Hi, my name is Stanley. I'm the Co-Founder of CommTrade. And in the next several minutes I want to tell you what I believe.

If you are not new in the Tech and Venture industry you know that for now media and retail companies around the globe use some kind of "intellectual" bot systems in messengers and webpages. That is using simple and automated ways of helping and speaking to their customers. And also this solution collects customers' data. And you know, there are some companies like ManyChats, Chatfuel, and others that create software that provides simple development and integration such as chatbots and bots for those media and retail companies.

Stanley Zavershinsky
Co-Founder and CEO
And now what are we creating? We are creating such software that provides to develop, integrate and use "intellectual bot-managers" for physical commodity trading companies. Later I'll explain how it works but first I'll tell you that to create this we needed to know how this physical commodity trading practically works, and what the operational work of companies looks like every day. And we went to small and medium companies from the market.

Why are small and medium companies? Because the huge commodity companies like Shell, BP, and others use for work such solutions like SAP and Oracle. It's a very good solution and finalized but also it is a very expensive solution. You need to pay over $250 000 for installation and many others fees and costs for integration and using the platforms.

But there is another market, this market is 80% of the players. And this market is a market of small and medium companies which have annual revenue between $10–30 million. They live by 1–3% margins. They want to use such solutions like SAP and Oracle, which streamline, automate workflows of buying and delivering raw materials, the processes of supply chain management. But they don't have enough funds to buy SAP or Oracle solutions. And what owners and managers of such companies are using every day?

The owners and managers of small and medium physical commodity trading companies use phone calls, e-mails, eXcel tables, and physical meetings for doing their work. How this process practically looks like? You need to buy and deliver raw material for manufacture. You buy it from the producer of raw materials or from another trader, and you negotiate of contracts terms, to realize the contract, start to find deliveries, think about logistic optimization, insurance, loans credit funds, and many many other things. And you grab the phone, open eXcel tables, send tons of documents by e-mail, and go for meetings. This is ineffective for managers because they are spending over 40 hours per deal on this operational process. And also this is ineffective for owners because they don't see all processes, they don't have a "bird's-eye view" on the supply chain, they don't see all costs, fees, funds, problems, and losses of the process.

Huge known companies
BP, Trafigura, etc.
Are Small and Medium Traders
less $30 mil. ARR
Hostages of
SAP/Oracle "Mafia"
And we said that we will build for this company such solution that cuts over 15%, that means over 6 hours, of ineffective operational work for managers and give for companies owners more control, transparency of the physical commodity deals workflows by automating, tracking, and streamline of the processes between contractors.

First, we focused on the polymers trading industry. Why? Because we are from this market, my partner is an owner of a polymers trading company. This market is very huge, in the US it's over $600 billion annual, and there are over 30 000 plastic traders in this market. A typical company makes 50 deals monthly. It means that our solution saves for this market over $1,5 billion monthly by cutting the edges, automating, and boosting the efficiency of the business.

Does it make sense for them? Of course, it makes sense! Because they know how it works in huge companies, they know how these processes look in their companies. They know how owners and managers work with hedging firms, logistics, insurance companies, warehouses, and other contractors by using phone calls, eXcels, and e-mails. What price can we ask for that? It can save over $3 000 in each deal. It can save $150 000 monthly for the company.

We said. It is a SaaS platform that takes subscriptions near $1 000 monthly for basic products. Is it good for you? Traders said yes!

We started to provide this solution for companies, and the main go-to-market strategy is — our solution can work inside one company, but it better works between contractors when contractors use it together. So if you are working with this product, you can show it to your colleagues and we will integrate this product for your colleagues. And you will work together in semi-automatic mode with streamlined processes, efficiency, and deal transparency.

Do you remember from what I started? We started to collect data on how what the processes in real-life look like in trading companies. We didn't go to huge companies because these companies have enough funds to buy all the solutions. But we need more data, we need data from all markets. In the base on this data, we started to build software that provides intellectual automatic bot-managers for physical commodity traders. In several futures for trading, for buying and delivering raw materials for manufacturers or between traders you won't need many physical manager employees. You would use this intellectual technological bot-manager which works 24/7, collect, analyze and works with data and show you all processes.

What ways will CommTrade have now? What can we do with this basis? We have three directions.

First way. We provide SaaS CRM systems for physical commodity traders that automate and streamline workflows between contractors. This is a good product, this is a good product with its own revenue, own growth, and spin-offs for other related and same commodity markets.

Second way. We can provide software that simplifies the development of automatic intelligence bot-managers for trading companies that buy, sell, deliver and operate with materials supply management. This is interesting software for huge and medium companies.

And the third one. In a few months/years we will have collected intellectual worldwide data from commodity trading markets, with the same not-digitized problems (metals, wood, fuels and etc.). And what could we do with this data? With this intellectual historical data with analysis, predictive data for future, and real-time known situations we can be a good market analytical company. Also, we could sell this data to huge traders. Such data costs good money.

When we will have in one hand the critical mass of clients, traders who buy, sell, deliver. On other hand, we will have the market data. With this, we can fast build and launch the marketplace for players and invite our clients in this marketplace. It will be good fee revenue for us. When we will connect this marketplace with our bot-management systems we would automate physical commodity trading at all. It sounds like an exchange with delivers.

Finally! What are we provide for investors? We can provide a good exit in 5–7 years with such a line of products and solutions by being sold the company for big enterprise software builders, like SAP, Oracle, Salesforce. You know how much such deals can cost.
But if investors…. because relationships with investors for me is a win-win relationship, no one-way direction… if investors will believe in this future, they will see that alone such a product can be a good operational revenue company. But when we will collect all these products in a one-stop solution in one company, we can be a really big operational company with huge revenues. This is a direct way for an honest public company.

Thank you very much, it was Stanley Zavershinsky, Co-Founder, Brain, Dreamer, and Believer of the CommTrade company. Thank you very much and welcome on board of changing old-fashioned non-digitized markets with new technologies!


Stanley Zavershinsky
Co-Founder, Brain, Dreamer and Believer of the CommTrade company
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