|1||Labs will be built in 53' semi-trailers or 40' ISO containers. Deployable worldwide. Massive Scalability.|
|2||2,400 rtPCR tests per day/per lab. Automated robotic protocol, lower costs, same day results.|
|3||Large scale testing of industry, at-risk populations & events to screen for asymptomatic infections.|
|4||Using multiple labs we can scale to upwards of 5M tests per month in US - no new buildings or real estate required.|
|5||Revenue from USA testing operations and from US & international mobile lab sales.|
|6||Re-open the economy intelligently & create an infrastructure for long term pandemic monitoring.|
COVID-19 is the most destructive event of the Century. It has killed three times more Americans than died in Viet Nam and it may likely overtake American casualties from World War II. Other countries have fared much better through their extensive testing. We too can test to contain COVID-19.
3C Bio has the winning recipe to do just that – they put the lab on a truck and send it where it needs to go to get the results fast. Their 2-part testing regimen effectively separates - the infected - from the never-infected - from the recovered, critical to containing COVID.
I like the way the business scales - make more trucks to test more people to make more money. I like the way it adapts to the latest testing protocols and to new pandemics. COVID-19 is the fourth disease with pandemic potential so far this century; welcome to the new normal. It’s a well thought out design and approach.
Last April, Smithfield Foods closed its Sioux Falls, S.D. pork processing plant for about a month. 3,700 workers supplying over 4% of the country’s pork, resulting in an acute threat to the U.S. food supply. Two 3C Bio trucks could have cleared this plant in a day.
Equally important, I think Mark and his team can deliver. I’ve bet on Mark before and have done well. This time I’m investing in a great business opportunity with world-affecting benefits.
3C Bio can make America work again, safely. I’m in!
The primary 3C Bio mission is to construct a nationwide network of quickly deployable mobile diagnostic laboratories for rtPCR testing in order to screen at-risk and mission critical communities for SARS-CoV-2 infections - food and transportation workers, health care facilities, schools, critical infrastructure workers - and also provide large scale testing for elective activities like sports, conventions and cultural events. We want to reopen the economy as efficiently and safely as possible.
Upon examining the potential problems the SARS-CoV-2 pandemic and the resulting shutdown of the world economy would bring, the 3C Bio team rapidly engaged to come up with an effective response to the outbreak. The team, consisting of professionals with deep experience in biotechnology, complex fabrication and systems integration, were inspired by an idea to build-out and deploy diagnostic laboratories in easily transportable mobile systems, deployable to anywhere in the world.
For the first three months our energies were committed almost exclusively to R&D, designing and outfitting laboratories to be extremely efficient and at the cutting-edge of current diagnostic technology. We focused on defining a business model and identifying ways to lower manufacturing, sampling and testing costs while still performing tests as accurately and as fast as technologically feasible.
We are excited to begin building our labs and contribute to the fight in combating this, and future, outbreaks.
Confirm, contain and control.
In April, we called for the nation to get to three million Covid-19 tests a week by July and to 30 million by October. To beat this virus we need a massive national effort to get to 30 million and beyond with tests that are easy, fast, and cheap. Only then can we keep the economy open and protect our most vulnerable. Rockefeller Foundation
Why Mobile Labs?
Scalability, efficiency, economy and speed. Our mobile laboratories, designed for high complexity rtPCR testing, can be built and programmed in as little as 10 days, up to 24 months faster than traditional building based laboratories, using assembly line methods and quality management systems. With the need for millions of tests daily, thousands of labs are needed nationally to scale to 20 million tests per day. Given the delays in major cities of up to 2 years to obtain building permits, building (or expanding) traditional labs are an impractical solution and would require extreme investments in time, capital, real estate and construction. The 3C Bio labs in 40' thru 53' configurations use identical diagnostic layouts, so the QMS (quality management system) CLIA approval are duplicated for additional labs in the series, saving hundreds of labor hours. The labs are automated, designed to process up to 24oo tests daily using our 9 robot rtPCR system, significantly reducing the number of technicians required, technicians which are expensive and in short supply.
20', 40', 45' & 53' - one size doesn't fit all
53' labs are designed for the North American market, which would allow a lab to be deployed nearly anywhere in the US within 24 hours, as well as Canada and Central America. 40' (+45') labs and a dual 20' airlift version would be sold and used in international markets, as well as certain US locations, can be transported by ship, plane and truck on difficult roads and rivers. In addition to building and operating our own labs, we plan to sell labs worldwide, and in specific cases, license our designs, software and technology to international system integrators and public health agencies outside the US, in order to increase global testing capabilities.
3C Bio labs are designed to be used on-site in order to fully screen and clear a workforce or event the same day, an essential requirement to prevent outbreaks and reopen the economy. By locating labs on-site, sample collection and testing speed is optimized - with no delays. Samples go directly into the testing cue, minimizing, transport, handling and storage requirements. An event with 2,400 people would use 1 lab on site, an event or workforce with 24,000 would use 10 labs on site.
Screening & Clearing via rtPCR testing
Initially we will be using rtPCR testing methods, reagents and protocols that have received Emergency Use Authorization (EUA) by the FDA. Currently, rtPCR is the best method for quickly determining asymptomatic infections, our prime target. As better, faster testing methods are approved by the FDA, we will integrate them into our system.
