1.

0 Executive Summary

1.1 Fundamentals of the proposed business

ARtillery aims to revolutionize the wearable tech industry with its innovative, clip-on AR glasses that can be
attached to any frame. Designed to be sleek, elegant, and easy to use, these glasses provide a seamless
augmented reality experience for users. The company's focus on user-friendly design and accessibility
positions it as an innovator in the market.

1.2 Objectives

- Establish ARtillery as a recognized brand in the wearable tech market.

- Secure initial funding to develop and launch the first line of AR glasses.
- Achieve a customer base of early adopters and technology enthusiasts within the first year.
- Ensure high product quality and user satisfaction, aiming for a 90% positive feedback rate.

1.3 Keys to Success

- Innovative and sleek product design that differentiates from traditional AR glasses.
- Strong focus on user-friendliness and compatibility with various frame types.
- Advanced technology that provides a smooth, immersive AR experience.
- Effective marketing to target early adopters and establish a solid market presence.

1.4 Sources of Funding

ARtillery plans to secure funding through a mix of sources, including:

- Venture capital from tech-focused investors.
- Crowdfunding campaigns to generate interest and early adopters.
- Strategic partnerships with eyewear manufacturers.
- Government grants for innovation in wearable technology.

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 2.0 Company Summary

2.1 Start-up Plan

ARtillery was founded to address the limitations of traditional AR glasses, which are often bulky and
incompatible with users' existing eyewear. The start-up aims to offer a more versatile, stylish, and
convenient alternative that appeals to a broad range of users.

2.2 Mission Statement

To make augmented reality accessible and user-friendly through innovative, adaptable AR glasses that
enhance daily experiences without compromising on style or comfort.

2.2.1 Company Goals & Objectives

- Launch the first product line by the end of the first operational year.
- Achieve a market share in the wearable tech sector through innovative design.
- Develop long-term partnerships with eyewear brands and technology retailers.

2.2.2 Business Philosophy

ARtillery believes in merging functionality with style, aiming to create products that not only enhance the
digital experience but also fit seamlessly into the user's lifestyle. Our philosophy is to deliver cutting-edge
technology without sacrificing aesthetics or comfort.

2.3 Company Locations and Facilities

The company plans to operate from a central office located in a technology hub, with additional facilities for
research and development, prototyping, and initial production. Potential locations include Gujarat or other
tech-centered regions with access to industry resources and manufacturing facilities.

2.4 Industry Description

The wearable tech industry is rapidly evolving, with augmented reality playing an increasingly prominent
role. ARtillery's unique clip-on AR glasses cater to a growing market demand for practical and stylish
wearable tech solutions. As an innovator, ARtillery is positioned to capture a niche within this expanding
industry.

2.5 Strengths & Core Competencies

- Innovative product design that offers compatibility and ease of use.

- Strong focus on user experience, making AR technology accessible to a broader audience.
- Expertise in wearable tech and augmented reality applications.
- Ability to adapt to industry trends and technological advancements.

2.6 Legal Form of Ownership

ARtillery is about to register as a limited liability company (LLC), which provides flexibility in management
and limits liability for the owners, while allowing the potential for future expansion and investment.

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 3.0 Products & Services

3.1 Product and Service Description

ARtillery Smart Glasses offer a cutting-edge solution for integrating augmented reality (AR) technology into
everyday eyewear. This product enhances the user’s visual experience by overlaying digital information on
their real-world environment, providing features like navigation, notifications, and AR-based applications
directly in the user’s line of sight. The design is user-friendly, comfortable, and allows for easy attachment
and detachment, making it a versatile product for a wide range of users.

3.2 Features & Benefits

 Magnetic Attachment: Easily attaches to any standard eyewear frame with strong magnets, offering
hassle-free installation and removal.
 Augmented Reality Technology: Provides immersive AR experiences, displaying real-time data,
virtual objects, or notifications directly in the user's view.
 Sleek Design: Slim and lightweight, ensuring comfort and style for daily use without compromising
on functionality.
 Customizable Interface: Users can personalize the display, controlling what information they want
to see, such as GPS directions, weather updates, or notifications.

3.3 Customers

The target market for ARtillery Smart Glasses includes:

 Tech Enthusiasts: Individuals passionate about the latest advancements in technology and wearable
devices.
 Professionals: Workers in industries such as logistics, healthcare, and engineering, where
augmented reality can assist in daily tasks, training, or data visualization.
 Students: Those looking for a new and engaging way to interact with educational content.
 Fashion-conscious Users: Customers who want a stylish wearable tech product that also offers
advanced features.

