Astanah Memo (2023)

• we're addressing a critical issue in Zambia where less than 40% of the population has access to the grid. Recognizing the importance of renewable energy, especially in rural areas, we're leveraging the faster electrification rate of renewables compared to traditional grid extension. 
• By recycling lithium batteries and e-waste we ensure that our products are cheaper than whats currently on the market while ensuring we have healthy profit margins. 
• Our innovation lies in providing advanced AC-based renewable energy solutions, as opposed to the prevalent DC systems, which empower users to fully utilize a wider range of electrical and electronic devices. 
• This shift is fundamental in driving comprehensive energy access and transforming lives across Zambia.

• Practical experience and client interactions drove our understanding of Zambia's energy access challenges.
• Urban clients expressed a preference for higher quality, longer-lasting products, revealing a gap in the market for superior alternatives to alternative systems.
• Direct engagements with rural communities provided crucial insights into their specific energy needs, guiding the customization of our products to suit them effectively.
• Consultations with agents selling renewable energy products shed light on the difficulties faced due to the mismatch between available products and the distinct requirements of rural areas.

• The market is saturated with traditional DC systems, limiting the use of common electrical devices that predominantly run on AC power.
• Government initiatives, such as the Rural Electrification Master Plan, aim to bridge this gap, but resource constraints have impeded full implementation and delivery of electricity to rural areas.

• Astanah addresses this issue by developing and providing renewable energy systems tailored to the specific needs of both urban and rural clients.
• By leveraging advanced lithium battery technology, Astanah ensures longer-lasting and higher-quality energy solutions compared to older renewable energy systems.
• Astanah prioritizes local production, creating products designed to suit the unique requirements of individuals in rural areas, in contrast to imported solutions.
• Astanah ensures that it offers its products at the lowest possible cost to customers by leveraging the cheaper producion costs that come with battery recycling

• Revenue from Product Sales: Astanah generates income through the sale of its renewable energy products and systems to both urban and rural customers.
• Customization and Upselling: By offering tailored solutions to meet specific customer needs, Astanah can upsell higher-end products and services, leading to increased revenue per transaction.
• Maintenance and Service Contracts: Offering maintenance and service contracts for its products ensures a steady stream of recurring revenue over time.
• Market Expansion and Partnerships: As Astanah expands its reach and collaborates with government agencies and other stakeholders, it opens up opportunities for grants, subsidies, and strategic partnerships that can contribute to its overall revenue stream.

• Large Addressable Market: The opportunity to provide renewable energy solutions in Zambia is significant, given that less than 40% of the population has access to the grid, leaving a substantial market gap.
• Rural Electrification Focus: With a specific focus on rural electrification, Astanah taps into a segment with a faster electrification rate through off-grid solutions compared to grid extension, indicating a substantial untapped market.
• Favorable Government Policies: The Zambian government's commitment to scaling up rural electrification through grid extension and off-grid solutions, as outlined in their Rural Electrification Master Plan, provides a supportive regulatory environment for Astanah's operations.
• Potential for Regional Expansion: Beyond Zambia, there is a broader regional opportunity for Astanah to replicate its successful model in neighboring countries facing similar energy access challenges. This allows for potential expansion and further scaling of the business.

• Advanced Renewable Energy Systems: Astanah specializes in the design and production of cutting-edge renewable energy systems for a multitude of applications included home backup systems, Portable power supplies, Customer energy systems and industrial energy systems
• Lithium Battery Technology: The company distinguishes itself by utilizing state-of-the-art lithium batteries, offering longer lifespan and superior performance compared to older generation gel batteries.
• Tailored Solutions for Rural Areas: Astanah's products are specifically engineered to meet the unique energy needs of rural communities, ensuring they have access to reliable and sustainable power sources.
• Locally Manufactured for Quality: Astanah takes pride in manufacturing its products locally, allowing for greater control over quality and customization to suit the specific requirements of Zambian and regional markets.

