Under the name Vitec, we have been providing speech recognition software to orthopedics since 1998. Another division of Vitec has been providing bone screening products since 1983. As a result, we have become the industry leader in providing speech recognition solutions for dictation.
Voice Control, Inc is a new company start-up, intending to acquire Vitec. We will have a dedicated beta site in Beavercreek, Ohio. The medical practice known as Springfield Surgery Center will perform beta site testing of our software. Michael Begal, MD is currently using speech recognition technology to capture his patient exams in “real time.” Dr. Begal has provided consulting services to our speech recognition software efforts since 1998. There are seven physicians currently practicing at Springfield Surgery Center.
We have a partnership with WWBB (a 25 percent equity partner), a proven leader in database software and speech recognition development. We believe the union of this cutting edge software development, combined with our in-depth knowledge of the medical market and speech recognition, will provide an optimum product and delivery system.
2.1 Company Ownership
Voice Control, Inc. is a privately held Ohio Corporation. James Brown, Jim Hendrix (Intuitive Medical Records, LLC), and Steve Wonder are the major shareholders. Michael J. Begal, MD is a minor shareholder.
2.2 Start-up Summary
The primary start-up expenses include the acquisition of selected assets of Vitec and establishment of Voice Control, Inc. as a legal entity.
Assets acquired from Vitec will include copyrights, trademarks, license rights, accounting records, customer database, website, computers, office furniture, trade show exhibit, and inventory of dictation and orthopedic screening products. This expenditure is reflected in the following table under heading Start-up Assets Needed, Other Short-term Assets.
Initial investment will come from the major shareholders, investors and venture capital as depicted in the table below. Detailed information is available in the Financial Plan sections.
|Purchase of VCI Assets||$50,000|
|Total Start-up Expenses||$146,366|
|Other Current Assets||$30,000|
|Start-up Expenses to Fund||$146,366|
|Start-up Assets to Fund||$1,483,634|
|Total Funding Required||$1,630,000|
|Non-cash Assets from Start-up||$30,000|
|Cash Requirements from Start-up||$1,453,634|
|Additional Cash Raised||$0|
|Cash Balance on Starting Date||$1,453,634|
|Liabilities and Capital|
|Accounts Payable (Outstanding Bills)||$0|
|Other Current Liabilities (interest-free)||$0|
|Additional Investment Requirement||$0|
|Total Planned Investment||$1,630,000|
|Loss at Start-up (Start-up Expenses)||($146,366)|
|Total Capital and Liabilities||$1,483,634|
2.3 Company Locations and Facilities
We anticipate initially locating at the Entrepreneurs Center, an incubation facility located at 714 E. Monument Ave, Springfield, Ohio. We have chosen this location due to the attractive cost efficiencies, and entrepreneurial environment. The unit we will lease will be approximately 950 square feet. With the exception of the West Coast, this location provides access to most major markets within 90 minutes of air travel.