Business Puerto Rico Magazine - Business in Puerto Rico.

Less than $20,000 buys an environmentally friendly vehicle with big savings for the user

This is a unique automotive story, as different as Henry Ford’s or Lee Iacocca’s. Nevertheless, it reminds us all of the great stories that lie within the daily life found in the automotive industry.

The man’s name is William Matos, Jr. He presently lives in Tampa, FL but was originally from New Jersey. He was born in New Jersey by Puerto Rican parents. Mr. Matos, Jr.’s former profession was originally a 17-year auto professional. In 2001 he sold out to become part of the housing boom as a realtor/developer for 10 years, and when the housing industry fell apart in the United States, his company was suddenly a casualty within the great major calamity.

“I couldn’t help my clients get financing or sell the properties I had created for the price that they were worth. I was on top of the world one minute and totally under it from one day to another. Building a success can take years, but losing it can occur incredibly fast. That’s just what happened to me.”

Dismayed, bruised, and hurt by the ordeal, Mr. Matos turned to his faith and his grandfather’s words that had planted a deep seed after one of his grandfather’s visits to New Jersey to preview one of his grandson’s new homes. “My grandfather, who is now deceased some years, said to me, after viewing our home: ‘One day come to Puerto Rico and build a little something. It does not have to be this big, just something nice.’ I laughed and asked why? His reply would never be forgotten: ‘Son, those who become educated leave Puerto Rico, and when they leave they take but when they return they very seldom return with more than they had taken away’ and these are words that I hear all the time,” said Matos.

“After the collapse of my company, I started looking around to see what I could do. My family and I have a long history in the auto industry stretching some 40 years here in Puerto Rico. I decided that this could be an area of great economic and social satisfaction for me, and I sat down and started doing research. For some nine months, I labored doing my research for a Tampa marketing project, and eventually discovered the New Energy Vehicle Company, Ltd. They manufacture go peds, electric bicycles and batteries in the Asian market. I would later learn that they were the fourth largest company of their type in China.”

“This company had the distinction of having been approved by the U.S Department of Transportation (DOT) (in 2009) to sell low speed vehicles (LSV). The car was initially introduced into the U.S. market in Missouri in 2009. Sales were less than sensational. There were 27 vehicles sold in 2010, mostly in Florida. We discovered that these purchases were made by elderly people for the express purpose of going to see their doctors. The greatest distance these people traveled was approximately 25 miles.”

“Having been in business before, I knew that I had to prepare a strong and dynamic marketing plan. The plan had to not only emphasize my ability to sell the product, but every area from financing to transportation and every conceivable aspect had to be covered in the plan. Finally after many, many months, the plan began to take shape and was ready for presentation.”

“Things really started to move fast after that. I contacted ‘the company’ in China, and arranged to go there and meet their management team. I can’t begin to tell you how impressive this meeting was from the very beginning. First of all, the physical plant’s configuration is found on over 1,000 acres of land. It’s huge. On the property there are six extremely large manufacturing facilities of about 500,000 square feet each, which is equal to anything Detroit could ever have produced. The facilities were extremely clean, well ventilated and managed. The initial meeting was very cordial and consisted of their management team (all men) and two female interpreters (one representing me, and the other them.). I made my case with charts, statistics and projections, and after a 2-hour well designed plan, our exclusive agreement was accepted.”

“I might add that I was the only candidate to approach this manufacturer and be willing to approve an initial 1,000 car purchase and put up $10,000,000 in collateral using monies from credit unions, private and public investors, banks with adequate floor plans, etc., etc. One of the very first seed investors (200K) was Mr. Gary Burns who accompanied me to China and became as excited as I was. This initial business trip lasted nine days and was filled with meetings, plant inspections, transport capabilities and other auto manufacturing related details. There was never a letdown. When I asked how many cars they could manufacture, they answered without hesitation 3,000 per month. ‘Will you need more?’ they asked.”

