Deal Abstract

Robots to help farmers pick crops. Hard tech to solve hard problems.

Financials (VRB)

Question	Notes
1. Fundraising Target?	$3000000
2. Fundraised So Far?	$414065
3. Pre-Money Valuation?	$7000000
4. Previous Year's Annual Revenue	$0
5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash)	~$-659139

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: Austin, TX
2. Has at least 2 founders?	True: Two
3. Has product in the market?	False: No product launched
4. 6 months of continuous user growth or 6 months of revenue?	False: No revenue
5. Notable investors?	True: Love Wavemaker Labs
6. Post-funding, will have 18 months of runway?	True: Needs only $750k for 18 mths of runway

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

Question	Score	Notes
1. Engineering?	4	Super cool engineering
2. Timing?	2	Not sure when the product is done and ready to be shipped
3. Monopoly?	1	No product in market
4. People?	3	Very strong team, but no one with agricultural robotics before hand
5. Distribution?	2	Wavemaker and farms is fine
6. Durability?	4	Super durable, no one wants to build this business
7. Secret?	2	Farms are going to keep competing on labor costs and will eventually be forced to adopt this technology at venture speed

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

1. Launch product; 2. Service costs have to remain low/reliability high; 3. Learning from Carry's computer vision data has to help R&D of new features

What the Risks Are

1. Robotics is expensive; 2. Growth not fast enough for venture returns; 3. Commercializing technology is very capital intensive

Bonus Muhan's Notes

Lovely technology, love what Wavemaker backs in terms of actual solutions to actual problems

Updates

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

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So, did I invest?

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Other thoughts, questions, comments, or concerns? Write me at mail@muhanzhang.com and let me know.