Aladdin wants to be the one ring/bank/app/FinTech service to rule all the African countries.
|1. Fundraising Target?||$1000000|
|2. Fundraised So Far?||$258122|
|3. Pre-Money Valuation?||$9000000|
|4. Previous Year's Annual Revenue||$50000|
|5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash)||~$-16854|
The 6 Calacanis Characteristics ("Sow Passion, Not easy mediocrity", or S2 P6 N18)
|1. A startup that is based in SV?||False: Delaware, OH|
|2. Has at least 2 founders?||False: Two|
|3. Has product in the market?||True: Revenue generating|
|4. 6 months of continuous user growth or 6 months of revenue?||True: Revenue looking good|
|5. Notable investors?||False: N/A|
|6. Post-funding, will have 18 months of runway?||True: Very low burn|
|1. Engineering?||1||Not sure what this app is exactly, a digital bank?|
|2. Timing?||1||Such a broad app|
|3. Monopoly?||2||Traction numbers do seem strong|
|4. People?||1||Checked out CEO's LinkedIn and not lots of consistent work experience|
|5. Distribution?||1||Not sure why unfair access to customers|
|6. Durability?||1||I've seen plenty of banking startups for the African continent|
|7. Secret?||1||Africa has lots of SMB customers that other banking institutions don't realize yet|
What has to go right for the startup to return money on investment:
1. Tighten focus; 2. Establish partnerships with relevant banks or government orgs; 3. Master the Nigerian market first then expand
What the Risks Are
1. Ambiguous value prop; 2. Banking needs more established people to disrupt; 3. International players will want to provide banking services for African countries as well
Bonus Muhan's Notes
Reminds me of Asaak in the African focus, would be curious to benchmark to other startups with African finance dreams.
This is where I’ll post updates about the company. This way all my notes from offering to post-offering updates will be on one page.
Review these deal memos every time the startup raises a new round
Test if original thesis still applies
Notice trends in how you think
So, did I invest?Click here to find out.
Other thoughts, questions, comments, or concerns? Write me at firstname.lastname@example.org and let me know.