3.4 Competitive Comparison

The wearable tech industry is growing rapidly, with companies like Google (Google Glass), Apple (Apple
Vision Pro), and Microsoft (HoloLens) offering AR devices. However, ARtillery Smart Glasses differentiate
themselves by focusing on:

 Affordability: Unlike other AR glasses on the market, ARtillery offers a more cost-effective
solution without sacrificing functionality.
 Universal Compatibility: The ability to attach to any eyewear frame makes it accessible to a wider
range of consumers, unlike specialized frames offered by competitors.

3.5 Niche Area

ARtillery Smart Glasses carve out a unique niche by combining augmented reality technology with everyday
eyewear. Unlike traditional AR glasses that are often bulky or designed for specific applications, ARtillery
offers a customizable, stylish, and practical solution for everyday use. This allows users from various fields
—commuters, professionals, students, and tech enthusiasts—to experience AR in a way that is seamlessly
integrated into their daily lives.

3.6 Sales Literature

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  Product Brochure: A visually appealing brochure that highlights the benefits, features, and ease of
use of the ARtillery Smart Glasses, including customer testimonials and use-case scenarios.
 Instruction Manual: A clear, step-by-step guide on how to attach the ARtillery device to any frame,
use the AR features, and maintain the device.
 Promotional Flyers: Distribute at tech events, conferences, and pop-up stores, showcasing the
unique value proposition of the product.

3.7 Sourcing and Fulfilment

The sourcing of ARtillery Smart Glasses will rely on:

 Manufacturing Partners: Partnering with experienced manufacturers who specialize in wearable

tech and electronic components.
 Components: Sourcing high-quality components for the AR display, battery, magnets, and other
necessary hardware from reputable suppliers.
 Fulfilment: Partnering with logistics providers to offer global shipping options, including options
for expedited delivery and a smooth customer experience. This includes warehousing, inventory
management, and order fulfilment.
 Local Retailers: Collaborating with optical shops and eyewear stores for retail sales of the clip-on
devices.

3.8 Technology

ARtillery Smart Glasses incorporate the latest AR technologies, including:

 Optical See-Through Displays: Transparent lenses that allow users to see both the real world and
overlaid digital content simultaneously.
 Magnetic Attachment Mechanism: A custom-designed magnet system that provides a secure and
stable attachment to eyewear frames, ensuring that the device stays in place.
 Advanced Sensors: Built-in sensors for tracking user movements, adjusting content displayed on the
glasses according to head orientation, and enabling interactive features.
 Battery Management System: Power-efficient technology that allows the glasses to function for
extended periods while keeping the device compact and lightweight.

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3.9 Future Products and Services

In the future, ARtillery may expand its product line to include:

 ARtillery Smart Eyewear: Developing eyewear with built-in AR functionality, eliminating the need
for a clip-on device.
 Health Monitoring Features: Integrating sensors that track vital signs such as heart rate, blood
pressure, or temperature, providing users with real-time health data.
 Customizable Lenses: Offering lenses that adjust to the user’s prescription, combining vision
correction with AR technology.

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 4.0 Market Analysis Summary

The wearable technology market is witnessing exponential growth, driven by advancements in augmented
reality (AR), artificial intelligence (AI), and miniaturization of devices. ARtillery Smart Glasses enters this
market with a unique proposition by combining augmented reality with everyday eyewear. This market
analysis will focus on the potential growth of the AR and wearable tech industry, customer segmentation,
and competitive dynamics.

4.1 Market Segmentation

The market for ARtillery Smart Glasses can be segmented as follows:

 By Product Type:
o Clip-on AR glasses for standard eyewear frames
o Custom-built smart eyewear with integrated AR functionality (future product line)
 By End User:
o Tech Enthusiasts: Individuals who are passionate about new technology, innovation, and
gadgets.
o Professionals: People in industries such as logistics, healthcare, engineering, and education
who can benefit from AR-assisted workflows.
o Commuters and Travelers: Users who want hands-free navigation, real-time information,
and easy access to essential data while on the go.
o Students: Students who need AR-based educational tools for immersive learning
experiences.
 By Geography:
o North America
o Europe
o Asia-Pacific
o Rest of the World

4.2 Target Market Segment Strategy

4.2.1 Market Needs

 Convenience and Accessibility: There is an increasing demand for wearable tech that simplifies
daily tasks and integrates seamlessly into users’ lives. ARtillery Smart Glasses address this need by
offering hands-free, augmented experiences in a lightweight, convenient format.
 Customization: Consumers desire products that are not only functional but also customizable to
their preferences. The ability to personalize the AR display and its use cases ensures the glasses cater
to different customer needs.
 Affordable Innovation: Many AR devices on the market today are expensive, limiting accessibility
to certain consumer segments. ARtillery’s affordability makes AR technology accessible to a wider
range of users.

