Reactive Surfaces FAQ

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We do not sell additive; however we utilize these proprietary and other ingredients to develop functional paints, coatings and other materials for our clients using their materials.

We utilize a 3-step process to develop and license a product. First, we will do a short (generally 30-60 days) Proof-of-Concept (POC), whereby we will demonstrate efficacy of the selected functional additive in your paint/coating or other material. This POC generally costs $30k-50k, depending on the additive and the selected material. If the client chooses to move beyond the POC to commercialization of a product, we will develop said product to the point of commercialization, optimizing all aspects and specifications of the product until you are satisfied that the product can be commercialized in your product line. The cost for developing a product to commercialization varies according to the product and functionality and other factors, however, generally product development costs are between $300k-750k, and the time to commercialization is six to nine months.

Once Reactive Surfaces develops the functional coating or other material, the client has the option of licensing the product to add to its product line. Utilizing its own distribution channels, our clients can then sell their newly-developed product on the market, just like they sell any other product.

There are three aspects to the cost of a product license: (1) Upfront License Fee; (2) ongoing royalties at a set royalty rate; and (3) a Minimum Annual Royalty (MAR).

Reactive Surfaces will first demonstrate functionality in a POC. This is the first step in the product development process, generally taking only 30 days and costing about $30k-50k. Upon completion of the POC, if the client wishes to continue with the product development, the cost of the POC is applied to the product development cost.

It depends on factors such as (1) which bio-based additive is used; (2) where the product is marketed and sold; and (3) what the end product is used for. Determining the regulatory pathway is something that is done during the commercialization period.