March 2017 1
Contents Disclaimer
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The Medsis Opportunity
4
Market Opportunity for Medsis
5
Western Hemisphere
6
Eastern Hemisphere
7
Humanitarian Projects
8
A Brief History Of Medsis
9
Current Subsidiary Structure
10
Current Leadership Structure
11
Future Subsidiary Structure
12
Future Company Structure
13
Future Leadership Structure
14
Corporate Directory
15
Business Models
19
SaaS & SaaDS
20
Donation Model
21
Additional Business Models
22
Financials & Revenues by SaaDS Projects
23
Financials & Revenues
24
Colombia: Unidad de VĂctimas
25
Brazil: Uni Saude
26
Peru: DataPrev
27
Colombia: Colpensiones
28
Brazil: Municipality of Japeri
29
Brazil: DataPrev
30
Financials for Data Valuations
31
Corporate Valuation
32
Substantiating Value: Medsis Contracts
33
Corporate Valuation
34
Value of Medsis
36
Substantiating Value: Medsis Contracts
37
Medsis Ownership
38
Current & Projected Shareholder Structure
39
Costs and Expenses Comparison
40
Current Medsis Financials
41
Future Medsis Financials
41
Key Partnerships
42
Summary 44
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Disclaimer This is not an offering document This confidential preliminary information has been prepared and furnished by Medsis International Inc. (the “Company”), solely for information purposes to assist the recipient with further analysis of the transaction contemplated herein. This document does not constitute an offer or invitation for the sale or purchase of securities. The information set out herein is preliminary and should not be relied upon for any purpose. Neither the Company nor any of its affiliates makes any representation or warranty, expressed or implied, as to the accuracy or completeness of the information contained herein and none of such parties shall have any liability for such information. Interested parties should conduct their own investigation and analysis of the Company, its business, prospects, results of operations and financial condition. In furnishing this information, the Company undertakes no obligation to provide the recipient with access to any additional information or to update or correct the information. Except for internal use, this information may not be excerpted from, summarized, distributed, reproduced or used without the prior written consent of the Company. The investment opportunity described herein is speculative and entails a high degree of risk. Due to the illiquidity of this investment, if you invest, you must expect to bear the economic risk of the investment for an indefinite period. The Company does not expect that any market will develop for the securities described herein. Certain statements in this document that are not historical fact constitute “forward-looking statements.” You are cautioned not to place undue reliance on these forward-looking statements. The Company generally identifies forward-looking statements by using words like “believe,” “intend,” “target,” “expect,” “estimate,” “may,” “should,” “plan,” “project,” “contemplate,” “anticipate,” “predict” or similar expressions. You can also identify forward-looking statements by discussions of strategies, plans or intentions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results of the Company to be materially different from historical results or from any results expressed or implied by such forward-looking statements. All forwardlooking statements herein are qualified in their entirety by this cautionary statement.
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The Company management based all estimates and projections as to events that may occur in the future (including projections of revenue, expense and net income) upon their best judgment as of the date of these materials and upon assumptions and circumstances and events that have not yet taken place, may not have an empirical basis, are subject to variation and are inherently unpredictable. Whether or not such estimates or projections may be achieved will depend upon the Company achieving its overall business objectives and the availability of funds, including funds from the sale of the securities described herein. There can be no assurance that any estimates or assumptions will prove accurate or that any of the projections will be realized. The Company does not guarantee that any of these projections will be attained. Actual results will vary from the projections, and such variations may be material. The Company made the statements in these materials as of the date hereof unless it is stated otherwise. Neither the delivery of these materials, nor any sale of securities by the Company after the date of these materials, shall create any implication that the information contained herein or the affairs of the Company have not changed since the date hereof or that such information is correct as of any time subsequent to its date. The information in this document is not targeted at the residents of any particular country and is not intended for distribution to, or use by, any person in any jurisdiction or country where such distribution or use would be contrary to local law or regulation. Furthermore, the securities referred to in this document are not available to persons resident in any jurisdiction or country where such distribution would be contrary to local law or regulation.
Furthermore, the securities referred to in this document are not available to persons resident in any jurisdiction or country where such distribution would be contrary to local law or regulation.
The Medsis Opportunity Medsis is changing the way critical population data is captured and delivered Worldwide. Our unique approach to data currently positions us to become the world’s largest information system provider as well as the world’s largest integrator of data based financial inclusion projects, allowing the populations that we serve to maximize their access to the benefits and programs available to them from their respective governments. As a company, Medsis has stationed itself in a market where no other company is currently competing by creating a new business model that integrates two technological models: Fin-tech (direct revenues) and Data (corporate value). Direct Revenues through Fin-tech Medsis will earn substantial revenue from the government contracts we already have in process. While some of these are direct payment government contracts, more often the revenue comes from issuing stored-value cards using our strategic business partnerships in the Fin-tech world. Corporate Value through Data Through our contracts with government entities, we own usagerights to “anonymous” population data. By providing a mobile app to our database, a feature our government customers have asked for, we get the individual’s permission to market to them (much like Facebook), allowing access to more valuable individualized criteria needed to communicate with the consumer for direct marketing. The app will offer balance inquiry, money transfers, medical appointments, mobile phone top-up and many other valuable features. By combining the two separate Fin-tech and Data markets, we greatly enhance the value of both. In this presentation, we will compare these business models and valuations to other “comparable” companies in the marketplace. Based on historical achievements and future projections, we intend to demonstrate that Medsis is not only one of the most innovative IT companies in the world today, but that its potentialis far greater than any other data technology company.
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Market Opportunity for Medsis The next generation of global tech companies will not be conceptual value companies, those that build or gather information and the potential to access individuals for strictly marketing purposes. They will be sustainable companies that build on both traditional a sustainable revenue model as well as a large-population vision of capturing hundreds of millions of “lives� with their technology. The purpose of this document is to show that Medsis is that type of new company. By reinventing the traditional SaaS model and building our unique SaaDS approach, we have found a way to assimilate incredibly large populations while creating sustainable revenue models to not only match, but to fuel extremely aggressive growth. As an example, if we look at the current Brazil project with 1.8 million lives at the 100% implementation rate currently being projected we can pull back and see that’s only about 12% of the total project. The expected on boarding rate of that project is to have 16 million lives in 18- 24 months, increasing the projected revenues by almost 800%. With realistic projections like this, Medsis is re-imagining the global marketplace and how to assimilate and leverage information. Our current growth rate is putting us on course to be one of the fastest growing companies in history.