4.2.2 Market Trends

 Wearable Tech Growth: The wearable technology market is booming, with wearable AR devices
gaining traction across industries. As AR technology becomes more mainstream, consumers are
looking for practical applications in their everyday lives.

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  Consumer Desire for Seamlessness: People prefer products that blend into their existing lifestyle
without being cumbersome or overly technical. Products like ARtillery Smart Glasses, which can be
added to regular eyewear, tap into this trend.
 Increased Demand for Hands-Free Tech: As smart devices proliferate, consumers are seeking
ways to stay connected without distractions. Wearable tech that provides hands-free control over
notifications, navigation, and data is becoming increasingly desirable.

4.2.3 Market Growth

The global AR market is projected to grow significantly over the next several years. According to industry
reports, the market for AR devices is expected to grow at a compound annual growth rate (CAGR) of 43.8%
between 2021 and 2028. With the increasing adoption of AR in various sectors, such as healthcare, logistics,
education, and entertainment, ARtillery Smart Glasses is poised to capitalize on this growth.

4.3 Industry Analysis

4.3.1 Industry Participants

 Tech Giants: Companies like Google (Google Glass), Microsoft (HoloLens), and Apple (Apple
Vision Pro) are major players in the AR wearable space, focusing on both enterprise and consumer
applications.
 Wearable Tech Startups: Numerous startups are working on innovative AR products, contributing
to the fragmentation of the AR glasses market.
 Optical and Eyewear Brands: Traditional eyewear companies, such as Ray-Ban and Oakley, are
increasingly exploring the integration of AR technology into their products.

4.3.2 Competition and Buying Patterns

 Competitive Landscape: The AR glasses market is highly competitive, with companies focusing on
different aspects of AR—some offer enterprise-focused solutions, while others target consumers with
recreational applications. The competition includes both large companies like Microsoft and Google,
and emerging startups offering niche products.
 Buying Patterns: Customers typically look for products that offer a balance of affordability,
functionality, and style. Buying decisions are influenced by the perceived utility of AR features, the
design of the device, and the price point. Reviews, word-of-mouth, and in-store experiences also play
an important role in purchasing decisions.

4.3.3 Main Competitors

 Google Glass Enterprise Edition: Although originally targeted at consumers, Google Glass has
pivoted to focus on enterprise applications, offering solutions for sectors like healthcare, logistics,
and manufacturing.
 Microsoft HoloLens: A leading player in the AR market, HoloLens focuses on mixed reality
applications for professional use, particularly in industries such as architecture, design, and
healthcare.
 Vuzix Blade: Another competitor in the wearable AR space, Vuzix Blade provides smart glasses
with integrated AR features, aimed at both enterprise and consumer markets.
 Snap Spectacles: Snap's AR glasses are positioned more for social interaction and entertainment,
providing a unique consumer-facing alternative in the market.

4.4 Distribution Channels

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  E-commerce Platforms: The primary channel for reaching a wide audience will be online sales
through the company’s website, as well as major e-commerce platforms like Amazon, eBay, and
specialized tech stores.
 Retail Partnerships: Partnering with eyewear retailers, optical shops, and tech stores to provide in-
store displays and allow customers to try the product before purchasing.
 Pop-Up Stores and Events: Hosting pop-up stores at tech conventions, AR-related events, and
fashion expos to generate awareness and offer hands-on demonstrations.
 B2B Sales Channels: For enterprise clients, offering bulk sales and customized solutions for
businesses in industries like healthcare, logistics, and education, through direct sales teams or reseller
partnerships.

