Solectrac
Climate-Smart Electric Tractors
Albion, CA
Clean Technology
Agriculture
Solectrac designs and sells electric tractors to replace diesel vehicles in the agriculture space. As the world experiences a transformational change in its story around energy, we can no longer ignore the idea of utilizing electric vehicles in all aspects of life. We've developed a line of electric tractors that we believe is better than anything else on the market.
$366,320
raised
460
Investors
20
Days Left
$1.00
Price per Share
$7.75M
Valuation
Equity
Offering Type
$250.00
Min. Investment
Bonus Rewards
Get rewarded for investing more into Solectrac
$100+
Investment
StartEngine Owner’s Bonus
This offering is eligible for the StartEngine Owner’s 10% Bonus program. For details on this program, please see the Offering Summary section below.
$500+
Investment
Tier 1
5 trees planted + nominate a farm for the free drawing + vote on tractor recipient**
$1,000+
Investment
Tier 2
10 trees planted + nominate a farm for the free drawing + vote on tractor recipient**
$2,500+
Investment
Tier 3
25 trees planted + nominate a farm for the free drawing + vote on tractor recipient**
$5,000+
Investment
Tier 4
25 trees planted + 5% bonus shares + nominate a farm for the free tractor + 5 votes on tractor recipient**
$10,000+
Investment
Tier 5
25 trees planted + 10% bonus shares + nominate a farm for the free tractor + 10 votes on tractor recipient**
$25,000+
Investment
Tier 6
25 trees planted + 15% bonus shares + nominate a farm for the free tractor + 25 votes on tractor recipient**
Reasons to Invest
The North American tractor market is predicted to reach $20B in 2023. We believe the trend of electric tractors will follow that of electric cars and other vehicles.
Solectrac has engineered a patented and innovative solution to power agricultural and other tractor-based operations with clean electric tractors
Key supply chain partnership with a leading tractor manufacturer in India
“We are working to lead the transition to electric tractors”
The Problem
20th-century diesel engines are inefficient, high-maintenance, and hazardous to workers, nearby communities and the environment
Farmers everywhere are forced to absorb massive operating costs for their diesel tractor equipment. In 2017 the total cost expenditures toward diesel fuel in the U.S. reached $7.6B and were growing at 2.7% annually. As the government has placed pollution-restricting regulations on these diesel tractors, farmers at our demos have told us that they are put in a difficult situation as these pollutant controls cause excessive downtime for maintenance and require farmers to take on these extra costs.
Beyond the economic costs stemming from diesel use, the cost levied on both human and environmental health is also untenable. Between the emissions resulting from diesel engines — contributing to the Agricultural sector’s 6 billion metric tons of annual greenhouse gas emissions — as well as the common hearing loss and respiratory illness suffered by many farmers, the industry is in dire need to transition to a cleaner solution.
The Solution
Solectrac’s Climate-Smart Electric Tractors
Our line of all-electric agriculture and utility tractors (ranging from 25 to 70 HP) are designed to replace diesel tractors. Solectrac’s electric tractors can be charged with renewable energy or from any 220v outlet.
This innovation will allow farms to reduce their carbon footprint, and in the process diminish the harm to soil and human health resulting from standard diesel operations. Our technology offers the opportunity to advance quiet, clean, efficient farming — and transition to truly regenerative agriculture.
The Farmtrac compact electric tractor by Escorts (above) is a versatile all-wheel-drive utility tractor, perfect for light-duty work like mowing, tilling, and hauling. It is equivalent to a 25-30 HP diesel tractor.
The 40 HP diesel-equivalent eUtility (above) is the ideal tractor for vineyards, equestrian centers, livestock operations, and any other utility type work.
The 30 HP diesel-equivalent eFarmer (above) provides unparalleled visibility and maneuverability for the next generation of row-crop farming.
The Market
Solectrac enters a multi-billion dollar market
The market for agricultural tractors is $12 Billion in North America, with the largest share made up of tractors 40 HP-and-under. The global market for agricultural tractors is $75 Billion annually.
Solectrac has three electric tractor models in the 40 HP-and-under size category. We also have a 70 HP-equivalent model in development, which opens up an even larger market for Solectrac.
Across every energy-intensive industry there have been major pushes toward green alternatives, and there’s no reason to think the agricultural sector will be different. Our electric tractors offer significant savings in reduced downtime, maintenance, and fuel costs. Charging from renewable energy will allow farmers to become independent from the volatility of the fossil fuel market.