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Western Hemisphere Costa Rica - 4.8 Million lives Panama - 3.8 Million lives Nicaragua - 6 Million lives Jamaica - 2.7 Million lives Honduras - 8 Million lives Ecuador - 15 Million lives Paraguay - 6 Million lives Uruguay - 3 Million lives Turks and Caicos - 40 Thousand lives Bahamas - 350 Thousand lives El Salvador - 6 Million lives Guatemala - 15 Million lives Dominican Republic - 10 Million lives
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Eastern Hemisphere Nigeria - 175 Million lives Ghana - 25 Million lives ECOWAS (without Nigeria and Ghana) - 135 Million Lives Kenya - 44 Million lives Tanzania - 49 Million lives Philippines - 102 Million lives Vietnam - 89 Million lives Cameroon - 22 Million lives South Africa - 52.98 Million South Sudan - 11 Million
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Humanitarian Projects As part of Medsis’ technological global outreach, we also are planning to use both our technology and our R&D needs to address a major global need. At Medsis, it has been a primary goal since our founding to leverage a percentage of our budgets to advance our technology in the humanitarian sphere and see how we could turn our focus to truly help those around the world that are currently “off the grid”. That is why we have chosen to join the global effort to combat human trafficking.
Medsis’ 2017 goals begin to deploy CEREBRO and our technologies into the following national markets. These are three of the epicenters of human trafficking worldwide, and the registration capabilities that have developed for initiatives like the “Yellow Card” project give us the ability to not only register individuals, but to be able to identify victims throughout the world. These markets are:
India - 1.252 Billion Lives Human trafficking has become a major issue worldwide, and the availability of information on this epidemic is beginning to open the eyes of governments and entities around the world. The definition of human trafficking is the action or practice of illegally transporting people from one country or area to another, typically for the purposes of forced labour or commercial sexual exploitation.
Nepal - 27.8 Million Lives
The United Nations (UN) considers trafficking to be the third largest international criminal industry at $150 billion a year. It the largest human rights issue of our time that denies children of their ability to exercise and realize a wide range of rights including the right to belong and have an identity; the right to freedom, education and healthcare; and the right to not be subjected to torture, or cruel and inhuman or degrading treatment.
By year-end 2017 we plan to propose detailed solutions and begin actual installations for well over 400 Million lives in the very regions where we already exist and operate! But without global expansion and outreach, we won’t be able to keep up with the growing need worldwide. Medsis is uniquely positioned to be a global leader in addressing this expanding epidemic and helping to try and make a real difference in the lives of individuals worldwide.
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Thailand - 67 Million Lives
A Brief History Of Medsis Medsis was officially established in 2014 as an extension to two successful technology firms : under founder Dax Cabrera, Intelitek Corp and under founding member Patrick Mulcahy, EMD Systems, which is now part of Medsis. In combining their innovative technology systems, Medsis was created to capitalize on the enormous opportunity in non-US HCIS markets. Medsis was founded and originally headquartered in Panama City, Panama to serve as a strategic epicenter for regional operations. Based on extensive research throughout the immediate region surrounding Panama, the initial Medsis business plan was based solely on opportunities that became available through Public Tenders (including Requests For Proposal or RFPs). Due to the evolving nature and strength of our technology, we quickly realized that there were faster ways to enter into a marketplace and create growing recurring revenues by using a financial inclusion model that generates third party payments to cover the cost of our services. This concept forced us to rethink our business model as we saw what could be accomplished using our unique technology, created with the intention and ability to capture entire national databases (a goal that cannot be accomplished in the US due to burdensome structure, laws, and regulations). We quickly realized that a wide array of nationwide financial services could also be offered as entire populations are brought into our technology. This, amongst other business plan strategies, has now replaced our antiquated approach as we have been to deploy our
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explosive “donation� model throughout the region. The result of our research and development over the last 24 months has not only reinforced the immense power of this model, but has recently catapulted Medsis to a growth rate that is much faster than ever anticipated. Because of this growth, the entire structure is being restructured under Medsis International, Inc, a holding company that is the owner of all Medsis properties and assets. With a U.S. entity encapsulating all of Medsis’ assets, it became a priority to not only asses the opportunities at hand, but the future strategies of truly taking Medsis global. This groundbreaking model has not been attempted to date by any other competitive company and is the foundation upon which Medsis was built, leading to our first capital raises through Braintree Mobiletech LLC. Since then, Medsis has begun presenting projects at a rate that is difficult to keep up with and in turn has pushed us to take growth steps sooner than expected. As we continue to pursue opportunities, we are very focused on ensuring sustainability. It is the intention of this document to not only show in detail how our business model is disrupting government and financial systems, but how Medsis does so while becoming a sustainable company that is poised to truly change the world.
Current Subsidiary Structure Medsis Medical was established in 2014 in the country of Panama, prudently chosen as a bridge to the Americas. The vast majority of Medsis’ opportunities have come from the
Medsis Medical Systems is wholly owned by the US Holding company, Medsis International, Inc. All ownership or equity spoken about in this document are in relation to Medsis
original contacts in Panama entities.
International, Inc
In 2016 the decision was made to move the Medsis holding company back into the United States. The vast majority of Medsis entities throughout LATAM are wholly owned by Medsis Medical in Panama.
Company
Founding year
Country
Country Registration Number
Medsis Medical Systems, S.A.
2014
Panama
RUC. 2501694-1-819120 DV 70
Medsis International, Inc.
2016
U.S.
EIN: 81-3794262
Corporation & Office
Medsis International U.S. Miami
Local Office Only Medsis International U.S. N.C
Medsis Medical Panama
Medsis Panama Panama
Medsis Peru Peru
Medsis Colombia Colombia
Medsis “C.R” Costa Rica Medsis Colombia Bogota
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Medsis Colombia Medellin
Current Leadership Structure Due to the growth rate, our infrastructure was created to best serve the opportunities while still remaining flexible and effcient enough to maintain low costs and stretch out our initial
Since each of our departments fall under the Medsis International umbrella, our leadership structure is condensed and proven to be skilled at working as a productive, single-
investment.
minded entity. We have incorporated a more horizontal structure that lets us address challenges quickly and seamlessly from any point within the Medsis organization.
Our hierarchy is simple but calculated to have a wealth of knowledge and experience at every level of leadership. Our team has been hand-picked and conditioned to boost results on limited resources. As current President and CEO, Dax Cabrera manages executive operations and the expansion or sales efforts of the organization. Patrick Mulcahy handles all technology and implementation strategies to ensure that our product is and remains first in class around the world.
CEO/President Dax C.
Administration Sara M.
Legal/Corp Structure Charles C.
CTO - Global Specialist Obi T.
Corp Structure/Finance Mark G.
Sales Pablo C.
Marketing
Public Relations Alfred C.
I.T Jaime M.
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H.R
Q.C Marta B.
EVP Product Development Pat M.
Digital Payments Doug R.
Lead Developer Frank. C
Accounting
Special Projects Randy O.
Future Subsidiary Structure In order to accomdate the projects that have already begun, Medsis’ subsidiary network and local offces will inevitably have to grow. Medsis International, Inc. will continue to be the holding company for the entire Medsis subsidiary structure, but the local office network will sustain regional opportunities as they continue to arise.
*Medsis East: To date is the only region yet to be defined. Medsis has been approached by several countries in both Asia and Africa, but our Eastern hemisphere markets still require definition, but will be evaluated when the opportunities make those markets viable.