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 5.0 Operational Plan
1) Production: Manufacturing will focus on quality and efficiency. Initial production will be small-scale,
with plans to scale based on demand. Quality control will be stringent to ensure reliable performance.
2) Location: Operations are based in a rented facility with sufficient space for assembly, storage, and
testing. Location is strategic for easy access to suppliers and logistics partners.
3) Access: Facility is accessible for key suppliers, employees, and has good transport links for distribution.
Security measures will ensure a controlled environment.
4) Legal Environment: Compliance with local and national regulations for electronics manufacturing,
safety, and intellectual property (IP). Patents and trademarks will protect proprietary technology.
5) Personnel: Skilled employees will handle assembly, quality checks, and software development. Initial
team includes engineers, technicians, and marketing staff.
6) Inventory: Inventory management will be closely monitored to prevent excess stock and maintain
efficient production levels. Key components will be ordered in bulk for cost savings.
7) Suppliers: Reliable, quality-driven suppliers for essential components, including lenses, processors, and
sensors, have been identified and contracted.
8) Credit Policies: Credit terms for large clients and distributors will be considered on a case-by-case
basis, balancing risk with cash flow needs.

6.0 Strategy and Implementation Summary

 Strategy Pyramid: Our foundation is innovative technology, followed by high product quality and
strong customer support to build brand loyalty.
 Value Proposition: ARtillery offers an immersive AR experience in a compact, attachable format
that enhances everyday eyewear without bulk, at an accessible price.
 Competitive Edge: Lightweight, detachable design, strong component quality, and unique blend of
hardware and software features, giving us a niche in personalized AR.
 Marketing Strategy: Targeted digital campaigns aimed at early adopters, tech enthusiasts, and
influencers to generate buzz and credibility.
o Positioning Statements: "Smart AR glasses for the future, elegantly designed for the
present."
o Pricing Strategy: Priced competitively at ₹1,00,000 per unit, balancing affordability with
premium technology.
o Promotion Strategy: Social media ads, influencer collaborations, and tech review
partnerships.
o Distribution Patterns: Direct sales through the website and partnerships with select tech
retail stores.
o Marketing Programs: Launch program with pre-orders, demo events, and special bundles to
increase visibility.

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 7.0 Web Plan Summary

Objective: Develop an engaging website to showcase products, attract customers, and support online sales.
Target Audience: Tech enthusiasts, fashion-forward consumers, and professionals in need of AR-enhanced
eyewear.
Functionality: Include product showcase, e-commerce features, customer support, and AR tech insights.

7.1 Website Marketing Strategy

SEO & Content Marketing: Optimize site content with keywords related to AR and smart glasses.
Social Media Integration: Link social profiles to drive traffic from platforms like Instagram, Twitter, and
LinkedIn.
Email Marketing: Collect visitor emails to offer promotions and updates.
Customer Reviews: Incorporate customer testimonials to build trust.

7.2 Development Requirements

Platform: Use a scalable platform (e.g., Shopify, Magento, or custom CMS) for easy updates and growth.
Features: Product catalog, AR demo section, shopping cart, and payment gateway integration.
User Experience: Ensure fast loading times, responsive design, and easy navigation.
Security: Implement SSL, secure payment processing, and data protection measures.

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 8.0 Management Summary

Objective: Establish a skilled management team to drive product development, marketing, and
business growth.

8.1 Organizational Structure

CEO/Founder: Arif Shaikh - Oversees the overall business strategy and vision
CTO: Moizuddin Shaikh - Leads technology and product development, focusing on AR integration.
CMO: Armaan & Manish - Responsible for marketing strategy and brand positioning.
Operations Manager: Manish - Handles daily operations, supply chain, and distribution.

8.2 Management Team

CEO/Founder: Provides leadership and strategic direction.

CTO: Manages R&D and tech innovation in AR technology.
CMO: Develops brand identity and manages digital marketing campaigns.
Operations Manager: Ensures product delivery, inventory management, and order fulfillment.

8.3 Management Team Gaps

Legal Advisor: Needed for intellectual property and patent-related matters.

Financial Analyst: Essential for budgeting, financial forecasting, and resource allocation.

8.4 Personnel Financial Plan

Salary Structure: Competitive salaries with performance bonuses.

Equity Options: Offer equity to key team members to align interests with business goals.
Training Budget: Allocate funds for upskilling, especially in AR technology.
Incentives: Include health benefits, bonuses, and stock options for long-term retention.

