Frequently Asked Questions
How
are your carts different from those in grocery stores and Wal-Mart?
Our Personal Transport Assistants (PTAs) are self-service,
wireless transaction, rental units that anyone can use within a
multiple entrance facility. As our launch market, we have chosen
airports to serve mobility challenged passengers.
What
is your liability exposure with inexperienced operators of your
carts running into someone in a crowd and suing for damages?
Liability exposure risk is minimal. The speed of the carts is
slow enough that injury potential from direct contact is very small.
However, to further negate concerns in this arena, we have, after
evaluating proposals from several insurance carriers, secured
liability insurance.
What
have other companies experienced operating fleets of personal
motorized carts in large public venues?
We personally have over 13 years experience renting thousands of
personal motorized carts with zero insurance claims. Wal-Mart and
grocery store chains report their claims went down because their
mobility limited customers are riding instead of falling in their
stores.
What
are the major risks?
Several risks are being addressed: (a) As covered in our
business plan, claims and lawsuits for injury have actually gone
down, in markets using a non-enhanced version of this product. (b)
Security issues are being addressed with several potential solutions
identified depending on the requirements of the new federal security
agency. (c) Space requirements are an issue to some airport
personnel; however, these carts take no more width in the airport
concourse than a passenger carrying two bags.
Are
you concerned about passengers maneuvering in a crowded airport?
No. The department store and grocery stores own thousands of
these carts in narrow aisle-ways operated by their customers for
their convenience.
Will
the carts be able to go through the metal detector checkpoints at
the airports?
Our initial meetings with the TSA (Transport Safety
Administration) have been very favorable. During our study at a
major airport, we successfully passed the prototype through security
checkpoints on three separate occasions with little or no delay and
no problems.
Where
did you get your market research information?
We cited statistics that are available from some of the
airlines. We are refining those numbers in our discussions with
specific carriers and locations as there are differences depending
on market.
What
is your source of market research?
Numerous and varied sources have been explored. Additionally,
our company president has actually worked as a consultant in the
airline industry.
How
do you know if anyone will ride the carts?
The purpose of the beta test site is to test the concept using
25-30 carts in a market that should fit our target profile. The
evaluation period will be approximately 4-6 months.
What
price will you charge?
Our initial price point is to charge $5 for the first half hour
and then $1 per 10 minutes thereafter.
What
“ridership” utilization are you aiming for?
Our revenue models are based on 5 hours per day at 30 minutes
per ride period.
Which
airport will you launch from?
We are in the selection process for which airport will fit our
needs the best. We have several major hub airports targeted for a
possible beta test site.
What
airports have you talked with so far?
Significant discussions have been held with Charlotte and
Raleigh-Durham. We also had a very positive visit to the
Baltimore-Washington International airport (BWI). Additionally, we
are making contact with Columbus, Ohio, and with senior management
at US Airways, both at the airport and corporate level. In addition
to US Airways, we are in contact with American, Delta, and
Southwest.
Why
only one beta test site?
Every airport is different and each will have its own set of
challenges. We are convinced that a beta test site properly selected
with the right parameters will enable us to adequately develop the
system with protocols, procedures, and debugging of problems to
enable us to then go into any U.S. airport.
Do
you have any written agreements in place for your beta test site?
We have recently submitted written proposals to two major
carriers.
What
additional features will the carts provide?
Phase two could include wireless internet browsing from the
cart, directions to concessions in the airport, advertising,
checking email, gate locations of your next flight, etc.
What
is your competition?
No one is currently offering any service like this anywhere. A
patent pending on the concept and provider service has been filed
and should provide protection until we have the market cornered or
at least the dominant service provider.
Could
anybody beat you to market before you get started?
We are "patent pending" at this point. We took this action to
protect the product and the concept. We have not had any indication
that anyone else is pursuing this or a similar product. We are
afforded a measure of additional protection with the Exclusive
Supplier Agreement in place with the cart manufacturer.
Does
the airline already provide transportation for mobility limited
passengers?
Currently, the airlines provide basic wheelchair service and
large multi-passenger carts which are dependent on attendant
availability. They are required to provide such service to anyone
asking for it. Our concept is to provide self-service motorized
transportation that the passengers will have available as soon as
they enter the gate area from the airplane.
Will
this service save the airlines any money?
Yes. A self-service motorized cart will reduce their demand to
provide wheelchairs and carts and the associated expensive labor to
operate the equipment.
What
are your labor requirements?
A single attendant will move the motorized carts around to the
deplaning gates. We anticipate one person per 8-hour shift per 30
carts located in an airport.
How
much more is to be invested by the management team?
Application of additional significant resources provided by the
management team and "warm" contacts are projected.
Are
you planning to buy or lease the carts?
We are leaving that open for now but are reviewing both options.
Leasing has some cash flow advantages initially; however, we do not
anticipate cash flow being a significant problem.
Do
you have supplier agreements in place?
Yes. We have an agreement with the industry's dominate
commercial cart manufacturer.
What
is included in overhead in your use of proceeds?
Professional consulting costs, legal, office, administration,
travel, and so forth are among the overhead costs planned.
What
are your plans for the R & D portion of the use of proceeds?
We see R & D as an ongoing activity. We anticipate the need to
pursue further enhancements that we have conceptualized at this
point and anticipate during initial and subsequent roll-outs.