Platform and white-label service for providing self-guided home showings.
|1. Fundraising Target?||$1000000|
|2. Fundraised So Far?||$85000|
|3. Pre-Money Valuation?||$16000000|
|4. Previous Year's Annual Revenue||$776731|
|5. Previous Year's Annual Net Income (+ Profitable, - Burning Cash)||~$-434974|
The 6 Calacanis Characteristics ("Sow Passion, Not easy mediocrity", or S2 P6 N18)
|1. A startup that is based in SV?||False: Atlanta, GA|
|2. Has at least 2 founders?||True: Two|
|3. Has product in the market?||True: Yup|
|4. 6 months of continuous user growth or 6 months of revenue?||True: Revenue grew from 578k to 776k Y2019 to Y2020|
|5. Notable investors?||False: Got into 2 day events and workshops but no LAUNCH or 500 Startups yet|
|6. Post-funding, will have 18 months of runway?||True: Needs ~$750k for burn|
|1. Engineering?||2||Software to allow for self guided showings, better but not 10x better|
|2. Timing?||3||Def good time to provide self booking for home showings|
|3. Monopoly?||1||Have not heard of them before Republic despite being fairly knowledgeable about proptech|
|4. People?||2||Team has good startup backgrounds but no Proptech background|
|5. Distribution?||2||Not seeing unfair advantages to distribution|
|6. Durability?||2||What's stopping a Nada from integrating this feature?|
|7. Secret?||1||Automating showings for homes is the secret to digital transformation of the home buying process|
What has to go right for the startup to return money on investment:
1. Grow faster in the house showing process; 2. Become a tool for real estate agents instead of supplementing (them for now); 3. Build the business so it becomes a platform for the other sectors
What the Risks Are
1. Has had fairly linear growth for last two years; 2. Hardware solution to showing is somewhat limited in growth; 3. Not able to capture the other sides of the home buying process after showing
Bonus Muhan's Notes
Compare to Nada which I also reviewed and invested in.
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 firstname.lastname@example.org and let me know.