Deal Abstract
Republic
Financials (VRB)
| Question | Notes |
|---|---|
| 1. Fundraising Target? | $1070000 |
| 2. Fundraised So Far? | $750 |
| 3. Pre-Money Valuation? | $20000000 |
| 4. Previous Year's Annual Revenue | $999699 |
| 5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash) | ~$-182324 |
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: Newark, DE |
| 2. Has at least 2 founders? | True: Two |
| 3. Has product in the market? | True: Revenue generating |
| 4. 6 months of continuous user growth or 6 months of revenue? | True: Grew from $689k to $999k, 2018 to 2019 |
| 5. Notable investors? | False: Bootstrapped! |
| 6. Post-funding, will have 18 months of runway? | False: Not quite there yet |
The 7 Thiel Questions (Every Time Man Profits, Don't Dismiss Serendipity)
| Question | Score | Notes |
|---|---|---|
| 1. Engineering? | 2 | Based on screenshots looks pretty, not sure what pain it solves for |
| 2. Timing? | 1 | Why is now the perfect time to build a B2B2C realty SaaS LinkedIn? |
| 3. Monopoly? | 1 | No product in the market |
| 4. People? | 2 | Good entrepreneurial talent but no one with social network business experience |
| 5. Distribution? | 3 | Big advantage is the WPL plugin |
| 6. Durability? | 2 | If they can build it and solve a real problem, defensible |
| 7. Secret? | 2 | Building a beachhead via WP plugin is a great way to launch a social network for real estate |
What has to go right for the startup to return money on investment:
1. Transition to social network business model; 2. Deliver value that's good enough for subscription; 3. Enter the listing/other SaaS markets for real estate
What the Risks Are
1. Solution looking for a problem; 2. At best small business not venture backable; 3. Entrepreneurs will have to learn a completely different business.
Bonus Muhan's Notes
Very, very cool. A friend of mine from Venture for America is starting this company in PropTech: https:
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