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E-PolyPus DENT

We are pleased to share with you another investment opportunity.

All dental practices face challenges, and running one is the biggest challenge of all. Of course, their primary concern is their patients’ oral health, but they also need to think about managing their staff, staying up to date on changes in the dental profession, and dealing with insurance companies. It’s a lot for anybody to do, and it shines a light on the challenges facing every dental practice in the next few years. For appointment-setting, customer service, and more management functions, automation will become the norm for many dental practices in the coming years.

Therefore e-Polypus Dent solution is software that enables increasing productivity and process overview. As a response to trends, it supports running a dental practice smoothly and efficiently.

Automated processes increase the quality of service and reduce human error, which reduces stress levels for staff and patients.

Easy and efficient communication and coordination with patients increases patient satisfaction.

Today’s patients expect to access services around the clock, get help when they need it, and communicate directly with dentists. That’s why convenience is one of several hot topics in dentistry and one of the latest trends in the dental industry. The team is looking for 180.000 EUR to start with Sales and expansion first on Slovenian market and then Croatian market. 

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We will be allocating slots as follows:

  1. Business Angels of Slovenia members
  2. BAS partners

Further information:

  1. The minimum investment is EUR 10,000 (as part of syndicate; also, full solo investments are acceptable)
  2. Maximum investment is EUR 180.000 
  3. We might have to cut back if we are oversubscribed
  4. Accepting allocations until the 22nd of April 2022 (if not oversubscribed earlier)

 

If you are interested, please email 

nina.dremelj@businessangels.si, maja.krizan@businessangels.si or

mark your interest directly here 

 

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About E-Polypus DENT team members

Manuel WedraManaging Director, responsible for business development and sales, and HR management. His background is in multinational companies in finance, controlling, systems, concepts, strategy planning, ERP expert based in Basel (CH) and dealing with SAP systems and concepts. 

He has a Bsc in Finance and Banking.

Nataša Kovačič –  Senior sales and consultant. Skilled in strategic and project management, sales strategy, process and cost optimization, accounting and finance, She was executive director at MIK Celje for 7 years, where she operated a company with 230 employees and a turnover of 20 Mio EUR.

Gregor Srdič  – Senior frontend software developer, PhD in Computer and information science. Web, mobile, and software developer with business and management insights.  His current role is dedicated to: Head of developers of „ e-polypus” development – simple, cost-effective and modular all-in-One solution for dental management, head of project planning, architecture design and UI/UX design., tools and Technologies: Angular, Nebular, TypeScript, JavaScript, Firebase, Firestore, Firebase Cloud Storage, Cloud Functions, Node, Git.

Domen Hohler – Frontend Developer, Master’s degree in computer science, 7 years of development work experience, goal-oriented, hands-on problem solver.

One of lead developers of „ e-polypus” development – simple, cost-effective and modular all-in-One solution for dental management

  • Active involvement in project planning, architecture design and UI/UX design.
  • Tools and Technologies: Angular, Nebular, TypeScript, JavaScript, Firebase, Firestore, Firebase Cloud Storage, Cloud Functions, Node, Git.

Žiga Palčnik  – Mid Software Developer. Master’s degree in computer science and work experience in software development. One of lead developers of „ e-polypus” development – simple, cost-effective and modular all-in-One solution for dental management

  • Active involvement in project planning, architecture design and UI/UX design.
  • Tools and Technologies: Angular, Nebular, TypeScript, JavaScript, Firebase, Firestore, Firebase Cloud Storage, Cloud Functions, Node, Git.

 

DECK: Here 

ROUND DETAILS: Raising EUR 180.000, EUR 1.100.000 pre-money valuation (16% equity share or investment as convertible loan)

Runway: TBD

Information rights: Yes

Soft – committed in this round (EUR~ 0) – we will keep this updated

No previous funds raised for this project. 

 

Problem

All dental practices face challenges, and running one is the biggest challenge of all. Of course, their primary concern is their patients’ oral health, but they also need to think about managing their staff, staying up to date on changes in the dental profession, and dealing with insurance companies. The efficiency is a huge challenge, causing cost increasement and on the other side effects on revenue streams and patient satisfaction. 

Keeping track and efficient flow of scheduled appointments, direct communication with clients, running patients’ files are time consuming tasks and require good organisational skills.

Product

The E-polypus DENT is a value-added ERP system for dental practices that enable a 360 Integrated digitalisation of their operation. The system brings several benefits to dental practices such as:

  • Time saving up to 50% (reducing waiting times, reduced duration of treatment, increased satisfaction)
  • Improvement in the quality of service of up to 40 % (less needs for correction, more personalised treatment)
  • Reducing labour costs up to 30% (comes because of switching from manual to automation)

In addition to the company’s software, they want to create a community where they offer various educational seminars and courses in the field of digitalisation, marketing and sustainability for the dental practice industry.

Hardware

The company is a purely software-based start-up, therefore they are not offering any Hardware.

