B-Cycle is an innovative and disruptive B2B technology company dedicated to the revalorization of barley spent grains for the development of biodegradable and compostable products. It is currently focused on the production of a disruptive solution for secondary beer packaging, consisting of a biodegradable and compostable material made from the brewing industry's own barley waste.

The main customers are beer manufacturers, as design issues with secondary packaging for their products directly affect them. According to Packaging Matters (2018), 62% of consumers believe that packaging designed to be biodegradable helps build trust in a product. In Chile, there are more than 100 industrial-level beer producers, located mainly in the central and southern part of the country. Thus, most of these companies seek customer loyalty through their brand image and a quality product, to which B-Cycle can add value through sustainable marketing.

Initially, a transaction model is proposed for sales ...
B-Cycle is an innovative and disruptive B2B technology company dedicated to the revalorization of barley spent grains for the development of biodegradable and compostable products. It is currently focused on the production of a disruptive solution for secondary beer packaging, consisting of a biodegradable and compostable material made from the brewing industry's own barley waste.

The main customers are beer manufacturers, as design issues with secondary packaging for their products directly affect them. According to Packaging Matters (2018), 62% of consumers believe that packaging designed to be biodegradable helps build trust in a product. In Chile, there are more than 100 industrial-level beer producers, located mainly in the central and southern part of the country. Thus, most of these companies seek customer loyalty through their brand image and a quality product, to which B-Cycle can add value through sustainable marketing.

Initially, a transaction model is proposed for sales per unit of product, with the secondary packaging being manufactured. It is estimated that the selling price per thousand units will be approximately USD$90, generating a profit margin of 45% over the associated manufacturing costs. Under this model we expect to obtain a net income of USD$ 298,276 in our first year of sales with Becker Brewery in Chile. In the future we intend to implement a recurring revenue model, in which the customer pays for access to our product in monthly or annual fees, which will allow us to consolidate long sales cycles without having to be continuously reselling.

We currently have a commercial and collaboration agreement with Becker Brewery in Chile, part of the multinational ABInBev, with potential agreements in LATAM with subsidiaries of this multinational. Considering Becker's annual production volume, it is estimated that during our first year of sales, under the assumption of being our only customers and achieving a replacement rate within this plastic and cardboard packaging company of 12%, our net income will amount to USD$ 298,276 per year. It is also worth mentioning the interest of different craft breweries in Chile, who have expressed their desire to count on B-Cycle as their main packaging supplier, among them Hasta Pronto Brewing Co.
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Employees

Carlos Hinojosa Apud
Admin
Carlos Hinojosa Apud CEO Industrial Civil Engineer. Co-founder and CEO at B-Cycle. I am passionate about sustainability and circular economy.