Detailed illustrations and information can be found on our products page at https://astanah.com/prodcuts

• Affordable Access: Astanah is dedicated to making renewable energy solutions accessible to all. Through innovative design and the use of second-life recycled lithium batteries, we significantly reduce production costs. This enables us to offer high-quality, long-lasting systems at competitive prices, extending the benefits of renewable energy to a broader audience.
• Customized Solutions: We tailor our systems to meet the specific energy needs of each client, providing reliable and scalable power solutions for both urban and rural environments.
• Environmental Commitment: We prioritize sustainability by incorporating second-life recycled batteries into our systems, minimizing waste and reducing our carbon footprint.

• Rural Communities: Our primary focus is on rural areas with limited access to the grid. Astanah designs products tailored to the specific needs and challenges of these communities, providing reliable and sustainable energy solutions.
• Urban Consumers: Astanah serves urban customers seeking reliable and cost-effective renewable energy solutions. These individuals value quality, longevity, and affordability in their energy systems.
• Energy Agents and Distributors: We collaborate with local agents and distributors who understand the unique requirements of their communities. They play a crucial role in delivering our products and ensuring they meet the highest standards of quality and performance.

• Urban Consumers: Our urban customers appreciate the combination of advanced technology, affordability, and eco-friendliness that our renewable energy systems offer. They also value our commitment to using recycled and 2nd life lithium batteries, which contributes to a more sustainable future.
• Rural Communities: Our solutions are uniquely tailored to the specific needs and circumstances of rural areas. We provide dependable energy access, empowering economic pursuits, education, and healthcare services. Moreover, our commitment to affordability ensures that even communities with limited resources can enjoy the benefits of clean energy.

• The total addressable market for Astanah's renewable energy products in Zambia is substantial, given that less than 40% (REA 2022) of the population has access to the grid.
• The faster electrification rate of rural areas through renewable energy indicates a growing demand in these regions, further expanding the potential market size.
• Including the neighboring eight countries, with a similar electrification rate of around 40%, significantly expands the total addressable market for Astanah's renewable energy products across the region.

• Astanah faces competition from established international renewable energy companies operating in Zambia, offering a range of renewable energy solutions.
• Local providers of renewable energy products and systems also pose competition, although they may not have the same level of expertise or access to advanced technology as Astanah.

• Astanah distinguishes itself by offering high-quality renewable energy products, particularly known for utilizing advanced lithium batteries, which provide longer lifespan and better performance compared to traditional gel batteries.
• The company emphasizes its commitment to sustainability and affordability through the use of recycled and second-life lithium batteries, making its solutions more cost-effective and environmentally friendly.
• Astanah's localized production and assembly operations in Zambia give it a competitive edge in terms of adaptability to local conditions and quick response to customer needs.
• The company places a strong emphasis on customer education and support, ensuring that clients understand the benefits and optimal use of their renewable energy systems. This level of service sets Astanah apart from competitors.

• Established Astanah as a trusted supplier of lithium energy systems, known for its high-quality and sustainable solutions.
• Implemented a successful local sales strategy, with dedicated personnel and partnerships with local businesses, ensuring widespread accessibility to our products.
• Demonstrated consistent sales and revenue growth, achieving an impressive 12% month-over-month increase in installed units within the last six months.
• Focused on rural sales and expansion, achieving remarkable 150% month-over-month growth, showcasing a strong demand for our products in underserved areas.
• Built a satisfied customer base, serving over 50 clients, including 45 residential, 2 commercial, and 1 industrial customer, attesting to the versatility and reliability of our solutions.
• Reached key milestones within 12 months, including recycling and reusing 1.2 tons of lithium, expanding the advisory team, and establishing vital partnerships and sales channels for sustained growth and impact.

• Sales Growth: Monitoring month-over-month and year-over-year sales performance to assess the company's revenue trajectory and market demand.
• Customer Acquisition Cost (CAC): Evaluating the cost incurred to acquire each new customer, providing insights into the efficiency of marketing and sales efforts.
• Customer Lifetime Value (CLTV): Calculating the projected revenue generated from a customer throughout their engagement with Astanah, indicating the long-term value of acquiring and retaining customers.