Corporation Only Corporation & Local Office Local Office Only TBD
Medsis International U.S. Virgin Isles Medsis International U.S. N.C
Medsis Medical Panama
Medsis Panama Panama
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Medsis Peru Peru
Medsis Colombia Colombia
Medsis “C.R” Costa Rica
Medsis Brazil Brazil
Medsis East
Medellin
Bogota
Rio
Brasillia
Sao Paulo
Future Company Structure With the inevitable expansion that Medsis is set to undertake, there are certain realities that we were faced with in the planning of our next growth steps. At this point, we are preparing to become a publicly listed company. Since Medsis in it’s entirety is so unique, there is no way to define our abilities as an isolated single entity. The evolution of our business model and opportunities have created new, organically defined departments within the Medsis structure. Each of these subsidiaries plays a significant role in different opportunities throughout the globe. As a parent (or holding) company, Medsis is positioned to create the following standalone entities, each of which should become fully self-sustainable within 12 months:
• A Clinical entity to manage healthcare specific deployments. • A Hardware Engineering company to create custom hardware solutions. • A Financial entity to handle digital payments. • A Management com3pany to create and maintain programs, such as public private partnerships, within governments. • And the existing Medsis Subsidiaries, which will remain dedicated to the software and data goals that Medsis was founded with.
Medsis International
“Medsis Clinical” Clinical
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“SISDEM Engineering” Hardware Engineering
Medsis Subsidiaries Software
Medsis Financial Digitial Payments Company
TransPhoton Corp Management Services
Future Leadership Structure Though the Medsis leadership hierarchy has been implemented and groomed to be effective and effcient as a team, we are inevitably planning our next steps in the growth process to better shape and manage departments, child companies, and opportunities as they continue to solidify themselves. Though, as a team, Medsis International will remain the entity that owns and controls each of the assets in the Medsis family line, some of our leadership structure will be built of different child company members listed in the section above. Even so, while our goal is to create autonomous, selfsustainable divisions within Medsis, our leadership goal remains to be a single-minded entity that is set to change the world in positive and dramatic ways.
CEO Dax C.
Board of Directors EVP Product Development Pat M.
President
Security & Logistics Paul Ha.
CTO - Global Specialist Obi T.
Sales Pablo C.
VP Marketing Sara M.
Digital Payments Doug R.
Special Projects Randy O.
LATAM Payments Administration Sara M.
CFO
Financial Adviser Paul H.
Brazil Payments
Legal
Public Relations Alfred C.
Business Dev Olga S.
Corporation & Office Local Office Only
I.T Jaime M.
Hardware Dev
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H.R
Product Security
Q.C Marta B.
Lead Developer Frank C.
Accounting
D.B
TBD
A.I
Implementation
Clinical Development
Corporate Directory 15
Dax Cabrera Founder, Partner & CEO An intense Microsoft-trained background led Mr. Cabrera to a starting position as installer of technological systems in Radiology and Nuclear Medicine in Florida, leading him to the position as Director of Service at TransPhoton Corp. For 14 years, Dax was involved in designing, supplying, installing and integrating a variety of systems— electronic systems, commercial networks, structured cabling and telemedicine equipment telemedicine in countries like Hungary, Israel, LATAM, the Caribbean and the US. In a critical role involving a lengthy job project for TransPhoton, Dax assisted in releasing a new nuclear medicine cardiology camera line, passing the US-FDA as their first cardiology camera
system approved in the American market, and further developed these groundbreaking design systems for remote access and the cloud. He also headed a designer group integrating PACS/ RIS, health systems and hospital systems using a new hybrid with local dedicated servers and cloud. Today that same model is still used in the State of Florida, with more than 19.3 million users. In 2008, Dax and Pat envisioned and developed the core technology that exists within the Medsis platform today. For the past six years, together with EMD Systems, the technology has evolved and is now being installed in global markets.
Patrick Mulcahy, Co-Founder, Partner & EVP Product Development (and currently CEO of EMD Systems) Mr. Mulcahy’s career includes senior level positions in product development, product management, implementation, product specialist, medical sales, and clinical systems specialist at several industry leading organizations. With 15 years of clinical radiology experience working multiple sub-specialty areas such as Diagnostic Radiography, CT, MRI, and Special Procedures. Pat also filled several lead tech and administrative positions in a multitude of environments ranging from small rural hospitals, large municipal hospitals, imaging centers, and mobile environments.
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As the top consulting IT executive for Viztek, Pat was responsible for the design and overseeing of the Viztek PACS product, the primary technology Konica Minolta “valued” when they bought Viztek for $69 Million in October 2015. Above all, Patrick’s biggest asset is his knowledge and understanding of healthcare IT, imaging workflow and complex systems architecture. It is this knowledge that has allowed him to help bring Medsis “Solutions” to the world, not just “Products”.
Randy OKane Partner & EVP Business Development (and currently CEO of EMD Systems) With a career of creating and selling successful companies in both the medical and financial-transaction worlds, Mr. OKane has a unique perspective on the possibilities in combining the two technologies. Randy’s first company Technology Imaging Services, a medical imaging distributor, grew to one of the INC 500 fastest growing companies in America in 1996 before he sold it in 2002. Among his other sold companies are Medovation, a medical software company; RadQual, a radioactive medical device manufacturer, as well as Sparkbase, a gift and loyalty card database which
Randy’s specialty is finding creative ways to form successful business partnerships by putting together groups of talented people with similar goals. Randy is a trusted advisor to Dax Cabrera and a graduate of Dartmouth College.
eventually grew to over 200 million transactions processed in 2015.
Mark Gibbons Corporate Structure & Finance With over 15 years experience working with new, local and global businesses Mark has a wealth of experience in marketing, new business development, sales and stakeholder relations. This is complimented with a current EU operating license in the personal financial sector (offshore) and RG146 Compliant Qualifications in Australia. Mark has played an integral role in highly successful, large scale business integrations including:
•
N Creative and its acquisition by British Tobacco for 50,000,000 (GBP)
•
PM Training and its acquisition by Aspire Housing for 4,000,000 (GBP) to create the United Kingdom’s largest social enterprise venture
•
The transition of Finning CAT (Plant Equipment) into Briggs Equipment UK as part of a 70,000,000 (GBP) merger
•
The creation of Azurtane a division of BP Marine fuels which sold to Krystallon for 15,000,000 (GBP)
Mark is an experienced, outcome focused professional committed to the success of Medsis.
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Douglas Raymond Consulting VP Digital Payments With over 25 years of industry experience, Doug has served a number of senior roles in the payment card and mobile financial services industry, including prior to joining RPD as COO Global Markets at Mozido, a cloud-based mobile services company focusing on the unbanked consumer sector while providing worldwide digital payments, financial services and consumer engagement solutions for retail, banking and mobile networks, His work included structuring many key business agreements which increased revenues by over 300% within one year.
