ApParkingspot expects rapid growth. Initially, we expect in average 16 new users per invested 1000 SEK in marketing. After one year, we expect 10,000 users and after three years at least 50,000 users. With only one rental per user per week at the price 75 SEK we reach a turnover of 43 MSEK already in year 3, with a profit before taxes of approximately 50%. With a rapid growth, we expect a p/e ratio of 20-40 which would mean a value growth of about 5-10 times in three years.
The problem this product solves
Where do you want to park?
For most who own or use a car in larger cities, the question is always: Where can I park?
Due to the increasing urbanization the parking problem also grows. Land is expensive and building homes gives significantly better revenue than building parking lots. Building underground is very expensive, a parking space in new construction costs between 400 - 600,000 SEK. At the same time, modern technology provides new opportunities that have not existed before. A combination of technology and principles of sharing economy paves the ground for new and ingenious solutions.
How the product solves it
The service is developed for individuals who have a parking spot which is vacant, for example during daytime when the regular user is at work. A user of ApParkingspot can for example mark his/her parking lot as available to rent Mondays-Fridays between 8 am to 5 pm. Reversed, the driver looking for available spots might find a spot in vicinity to the workplace that is not used during weekends, holidays, summer holidays, etc. Through ApParkingspot, these spots can be made available. In major cities where parking fees are high, it can become an additional income for the parking spot owner.
Anyone in need of temporary parking and who owns a smartphone can use the service immediately. The user simply creates an account, add credit card information, and is then able to either offer his/her private parking spot for rental or to rent a parking spot. No matter if you book the spot in advance or when in town, the app will navigate you to the spot.
58% of drivers find it hard to look for parking spots and 49% say that the lack of parking spots causes them to arrive late for meetings. ApParkingspot makes parking easy and simple.
Product use cases
Everyone who owns a parking lot can rent it and start earning money directly. It can be all from private individuals, to companies or organisations. Everyone in need of a parking lot can pre-book it or simply search for a free spot when in town. If you commute to another city, you can book a place today, perhaps in a suburb where parking is cheaper. We also intend to implement algorithms that allow you to see how long it takes to park farther away and travel collectively the last bit.
Sasa Farkas CEO
Sasa holds a master's degree in Entrepreneurship and a Master's degree in Human Resources and Working Life at Lund University. Started his own media agency Creatify Media with a new idea for outdoor marketing, bicycle shelter, which has led to major marketing campaigns for Haribo, Momondo, Länsförsäkringar, Uber and Net ... See more
Sasa holds a master's degree in Entrepreneurship and a Master's degree in Human Resources and Working Life at Lund University. Started his own media agency Creatify Media with a new idea for outdoor marketing, bicycle shelter, which has led to major marketing campaigns for Haribo, Momondo, Länsförsäkringar, Uber and Net across the Nordic region. Has facilitated the work of Swedish Innovation Compass, an innovation platform that helps people to navigate right in the innovation system. The innovation platform can also be used for intranets for large companies, and Sasa has worked with Eriksson and Vattenfall with improvements to their internal innovation system. See less
Erik Glitterstam Founder
Working day to day with sales at Dagens Nyheter. Created the idea in 2014 at the University of Lund. Degree certificate in business administration from Luleå University of technology.
Jovan Stovanovic Chief developer
Jovan is the expert with more than 12 years in field of business, IT and innovation management. He runs a team of developers and engineers that have built system architectures. Jovan's responsibility is to make systems stable, scalable and intelligent. He leads the development of Apparkingspot smart sensors, deep -earning ... See more
Jovan is the expert with more than 12 years in field of business, IT and innovation management. He runs a team of developers and engineers that have built system architectures. Jovan's responsibility is to make systems stable, scalable and intelligent. He leads the development of Apparkingspot smart sensors, deep -earning and mobile development. See less
Staffan Wogenius CFO, Chairman
Long experience of accounting in private and public companies. Former CEO of public, unlisted company. Has worked for the past 10 years as a consultant in accounting and auditing as well as capital procurement, primarily within a listed company.
Anja Besic QA analyst
Two years' working experience in testing and three years' working experience in IT sector.
Vladimir Nikic Project manager - mobile development
7 years of experience, graduated at the Faculty of Technical Science in the Department of Electrical Engineering, Novi Sad. He obtained a master's degree in Entrepreneurship, at Unesco Chair for Entrepreneurial Studies, University of Novi Sad.