Our Traction
Multiple proprietary electric tractors
Solectrac holds a patent on its battery exchange system that was developed by Founder/CEO Steve Heckeroth in 2010. With this proprietary technology acting as a foundation, we were able to design our tractors to eliminate the issue of limited run-time: As batteries are depleted they can be replenished with fresh packs using the tractor’s hitches.
Between 2014-2016 we received grants totaling $730K, which allowed us to dig in and develop our first line of commercially viable Solectrac electric tractors. Our Solectrac eUtility is being used by early-adopter customers in active farming operations in the U.S., Canada, and Norway.
Today we’re working on building our products as kits to assist in quick assembly. This will cut down on costs including those associated with building large manufacturing infrastructure and allows our tractors to be delivered anywhere in the world regardless of access to electric or petrol infrastructure. These kits will also have applications for disaster relief as mobile energy sources. We are changing the face of the industry by introducing our decentralized/modular manufacturing process.
What We Do
We develop and distribute electric tractors
Using our state-of-the-art advances in the space, we design and sell electric tractors. We plan to offer four models, each of which builds on the last as far as technology, size, and versatility and generates cash flow for the release of the next generation.
In addition to the two models already available (the Solectrac eUtility and the Farmtrac CET), we are in the development stage with our Solectrac eFarmer, a 30 HP unit specifically designed for row-crop cultivation, and our Solectrac e70N, a 70 HP tractor specifically designed for larger agricultural operations. All four models are poised to make major strides in the market.
video
The Business Model
Primary revenue comes from tractor sales
To improve our cash flow, we use a reservation model. Each purchase requires a 50% deposit and the remainder is paid upon delivery. Customers are familiar with buying/reserving a spot in the production line from other manufacturers in the electric vehicle space. It allows them to plan for the expenditure and put optional renewable charging infrastructure in place.
To date this has been our primary revenue source, and it is supplemented by the sale of exchangeable battery packs and front loaders. The exchangeable battery packs are going to our farmers for their tractors, and also to customers with solar arrays for back-up energy storage. Solectrac is currently offering the lowest-cost energy storage option on the market.
How We Are Different
First zero-emission under-40HP tractors
Solectrac’s patents in the electric tractor space have allowed us to emerge as a unique company in the market, outpacing competitors in the development of zero-emission under-40 HP tractors and being recognized as a key innovator in the industry.
Our lithium iron phosphate batteries are non-combustible. We believe there is nothing that comes close to the innovations incorporated in Solectrac electric tractors. When it comes to growing food, we believe there is nothing that comes close to the innovation incorporated in the Solectrac eFarmer.
From fuel costs to maintenance to emissions to noise, electric tractors are better.
VS a Diesel Motor
We also distinguish ourselves with our focus on regenerative agriculture and our support of municipalities and businesses in the transition to electric power for landscape maintenance, towing, and other tasks formerly requiring diesel.
The Vision
Each model will fuel the next
Our strategy for the future relies on our release schedule, which is designed specifically to provide us with the resources and brand capital to build our next generation tractor to meet the needs of diverse applications.
Our Team
Our team unites experience in farming and electrical vehicles
Our Founder and CEO Stephen Heckeroth has been building electric tractors for more than 20 years. His innovations have led to Solectrac’s unique intellectual property, including key patents in electric tractor technology.
With all of this experience with electric tractors, Solectrac is ready to bring this work to market with the help of a diverse management and advisory team with knowledge ranging from renewable energy to business management.
Why Invest
Join the next agricultural revolution
Join the revolution with an investment in Solectrac.
As a Certified B Corp we hold our mission of social responsibility and environmental health to be a top priority. The green new economy is here, and in every sector it is only a question of which innovators will lead the way. Thanks to our top-flight technological advancements and our amazing team, we are leading the charge. Join us!
With its patented three hitches, the eFarmer can accomplish three tasks in one pass.
In the Press
Offering Summary
Company | : | Solectrac, Inc. |
Corporate Address | : | 30151 Navarro Ridge Rd., Albion, CA 95410 |
Offering Minimum | : | $10,000.00 |
Offering Maximum | : | $1,070,000.00 |
Minimum Investment Amount(per investor) | : | $250.00 |
Terms
Offering Type | : | Equity |
Security Name | : | Common Stock |
Minimum Number of Shares Offered | : | 10,000 |
Maximum Number of Shares Offered | : | 1,070,000 |
Price per Share | : | $1.00 |
Pre-Money Valuation | : | $7,750,000.00 |
COVID Relief
This offering is being conducted on an expedited basis due to circumstances relating to COVID-19 and pursuant to the SEC’s temporary regulatory COVID-19 relief set out in Regulation Crowdfunding §227.201(z).