• Product Sales: Revenue is primarily generated through the sale of Astanah's renewable energy systems and related products.
• Energy as a Service (EaaS): Astanah's innovative approach includes offering backup energy systems through a subscription model, allowing customers to pay for the service over an agreed period of time. This not only makes the products more accessible to a wider demographic but also ensures a steady and continuous revenue stream for Astanah.
• Strategic Partnerships: Collaborations with other organizations or entities can lead to revenue-sharing opportunities, joint ventures, or co-branded products.

• Local Sales Channels: Astanah has established local sales channels with energy sales personnel and businesses, ensuring a direct and personalized approach to customer acquisition.
• Referrals and Word of Mouth: Satisfied customers play a crucial role in customer acquisition by referring Astanah to their networks, providing valuable word-of-mouth marketing.
• Partnerships and Collaborations: Astanah collaborates with strategic partners, such as international software partner Ricive, to expand its reach and tap into their existing knowledge of SAAS, B2B sales and IOT intergration.

• Growing Demand for Renewable Energy: There is an increasing global focus on renewable energy solutions, driven by environmental concerns and the need for sustainable energy sources.
• Advancements in Battery Technology: Recent advancements in battery technology, especially lithium batteries, have significantly improved energy storage capabilities, making renewable energy systems more viable and cost-effective.
• Policy Support and Incentives: Governments and international organizations are offering various incentives and policies to encourage the adoption of renewable energy solutions, creating a favorable environment for businesses in this sector.
• Untapped Market Potential: In regions like Zambia and neighboring countries, there is a significant gap in energy access. By providing affordable and reliable renewable energy solutions, Astanah is poised to capture a substantial market share and make a meaningful impact.

• Regulatory Environment: Government policies, regulations, and incentives related to renewable energy adoption play a crucial role in shaping the market dynamics.
• Technological Advancements: Breakthroughs in renewable energy technologies, especially in energy storage, can drastically alter the competitive landscape and open up new opportunities.
• Global Energy Trends: Larger shifts in the global energy landscape, such as the transition towards cleaner energy sources and the phasing out of fossil fuels, can have far-reaching effects on the renewable energy sector.
• Environmental and Sustainability Concerns: Growing awareness and concerns about climate change and environmental sustainability are driving a strong push towards renewable energy adoption on a global scale.

• Innovative Product Offerings: Astanah introduces cutting-edge renewable energy systems that utilize recycled lithium batteries, offering higher efficiency and cost-effectiveness compared to traditional DC systems.
• Localized Manufacturing: By producing energy solutions locally, Astanah not only contributes to the regional economy but also addresses the specific needs of the Zambian market, particularly in rural areas.
• Affordable Access to Quality Energy: Astanah's approach of using recycled lithium batteries makes their products more accessible to a wider demographic, ensuring that more people can benefit from reliable and sustainable energy solutions.
• Flexible Payment Models: Astanah's "Energy as a Service" model allows customers to access backup energy systems through flexible payment plans, ensuring affordability while establishing a steady revenue stream for the company.

• Market Penetration: Astanah aims to achieve widespread adoption of its renewable energy solutions, becoming a household name in Zambia and neighboring countries, with a substantial share of the market.
• Increased Electrification Rates: Success for Astanah means contributing significantly to the increase in electrification rates in Zambia and neighboring countries, especially in rural and underserved areas.
• Regional Expansion: Astanah envisions expanding its operations into neighboring countries, leveraging its success in Zambia to address energy access challenges in a broader geographic area.
• Industry Recognition and Leadership: Success also entails being recognized as a leader and innovator in the renewable energy sector, not only in Zambia but on a regional scale, driving positive change in the energy landscape.

David Tionge Ngambi (Co-founder and Acting CEO):

• Background: Mechanical engineer with expertise in renewable energy storage.
• Roles: Leads research and development; involved since inception.
• Experience: Extensive experience in product delivery, application development, construction, robotics, and consulting.