Prior to Mozido, Mr. Raymond spent over 20 years at MasterCard, becoming Group Head of the Global pricing and interchange division, penetrating new underserved categories. His new pricing strategies increased card revenues over $3B and he led new US/ European regulatory and compliance in Asia, Middle East, Latin America and Canada. Doug is a CPA, formerly with Arthur Andersen, and he is a graduate of the Syracuse Whitman School of Management.
Obi Taiwan Ozochiawaeze PhD, Chief Technology Officer Dr. Obi Taiwan is a world-class Senior Technology Executive and Strategy Leader. He has deep global, cross-industry experience in healthcare, government, technology services, military, multinationals, venture capital-led start-ups, as well as large and small government agencies. His mission is admirable – Dr. Taiwan believes in the power of innovation to tackle the World’s biggest and most essential challenges. Obi is a graduate of New York University - Leonard N. Stern School of Business.
Dr. Taiwan’s most recent and ongoing professional accomplishments include: • Senior Special Advisor, Technology & Healthcare, United Nations 2013 – Current
• Head of International Program Delivery, Mobile Strategy, and Application Development for Aetna Insurance Jan 2011 – Dec. 2014
• Senior Adviser, ICT Task Force for United Nations Jan 2005 – Jan 2011
• Vice President & Director of Applications Development for WellPoint, Inc. Oct 2006 – Dec 2010
• Chief Information Technology Officer to the United Nations Sep 1997 – Jan 2005
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Business Models 19
SaaS Software as a Service companies (SaaS) provide cloud-based technology solutions to their customers through the Internet. As a business model, SaaS companies typically charge a monthly
based on CLV (Customer Lifetime Value). Identifying CLV, this document will model the projected direct revenue model based on the two executed contracts on hand. By then taking into
or licensing fee per user to generate a revenue model that becomes more sustainable the longer the customer is in place.
account the additional projects that are awarded or under latestage negotiation, we project the revenue path that Medsis is currently following.
Though Medsis began as a company that anticipated most revenue being earned through direct government purchases (via awards won through government bids and RFPs), our evolution into the SaaS space has created long-term value and sustainability. The valuation of SaaS companies is also a standard practice in today’s technology world, generating corporate stock value
The one key difference between Medsis and a typical SaaS company is the payee for the licensing fee. In the typical SaaS model, the individual using the service is responsible for the ongoing payment of that license. In the Medsis model, however, we have designed a way to create a third party payment for that licensing fee. This payment structure is facilitated through our innovative “donation� model.
SaaDS Medsis is a new kind of SaaS, and we call it a SaaDS (Software as a Donation Service). This model is a completely new version of the SaaS business model in that it derives the licensing revenue from a third party. In this case, the third party is the commercial market. In our partnership with financial inclusion technology providers (such as WAIV or the payment networks like Visa), we can craft revenue models based on calculable transaction revenue. This is patterned much like the American company GreenDot (a multi-billion-dollar public company) which built a business model through financial inclusion and receives a percentage
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of every transaction that goes through their system. Using financial inclusion allows Medsis to generate a revenue stream that can be converted into a global licensing fee. This licensing fee then can be broken down into a per- user revenue share, allowing Medsis to deploy the typical CLV model through which other SaaS entities measure their value. In the next section, those financials will be broken down, starting with the two projects that are currently signed, then estimated for the other projects currently in process or in latestage negotiations.
Donation Model When dealing with government entities, a technology provider is extremely limited in being able to bring about any changes or improvements for two reasons: 1.
It is illegal for governments to use public funds replace an existing system that is still under contract:
•
When a government purchases a software solution, such a purchase typically comes with a fixed contract period, defined in the bid process. Using public funds to replace a system pr4eviously contracted may lead to corruption hearings and possible jail time.
•
When Medsis was ready to implement our solution in Panama, we came face to face with this stark reality. With more than 120 different platforms within Social Security and the Ministry of Health, for our ViSION platform to unify, the user end software solutions could not be replaced since they were all under prior contract with government funding.
•
That reality is what caused Medsis to split our primary platform into two (the database back-end “CEREBRO” and the user interface front-end “VISION” products). By launching Cerebro as an independent platform, this allowed us to both unify the existing systems through their “back-end” (without the need to replace them), as well as to begin consuming entire regional or national population databases.
2.
There is no guarantee that Medsis will win an open public bid
•
Even though Medsis may be the best suited to win each of the bids that we participate in, there is still no guarantee that will happen. As in any situation, when we face broad competition and must overcome a wide variety of political factors (this can be the case in many of these countries), it becomes impossible to accurately predict the award rate, and even if we are awarded the majority of bids, the time and resources it takes to win can be overwhelming. To make matters even more diffcult, we may find that through the typical bid/RFP process we end up being forced to work with other companies that are nowhere near up to speed with our technology.
So as a remedy to address these important roadblocks and hurdles, Medsis created our “Donation Model”. In a nutshell, the donation model mixes two very different models into one. By integrating Financial Inclusion into our data projects, Medsis has created massive government data projects that fund themselves by using transactional or fin-tech revenue. This is an approach that has never been used in the SaaS world, and through this donation model, Medsis has found immediate success. Why the “donation” model works so well for Medsis: 1. 2. 3. 4.
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No Public Money is needed, eliminating the bid process With no RFP, projects can be awarded immediately As a donation, Medsis, can control the contract and the terms, not the government We can own usage rights to the anonymous data
Additional Business Models As stated before, there are a number of other additional revenue models, even though those models are harder to predict. While Medsis is already engaged in projects that fall under each of these categories, those revenue streams would be in addition to the valuations shown in this document, and due to their unpredictable nature are not considered in the Medsis current valuation. 1.
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Typical Government Bids: We actually try to avoid these projects because of time and lack of certainty. We may participate in some, but the Donation model and PPP’s are both certain and have a much shorter award time.
2.
Direct Government Deals: These are the fewest and farthest in between. Right now we have none in the loop worth considering.
3.
Public Private Partnerships (PPP’s): While we have several projects that are technology “hybrids”, the projects that we have in front of us that are purely technology based are the following: (I can give you details of the technical side of each of these, but for revenue’s sake that has not been determined so we aren’t projecting that, YET)
Financials & Revenues by SaaDS Projects 23
Financials & Revenues In this section, we will review signed contracts, awarded projects, and projects currently under negotiation under our primary SaaDS model. We will also demonstrate a Rate Card line item example which is what we use when we calculate revenues based on load and spend. It is important to note that each of these projections are based on best guess and current market conditions in each market. Each market will have slight variations per line item or due to the breakdown split of the banks and the payment networks.
Example of Summarized financial revenue modeling
Sample lookup table Number of Annual Customers Annual Load
How many individuals annually will access financial inclusion.
