Deal Abstract

Invest in Asaak
Republic is a startup investing platform where you can invest as little as $10 in impactful startups

Uganda based startup is using financing for motorcycles as beachhead to build a credit score, loan origination platform, and eventually BEYOND.

Financials (VRB)

Question Notes
1. Fundraising Target? $250000
2. Fundraised So Far? $144746
3. Pre-Money Valuation? $10000000
4. Previous Year's Annual Revenue $166003
5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash) ~$-391364
Source

The 6 Calacanis Characteristics ("Sow Passion, Not easy mediocrity", or S2 P6 N18)

Criteria Yes/No
1. A startup that is based in SV? False: Emeryville, CA
2. Has at least 2 founders? False: Two
3. Has product in the market? True: Generating revenue
4. 6 months of continuous user growth or 6 months of revenue? True: Grew from $126k to $166k
5. Notable investors? True: 500 Startups and Social Capital
6. Post-funding, will have 18 months of runway? False: Needs $600k, but only raised $250k
Source

The 7 Thiel Questions (Every Time Man Profits, Don't Dismiss Serendipity)

Question Score Notes
1. Engineering? 3 Yesss, building loan origination and digital finance for a market with large banking opps
2. Timing? 3 Mobile finance, good timing
3. Monopoly? 3 Strong revenue, and focusing really niche in motorcycle financing
4. People? 3 Team seems really strong with work experience and finance experience
5. Distribution? 3 Boots on the ground distributing to the lenders, this is a hard advantage to replicate
6. Durability? 3 Financial infrasturcture as a service
7. Secret? 3 Starting with motorcycles/mopeds to build an embedded financial credit platform to then become a loan origination and financing marketplace for Uganda and similar growth stage African markets

What has to go right for the startup to return money on investment:

1. Continue to keep high quality loan as scale; 2. Find other lucrative loans to make that compete against the finance thugs; 3. Make sure to keep good regulatory cooperation

What the Risks Are

1. What type of competition does Kiva


Want to read the whole post?


You don't have access to this post on Startup Investing for All by Muhan Zhang at the moment, but if you upgrade your account you'll be able to see the whole thing, including comments, as well as all the other posts in the archive! Subscribing only takes a few seconds and will give you immediate access.