Small Business Solutions - Alex Conger

Alex Fees: I'm Alex Fees on Small Business Television. We're coming to you from the SEMA 2008 in Las Vegas, Nevada. SEMA, that's Specialty Equipment Market Association. Joining me here now is another Alex, Alex Conger. Alex. Alex Conger: Nice to meet you. Alex Fees: I appreciate you to be in here, sir. He is the CEO of a company in Meridian, Idaho called Fuel Flex International. Correct? Alex Conger: Correct. Alex Fees: And you're holding your product in your hand. Alex Conger: I am. Alex Fees: What does this state? Alex Conger: This is a great product. Few years ago, we looked at what we needed to do to help kick oil habit. Alex Fees: Yeah. Alex Conger: We did a bunch of research and figured out that the average vehicle in the United States and in the world could be converted to run E85 ethanol. Alex Fees: So this is converter? Alex Conger: This is an upgrade. Alex Fees: An upgrade. Alex Conger: That's what we refer to it as. Alex Fees: It converts a gasoline powered vehicle to run on ethanol. Alex Conger: Yes, it allows any multi-port fuel injected vehicle. Now that could be a motorcycle, a snowmobile, it could be a car, it could be a truck. Anything from above 1989 could be able to run on the E85 ethanol. Alex Fees: Really. Alex, where does this go inside of a vehicle, tell me about it? Alex Conger: This product installs extremely easily. Actually, it installs between the cars injectors and its computer system. It makes the small adjustment that makes the car smart enough to run E85. Alex Fees: Really. How much of a process is this installation and conversion? Alex Conger: An eight cylinder unit usually will take anywhere from 15-20 minutes to install and you're done. Alex Fees: Now you guys have done one of those here on site at SEMA when you arrived. Alex Conger: Yes, we did the Ford F-150 truck in the green zone. We installed it on-site yesterday. It took about 20 minutes. Alex Fees: Yeah. So Alex who are your customers and clients? Who are you receiving enquiries from? Alex Conger: It's kind of interesting. When I started this business a few years ago, people looked at us as not necessarily pioneers, but as people who might necessarily need to have a brain transplant. Okay, but our clients or anybody that isn't driving a flex fuel vehicle. Alex Fees: Oh yeah. Alex Conger: So a fleet manger that has 50 cars that need to be going green because a lot of the county, city and state government vehicles are under that rule. This box right here will allow them to do that quickly and inexpensively. Alex Fees: Alright. Now Alex, in that example you gave a fleet manager with 50 cars. What will this conversion process do for them? If you have any ideas as far as financially or bottom line or -- Alex Conger: Well, let's take the price of an average flex fuel vehicle, even if you're buying a fleet you're spending, it's probably between $30,000 and $40,000 a vehicle. So I can take this box at retail for $500 and convert your vehicle to run on gas or ethanol. Alex Fees: Now you're saying an average flex fuel vehicle, you mean a hybrid, right? Alex Conger: No, a hybrid is a combination between electric and other fuels. Flex Fuel gives is a vehicle that can run gas or E85 ethanol. Alex Fees: Okay, but still I said that's a very expensive process if you purchase one of those out there. Alex Conger: Absolutely. You're at somewhere between 30,000 and 40,000 bucks a copy. Alex Fees: With this one, how much? Alex Conger: $500 for eight cylinders. Four cylinders it will cost you about 369 and six about 424. Alex Fees: So how long you've been doing this? Alex Conger: We've been doing in this market for over two years now. Currently, we market this product successfully in 39 countries. Alex Fees: Really, 39 countries? Alex Conger: 39 countries. Alex Fees: That's amazing. I thought you're going to say 39 states. Alex Conger: 39 countries. We have more business out of the US, than we have in the US. Alex Fees: Well, what does that mean? What you think about it? Alex Conger: Well, that means that our infrastructure for E85 ethanol in United States isn't quite as aggressive as some of the other countries. Take France alone, and even when our fuel is down to $3 a gallon here, it's still 10 over there. So because of the environmental issues obviously, that's going on too having the ability to choose your fuel is a big thing. Alex Fees: Well Alex, you're the CEO of Flex Fuel International, how large is the company? Alex Conger: That's kind of interesting. Two years ago, there was myself and two partners. We were doing all the work ourselves. Today myself, three partners, five full-time employees and a brand-new building we just completed. We're totally independently owned, totally debt free. Alex Fees: I would think you have reason to believe that's just going to expand exponentially. Alex Conger: In the last year, we've enjoyed a growth rate of 2340%. Alex Fees: Yeah. Now first time, it's SEMA that you tell me. Alex Conger: It is. We were -- this is our first year at SEMA. We're excited about it. It's a great opportunity for everybody involved. Alex Fees: Now you told me that you converted a car, a vehicle in the green zone; aside of that, what do you hear, out here on the floor? What do these people have to say about your product? Alex Conger: You know right now, I've got a list of people interested in being dealers about in the first day of well over 22 people right now. Alex Fees: Really? Alex Conger: We're not really here necessary to sell our product retail. We are a manufacturing company that puts a lot of product and we look for qualified dealers that have automotive experience that want to install this product and support it. Alex Fees: We're not realized, this is a conversion product but is there any-will this have any value in the OEM market? Alex Conger: Absolutely, it as a great value because this product is sold worldwide. It's OEM under several different product names. You can take for example, I was just visiting with one of the largest hammer dealers on the West Coast. One of their biggest problems is oh, selling the product. Selling hammers right now, but they have a fleet of used vehicles. This unit installed on any SUV, turns it green and makes it much more marketable. Alex Fees: Now, because it's really make much more user friendly. Alex Conger: Absolutely. Alex Fees: Now gas prices right now actually aren't too bad. Alex Conger: Yeah, let's hold our breath. That's not going to last. Alex Fees: Yeah. Who knows what's going to happen? Alex Conger: Yeah, well, who knows, that's right. Alex Fees: Tell me what it's called Alex? Alex Conger: This is called the FFI Platinum Series. Alex Fees: FFI Platinum. Alex Conger: With true cold star. Alex Fees: With who? Alex Conger: Cold star. That means that ethanol interacts in colder weather different than gasoline. Alex Fees: Oh really? Alex Conger: But we figure out how to make that work even when it's cold. Alex Fees: What's your background? How do you come about this knowledge? Alex Conger: My background is Computer Electronics and Engineering. My other partner Curtis that you've met, his background is Automotive sales. And my other partner Gary, his background is Computer Electronics and Chemical Engineering. Alex Fees: Alright Alex, where can the sbtv.com viewers go to find more information about your products? Alex Conger: They can visit us on the web at www.fuelflexinternational.com. Alex Fees: fuelflexinternational.com. He is Alex Conger. Alex, thank you very much. He is the CEO of the company. Alex Conger: Thank you. I enjoyed talking to you. Alex Fees: I'm Alex Fees. You're watching sbtv.com, Small Business Television. We're at SEMA 2008.