FormerXBC Inc XEBEQ

Xebec New Business Model - It Will Sell Like Hot Cakes

[ZouZS3]

This revolutionizing the company on a global scale. Once the ball starts rolling, they will be to unstoppable. Can you believe Kurt compared Xebec to when Caterpillar & GE containerized their biomass to electricity power generators and sold. Can you imagine Kurt talked about converting a couple thousands of those electricity generators and displacing them with Xebec's RNG product from Germany's 9,000 biogas installations, most of them producing electricity and running on Caterpillar and General Electric containerized electricity generators operating for the last 30 years. THIS IS CRAZYYYY. XEBEC has a First mover advantage. Their sales focus is on standard products that can be factory produced, tested and shipped and installed in days instead of weeks or months, a huge change from what they used to do. The price point for the product starts at $1.5 million as opposed to $2 million to $4 million for custom-designed and engineered turnkey systems. Installation and commissioning time also compares versus custom-designed systems as it comes down to 2 weeks versus the 8 to 12 weeks seen with existing RNG systems. They want to get the order lead time to a matter of weeks once they have scaled up production and this is a big improvement from the 7 to 12 months they have historically delivered on. They aim to produce Biostream units into inventory and sell them throughout the world. Now there is no competitive product. They have basically put everything into one container. Since it's a standard product, they have a price list. The sales people sell over the price list. And that's it. There's no more engineering. It simplifies their operations significantly. It derisks everything.One of the main reasons why they are switching to Biostream is clearly because there is a risk reduction. It's a factory produced product. And once you do this, you have a bill of material. You know your cost. You test the system in the factory. You know it works. And then you deliver it and you know what the delivery time is, the installation time is and the startup time. So everything becomes a lot more predictable. We have a price list. The sales people have a price list. They know for what they have to sell the product. And that's it. There's no more drawing up a preliminary bill of materials to estimate what it will cost to build a project. Take it or leave it. Here is the product. You need two, buy two. Here is the price. And that's it. It's very straightforward. It's a much better business model.