“Upon returning to the United States I embarked upon putting my executive team in place. Many of these men I had worked with before, and the launching of a new product in America appealed to them. I have listed them by name and the years of experience they bring to this effort:

William Matos, Jr.
Chief Marketing Officer (Founder/acting interim president until volume increases)

John Marcus
Chief Operation Officer 30 yrs. exp. with $ multi-million rollouts and logistics

Jeff Lasman
Corporate Attorney 27 yrs. exp. corporate business law and contracts

Robert Sickles
Franchise Attorney Attorney within NIDA (Nat’l Ind. Dealer Assoc.) with vast
experience in franchise law

Mrs. Showping Zeng
Corporate CPA                      26 yrs. exp. in corporate tax structure and finance. Federal
                                               auditing, fluent in Chinese, Spanish, and English
Baltazar Martinez
Lead Graphic Designer          Top graphic designer, visionary, with one of the most
                                               creative minds of all times

Carlos Feliciano
Web Master Corporate sales distributor replicating site; sales support
representative

Ed Ayala
Corp. Direct Sales Trainer 10 yrs. Master Sales Trainer, leading direct selling
companies in financial services. Ranked Top 10 in Country

“While in China, they presented me with three automobiles and one truck line that we were going to introduce. They permitted me the privilege of naming them and I, along with Mr. Baltazar Martinez, did so. The cars are called Freedom, Vision and Spin. The truck is called Workhorse.”

“The Freedom is a four-door, five-seater sedan. The Vision is a two door, two-seater coupe. The Spin is a two-door, four-seater coupe. The Workhorse (pickup) is a two-door, three-seater cab. Incredible as it may seem, we named them all in 1.5 hours.”

“In Puerto Rico we established a strategic alliance with the Puerto Rico Free Trade Zone #61 and will have the initial 120 auto inventory located there. They will be moved as the sales occur. This service will provide huge savings for our company, Alectrica Motors of Puerto Rico, LLC. So, too, in the Port of Tampa, where the new Gulf Coast Advantage System provides storage of up to 3,000 units per month. Like the Free Trade Zone #61 in Puerto Rico, no fees are attached while they are in their storage facility. Still another strategic partner is the international maritime cargo carrier distributor. They are called Zim Global Reach. This corporation provides weekly China pickups from the manufacturer to the U.S. The last strategic partner to be put in place was Nestor Reyes, Inc., a well-known cargo import handling company in Puerto Rico. By January 1st, 2012, we will have the first 120 automotive units in inventory in Puerto Rico for sale. There will also be 200 in the United States in the Port of Tampa, FL.”

“We are preparing an exclusive sales team who will be professionally trained in leadership, product knowledge and direct sales skills. When they are fully trained, they will be able to handle any and all questions that you may have. We intend to hire approximately 2,000 people in the next 36 months. Many of these will be Direct Sales Partners, entitled to a sales commission of $750 per sale. Team sales efforts are in the works as a tool to expand the sales efforts of these thousands of people.”

“The ALECTRICA automobile is not in direct competition with the Nissans, Fords, Toyotas, etc., in the marketplace. With few exceptions in their collective product lines, our ALECTRICA is not intended as a primary car in your family driveway. It is an urban vehicle designed to get you around town, to get to your job, do your chores, or pick up your children after ballet or football practice at an incredibly low cost per mile rate. At home I have a regular gas driven automobile and an ALECTRICA. I can honestly tell you that the ALECTRICA is driven 70 percent more than the traditional automobile. I find it easy to use and handy to conduct my daily chores that are always close to my home. The car does not run on gasoline and is dependent upon a durable AGM lead (maintenance free) battery. With 74% of the population that lives works and shops within 9.4 miles of their home, I believe every home will have a couple of battery powered cars for their short trips.”

“Unlike other automotive retail outlets (or franchises) we will have representative demo dealers located every 15 miles from each other. We will start with two demo dealers in Puerto Rico who will have an authorized license to demonstrate, educate, maintain and sell the automobile. There will be one in San Juan and one in Añasco. The demo locations will be modest in appearance and user friendly. For anyone anywhere interested in buying an electric car, we will deliver it to your door anywhere at no charge.”

Q: Where can I buy one today?
A: Go to Alectrica.com to arrange a test drive and delivery, as we establish our dealer network.

Q: What is the driving range per charge?
A: The range per charge will vary depending on driving speed and terrain. The estimated range of Alectrica is 70 miles.