Salvina Eddie Poppe (Co-founder):

• Background: Electrical and electronics engineer with specialization in inverter technology.
• Roles: Provides technical and logistical support on a part-time basis.
• Experience: Collaborated on research in inverter technology; currently based in Dar-es-Salaam, Tanzania.

Kondwani Mkandawire (Co-founder and Strategist):

• Background: Economist and project management specialist.
• Roles: Offers strategic support and handles finances on a part-time basis.
• Experience: Works as a strategist at Zambia's largest bank, ZANACO.

Wiza Siame (Team Member - Marketing):

• Background: Holds a Bachelor of Law degree with a focus on digital marketing and content creation.
• Role: Responsible for digital marketing and increasing Astanah's brand presence on a full-time basis.

Suzanna Chulu (Team Member - Renewable Energy Engineer):

• Background: Renewable energy engineer with expertise in designing small and large-scale renewable energy systems.
• Experience: Completed her degree in Cyprus; known David since 2012.

• Diverse Expertise: The team brings a diverse range of expertise, spanning mechanical engineering, electrical and electronics engineering, economics, project management, and law. This diversity allows for comprehensive problem-solving and innovative approaches.
• Youthful Dynamism: The Astanah team's youthful vigor, with members in their twenties and early thirties, brings a fresh perspective and a dynamic approach to problem-solving. This energetic spirit fosters innovation and an agile response to the evolving renewable energy landscape.
• Global Perspective: With team members having studied and worked in various countries, including Australia, Tanzania, Cyprus, and Zambia, Astanah benefits from a global perspective. This international exposure enhances adaptability, creativity, and a broader understanding of the renewable energy landscape.
• Hands-on Experience: Each team member has practical experience in their respective fields, from research and development to technical support, marketing, and strategic planning. This hands-on approach ensures a grounded understanding of the challenges and opportunities in the renewable energy sector.
• Long-standing Relationships: The founders have known each other for several years, establishing a strong foundation of trust and understanding. This enables effective collaboration and a shared vision for the company's success.

Astanah's financing has been a combination of self-funding by the founders, contributions from friends and family, and secured commitments from two angel investors. These angel investors have already formalized their commitment through signed investment agreements, with the funds expected to be received by the end of September 2023. This infusion of capital will significantly bolster our growth and expansion plans.

USD 200,000

1. Operational Efficiency: A significant portion will be directed towards hiring assembly staff. This will streamline production, ensuring quicker turnaround times and higher output capacity.
2. Team Expansion: key allocation of funds will be towards expanding our team. This includes hiring full-time staff to oversee crucial aspects like accounts management, customer service, and regional operations. This strategic move will not only streamline our operations but also enhance efficiency as we scale and serve a broader market.
3. Cost Optimization: Funds will be allocated towards asset financing for Manufacturing equipment and vehichles. This strategic move aims to reduce expenses currently associated with equipment hire, vehicle rentals, contributing to overall cost savings.
4. Marketing Campaign: A substantial portion will be invested in bolstering Astanah's marketing efforts. This includes expanding outreach, increasing brand visibility, and reaching potential clients more effectively.
5. Research and Development: Allocation towards R&D is crucial for Astanah's growth. It will be used to enhance IoT integration, incorporate cutting-edge AI systems, and further 
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1. Accelerated Growth Trajectory: This investment will empower Astanah to achieve an Annual Recurring Revenue (ARR) of $80,000 within the next 12-18 months, setting a solid foundation for future funding rounds.
2. Preparation for Next Funding Round: With this financial boost, Astanah will be well-positioned to pursue a subsequent funding round, targeting an ambitious goal of $1,000,000 in investment.
3. Substantial Customer Acquisition: The additional capital will enable Astanah to expand its customer base, aiming to acquire between 50,000 and 80,000 new customers. This growth in user base will drive revenue and establish Astanah as a key player in the renewable energy market.
4. Enhanced Product Development and Innovation: The investment will further bolster our capabilities in research and development, allowing us to introduce new technologies, enhance our existing products, and improve overall operational efficiency. This will solidify Astanah's position as an industry leader in renewable energy solutions.