Investing in CityQ means investing in a company in a very fast growing market, where you can help us to not only co-finance 100 partially paid early bird pre-orders but gain significant future return
CityQ - Imagine your next car being an e-Bike!
CityQ offers the first Car-e-Bike – a new type of ebike with the benefits of a micro car. Although regulated as a bike to drive and park anywhere, driving CityQ gives the feeling more like an electric car - with built-in car technology like a Tesla. The eBike has replaced chain and gear with software, enabling the user to get automated upgrades and repair via web and connectivity.
With its modular cargo or family mode, CityQ is offering the freedom of transport in inner city from food deliveries, city services, to commuters, urban families or mature citizens:
As most cities are imposing restrictions upon car traffic, urban corporates and citizens turn to e-Bikes and e-Scooters for their urban transport. And increasingly so during COVID times. Among the fastest growing type of eBikes are the family- and cargo eBikes. This includes 3-4-wheel eBikes for transport of children and light cargo like city services and "pizza & food" delivery. CityQ hits the nerve of the time.
However, cycling in bad weather and winter season is a major obstacle. In addition to weather, safety and lack of space are concerns. And increasingly also maintenance and issues with mechanical parts like chain and gears, becomes a barrier. CityQ solves these problems.
CityQ has already got pilot customer and preorders in Europe and US. The business model will include direct sales via web, licensing and in particular subscriptions to allow affordable access to consumers, commercial customers and mobility as a service provider.
"If Tesla or BMW ever plan to make a future Car e-Bike – they might want to make a CityQ"
Commercial traction: 85 partial paid orders, 10 units for commercial B2B customer through grant, 100+orders LOI for resellers, 300+enquiriesOctober, 2020
Prototype 2 finishedJune, 2020
Green-tech grant from Norwegian governmentAugust, 2019
Partnership with Roland Berger, a leading strategy consulting firm in GermanyNovember, 2019
Partnership for product development with Mando - sister company of HyundaiJuly, 2019
Supported by accelerator Kjeller Innovasjon in NorwayMay, 2019
Softfounding from KnowITDecember, 2018
Prototype 1 finishedAugust, 2018
Grant to "promote Nordic 4-Wheel bikes"July, 2017
Founding of CityQ in NorwayNovember, 2016
It's neither or both. It is a mobility revolution: a new vehicle platform which is though classified as an ebike. This allows us to deploy this product super quickly to any market with the best of both worlds: Taking the best features of an electric car, combining them with an ebike. The same as with an ebike, the CityQ is able to ride and park anytime and anywhere. Unlike with a car you don't need to own a drivers license, register the vehicle or have it insured to run it.
Width: 87cm Length: 222cm Height: 155cm; Weight: 70 kg; Load factors: Either load up a maximum of two kids, or one additional adult or a volume of 600 - 800 litres of cargo; Maximum weight load: 300 kg for driver and cargo as vehicle only weights 70 kg; Up to 100 kilometres travel per charge; Self charging 20-25km; E-bike classification: Pedals + engine; Power of max 250 W and 25 km/h
The car has a strong electric bike engine, connected to batteries. It also needs pedals which still allows us to classify the vehicle as a bike. However, instead of the pedals working a bike chain, the pedals are working a dynamo which produces energy for the engines and/or the battery. By not having hardly any mechanical parts in the vehicle, the vehicle maintenance is reduced significanlty. All of these electric components are connected to a software package to give you the best and tailored driving experiences: from a workout mode, maximum drive assitance or most economical driving, you will be able to choose what fits your private or commercial mission.
With the help of some great team members and advisors from the automotive industry, we will start with a local production / micro factory strategy - ideally in the markets where there will be highest demand, like for example in Germany. However, once we arrive to a certain size we would like to find the ideal hardware partners to pass mass manufacturing on to. Innovation and R&D will still be kept in CityQ. Licensing will therefore become of importance quickly as we scale.