Q: How quickly will it charge?
A: Alectrica vehicles can recharge up to 60% capacity in as little as 45 minutes. Total charging time is 3 hours using most standard 110 volt electrical outlets.

Q:        How long will the batteries last?
A:        Battery life is dependent on many factors, including: driving habits, percentage of discharge per cycle and temperature extremes. In general, the batteries should last between 4 to 6 years.
            (note) New lithium batteries will be guaranteed for life, with 100 mile per charge range

Q: Can I drive it on interstate highways?
A: No. Alectrica vehicles are intended for urban and city driving. It’s designed for maximum energy efficiency, not high performance or high speed.

Q: What about maintenance?
A: Electric cars are remarkably low maintenance vehicles. Gasoline burning engines have thousands of moving parts, which all need to be serviced regularly. The electric motor has basically one moving part. No filters, no radiator or cooling system, no fuel system, no exhaust, etc.

Mr. William Matos, Jr. of Alectrica Motors Puerto Rico, LLC, is the owner, along with his wife Brenda Matos. They have the exclusive rights to sell and distribute within the U.S., Puerto Rico and the U.S. Virgin Islands. The vehicles have up to a 70 mile range, a 1,200 lb. payload capacity and may be charged from a standard 110 volt outlet or at a fast charging station.

“These vehicles maintain the same power and ability as gas powered engines. A three hour daily electrical charge, when maintained, will provide 70 miles of driving range each day. In comparing the cost of gasoline at $4 per gallon vs. 22 cents per kwh, or 90 cents to charge, the Alectrica will assure any buyer wherever located to reap huge economic returns, be it on monthly or yearly driving. Even if the current price of gasoline remains at $4 per gallon, the 90 cents cost projected for recharging each 70 mile run will make you smile every time you pass a gas station. In the U.S. there is a fear that the price of gasoline per gallon will match that of European markets, which is currently between $5 and $6 per gallon. Ask yourself, what then? Can you afford your automobile if gas prices go any higher?”

“At present most of the automobile manufacturers have plans to introduce now or in some unknown future, an electric automobile. At this present time no one can beat our $18,900 introductory price. We urge you to give your household expenses an economic boost by testing and analyzing operating costs and then buying this unique versatile urban automobile.”

“The cost of maintaining such a vehicle will be greatly appreciated by our future clients. There are no harmful tailpipe emissions, no gasoline, no oil change or filters and very few internal moving parts. Maintenance is done by your dealer once a year to check the battery and is it entirely free of charge. It’s green technology at its very best! Present introductory cost is $19,800 and it will be available to the public on or about January 15, 2012.

The company has some very unique ideas. Their philosophy is God, family, business. There is no business concluded of any kind on a Sunday.

There will be demo center territories available in the near future. There is an exclusive sales agreement license for these future territories. This license covers a territory and strict guidelines applying to treatment of employees. If you are interested in purchasing one, this type of negotiation is conducted exclusively by Mr. William Matos, Jr. and Alectrica’s Board of Directors.

At present the parent company does not plan to build a factory in the U.S. Alectrica is negotiating the development of new lithium technology to be produced on the island of Puerto Rico.

In regards to training of the staff in every phase of the operation, Mr. Matos, Jr., estimates a six month period for everyone to know their job.

Delivery of the automobile takes 30 days: 26 days on water transit; 3 days on land transit, and 5 hours to prep the automobile.

How many regular employees – 250 projected

How many direct sales executives – 2,000 projected

Maintenance – a 12 month or once a year check-up for battery adjustment, if needed. It’s free. No oil change and other traditional check-ups.

Website: www.alectrica.com

Rental options: Currently negotiating with one of the world’s largest rental fleets. More info to be released.

Hill climbing capabilities: 30 – 35% in climb is OK

Introductory prices: From $17,000 to $19,800

Economic government assistance: a $2,000 rebate from the Treasury Department (Hacienda).

A 12-volt access outlet to charge your cell phone. The dashboard has a battery gauge that determines how many miles you have traveled.

The battery can hold its charge even if left at the airport whenever you leave town.

The demo facilities are not intimidating. The car comes with two standard drive options: Fully automatic and Auto Stick®