Events and Revenue
Over 2 billion people attended paid events in 2018. Comprehensive audience testing would allow some of these events to resume, combined with other safety practices. Just one percent of this one market would represent $3 billion in screening annually at current testing prices.
3C Bio has financial statements ending July 17 2020. Our cash in hand is $8,092.11, as of July 2020. Over the three months prior, revenues averaged $0/month, cost of goods sold has averaged $0/month, and operational expenses have averaged $18,000/month.
Management’s Discussion and Analysis of Financial Condition and Results of Operations
You should read the following discussion and analysis of our financial condition and results of operations together with our financial statements and the related notes and other financial information included elsewhere in this offering. Some of the information contained in this discussion and analysis, including information regarding the strategy and plans for our business, includes forward-looking statements that involve risks and uncertainties. You should review the "Risk Factors" section for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis.
3c Bio aims to build, operate and sell mobile labs based on semi-trailer or container platforms, equipped with automated testing facilities for SARS-CoV-2, utilizing HIPAA compliant software for sample collection, notification, screening and contact tracing - primarily for workplace, event and passenger screening. Our system design employs robotic sample processing, high throughput rtPCR instruments, technologies and practices to increase speed while lowering testing cost. Selling testing services in the US will require CLIA certification and FDA Emergency Use Authorization.
Future pandemics are nearly certain. We want to be positioned to provide worldwide diagnostics for whatever threatening virus or bacteria appears next. We hope to be acquired by an existing diagnostics provider (LabCorp or Quest) or a major government contractor with interest in epidemic/pandemic prevention, or to have our excess lab capacity contracted by governmental agencies (these events cannot be guaranteed). In the future, if successful, with a network of labs available worldwide, we believe we will be in a unique position to prevent future outbreaks.
Given the Company’s limited operating history, the Company cannot reliably estimate how much revenue it will receive in the future, if any.
3C Bio, Inc. was incorporated in the State of Delaware in April 2020.
Since then, we have:
Historical Results of Operations
Our company was organized in April 2020 and has limited operations upon which prospective investors may base an evaluation of its performance.
Liquidity & Capital Resources
To-date, the company has been financed with $50,000 in convertibles.
After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 6 months before we need to raise further capital.
We plan to use the proceeds as set forth in this Form C under "Use of Funds". We don’t have any other sources of capital in the immediate future.
We will likely require additional financing in excess of the proceeds from the Offering in order to perform operations over the lifetime of the Company. We plan to raise capital in 1 months. Except as otherwise described in this Form C, we do not have additional sources of capital other than the proceeds from the offering. Because of the complexities and uncertainties in establishing a new business strategy, it is not possible to adequately project whether the proceeds of this offering will be sufficient to enable us to implement our strategy. This complexity and uncertainty will be increased if less than the maximum amount of securities offered in this offering is sold. The Company intends to raise additional capital in the future from investors. Although capital may be available for early-stage companies, there is no guarantee that the Company will receive any investments from investors.
Runway & Short/Mid Term Expenses
3C Bio, Inc. cash in hand is $8,092.11, as of July 2020. Over the last three months, we have incurred one-time start up expenses of approximately $25,000. Going forward, we can curtail expenses and reduce burn rate to have at least six months of runway. Revenues have averaged $0/month, cost of goods sold has averaged $0/month, and operational expenses have averaged $8,000/month, for an average burn rate of $8,000 per month. We project profitability in approximately 4 months after completing construction of our first lab.
There are no material changes in our finances or operations since the date covered by our financials.
3-6 months after raising the at least $1M we project having a fleet of 1-7 labs in service, with each lab is capable of generating approximately $3M in monthly revenue at modest utilization. The timing of our revenue growth is speculative and dependent on pandemic market need, raising capital timely, building, outfitting and certifying labs, and selling labs and/or testing services. We project expenses of $8k/month for the first 3-6 month if operating with our minimal raise. Once commercial, our expense projections vary according to the rate of bringing new labs into service, ranging from $2-10M per month once the company has labs in service generating revenue. We believe we'll need approximately $250,000 in capital to build the first lab.
We will also be in discussion in with venture investors as well as potential customers and corporate partners in parallel with our Wefunder raise, which will help fund short-term operations if needed. We believe that the getting started building labs with the Wefunder resources is likely to catalyze institutional investor interest.
Prospective investors should be aware that an investment in the Company is speculative and involves a high degree of risk. Given this risk profile, investors in the Company could lose their entire investment. Identified risks include:
Our future success depends on the efforts of a small management team. The loss of services of the members of the management team may have an adverse effect on the company. There can be no assurance that we will be successful in attracting and retaining other personnel we require to successfully grow our business.
decreased demand for SARS-Cov-2 testing in the event that the pandemic is arrested by therapeutics or vaccines,
the need to raise the capital for the continued growth of the business, dependence on senior management and on the timely recruitment of certified laboratory managers,
supply-chain risks including the dependence on third party manufacturers, regulatory risks including those associated with obtaining timely CLIA and ISO-15189 certifications for the laboratories, and the risk of competition by incumbent clinical laboratories and new entrants.
Additional risks and uncertainties not presently known to the Company, or which the Company currently deems insignificant, may also have an adverse effect on its performance. In particular, the Company’s performance may be affected by changes in market or economic conditions or in legal, regulatory and tax requirements.
Already have a Wefunder account? Login
Don't have a Wefunder account? Signup