Expedited closing sooner than 21 days
Further, in reliance on Regulation Crowdfunding §227.303(g)(2) A funding portal that is an intermediary in a transaction involving the offer or sale of securities initiated between May 4, 2020, and August 31, 2020, in reliance on section 4(a)(6) of the Securities Act (15 U.S.C. 77d(a)(6)) by an issuer that is conducting an offering on an expedited basis due to circumstances relating to COVID-19 shall not be required to comply with the requirement in paragraph (e)(3)(i) of this section that a funding portal not direct a transmission of funds earlier than 21 days after the date on which the intermediary makes publicly available on its platform the information required to be provided by the issuer under §§227.201 and 227.203(a).
Voting Rights of Securities sold in this Offering
Voting Proxy. Each Subscriber shall appoint the Chief Executive Officer of the Company (the “CEO”), or his or her successor, as the Subscriber’s true and lawful proxy and attorney, with the power to act alone and with full power of substitution, to, consistent with this instrument and on behalf of the Subscriber, (i) vote all Securities, (ii) give and receive notices and communications, (iii) execute any instrument or document that the CEO determines is necessary or appropriate in the exercise of its authority under this instrument, and (iv) take all actions necessary or appropriate in the judgment of the CEO for the accomplishment of the foregoing. The proxy and power granted by the Subscriber pursuant to this Section are coupled with an interest. Such proxy and power will be irrevocable. The proxy and power, so long as the Subscriber is an individual, will survive the death, incompetency and disability of the Subscriber and, so long as the Subscriber is an entity, will survive the merger or reorganization of the Subscriber or any other entity holding the Securities. However, the Proxy will terminate upon the closing of a firm-commitment underwritten public offering pursuant to an effective registration statement under the Securities Act of 1933 covering the offer and sale of Common Stock or the effectiveness of a registration statement under the Securities Exchange Act of 1934 covering the Common Stock.
*Maximum Number of Shares Offered subject to adjustment for bonus shares. See Bonus info below.
Company Perks*
Early Investment Bonuses:
The first 3 days and receive 15% bonus shares
The next 4 days and receive 10% bonus shares
The next 7 days and receive 5% bonus shares
Investment bonuses:
If we hit our fundraising target, we will give away a free Solectrac electric tractor! You can help choose who receives it by nominating your favorite farm, vineyard or other entity, and then voting for the final recipient – see below.
Tier 0: $250 (minimum investment) = 1 tree planted
Tier 1: $500+ = 5 trees planted + nominate a farm for the free drawing + vote on tractor recipient**
Tier 2: $1000+ =10 trees planted + nominate a farm for the free drawing + vote on tractor recipient**
Tier 3: $2500+ = 25 trees planted + nominate a farm for the free drawing + vote on tractor recipient**
Tier 4: $5000+ = 25 trees planted + 5% bonus shares + nominate a farm for the free tractor + 5 votes on tractor recipient**
Tier 5: $10,000+ = 25 trees planted + 10% bonus shares + nominate a farm for the free tractor + 10 votes on tractor recipient**
Tier 6: $25,000+ = 25 trees planted + 15% bonus shares + nominate a farm for the free tractor + 25 votes on tractor recipient**
How the voting for a free tractor works:
*A top-10 list of nominated entities (e.g., those receiving the most nominations, followed by a random selection) will be presented to investors at the $500 level and up for voting for the recipient of the free tractor
** voting for tractor recipient will occur after the crowdfunding campaign has concluded and we have successfully met our crowdfunding goal of $1.07 million
***All perks occur when the offering is completed.
The 10% Bonus for StartEngine Shareholders
Solectrac, Inc. will offer 10% additional bonus shares for all investments that are committed by investors that are eligible for the StartEngine Crowdfunding Inc. OWNer's bonus.
This means eligible StartEngine shareholders will receive a 10% bonus for any shares they purchase in this offering. For example, if you buy 100 shares of common stock at $1/ share, you will receive and own 110 shares for $100. Fractional shares will not be distributed and share bonuses will be determined by rounding down to the nearest whole share.