Software

The E-polypus DENT is a cloud-based software that includes:

  • Web application for PC
  • Mobile app for employees
  • Mobile app for patients

The software has a simple UX/UI design with the latest cloud and security technology. Furthermore, the software is also developed in a modular principle where modules can be added later, and it also allows for integration such as AUDAX and other software and hardware used in dentistry.

They offer clean coordination of appointments, similar to Google calendar app. At the same time software enables scheduling of patients, running and organising digital medical files, and direct communication with clients.

Clients are able to communicate with their dental service, their mobile messages are converted in the application platform, they also receive important news regarding their service.

Software also offers benefits to employer and employees; keeping track and issuing of bills with an incorporated taxation system, vacation scheduling, all employees’ contracts are stored in the system.

Market

The global dental market size is expected to reach USD 554.5 billion by 2028, growing at a CAGR of 6.4% from 2021 to 2028 (Source: Grandview Research, Inc.)

Looking specifically at the Dental Practice Management Software it was valued over USD 1.3 billion in 2020 and is anticipated to grow at a CAGR of over 13.5% between 2021 and 2027. Rapid growth of geriatric population is set to dramatically impact the market growth, since the number of dependent elderly persons requiring dental care is increasing. Another interesting fact looking at the 2020 market was that 88% of the total market was created in the United States, meaning there is still a lot of room in the European market (Source: Global Market Insight Inc.)

There are totally 707,340 dentists globally, with 281,219 of them being in the European Union. 

Business Model

The company has a SAAS product and will offer their solution as a monthly subscription.

More details about subscription:

  • there are no implementation costs for the consumer
  • There are different plans ranging up to 350 EUR per month depending on the size of the clinic
  • The first 5 clinics will be acquired with a high discount (up to 40%, but after that they will pay a regular price)

 

Revenues

Up to today the company has already created approximately 30,000 EUR in Revenue with pilot project, polishing solution’s pros, and cons 

IP

  • In house developed software, owned by Wepik d.o.o. and fully protected trough subscription legal terms and conditions

Planned revenues

  • March 2022 to February 2023 – 30,543.00 EUR
  • March 2023 to February 2024 – 275,419.00 EUR
  • March 2024 to February 2025 – 1,268,939.00 EUR

 

Unit Economics

  • Currently the company is estimating that it will cost them approximately 400 EUR for the implementation of the software into a new clinic, but it is very likely that this cost will be reduced, because they have already optimised several things in this field. They are not charging this cost to the customer, because they want to capture a bigger market as soon as possible.
  • In addition to this it costs them approximately 20 EUR per month to maintain every clinic.
  • They are also estimating that currently their acquisition costs for a new clinic is between 100 and 200 EUR.
  • Estimated revenue per client is 300 to 350 EUR per month

 

Key milestones in the next periods

1st Year = 32 dental clinics, 85% customer satisfaction and 32k ARR

2nd Year = 184 dental clinics, 90% customer satisfaction and 252k ARR

3rd Year = 330 dental clinics, 92% customer satisfaction and 1.227k ARR

4th Year = 592 dental clinics, 95% customer satisfaction and 2.204k ARR

 

Initial development of the Prototype

The company developed the software with the help of their client Zobozdravstvo Diamant, who has contributed 30,000 for the development. At Diamant there are currently 9 users; 4 therapists and assistants who are using the software.

 

Current Shareholders Structure

Wepik d.o.o.

Manuel Wedra

40 %

40 %

Wepik d.o.o.

Žiga Korošec                        

Nataša Kovačič

10 %

Gregor Srdič

10 %

Vision

e-polypus DENT wants to become the go-to software for all dental clinics who would like to take their operation to the next level.

 

Competition

The companies doing similar software and solutions are Iryo Moshi, eAmbulanta, ZaWin and Curve Dental. Looking at the picture below it is easy to see that the e-polypus dent software is offering a better solution than them.

Main barriers identified:

  • the stiffness of the dental industry, which is not sure whether Slovenian dentists (as testing market) are ready for digitalisation 
  • following the scale with the scale of our development team. Nowadays it is quite hard to find good developers. 
  • The long-term market effects of COVID-19 and current situation in Ukraine are uncertain

 

Exit Strategy

The company is planning to do an exit in their 4th or 5th year of operation. The main exit partners could be different corporate software providers or doing a strategic partnership with companies in the dental industry as these are very common.

In addition to those the exit partners in next few years can be bigger insurance companies, having their own product as extended healthcare coverage package as part of their regular services. Adding the solution as an e-polypus dent is an additional value for insurance companies, offering an immediate solution to their clients. 

Disclaimer

Please note that we are yet to complete our in-depth DD. This is the information we have received from the start-up and have not cross-checked everything. If we find any untrue information in this memo and you commit, we will inform you. 

Investing in an early-stage start-up is a risky investment, therefore we advise you not to invest what you cannot afford to lose.