Deal Abstract

Real estate professionals building a tokenized platform to invest in commercial real estate. Pre-product, pre-revenue.

Financials (VRB)

Question	Notes
1. Fundraising Target?	$5000000
2. Fundraised So Far?	$421012
3. Pre-Money Valuation?	$55000000
4. Previous Year's Annual Revenue	$0
5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash)	~$-261856

Criteria	Yes/No
1. A startup that is based in SV?	False: Wilmington, DE
2. Has at least 2 founders?	True: Two
3. Has product in the market?	False: No revenue for 2020
4. 6 months of continuous user growth or 6 months of revenue?	False: Declined in 2020
5. Notable investors?	False: None
6. Post-funding, will have 18 months of runway?	True: Though burn was very high at $261k

Question	Score	Notes
1. Engineering?	2	Product doesn't exist yet though would theoretically be tokenized powered marketplace
2. Timing?	2	Lots of demands for alternative real estate
3. Monopoly?	1	No revenue
4. People?	2	Team seems good but not much outcomes from the business itself
5. Distribution?	2	No obvious access to customers
6. Durability?	3	Marketplaces have good network effects esp if you can guarantee access to dealflow
7. Secret?	2	Blockchain is the secret to building tokenized commercial real estate investing options

1. Make money; 2. Proprietary dealflow; 3. Distribution channel

1. Crypto is a feature not a key differentiator; 2. Marketplaces are hard to build; 3. Dealflow gets commoditized with other platforms

$55m valuation is pretty large for something that made no money in the last year.

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.

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