This 10% Bonus is only valid during the investors eligibility period. Investors eligible for this bonus will also have priority if they are on a waitlist to invest and the company surpasses its maximum funding goal. They will have the first opportunity to invest should room in the offering become available if prior investments are cancelled or fail.
Investors will only receive a single bonus, which will be the highest bonus rate they are eligible for.
Irregular Use of Proceeds
The Company might incur Irregular Use of Proceeds that may include but are not limited to the following over $10,000: Vendor payments. Salary payments made to one’s self, a friend or relative.
Show More
Most recent fiscal year-end:
Prior fiscal year-end:
Total Assets
$186,873.00
USD
$3,247.00
USD
Cash And Cash Equivalents
$114,210.00
USD
$3,247.00
USD
Accounts Receivable
$0.00
USD
$0.00
USD
Short Term Debt
$97,593.00
USD
$60,000.00
USD
Long Term Debt
$166,586.00
USD
$0.00
USD
Revenues And Sales
$83,258.00
USD
$71,910.00
USD
Costs Of Goods Sold
$51,680.00
USD
$96,622.00
USD
Taxes Paid
$0.00
USD
$0.00
USD
Net Income
-$167,883.00
USD
-$194,834.00
USD
Risks
A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.
Updates
Help a Farm Win a Free Electric Tractor!
3 days ago
If you've invested $500 or more, please nominate your favorite farm* to win a free electric tractor! Here's how it works:
If we meet our fundraising goal in full, we will send out a ballot with the top ten** nominated farms to you, our investor community, to vote for the lucky farm! You will get the following number of votes:
Investment of $500 - $4,999: 1 vote
Investment of $5,000 - $9,999: 5 votes
Investment of $10,000 - $24,999: 10 votes
Investment of $25,000+: 25 votes
Nominate your favorite farm* in the Comments section below! Please provide Farm* Name, Location (city, state/province, country), and Farm* website or other contact info.
Then help us make sure we reach our fundraising goal by sharing this opportunity with everyone you know!
(*or other organization that needs a tractor (municipality, golf course, etc.)
(**the top ten farms will be those receiving the most nominations, followed by randomly selected single-nominee farms)
We have reached a new milestone: $300,000!
10 days agoThanks again to our StartEngine community, together we can keep going to the next level!
Solectrac Electric Tractors has been awarded the Solar Impulse Efficient Solution Label!
20 days agoSolectrac is proud to announce another milestone in its pursuit of gaining traction. It has been awarded the Solar Impulse Efficient Solution Label.
The Solar Impulse Foundation is an organization “boosting the adoption of profitable solutions to protect the environment.” In addition to engaging with government, institutions and decision makers, the Foundation is labeling 1,000 of the most efficient and profitable solutions that can transition society to being economically viable while being environmentally sustainable. Solectrac just joined their ranks with its electric tractors.
The Foundations’ Chair Dr. Bertrand Piccard is the first man to fly around the world in a solar powered airplane. Piccard is envisioning "ecology through the lens of profitability." Patrons of the Foundation include Vice President Al Gore, British Business Magnate Richard Branson and Marine Biologist Sylvia Earle.
Find out more: https://solarimpulse.com
Solectrac Wins 500K Bay Area Air Quality Grant!
22 days agoSolectrac Wins 500K Bay Area Air Quality Grant to Demonstrate Electric Tractor Viability
https://www.prnewswire.com/news-releases/solectrac-wins-500k-bay-area-air-quality-grant-to-demonstrate-electric-tractor-viability-301092022.html
MENDOCINO, Calif., July 13, 2020 /PRNewswire/ -- Solectrac, Inc. manufacturer and distributor of zero-emission electric farm and utility tractors is proud to announce that the company has been awarded a $514,688 grant from the Bay Area Air Quality Management District as part of its Funding Agriculture Replacement Measures for Emission Reductions Demonstration Program, or FARMER program, which provides incentives to reduce agriculture sector air pollutants and greenhouse gas emissions.
The FARMER program provides up to 80 percent of the cost for farmers to replace diesel tractors with less polluting alternatives. The California Air Resources Board created a new project category late last year for advanced technology demonstration projects to show the viability of new technologies, such as Solectrac's electric tractors, to perform the same work as the diesel equipment they would replace. Solectrac is one the first recipients of this new project category.
