.


COMPANY

Overview

Klimat Control Ltd. is a private corporation, with the sole purpose of serving the business development and marketing of certified passive house builders and service providers. Klimat intends to be the primary source, and resource, for passive house build clients in Canada, across a range of online platforms, tools, and programs.

Ownership

Klimat Control Ltd. is owned by Nikhedonia Holdings Ltd.

Structure

Klimat Control Ltd. is a private corporation, registered federally, operating primarily in British Columbia. Due to minimal day to day management requirement, there is no paid management or staff.

History

Klimat is a new entity.

Team

Courtney Leigh

Courtney is a communications and marketing specialist with a focus on performance leadership.

Her pursuit of academic and athletic achievement fortunately aligns with a passion for delivering those same results in business. She delivers clear and focused strategy, stands behind her practice, and builds teams to win.

Courtney has a decade of insight and experience in commercial and retail enterprise. She is a strong-minded and capable professional with a Bachelor of Arts, focused in Communications in Public Relations and a Marketing minor at Thompson Rivers University.

Ben Beveridge
Ben has an innate ability to connect with people, and a deeply trained skillset in discovering, planning, guiding, and supporting others to reach their goals.

Through his process, he often comes to know more about a client’s needs, capabilities, and desires than they do themselves.


Joseph Gill
Legal
Joe is a partner in the firm McKercher LLP, focused on start-up, technology, and entrepreneurial ventures. He provides “cradle to grave” business planning leveraging his expertise in corporate finance, tax, and general corporate law.

Joe brings a unique business sense to his advice having co-founded a legal technology start-up that was a participant in Saskatchewan’s first pre-seed business accelerator program. He is counsel to a number of start-ups in the technology, real estate, cryptocurrency, blockchain, cannabis, and apparel industries.

Yarden Gershony
Legal
Yarden handles disputes concerning real estate assets, breaches of contract, shareholder remedies, breach of trust and fiduciary duty, employment matters, and financial fraud and misappropriation. His broad-based practice extends to representing clients in trials, judicial reviews, appeals, mediations, arbitration hearings, and administrative hearings. He is a member of the Bars of British Columbia and New York.

Pardeep Kooner
Accounting
Pardeep runs a boutique firm that specializes in small business, providing clients with personalized service. By focusing on a deep understanding of her clients’ needs and goals, she is able to ensure that their financial goals align with efficient tax planning. Pardeep has over 18 years of experience providing personalized tax planning to a variety of small businesses ranging from start-ups to established companies.

Twin Creek Media
Marketing
James Shaw and the Twin Creek team stand behind their work like no other company in this space. Their commitment to delivering results, and real value, is without peer.

Hammock Ninja
Service Provider
Partnering with Hammock Ninja means we get the benefit of all of the tools, products, and techniques that are available to commercial clients, at a significantly reduced cost. And, we get to develop and build market specific systems, and adapt them through practical use.

Dotsuri
Service Provider
Dotsuri is a game of entrepreneur. A blockchain token. A business developer.
Dotsuri provides funding and expertise for clients supported by Nikhedonia.

Shawn Pol
Finance
Our primary partner is Scotiabank, because Shawn is exceptional, and has a unique perspective of bankers empathy. A real feeling for what it takes to make a business work. We have established relationships with Manulife Bank, BMO, RBC, Harris Bank, and several credit unions and private banking firms.

Ken Davidson
Advisor
Ken is the former BDO Canada Atlantic Managing Partner and Board Chair. Mentoring motivated entrepreneurs who are driven to succeed.

Management

Klimat Control is managed by Nikhedonia Ltd.

Advisors

Ken Davidson
Shawn Pol

Support

Klimat is supported by the Nikhedonia, Twin Creek, and Heyde Haus teams, and their respective service providers.


FINANCIAL

Forecast

Our current contract pays 5% of gross revenue, paid by any client referred to Heyde Haus.

Our marketing team delivers a minimum 2x ROI on a $5,000/month advertising budget.

The initial marketing plan cost is $10,000.

For 4 referrals per year, the direct cost is $60,000, and the revenue is ~$120,000.
For 8 referrals per year, the direct cost is $60,000, and the revenue is ~$250,000

Any referrals beyond Heyde’s capacity, or outside of its ideal market, can be monetized through other builders.

Rapid expansion of capacity and market for Heyde is already planned and ready to implement, growing our profit potential.

Assumptions

This model is based on Heyde’s minimum client sale ($600,000), 50% of current operational capacity, and approximate quarterly build/payment schedule of 20/40/20/20.

This forecast assumes the referral of 1 new client, every 3 months.

With operational support, and TCM performance, it is likely that this would soon be 1 client per month.

Our targets for this campaign are focused on builds exceeding $1,000,000.

Income

Income projections are based on 1 new client (minimum $600,000) per quarter.

Each client referred pays out 5% of gross revenue, as per their build and completion payments.

With these assumptions, each new client would typically generate four quarterly payments of $6,000 / $12,000 / $6,000 / $6,000.

Expense

There is a one time initial cost of $10,000, and a single monthly expense item of $5,000 / month to Twin Creek Media for advertising.

P/L

Klimat expects to generate revenue within 120 days, and be profitably self sustaining within 12 months.

Finance

$100,000 is necessary to meet the goals of the business.

Use

Funding will be exclusively utilized to support the marketing efforts of Klimat, in partnership with Twin Creek Media.

Source

Investment is available only through revenue and profit sharing agreements.


STATEMENTS

P/L

TBD

Balance

TBD

Cash

TBD

Highlight

A preliminary Balance Sheet is attached.

Need

$100,000 to fund the marketing and advertising that generates revenue producing referrals.


NOTES

Barriers to Entry

There are no barriers to entry. Klimat is simply combining the needs and skillsets of three companies in alignment towards a shared goal.

Exit Strategy

The investor receives 100% of the revenue, until the balance is paid. Then 50% of revenue until the interest is paid.

Return

Return of capital + TBD%

Future

There will be investment opportunities through this, and related channels, as Heyde’s operational capacity expands, and our business development efforts deliver results.

IP

All IP created or developed is owned by Klimat Control Ltd. Most marketing and business development programs can be implemented by Klimat, leased or licensed to Heyde, and potentially even sold to competitors, as they will have equal value to any builder or service provider in this market.

Key Client

Heyde Haus is the key client.

HR

There is no HR requirement.

Growth

Growth projections are included in the Klimat Roadmap. A reasonable target is 10x the direct investment in advertising, or roughly $500,000 per year, for $5,000 per month.

Trends

There is massive growth on the horizon.

There are not enough builders to serve the current need in a timely manner.

Traditional builders and developers are not prepared for the shift. The will either have to completely retrain their entire workforce and workflow, or contract out the build.

Legislation is making energy efficient construction mandatory.

Clients are actively seeking this method of construction. They want better. We can do better, better than anyone else in the business.

Partners

Nikhedonia
Dotsuri
Twin Creek Media
Heyde Haus
Design Build Energy

Resources

Nikhedonia, Twin Creek, and Klimat have all the necessary resources to reach the goals of the business.

Pricing

There is no pricing. We receive a percentage of the gross revenue paid by the client to Heyde Haus.

Regulatory

There are no regulatory or licensing requirements to be met.

Risk

Total risk is the cash deployed between engagement and revenue. In this case $25,000 and potentially 6 months.

Roadmap

Klimat Roadmap to be delivered.

Validation

Validation occurs on the first successful client referral to Heyde Haus.