For government Load projects that don’t guarantee spend. These categories are for loading money onto a digital system
Monthly Load % of assumed spend from load
% Amount of anticipated spend from the set load
Assumed Monthly Spend
The above category translated into actual dollar spend amounts
% of Average Monthly Transactions
Medsis Revenue based on split
App Access
Assumed % of Mobile app usage
These columns
Open Loop ransactions
% of assumed transactions
Detail the revenue
Closed Loop Transactions
% of assumed transactions
that Medsis can expect
Load fee
revenue based on govt load
from each line item in
Additional Line Items
Sum of other predictable line items
the rate card
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Market Lookup Table: This table is used to set the parameters of the individual projects that we currently have signed.
Each of these fields is assuming full implementation. Full implementation is estimated to take 4-6 months from project launch. Revenues will ramp up accordingly and remain sustained or grow through project duration.
Colombia: Unidad de Víctimas The “Unidad de Victimas” was the first SaaDS contract that Medsis signed. The specific details of this project are as follows: in total, the number of identified victims is 8.2 million lives and
• Contract term: 10 years • Estimated monthly revenue once project is at 100%: $93k • Estimated annual revenue once project is at 100%: $1.116
is a program that will have an annual recurring government load of $410 million put onto our system • Total number of lives in the database: 8.2 million lives • Total number of lives to receive funds: 6.5 million lives • Total number of annual recurring lives on financial dispersement: 1.25 million lives
Million • Total Value of contract in Revenue: $11.16 Million
Market Lookup Table Unidad de Victimas Number of Annual Customers
1,250,000
Annual Load
$410,000,000
Monthly Load
$34,166,667
% of assumed spend from load
20%
Assumed Monthly Spend
$6,833,333
Expected Annual Growth
0%
Typical Market Processing %
2.5%
Since this is a government “Load” project, we eliminated the majority of the transactional line items from our calculations. Using VISA’s in-country estimates that 20% of the population will use the loaded money in spend, our numbers are based on those estimates. These estimates also only anticipate 5% app coverage (at a cost of $.99) and a 3% additional
% of Average Monthly Transactions
deposit fee ($.99)
Medsis Revenue based on split
App Access
5%
$18,563
Open Loop Transactions
1
$12,813
Closed Loop Transactions
0
n/a
Account Deposit Fee
5%
$61,875
Each of these fields is assuming full implementation. Full implementation is estimated to take 4-6 months from project launch. Revenues will increase accordingly and remain sustained or grow through project duration.
Projected Medsis Monthly Revenues Total
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$93,250
Brazil: Uni Saude Uni Saude is a special government insurance entity that serves middle to upper class members. This signed project starts at 1.8 million total lives but is expected to grow to 16 million in the
• •
Total number of lives to on the program: 1.8 million lives Total number of annual recurring lives on financial dispersement: 1.8 million lives
next 18-24 months. This will grow across many regions of Brazil, with the initial 1.8 million members located in the Rio area. This project is different from a government load program in that it is a “Spend” calculation, with the users required to pay monthly premiums.
• • •
Contract term: 10 years Estimated monthly revenue once project is at 100%: $591k Estimated annual revenue once project is at 100%: $7.092 Million Total Value of contract in Revenue: $70.92 Million
•
Market Lookup Table Uni Saude Number of Annual Customers
1,800,000
Annual National Remittances
n/a
Minimum National Salary
$314.00
% of assumed spend from load
100%
Assumed Total Monthly Spend
$565,200,000
Expected Annual Growth
10%
Typical Market Processing %
2.5%
This project value is primarily data. With an immediate national mobile financial system, the monetary assumptions are based only on national remittances and the current minimum wage. Monthly fin-tech revenues are based only on below percentages of remittances and population projected to put payroll onto the platform.
% of Average Monthly Transactions
Medsis Revenue based on split Each of these fields is assuming full implementation.
Projected App Access
5%
$267,300
Open Loop Transactions
1
$1,059,750
Closed loop transactions
0
n/a
Full implementation is estimated to take 4-6 months from project launch. Revenues will increase accordingly and remain sustained or grow through
Projected Medsis Monthly Revenues Total
26
$1,327,050
project duration.
Peru: DataPrev This Peru project serves 41 healthcare centers. These centers will convert to a system whereby all incoming medical service payments must be made using our cashless digital rate
used outside the closed-loop healthcare system. The current spend being received by the healthcare centers is $215 million annually.
card system. This is also a purely “spend” model but a key difference is that this project will also have additional outside revenue (that we can’t yet calculate) because of the nature of the card. Since we are also the payment collector, we have the ability to facilitate “closed-loop” transactions within the centers, giving us higher revenue. But by also branding the cards with an open payment network, this will allow these cards to be
• • • •
Contract term: 10 years Estimated monthly revenue once project is at 100%: $211K Estimated annual revenue once project is at 100%: $2.53 Million Total Value of contract in Revenue (without growth): $25.3 Million
Market Lookup Table Peru: Solidaridad Number of Annual Customers
7,500,000
Annual Load
n/a
Individual Monthly Spend
$2.39
% of assumed spend from load
100%
Assumed Total Monthly Spend
$215,000,000
Expected Annual Growth
5%
Typical Market Processing %
1.5%
Since this is spend program and not a government “load” program, the anticipated revenues are all valued at 100% of the project. This is due to the fact that the number of members associated with the project are TODAY spending the revenues listed. These projections also do not contemplate any
% of Average Monthly Transactions
percentage of growth. Growth will be shown in a different area.
Medsis Revenue based on split
Projected App Access
10%
$170,775
Open Loop Transactions
0
$0.00
Closed loop transactions
1
$40,313
Each of these fields is assuming full implementation. Full implementation is estimated to take 4-6 months from project launch. Revenues will increase accordingly and remain sustained or grow through
Projected Medsis Monthly Revenues Total
27
$211,088
project duration.
Colombia: Colpensiones This is the Colombian Pensions entity. This is also a load program but would be different in that it is a monthly recurring load. The numbers on this project are 1.4 million pension
• •
Estimated contract term: 10 years Estimated monthly revenue once project is at 100%: $971 Thousand
recipients at an average of $400 per month. The total annual load on this program is $6.7 Billion
•
Estimated annual revenue once project is at 100%: $11.65 Million Total Value of contract in Revenue (without growth): $116.5 Million
•
Market Lookup Table Colpensiones Number of Annual Customers
1,400,000
Annual Load
$6,720,000,000
Individual Monthly Spend
$400.00
% of assumed spend from load
50%
Assumed Total Monthly Spend
$280,000,000
Expected Annual Growth
1%
Typical Market Processing %
2.5%
Since this is spend program and not a government “load” program, the anticipated revenues are all valued at 100% of the project. This is due to the fact that the number of members associated with the project are TODAY spending the revenues listed. These projections also do not contemplate any percentage of growth. Growth will be shown in a different area.
% of Average Monthly Transactions
Medsis Revenue based on split
Projected App Access
10%
$170,775
Open Loop Transactions
0
$0.00
Closed loop transactions
1
$40,313
Each of these fields is assuming full implementation.
Projected Medsis Monthly Revenues Total Account Deposit fee (additional deposits) Projected Medsis Monthly Revenues Total
28
$211,088 n/a
n/a $971,320
Full implementation is estimated to take 4-6 months from project launch. Revenues will increase accordingly and remain sustained or grow through project duration.