"Solectrac has demonstrated great leadership in the manufacturing industry to help reduce air pollution and protect the climate with its innovative zero-emission farming equipment," said Jack Broadbent, executive officer of the Bay Area Air District. "The Air District is pleased to award Solectrac with this grant funding to further this work."
This project was supported by the California Climate Investments program. The FARMER program is part of California Climate Investments, a statewide program that puts billions of Cap-and-Trade dollars to work reducing GHG emissions, strengthening the economy, and improving public health and the environment– particularly in disadvantaged communities. The Cap-and-Trade program also creates a financial incentive for industries to invest in clean technologies and develop innovative ways to reduce pollution. California Climate Investments projects include affordable housing, renewable energy, public transportation, zero-emission vehicles, environmental restoration, more sustainable agriculture, recycling, and much more. At least 35 percent of these investments are located within and benefiting residents of disadvantaged communities, low-income communities, and low-income households across California. For more information, visit the California Climate Investments website at: www.caclimateinvestments.ca.gov.
"We are excited to put our quiet and powerful tractors to work in one farming and two vineyard operations to validate their performance," said Steve Heckeroth, Solectrac Founder/CEO. Solectrac's 40 HP eUtility electric tractor is one of the current models that will be put to the test. The other model is a narrow-width 70 HP electric tractor, to be called the e70N, that is currently in development. "The grant funds will allow us to develop the e70N tractor for larger operations and vineyards," Heckeroth noted.
Each partner will also test Solectrac's patented exchangeable battery pack technology, which solves the issue of limited run time with its quick-exchange battery packs. The packs can be charged from the electric grid or directly from clean renewable energy sources.
"We are thrilled to have the opportunity to be part of this trial of Solectrac electric tractors in collaboration with the BAAQMD," said Michelle Riddle, vice president of the company that manages the two vineyards in the study, Burdell Properties. Calplans Premium Vineyards, located in Napa, CA, grows over 300 acres of premium quality wine grapes, mostly Cabernet Sauvignon. "We use a fleet of tractors to help us accomplish many key aspects of farming, including leafing, mowing, disking, mechanical weed control and more. We're always looking for ways to grow the highest quality fruit more sustainably," Riddle said, and added "we hope that through this study we will help demonstrate that clean energy electric tractors can work as well as fossil fuel powered ones, and that before long electric tractors will be a common sight in vineyards all over wine country."
The 80-acre Arroyo Lindo Vineyard in Sonoma County is the second vineyard demonstration site. Arroyo Lindo is certified sustainable through the California Sustainable Winegrowing Alliance.
The third demonstration site is The Mushroom Farm in Pescadero, a 250-acre farm dedicated to growing corn, beans, squash and alfalfa. Here the electric tractors will be used for mowing, disking, plowing and fertilization. All three sites are committed to providing data, including fuel/electricity consumption, charging times, maintenance information, hours of operation and user experience.
Solectrac is a California Benefit Corporation and a Certified B Corp. For more information, go to www.solectrac.com.
SOURCE Solectrac, Inc.
Related Links
https://www.prnewswire.com/news-releases/solectrac-wins-500k-bay-area-air-quality-grant-to-demonstrate-electric-tractor-viability-301092022.html
https://www.solectrac.com
$200,000!!!
about 1 month agoWe would like to thank the StartEngine Community and all of our investors who have helped us reach $200,000.
Let's keep climbing!
Organic olive farm gets a new eUtility
about 1 month agoA new Solectrac eUtility Electric Tractor arrived in the heart of the Lompoc Valley at the region's new off-grid, organic olive farm.
New Sales!
about 1 month ago
Off-grid sustainable equestrian center gets a Solectrac Electric Tractor
about 2 months agoOur friends at Lavender Fields are using one of our Compact Electric Tractors (CET) at their beautiful off-grid equestrian center located in Granite Bay, California. Our electric tractors are a perfect fit for the equestrian center, the lack of diesel fumes is better for the horses' health, and the CET is so quiet it won't startle them.
$100,000!
about 2 months agoWow -- we're super excited and grateful for the support of the Start Engine investor community. This new $100,000 milestone means so much to us. Thank you all for your continued support!
The Future of Farming
2 months agoSolectrac Electric Tractors is very excited to be a part of the Start Engine Community! We have raised over $50,000 in the first four days - thank you to all of our early investors.
Comments ({{profileCtrl.startup.comments_count}} total)
{{ profileCtrl.commentsLoading ? 'Loading...' : 'Show More Comments' }}