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9.0 Start-up Expense and Capitalization

1. Prototype Development
o Components: High-quality cameras, microphones, FPGA accelerator, haptic engine, touch
sensors, and magnetic attachments.
o Cost Estimate: ₹18-22 lakhs per prototype (depending on component quality and design
complexity).
o Testing & Iteration: ₹4-8 lakhs for adjustments after initial testing.
o Total Prototype Development: ₹22-30 lakhs
2. R&D and Technology Development
o Software Development: Custom software for AR functionality, gesture recognition, and app
integration - ₹12-14 lakhs
o Hardware Design: ₹4-8 lakhs for miniaturization, weight balancing, and compatibility
testing.
o Testing & Quality Assurance: ₹3-5 lakhs for testing labs and certification.
o Total R&D and Technology Development: ₹19-27 lakhs
3. Manufacturing Setup
o Tooling & Assembly Line Setup: ₹8-12 lakhs for small-scale production setup.
o Supplier Contracts & Initial Raw Materials: ₹4-7 lakhs for initial bulk purchases.
o Total Manufacturing Setup: ₹12-19 lakhs
4. Branding & Marketing
o Logo & Brand Development: ₹1-2 lakhs
o Marketing Campaigns: Digital ads, social media, product demos - ₹5-8 lakhs
o Website & E-commerce Setup: ₹2-4 lakhs
o Total Branding & Marketing: ₹8-14 lakhs
5. Operational Expenses
o Employee Salaries: Key hires (engineers, designers, sales team) for one year - ₹25-40 lakhs.
o Office & Utility Costs: ₹4-8 lakhs for a small office setup.
o Total Operational Expenses: ₹29-48 lakhs

Overall Capital Requirement

 Estimated Total: ₹90-138 lakhs (₹0.9-1.38 crore)

Funding Sources

1. Seed Funding: Raised through personal networks or angel investors in rounds, starting with ₹20-50
lakhs.
2. Government Grants and Schemes: Leverage Indian government programs like Startup India.
3. Venture Capital (VC): Approach VC firms specializing in tech hardware and AR.
4. Crowdfunding: Utilize platforms like Kickstarter for unique appeal.
5. Bank Loans & NBFCs: Short-term funding via business loans.

10.0 Financial Plan

10.1 Important Assumptions

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  Sales Growth: Targets tech enthusiasts and early adopters.
 Component Costs: Assumes decrease due to bulk purchasing and tech advancement.
 Labour and Overhead: Slight increase as production scales.
 Market Demand: Projected growth with sleek design and modular functionality.

10.2 Key Financial Indicators

 Gross Margin: 30-50%

 ROI: Within 3-5 years
 CAC: ₹1,500 - ₹2,500 per customer
 LTV: Repeat purchases anticipated.

10.3 Break-even Analysis

 Fixed Costs: ₹0.9 crore (₹9 million)

 Variable Costs per Unit: ₹10,000 - ₹16,000
 Break-even Point:
o Minimum Units to Sell: Around 500 units (if priced at ₹12,000-₹13,000)
o Timeframe: 1.5 - 2 years

10.4 Projected Profit and Loss (P&L)

 Revenue Estimates:
o Year 1: ₹0.8 crore
o Year 2: ₹2-3 crore
o Year 3: ₹7-9 crore
 Gross Profit Margin: Starting at 30-50%, increasing with efficiency.
 Net Profit:
o Year 1: Likely a loss
o Year 2: Break-even or slight profit
o Year 3: Expected profit margin of 8-12%.

10.5 Projected Cash Flow

 Inflows: Sales revenue, potential investments, or grants.

 Outflows: High in initial years for R&D, marketing, and setup.
 Cash Flow Management: Positive by Year 2 with controlled expenses.

10.6 Projected Balance Sheet

 Assets:
o Year 1: R&D and production equipment, ₹45-55 lakhs.
o Year 3: Current assets growth like inventory and cash reserves, around ₹2 crore.
 Liabilities: Loans or investor funds, minimizing debt over time.
 Equity: Increases as profitability and retained earnings grow.

10.7 Business Ratios

 Gross Margin Ratio: From 30% to 50%

 Operating Profit Margin: 15-20% by Year 3
 Current Ratio: Above 1.5 for liquidity
 Return on Assets (ROA): 5% by Year 2, up to 10% by Year 3.

10.8 Long-term Plan

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  Years 1-2: Product development, market entry, brand establishment.
 Years 3-5: Expand distribution, introduce variations, add accessories.
 Years 5+: International scaling, robust AR brand, diversify offerings.