Brazil: Municipality of Japeri The Municipality of Japeri is the first of 6 individual municipalities that have invited us to present a SaaDS proposal for their municipality. These projects are smaller in size, but have recurring government loads in the same way. These government loads are classified into three categories, as shown in the lookup chart.
Market Lookup Table Japeri Payrol
Bolsa De Comida
Bonus/ Pension
Number of Annual Customers
15,000
80,000
5,000
Annual Load
$90,000,000
$76,800,000
$3,600,000
Individual Monthly Spend
$500
$80
$60
% of assumed spend from load
50%
20%
20%
Assumed Total Monthly Spend
$3,750,000
$1,280,000
$60,000
Typical Market Processing %
2.5%
2.5%
2.5%
Since this is spend program and not a government “load� program, the anticipated revenues are all valued at 100% of the project. This is due to the fact that the number of members associated with the project are TODAY spending the revenues listed. These projections also do not contemplate any percentage of growth. Growth will be shown in a
% of Average Monthly Transactions
different area.
Medsis Revenue based on split
Projected App Access
10%
$2,277
Open Loop Transactions
1
$9,544
Closed loop transactions
0
n/a
Load fee
n/a
$10,000
Account Deposit fee (additional deposits)
n/a
n/a
Each of these fields is assuming full implementation.
Projected Medsis Monthly Revenues Total
29
$21,821
Full implementation is estimated to take 4-6 months from project launch. Revenues will increase accordingly and remain sustained or grow through project duration.
Brazil: DataPrev DataPrev is the government entity responsible to approve or set the technological agenda for the Nation of Brazil. Due to a national mandate, they are ordered to now create a national central database. On March 21, Medsis was brought in to present our national solution for a central database. Due to that meeting, we have been asked to present our contract to move forward with the pilot phase of building our three phased solution. That solution would include:
• • •
National Central Database (that could use general anonymous info) National Mobile App for each individual to interact (that would use Specific Data) National Mobile financial system (to allow banking to the entire population)
Market Lookup Table Dataprev This project value is primarily data. Number of Annual Customers
200,000,000
Annual National Remittances
$2,645,000,000
Minimum National Salary
$300.00
% of assumed spend from load
20%
Typical Market Processing %
2.5%
With an immediate national mobile financial system, the monetary assumptions are based only on national remittances and the current minimum wage. Monthly fin-tech revenues are based only on below percentages of remittances and population projected to put payroll onto the platform.
Important: It must be noted that while we feel these projections are conservative, the DataPrev project is such a unique project in scope that it is impossible to forecast accurately. This is a best attempt based on information provided to date.
% of Average Monthly Transactions
Medsis Revenue based on split
Population with Projected App Access
7.5%
15,000,000
Percentage of National Remittances
7.5%
$16,531,250
% of National Payroll onto Platform
5%
$3,000,000,000.00
% of assumed market spend from load
20%
$600,000,000
Open Loop Transactions (based on above)
1
$1,125,000.00
Projected Medsis Monthly Revenues Total
*red fields not considered
$17,656,250
Each of these fields is assuming full implementation. Full implementation is estimated to take 4-6 months
30
from project launch. Revenues will increase accordingly and remain sustained or grow through project duration.
Financials for Data Valuations Though Medsis is classifying itself as a SaaS (or more specifically, a SaaDS), we also have another characteristic that has not been addressed. Unlike other SaaS companies, Medsis operates as a “Big Data” company as well. While the SaaDS aspect of Medsis generates value in short term or revenues, the long term value of the company is actually information. Since we are amassing the number of lives that we are, those get broken down into two categories that Medsis contractually has the right to use. Those categories are:
General Anonymous Data (GAD):
Specific Targeted Anonymous Data:
This is the mass anonymous data that we are set up to accumulate and use (as per our contracts) across widespread populations. Today, that’s more than 10 million lives under contract and another 12 million in Peru with the contract going through the final formal processes.
This is from users that we can actually direct market to (much like Facebook taps into). These users tap into the larger databases and have access to all of their information. The diFFerence is that since the user is the one who is deciding to access the information, the “terms and conditions” of the mobile app will allow us to securely use their anonymous data criteria to market directly to them. The assumptions used in “STAD” are linked to the projected amount of users that will have mobile integration. Those that choose to use the mobile app will
Annual Value for “GAD” Value
Annual Value for “STAD” Value
$0.1
$2.50
Annual Number of Lives “GAD”
Value Per Lives “GAD”
Annual Value Per Lives “STAD”
Annual Number of Lives “STAD”
Colombia: UdV Brazil: Uni S. Peru: Sol.
8,200,000
$820,000
n/a
n/a
Brazil: Uni S.
1,800,000
$180,000
900,000
$2,250,000
Peru: Sol.
11,000,000
$1,100,000
750,000
$1,875,000
Colombia: CP
1,400,000
$140,000
560,000
$1,400,000
Brazil: Japeri
100,000
$10,000
10,000
$25,000
Brazil: DataPrev
200,000,000
$20,000,000
15,000,000
$37,500,000
Total Annual Value
222,500,000
$22,250,000
17,220,000
$43,050,000
•
(using Facebook’s numbers for non-US citizens. Medsis will have FAR more datasets than Facebook will)
•
Annual number of lives that qualify for “STAD” are based on the percentage of mobile use in the SaaDS projections
31
Corporate Valuation Current SaaDS Projects: For the purpose of our Gross revenue valuations, these are our current revenue assumptions for the already signed projects • Year 1: 25% Potential revenue • Year 2: 100% Potential Revenue • Years 3-10: 5% Annual Spend Growth
Current Signed Projects: Projections at expected % annual growth Colombia: UdV
Brazil: Uni Saude
Year 1
$279,750
$3,981,150
Year 2
$1,119,000
$15,924,600
Year 3
$1,119,000
$17,517,060
Year 4
$1,119,000
$19,268,766
Year 5
$1,119,000
$21,195,643
Year 6
$1,119,000
$23,315,207
Year 7
$1,119,000
$25,646,728
Year 8
$1,119,000
$28,211,400
Year 9
$1,119,000
$31,032,540
Year 10
$1,119,000
$34,135,794
Total Contract Value
$10,350,750
$220,228,888
32
Substantiating Value: Medsis Contracts In typical valuations, companies look at projected revenue and generate multiples based on that revenue to calculate a value. Those multiples or multipliers are, in many ways, just a guess as to what the value of a company is. In this document, we have focused on evaluating ONLY our predictable revenue based on what the market has shown us. What that allows us to do is create much more realistic or conservative valuations based on strict profit and loss projections. But to value Medsis or to count on theoretical projects to which we have no control.
Contract 1: Colombia - Unidad de Víctimas While La Unidad de Víctimas is the first contract signed that illustrates the Donation Model, it is also the weakest (per individual) of the signed or negotiated contracts that Medsis has in it’s projections. That being said, it is one of the most important projects from both a geo-political and humanitarian perspective.