There will be IP along the hardware, like the chassis of the vehicle which is being patented. But the main IP will be in its software that will no only drive the main systems of the vehicle, but also enable autonomous driving in the future and enable different sharing models. Software is of most importance to us to differentiate this vehicle from the rest of the 4 wheelers out there - same as Software is a main differentiator for TESLA amongst cars. We want the customer to see this like a smart phone on wheels, constantly getting more features added to the vehicle to gain more in value over its lifetime.
We understand our customers. As e.g. Millenials are coming into the focus - not wanting to own, our strategy will be less on sales and leasing as we move along our plan, but more on rental, subscription and sharing models. We know a lot about bike as well as car sharing models and see the CityQ as perfect vehicle for multi use applications: Sharing the vehicle across communities to e.g. perform personal transport in the morning, and performing deliveries like food delivery for the next user later. We will be selling our vehicle online and eventually open flagship stores where customers cannot only see the CityQ but book test rentals. We will work with local partners to offer the right maintenance and support structure for our private and commercial customers.
Consumers, companies and cities - all in an urban setting where you have traffic congestion and where there is a need for sustainable transport. Consumers can be commuters, young families who require door to door transport and safe short distance traveling. These can be city related services for companies as well (food deliveries such as deliveroo), applications in local tourism, transport of urgent deliveries in zones where cars are not allowed, etc.
Our core experience is coming from software and mobility sharing businesses. And we come from Norway, the womb of Europe around green and sustainable technology and business models around energy and mobility! That's our unfair advantage. That's why we don't see CityQ as a piece of hardware, but more as an enabling platform for something much more exciting around enabling ACES: Autonomy, connected vehicles, electrification and sharing in mobility.
Satured? Far from it. Saturation is seen around scooters and partially (manual) bikes in big cities - that's true for bigger markets in Europe or China. However we still see explosive growth, in particular around E-bikes in Europe, where we offer a better solution and can therefore grab market share. This trend was hugely accelerated as well by Covid. The announcement of Harley Davidson entering the ebike market is the most recent evidence. In the case of CityQ we already have big sharing companies showing a great interest in our new platform to be assessed for the inclusion into their sharing fleets. As this new vehicle platform also holds a number of car like features we see us grabbing market share here as well as Europe is reducing car traffic significantly as part of the green deal. Automotive OEMs are watching the recent development very closely and so should early investors. :-)
As of the end of October 2020, we have 85 preorders worth 600 K EUR in the pipeline which are partially paid and just need you as an investor to co-finance. In addition we have an important grant of 360 K EUR for investors to match so we can deliver a costumised order of 10 CITYQs for a cargo customer. Otherwise our sales pipeline is getting bigger on a daily basis in 4 countries with signed LOIs and a sizeable volume prognosis per reseller. This demand has been triggered with bascially no marketing since we brought out our 2nd generation prototype in June 2020.
Sales and revenue projections are balanced out between Sales, Leasing and Rentals. The numbers focus on a scenario where we concentrate on Scandinavia, Germany, UK and eventually other markets in Europe initially and the ramp up globally with partners. The numbers are based upon a market prognosis for both cargo bikes and family bikes in Europe - confirmed through both: 3rd parties and in dialogue with the transport expert Roland Berger. The CityQ numbers are based upon a modest market share in each market.
We did a full price calculation based on current Bill of Material costs and compared those with other cargo ebikes for both families and corporate customers. CityQ is classified as a high quality ebike - but still attractively priced compared to similar ebikes for corporate use. We expect the upper market to find initial pricing attractive - as we initially won't target high volume but apply value based pricing and focus first early buyers who are looking for an exclusive product. As the market matures, the pricing strategy changes: as costs come down and competition moves in - prices will be lowered. The lean modular architecture makes CityQ attractive for scaled and local production, however: in particular on bill of material (BOM) costs - while the product platform matures, BOM costs decrease through applying better designs and applying economies of scale. As we scale, mass production partners in Asia will grow of importance to increase production times at generally lower labour costs for key items.
Share price in current capital increase of Euro 1M is Euro 114 per share. We anticipate 8000 new shares with a post raise of 65456 shares (which is about 12%) . After a Euro 20m raise (Series A) at Euro 600 to reach the budget - we will have 100 456 shares.