It projects a typical growth path.
Dyadic Incorporated was founded this year as a high-growth startup. Its founder’s goal is to sell the company, or license its type framework, for at least $10 million in 3-5 years. This will provide its investors with a 10-15X return.
Its financial projections display a growth path that’s typical for startups that succeed with new products in large markets. This path can end profitably in a purchase by a venture capital firm, or with an exclusive licensing deal.
It’s raising $100K in seed funding.
Dyadic is raising $100,000 in seed funding. It’s not doing that in the usual way, by making the rounds of “shark tank” pitch competitions. Instead, its founder is talking with people one-on-one about making angel investments of $1000 to $50,000.
The money they invest in the company will be used to:
- Pay one full-time employee, Dyadic’s founder and CEO, for 12 months. He will conduct an earned media campaign to promote its new brand in the online dating market.
- Create instructional videos to sell in the online dating market, and infotainment videos to promote the brand on social media.
- Maintain a financial buffer of $25,000 to meet unforeseen expenses, weather unexpected problems, or exploit promising opportunities.
It will employ a “freemium” model.
Dyadic will employ a “freemium” business model, providing a free personality type test in order to sell premium products and services. It loses little by doing this, because most people don’t need a test to determine their Dyadic type—they just review the type descriptions.
What products and services will Dyadic sell? At first, what it has on hand: the founder’s time and expertise. He will consult with individuals to determine their type, and teach classes in type recognition.
Later in its first year, the company will develop a series of instructional videos on type recognition, to sell in the online dating market. In its second year, it will adapt them for business use, and sell them to corporations under a new brand.
It will provide licensing and consulting.
In both the online dating and corporate markets, Dyadic will provide licensing and consulting:
- In the online dating market, it will license its framework for use by one company within that market. It will provide that company with consulting that enables it to use the framework well.
- In the corporate market, It will license its framework for use by many corporations (outside of online dating). It will provide them with consulting that helps them use it for team building.