Contract 2: Brazil - UniSaude Where the Contract in Colombia was limited on financial revenue, Unisaude makes up for it. This new concept of a the first national health card in Brazil allows members to access health services, medicines, and other health related benefits. The idea is simple, since health care costs in the private market have skyrocketed in Brazil, UniSaude becomes a platform to serve that population by offering services at lower than market prices. By creating a reloadable, prepaid card that forces all spending to be channeled through one specific medium, Unisaude captures uniquely high amounts of spend revenue on the forced purchases that drive the program. Not only are these projections extremely profitable for the currently identified 1.8 million members the unisaude has today, but they pale in comparison to the 24 month estimates of having as many as 16 million members enrolled by Jan 2019.
Another benefit that this contract brings to Medsis is that is the fact that it’s the first contract that establishes an agreement between Medsis and a major payment network. In this case, our payment network partner is Visa, who is sponsoring the entire program. Having Visa as a partner in this project helps to solidify the value of Medsis in the fintech market.
http://www.unidadvictimas.gov.co/
33
http://www.unisaudebrasil.com.br
Corporate Valuation Projects SaaDS projects within next 90 days: These are the next three projects being negotiated. All three are using the same assumptions as the chart above. • Year 1: 25% Potential revenue • Year 2: 100% Potential Revenue • Years 3-10: Associated Expected % Annual Spend Growth • Brazil: Dataprev uses values listed to the right of the column and not the above
Projects Projected to close within 90 days: Projections at expected % annual growth
Peru: Solidaridad
Colombia: Colpensiones
Brazil: Japeri
Brazil: DataPrev Solidaridad
Year 1
$633,263
$2,913,960
$5,455
$10,593,750
5%
Year 2
$2,533,050
$11,655,840
$21,821
$21,187,500
10%
Year 3
$2,659,703
$11,772,398
$21,821
$52,968,750
25%
Year 4
$2,792,688
$11,890,122
$21,821
$84,750,000
40%
Year 5
$2,932,322
$12,009,024
$21,821
$127,125,000
60%
Year 6
$3,078,938
$12,129,114
$21,821
$158,906,250
75%
Year 7
$3,232,885
$12,250,405
$21,821
$190,687,500
90%
Year 8
$3,394,529
$12,372,909
$21,821
$211,875,000
Full
Year 9
$3,564,256
$12,496,638
$21,821
$222,468,750
105%
Year 10
$3,742,469
$12,621,605
$21,821
$233,592,188
110%
Total Contract Value
$28,564,101
$112,112,015
$201,842
$1,314,154,688
34
Corporate Valuation Current and projected Data Values: For the purpose of our Data valuations, these are our current revenue assumptions for the already signed projects. • Year 1: 25% Potential revenue • Year 2: 100% Potential Revenue • Years 3-10: Expected % of Annual customer Growth
Colombia: UdV “GAD” values
Brazil: Uni Saude “GAD” values
Colombia: UdV “STAD” values
Brazil: Uni Saude “STAD” values
Year 1
$205,000
$45,000
n/a
$562,500
Year 2
$820,000
$180,000
n/a
$2,250,000
Year 3
$820,000
$180,000
n/a
$2,250,000
Year 4
$820,000
$180,000
n/a
$2,250,000
Year 5
$820,000
$180,000
n/a
$2,250,000
Year 6
$820,000
$180,000
n/a
$2,250,000
Year 7
$820,000
$180,000
n/a
$2,250,000
Year 8
$820,000
$180,000
n/a
$2,250,000
Year 9
$820,000
$180,000
n/a
$2,250,000
Year 10
$820,000
$180,000
n/a
$2,250,000
Total Contract Value
$7,585,000
$1,665,000
$0
$20,812,500
Peru: Solidaridad “Gad” + “STAD”
Colombia: Colpensiones “Gad” + “STAD”
Brazil: Japeri “Gad” + “STAD”
Brazil: Dataprev “Gad” + “STAD”
Year 1
$743,750
$385,000
$8,750
$21,875,000
Year 2
$2,975,000
$1,540,000
$35,000
$23,750,000
Year 3
$2,975,000
$1,540,000
$35,000
$29,375,000
Year 4
$2,975,000
$1,540,000
$35,000
$35,000,000
Year 5
$2,975,000
$1,540,000
$35,000
$42,500,000
Year 6
$2,975,000
$1,540,000
$35,000
$48,125,000
Year 7
$2,975,000
$1,540,000
$35,000
$53,750,000
Year 8
$2,975,000
$1,540,000
$35,000
$57,500,000
Year 9
$2,975,000
$1,540,000
$35,000
$57,500,000
Year 10
$2,975,000
$1,540,000
$35,000
$57,500,000
Total Contract Value
$27,518,750
$14,245,000
$323,750
$426,875,000
35
Value of Medsis Current and projected Data Values:
Under that Model, the Valuation of Medsis based ONLY on the two signed contracts is:
By showing that we are a SaaDS (SaaS hybrid) company, our valuation becomes very easy to calculate. Like most of her SaaS companies, our valuation is based on a Customer Life Value (CLV) The Customer Life Value is calculated by using the following Formula: Total Contract Value(s) Cost of Acquisition (and keeping) per Life (CAL)
Initial CAL
$1.00
Recurring Annual Cost
$0.25
Total CAL
$3.50
We are calculating the Cost of Acquisition to not only include the global corporate cost to acquire those customers, but also the operational cost to maintain the customer and project throughout the contract term for each customer at:
Current Value of Medsis as a SaaS Total Value of Contract
Total Value of Contract (Data)
Combined Value
Total Number of Customers
CAL
Total Value
Colombia: UdV
$10,350,750
$7,585,000
$17,935,750
1,250,000
$4,375,000
$13,560,750
Brazil: Uni Saude
$220,228,888
$22,477,500
$242,706,388
1,800,000
$6,300,000
$236,406,388
Current Value of Medsis under current contracts
$249,967,138
Potential Value of Medsis as a SaaS in 90 days Total Value of Contract
Total Value of Contract (Data)
Combined Value
Total Number of Customers
CAL
Total Value
Current Value
$230,579,638
$30,062,500
$260,642,138
3,050,000
$10,675,000
$249,967,138
Peru: Solidaridad
$28,564,101
$27,518,750
$56,082,851
7,500,000
$26,250,000
$29,832,851
Colombia: C.P.
