Cycle 17 Final Meeting Notes

Final Board presentation Savvy-Scholars Basing the valuation on the number of users? What is 25% contingency? How does your math work 1.7M to 3.5M?? $19/user is your valuation what is the comparable figure with others? Craigslist 13.5M users - Half.com $318M for 700K users/month; Great comparable research, not clearly presented Not enough time spent on competitive landscape. Stress what’s compelling What does product sales consist of? Transactions – fee based. Rushed through a number of things. Blew through the financials. Didn’t take the time to explain anything. Where is the business here? We never heard where the revenue comes from. You’re not taking ownership of the books, how do you make money? What are the employees doing? TutoringJust4U A matchmaking service for tutors and parents An ebay feel but for tutoring – negotiate hourly rates; great solution slide and walkthrough – how/where you make money and how the site works Good transitions Is the market opportunity 5 million parents or $5M? To what extent have you tested with tutors to verify their appetite for that kind of fee? How much are you asking for? $2M lead sales is service fee’s, product sales is tutoring commissions [ ] FUTURE CYCLES – MUST CHANGE LABELS OF INCOME STREAMS you may be underestimating the effort to maintain a stable of tutors – making it easy for the tutors within a geography. Complement on your enthusiasm, without alex, you covered very well. Abney Wells publishing Why are impressions bigger than visitors? What is an impression? Are those sources of revenue? Why are conferences and romance t.v. on the slide? (4p’s not labeled/categorized) Why are you saying the company will be worth 8.7M? A sale in year 5? Is that what you’re saying? If that’s an option you’re considering yes. Who would buy? Kensington zebra purchased, harlequin purchased. What are you basing your exit on? How did you get to that number? 8.1 is the sum of main revenue streams. No, your total income is 8.1 in year 5. you need comparables – in the publishing industry companies generally get sold for 1x revenues. Excellent discussion of the financials. Operating results to date? Sold 10-12 books in 48 hours You have thought through the tactics on driving traffic. Like the level of enthusiasm. Debrief Savvy-scholars Emphasis and slow down – too rushed Tutoring One of team members not here. That will happen. Everyone needs to be ready to pinch hit on short notice. Covered material well. Didn’t miss a beat. In a startup business, you will be more successful if you can wear any hat any time. Owners want people around who are ambidextrous. Startup will fail if the ceo doesn’t do 16 different things very well. Demonstrated intellectual curiosity is such an important quality. Enthusiasm was a lot higher than the other day Abney Wells Passion Chemistry on the team Obvious practice Flowed well Initial statements – from way too much to short to now just right in the middle – good to get there Good to make us answer the question, so what? All Step back and ask yourself big picture questions, see the forest for the trees. Debrief One Word Keep it going for real Hooray for… Data Analysis 1) overall result, 2) specific area strengths – we did x% better than last cycle on y a. historical context/relative performance per item – we were the best ever on y/we were the best in the last 3 cycles on y 3) specific areas for improvement – we did z% worse than last cycle on w a. historical context/relative performance I saw… (slam book) Disengaged Relieved Decent Pillow Obama Time Tired Relieved Hooray for… Traci making the numbers work Any of us not killing each other last night Jocelyn for stepping up at the last minute My team doing well Helping kris and Jocelyn The future of our business ideas Getting your geek on For launching profitable businesses from seed to fruit in 3 weeks Facts Better prepared – up 43% in finance Down in problem and solution by 13% Small growth in competitive landscape Strongest areas: Demonstration Marketing Finance

A Measurable Impact

Initial placement rate:
90%
Industry retention rate:
81%
College attendance rate:
55%
Alumni actively engaged in their communities:
72%
Average 12-month earnings before program:
$10,790
Average 12-month earnings after program:
$44,010