About Zapp: An Overview of the Company with Co Founder & President Jeremy North

Summary

In this episode of Zap Electric Vehicles, co-founder and president Jeremy North discusses the company's mission to redefine the electric two-wheeler segment. Based in London, the company focuses on urban mobility with a sustainable approach. Jeremy highlights the company's innovative design, featuring a removable battery and a minimalistic exoskeleton, reducing environmental impact. The asset-light business model relies on contract manufacturing in Thailand and strategic financing for efficient production and cash flow. The discussion emphasizes the importance of sustainability in design and operations, positioning Zap as a leader in the electric vehicle market.

Takeaways

• 😀 Jeremy North, the president of Zap Electric Vehicles, co-founded the company with a mission to redefine the electric two-wheeler segment.
• 🌍 Based in London, Zap aims to tackle the urban transportation market with a focus on sustainability and clean air in cities.
• 🤝 Jeremy met the founder, Swing Chatswan, nearly 40 years ago, and they have been close friends and colleagues ever since.
• 🔋 Zap's electric vehicles are designed from the ground up to take advantage of electrification benefits, with a removable, low-center-of-gravity battery.
• 🏭 The company operates an asset-light business model, utilizing contract manufacturing with Summit in Thailand, a Global tier one supplier to the automotive sector.
• 🔩 Zap's vehicles have only 166 components, significantly reducing the environmental impact compared to traditional internal combustion engine bikes.
• ⚡ The battery chemistry used is lithium-ion, with a focus on using fewer cells per unit traveled, making the battery lighter and more portable.
• 🔌 Zap's batteries can be charged from 20% to 80% in about 30 to 45 minutes using a standard 13-amp fuse, allowing for convenient charging options.
• 🌿 The manufacturing process is environmentally friendly, with no paint shop, stamping, dyeing, or welding, and assembly is done using hand tools.
• 💼 Zap's business model includes operating funding from the Export-Import Bank of Thailand, which provides up to 80% of the transaction cost, ensuring cash flow positivity from the start.

Q & A

Who is the co-founder and president of Zap Electric Vehicles?

Jeremy North is the co-founder and president of Zap Electric Vehicles.

How long have Jeremy North and the founder of Zap known each other?

Jeremy North and the founder of Zap have known each other for nearly 40 years.

What is Jeremy North's background before joining Zap Electric Vehicles?

Jeremy North has a background in the energy transition space, having worked in energy storage, zero emissions, and building an engine that was zero emissions.

What inspired the creation of Zap Electric Vehicles?

The inspiration for Zap Electric Vehicles came from the recognition of the impact of electrification on the automotive space, the need to address climate change, and the desire to improve clean air in cities.

How does Zap Electric Vehicles' design philosophy differ from its competitors?

Zap Electric Vehicles was designed from the ground up, with a focus on taking advantage of the benefits of electrification. Unlike competitors that modify existing form factors, Zap's design features a removable battery low down for a low center of gravity and a patented exoskeleton structure.

What is unique about the manufacturing process of Zap Electric Vehicles?

Zap Electric Vehicles are manufactured using a hand-tooling process with no paint shop, stamping or dyeing tooling mechanism, or welding. This results in a more environmentally friendly and efficient production process.

How does the battery design of Zap Electric Vehicles contribute to sustainability?

The battery design of Zap Electric Vehicles uses lithium-ion chemistry with a smaller number of cells per unit traveled compared to other products, resulting in a lighter and more portable battery that can be charged quickly from 20 to 80 percent in around 30 to 45 minutes.

What is the asset-light business model of Zap Electric Vehicles?

Zap Electric Vehicles operates on an asset-light business model, utilizing contract manufacturing in Thailand with a company called Summit. This model requires minimal capital expenditure and allows for efficient use of investor proceeds.

How does Zap Electric Vehicles plan to handle operating expenses?

Zap Electric Vehicles plans to handle operating expenses through an arrangement with the Export-Import Bank of Thailand, which will provide operating funding in the form of packing credits, covering up to 80 percent of the transaction cost.

What is the significance of Zap Electric Vehicles being a British business listed in New York and manufactured in Thailand?

Being a British business listed in New York and manufactured in Thailand allows Zap Electric Vehicles to operate as a Thai exporter, benefiting from local manufacturing expertise and capacity, while also having access to global capital markets for funding.

How does Zap Electric Vehicles plan to distribute its products to customers?

Zap Electric Vehicles plans to use globally renowned logistics companies for distribution and a fleet of franchised 'zappers' to deliver the products to customers, completing the transaction and maintaining an asset-light model.