$112,112,015
$14,245,000
$126,357,015
1,400,000
$4,900,000
$121,457,015
Brazil: Japeri
$201,842
$323,750
$525,592
100,000
$350,000
$175,592
Brazil: DataPrev
$1,314,154,688
$426,875,000
$1,741,029,688
200,000,000
$700,000,000
$1,041,029,688
Projected Value of Medsis in 90 days
36
$1,422,462,284
Substantiating Value: Medsis Contracts Negotiations: Medsis projected revenues in this document are based primarily on the two signed contracts listed above, but it’s the contracts that we have been asked to undertake that begin to create astronomically high valuations. The financial details of each of those contracts is listed in a different section of this document, but we would like to take the time to list those additional projects that have been awarded or are in final negotiations here. Though those projects have no direct relation to the current valuations, they re important to note as we expect them to be signed within the next 90 days. 1. •
•
2. •
3. •
37
Peru: Solidaridad A spend program that would create a closed loop rate card for the current health system. This has a current known spend of $215 million annually with a 5% growth rate. This project has actually been awarded to Medsis. Due to political upheaval in the Peruvian government the contracting process has taken longer than expected. Colombia: Colpensiones This pension fund is a load program, much like the Victims unit, but recurring pension funds create drastically higher load valuations and projected return on the card program. Brazil: Japeri Japeri is a small town in the state of Rio de Janeiro. we are working with them to create a system that eliminates fraud, banks their unbanked population, and creates a mechanism to distribute funds and benefits to it’s population
4. • • 5. •
Panama: University Student Fund A spend program, much like Unisaude, but to be spent on education. This project was not included above because accurate projections could not be made at this time. Brazil: Dataprev This is the largest government database project that we have been able to find globally. Not only does it include the Database, but the mobile app to be able to access the data from the entire population. We are also including a a mobile financial system to bank the unbanked population for things like payroll and social benefits. This project, while by far the largest we have, is almost impossible to put a valuation on because of it’s sheer size.
Medsis Ownership 38
Current & Projected Shareholder Structure Below is the current estimated Shareholder standing as of March, 2017.
Current Investment Level Company Valuation
Phase 1
Phase 2
$2,000,000
$20,000,000
$115,000,000
$250,000,000
Director’s/Management Holdings
82.8%
81.1%
74.8%
Shareholders
17.2%
18.9%
25.2%
39
Costs and Expenses Comparison This chart shows the comparison of the three phases described earlier in this document. Here the direct projected/estimated monthly expenditures. These costs are based on the current contracts signed and ONLY the contracts expected to sign within the next 90 days.
Pre Contracts Monthly
Current Operational Monthly
Future Monthly
Salaries
$146,650
$146,650
$712,790
Operational Costs
$19,100
$19,100
$88,700
Travel
$25,000
$25,000
$100,000
Security
n/a
n/a
$51,800
Project Costs
$50,000
$225,000
$400,000
Total
$240,750
$415,750
$1,353,290
40
Current Medsis Financials
Future Medsis Financials
This chart is a comparison of the approximate salaries, operational costs, and project costs throughout the recent growth of Medsis.
These numbers are the estimated projections that Medsis will grow to as we reach the subsidiary, leadership, and child company growth that was presented earlier in this document.
The comparisons below are the estimated administrative costs in the lead up to the current contracts with the operational monthly increases as our operations increased for the on boarding process. The primary increase in monthly costs are due to the logistics and implementation of the new projects. Since the overall Medsis structure did not increase to date, our monthly operational and monthly salaries have not increased to scale. As we begin to grow those numbers are projected to rise.
Pre-Contract
Operational Monthly
Operational Yearly
Salaries Medsis International
$85,400
$85,400
$1,024,800
Medsis Medical (Panama)
$22,250
$22,250
$267,000
Medsis Colombia
$29,000
$29,000
$348,000
Medsis Brazil
$10,000
$10,000
$120,000
Operational Costs Medsis International
$0
$0
$0
Medsis Medical (Panama)
$8,000
$8,000
$96,000
Medsis Colombia (Bogota)
$9,700
$9,700
$116,400
Medsis Colombia (Medellin)
$1,400
$1,400
$16,800
$0
$0
Medsis Brazil
Future Monthly
Medsis International
$407,900
$4,894,800
Security and Logistics
$51,800
$621,600
Medsis Medical (Panama)
$51,310
$615,720
Medsis Colombia
$56,980
$683,760
Medsis Brazil
$26,600
$319,200
Medsis Peru Medsis
$25,000
$300,000
Financial
$82,000
$984,000
India Team
$30,000
$360,000
$33,000
$396,000
SISDEM Engineering
Operational Costs Medsis International (Miami)
$15,500
$186,000
Medsis International (NC)
$11,000
$132,000
Medsis Medical (Panama)
$16,500
$198,000
Medsis Colombia (Bogota)
$9,700
$116,400
Medsis Colombia (Medellin)
$5,000
$60,000
Medsis Brazil (Rio)
$8,000
$96,000
Medsis Brazil (Brasilia)
$8,000
$96,000
Medsis Peru
$7,000
$84,000
Medsis East
$8,000
$96,000
Travel
Travel $25,000
$25,000
$100,000
$300,000
41
$50,000
$225,000
$240,750
$415,750
$1,200,000
Project Costs
Project Costs
Totals
Future Yearly
Salaries
$2,700,000 Totals
$400,000
$4,800,000
$1,353,290
$16,239,480
Key Partnerships 42
Key Partnerships It is important to note a few strategic partnerships that allow Medsis to be able to begin projecting those fin-tech revenues as well as ensuring the technology advances, stability, support, and reliability in each of our current and future projects around the globe.
Partner
Website
Type of Partner4
Summary As disruptors in the global digital payments market, WAIV is one of the
WAIV
www.waivecard.com
Digital Payment
fastest growing Fin-tech companiesaround the globe. Adding WAIV as a
Processing
core partner allows Medsis to build predictable revenue models using a system that is being implemented in countries around the globe. Orangehook brings experience and technology to the payments
Orangehook
www.orangehook.com
Digital Payment
processingfront. Their addition brings stability tothe country on boarding
Processing
process in these contracts. Visa is the worlds largest payment network. Our partnership in the
Visa
www.visa.com
Payment Network
Colombian project is a first step in having payment network partners for projects around the globe. Visa is the project sponsor and payment network for the Colombia project.
Agosto
www.agosto.com
Software: Google Channel Partner
Dito
www.ditoweb.com
Software: Google Channel Partner
Agosto brings expertise and experience in the database design, customization, and implementation using Google products and services. Dito also brings experience in the development and deployment of Google technologies. Dito was also instrumental in our Zika and epidemiology projects.
Health 5c
Beame.io
43
www.health5c.com
https://www.beame.io
Software: Healthcare Development Specialists
Internet and mobile connectivity security specialist
Health5c’s expertise in the health and software development realm allow Medsis to load balance our development and ensure that our vision and user end platforms remain state of the art. Beame.io provides encrypted, decentralized, multi-factor identity verification for large groups of users and devices. Established in 2015 by Zeev Glozman, Beame.io is a security framework for the connected world.
Summary We are undertaking a 2 -phase capital raising approach with the end objective being to list the company on the Singapore Exchange (SGX). The first phase seeks to raise $2,000,000 USD to implement the two secured contracts in Colombia and Brazil. Phase two will see the company seek a further $20,000,000 USD to secure further contracts and support both the business expansion and transition to a listed entity on the Singapore Exchange (SGX).
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