Deal Abstract
Invest in Predictiv
Republic is a startup investing platform where you can invest as little as $10 in impactful startups
Couple of nerds from Johns Hopkin have launched a platform to imitate genomes and prevent disease.
Financials (VRB)
| Question | Notes |
|---|---|
| 1. Fundraising Target? | $1070000 |
| 2. Fundraised So Far? | $435794 |
| 3. Pre-Money Valuation? | $5500000 |
| 4. Previous Year's Annual Revenue | $0 |
| 5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash) | ~$39775 |
The 6 Calacanis Characteristics ("Sow Passion, Not easy mediocrity", or S2 P6 N18)
| Criteria | Yes/No |
|---|---|
| 1. A startup that is based in SV? | True: Mountain View, CA |
| 2. Has at least 2 founders? | True: Two |
| 3. Has product in the market? | False: No Revenue |
| 4. 6 months of continuous user growth or 6 months of revenue? | False: No product |
| 5. Notable investors? | False: No one I recognize |
| 6. Post-funding, will have 18 months of runway? | True: Low burn |
The 7 Thiel Questions (Every Time Man Profits, Don't Dismiss Serendipity)
| Question | Score | Notes |
|---|---|---|
| 1. Engineering? | 1 | No product in the marketplace |
| 2. Timing? | 1 | Not sure why this timing is right for genome sequencing for preventive diseases |
| 3. Monopoly? | 1 | No market share |
| 4. People? | 2 | Cofounders are nerds from Johns Hopkins with no formal business executive experience |
| 5. Distribution? | 1 | Bad distribution |
| 6. Durability? | 3 | If they can build it, definitely durable |
| 7. Secret? | 1 | Now is the perfect time to launch a genome sequencing preventive data platform for disease |
What has to go right for the startup to return money on investment:
1. Launch a product; 2. Make it generate revenue; 3. Predict disease accurately
What the Risks Are
1. Launching a product; 2. B2B vs. B2C; 3. Cofounders don't have business experience
Bonus Muhan's Notes
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
Notice trends in how you think
So, did I invest?
Click here to find out.Other thoughts, questions, comments, or concerns? Write me at mail@muhanzhang.com and let me know.