August Brown conducted the feasibility analysis for a large non-profit land conservationist company located in Washington State to prove their plans to develop new public housing units from culled trees in protected forests of the state.  The plan called for bringing in European technology for the conversion of the trees to cross-laminated timber (CLT) and glue-laminated timber (glulam or GLT) to serve as the building framework for modular units. The study proved that the model reduced the total time and cost for new modular manufacturing units for the public housing sector.

The Client’s project proves the model for how at-risk forests can provide culled timber in a manner that can:

(1) reduce the fire hazard from forests in the State of Washington;

(2) lower greenhouse gas emissions by proving the utility of CLTs and GLTs as effective replacements for steel and concrete in building construction framing;

(3) produce lower-cost public housing at a faster clip through the use of CNC based precision manufacturing of modular structures ahead of onsite construction;

(4) serve as a national model to lower the cost of public housing and provide a demonstration of how to leverage the housing construction industry to fight climate change.

We look forward to this project coming alive as it may produce a model to tackle the national housing crisis in America!

Copyright 2020 August Brown, LLC

The August Brown Client, a Colorado 501(c)3, sought $46 million to complete the construction, the purchase of the equipment and the financing of the soft costs for the development and launch of its Film Center. 

The Challenge:

Though the company itself is quite profitable, its Film Center was essentially a startup with no prior financial performance. They needed help to gain the funding needed.

The Solution:

To solve the problem, August Brown created a  strategy that separated the Film Center from the shadow of the company. They created a new financial model that demonstrated the impact of the contribution from external sources to the financial performance of the Film Center. 

August Brown also worked with the state of Colorado to confirm the qualification of the Film Center under a tax incremental district for tourism business and included the state funds to the bottom-line of the project in the model. 

August Brown provided the client with a feasibility analysis that concluded in a positive determination across five key areas of assessment:

-Economic Feasibility

-Market Feasibility

-Technical Feasibility

-Financial Feasibility

-Management Feasibility

Additionally, August Brown provided forecasted revenues based on Monte Carlo simulations and recommendations to the leadership team. Through a USDA-backed bank, the Flim Center project received $46 million in funding and is currently in the construction period of their project.

How to Take A Materials Company to the Next Level

What does it take to start and grow a successful materials company? August Brown sat down for an interview with the CEO of Semplastics, Mr. William (Bill) Easter to learn the insights that have guided his success over the years. Bill is a self-described “Bell Labs refugee” with over 30 years of experience in industry and over 56 U.S. patents. Yes, 56 U.S. patents! Bill has led Semplastics, a supplier of precision plastic engineered components for the semiconductor, medical, aerospace, and oil & gas industries since 2000. Bill’s unquenchable passion for materials led him to found X-MAT in 2011. X-MAT has developed an array of high performing polymer derived ceramic composite materials that have successfully been applied as building materials, anodic battery materials and light weight mirror backing for advanced mirrors and LIDAR support applications. X-MAT has won over $8M in federal contracts.

While the context of the conversation focused on his materials businesses, it’s clear that the principles that he espouses can be applied to any business, particularly those in the manufacturing, industrials goods and chemicals sectors. Here is an excerpt from the conversation.

What are the trends that are occurring across the materials sector?

New materials developments are moving towards lighter weight materials that take less energy to produce and provide higher performance. More and more collaborations are occurring in the materials industries as companies are beginning to strategize around maximizing their resources due to the pandemic.

What makes materials businesses different than other businesses?

The timeline for a materials business is longer than most businesses. As a materials business, you must be an ultra-marathoner. It requires more patience and owners must be willing to play the long game. You must be willing to go after government contracts for new developments. Finally, materials companies should seek to connect with local universities in order to leverage their analytical resources and their safety equipment (ie fume hoods).

What are the best lessons that you have learned?

The integrity of the people you work with are more important than the contracts you sign. It is vitally important to identify people of high integrity to work with. You must believe in the pit or the hunch in your stomach. Go with your gut.

You can receive the full transcript of the interview by contacting our office. To stay abreast of our latest news and receive more helpful tips, subscribe to our blog. To help businesses through the current COVID-19 crisis, we are extending the 30-min free strategy session with August Brown to 1-hr. You can select a time here.

Copyright 2020 August Brown, LLC