Katarina Zorbic Software developer
1.5 years of experience, graduated from Faculty of Sciences
Ivan Skrobot iOS developer
5 years of experience, obtained master's degree at the Faculty of Technical Science in the Department of Electrical Engineering.
Ivan Panic Android and Java developer
6 years of working experience, graduated at Faculty of Science in Information Technologies section.
Dragan Krstic Android developer
3 years of working experience. Studying Facility in Technical Science, Information technologies section, ebanking orientation.
There are just under 5 million registered cars in Sweden, which is less than 0.5% of all the world's cars. The number will increase by about 50,000 per year. Calculations show that around 7.5 million parkings are done every day. Stockholm city manages about 70,000 parking spaces, of which about 10% are usually vacant. The company estimates that the potential for ApParkingspot in Sweden is about 100,000 parking lots. After 3 years with an average rental rate of 20% for 75kr. :- the company would achieve a turnover of approximately 43 MSEK/year, in Sweden alone.
There are at least two companies with similar solutions, the Brittish company, Justpark and Parkpnp based in Ireland. Other companies, for example in the US, are more focused on helping professional parking companies to increase their occupancy through various types of app services. We have not seen any of these competitors on the Nordic market and there are no others that provides pre-booking like in the ASDS system. We welcome all initiatives that can improve the parking environment that we believe will face continued challenges as more cars, electric cars and self-propelled cars increase the parking needs.
Unique differentiator from competitors
We have no competitors with the same solution on the Swedish market. With our forthcoming service, ASDS, we are, as far as we know, alone. The main idea of ASDS is the ability to automatically rent parking spaces when not using them. Through deep-learning ASDS that sets up a schedule when the parking space can be rented. A second part is that it is possible to reserve a parking space and ASDS verifies that the right car has arrived. A third field of use is for the pre-booking of charging posts for electric cars.
Company revenue streams
Apparkingspot charges a fee of 20% of the transaction, including VAT and the transaction cost to Stripe.
The entire transaction is managed by an external payment broker, Stripe, that debits the tenant's debit card and then distributes the amount between the lessee, ApParkingspot and a small fee to the broker, Stripe. This way, the parties never need to be in touch with each other, even though this is possible through the messaging service. In the event of errors or uncertainties, the app gives the opportunity to contact the company.
Other revenue comes from selling and installing ASDS equipment.
- The app will be distributed via Appstore and Google Play and are already available.
- March 2014 - First draft idea i Lund.
- March 2015 - First prototype ready.
- August 2016 - Incorporated the project into public company.
- August 2016 - Share issue 300 000 SEK.
- October 2016- First app-release. First launch in Gothenburg.
- December 2016 - Member of Cleantech Scandinavia.
- April 2017 - Great interest from TUB, Trafikutredningsbyrån, the beginning of a fruitful cooperation.
- May 2017- Share issue 800 000 SEK.
- August 2017 - ASDS first prototyp ready.
- September 2017 - Buggtested and sharp version ready.
- October 2017 - Agreement with LKP (Lunds Kommunala Parkeringsbolag) regarding test of ASDS System in two car parks.
Next key objectives
- 2018 - 10 000 users.
- 2018 - ASDS system ready for launch in large scale.
- 2018 - More than 500 shareholders.
- 2019 - 30 000 users. Launch in larger Scandinavian cities.
- 2019 - IPO 30 MSEK followed by stock market listing.
- 2020 - > 50 000 users in several countries
About one million SEK has been invested in cash by the company's shareholders.
Use of funds
Technical development: 8%
This is primarily a campaign to obtain a qucik growt in Stockholm and Gothenburg to show the business opportunities. After that, a major new issue will be made and launch will be planned on a larger scale. Parallel to this, tests and evaluations of the ASDS system, which have direct links with the parking-service, will take place. Cost for this is within the above budget.
Exit of the investment can be made when the stock is listed on Aktietorget or First North. This is planned to be completed in autumn 2019.
Financial risks: Risk of missing or too little funding that delays or reduces marketing. The risk is handled through a well-considered financing strategy that includes both capital from business angels and smaller private investors.
Business risks: Mainly the risk that the business idea is not as interesting as the Board estimates. There is also the risk that other players with larger financial resources enter the market. The risk is managed through certain diversification of the business idea.
Personal risks are risks associated with knowledge concentrated to a few people. The risk is handled through thoughtful backup routines and knowledge sharing.