dogood!apps!business!plan!

Transcription

1 BrianKrohn GraysonBadgley KariAanestad SarahKleinman dogoodappsbusinessplan

2 ExecutiveSummary Manyhobbyappdevelopersstartdevelopingappsbecausetheybelievetheywill becomerich.withoveramillionappsbetweentheiosandandroidmarketsand appsalesskewedtoaveryfewapps,becomingrichasanappdeveloperishighly unlikely.withdogoodapps,developersmaynotbecomeexcessivelyrich,butthey willincreasetheirrevenue.muchmore,theywon tjustdowell theywilldogood. dogoodappsisanappreviewsitethatvaluesdevelopersand,aboveall,values makingadifferenceintheworld.developersfeaturedondogoodappsagreeto donateasignificantportionoftheirprofits(over20%)tothedogoodcharitable Fund.Inreturntheirappisscreened,reviewedandpotentiallyfeaturedonour highlyexclusivesite,makingtheappmorevisibletosmartphoneusers. Thecharitablefundthatthedevelopersdonatetowillbedistributedtoadifferent nonpprofitorganizationquarterly.theorganizationreceivingthefundingwillbe chosenbybothusersanddevelopersthroughanonlinevotingprocess. dogoodappsisasocialforpprofitventurethatgeneratesfundsforcharitieswhile simultaneouslyincreasingdevelopers revenue.weestimatethatonaverage,apps featuredondogoodappswillatleastdoubletheirprofits.withaphasedrollout dogoodappswillbeprofitablewithinthefirstyearandgenerate$627,000for charity.byyearthree,dogoodappswillhaveanebitaprofitof$780,000,andthe dogoodcharitablefundwillgrowtoalmost$17,000,000. OurmanagementteamiswellequippedtomakedoGoodAppsareality. Collectively,wehaveexperienceinwebdevelopment,appdevelopment,andtech managingstartupsaswellasrunning,fundingandinterfacingwithnonpprofit organizations. dogoodappsallowssociallymindediphoneusertoeasilyfindhighqualityapps, givesgreatexposureforappdevelopersand,mostimportantly,doesalotofgood.

3 Introduction MostofushaveheardtheovernightsuccessstoriesofindividualslikeEthan Nicholas,creatorofasimpleiPhoneappthatearnedhim$37,000inonedayalone. 1 Unfortunately,formostpeopletherealityofdevelopingappsisactuallysimilarto theexperienceofshawnandstephaniegrimes,whoafterinvestingtensof thousandsofdollarsintodevelopinganappearnedatotalofonly$5, Their storyisalltoocommon.onesurveyof250gamedevelopersfoundthat50%ofthe developersgrossedlessthan$3,000intotalrevenueovertheappdevelopment career. 3 Thereasonthatitissodifficultfordeveloperstomakeadecentreturnontheirapps todayistwofold:first,theappmarketsarecompletelysaturated.accordingto Flurry,thepremieresmartphoneappanalyticstracker,in2012theAppStore(the iosappmarket)andgoogleplay(theandriodappmarket)had600,000appseach. 4 Second,themarketisdominatedbyonlyafewpopularapps.Thevastmajorityof 600,000appsarelostinthemarket,drownedoutbyallthecompetition.Afew apps,likethepopulargameangrybirds,canreceivetensofthousandsofdownloads inasingleday,buttheseappsmakeuplessthan0.02%oftheappsintheappstore. Asfigure1,showstheremainingappsputteralongreceivingonlyahandful downloadsaday. Appdevelopersarecontinuallyseekingnewwaystobefoundbyusers.Oneofthe mostcommonapproachesthatdeveloperstaketogainanaudienceistobefeatured onanappreviewsite.thereareover100appreviewsitescurrentlyactive.mostof thesesites,however,arebloatedwithadsandchargedevelopersupwardsof$150 perreview.worstofall,appreviewsitesareineffectivebecausethey,liketheapp store,aresaturatedwithapps.yetdesperatedevelopersarewillingtopaythefees forthechancetogetmoredownloads. 1Wiredarticle. 2NYTarticle. partpispmakingpapliving.html?pagewanted=all&_r=0 2NYTarticle. partpispmakingpapliving.html?pagewanted=all&_r=0 3StreamingColorStudios. revenuepsurvey/ 4Farago,P.,2012,TheGreatDistributionofWealthAcrossiOSandAndroidApps.

4 dogoodappsisadifferentkindofappreviewsitethatvaluesdevelopersand,above all,valuesmakingadifferenceintheworld.developersagreethatwhiletheyare featuredonoursitetheywilldonateasignificantportionoftheirrevenue(over 20%)toageneralfund.Inreturn,theirappisscreened,reviewedandpotentially featuredonourhighlyexclusivesite.weacceptonlythehighestqualityappsand arehighlyselectiveinordertoavoidthesaturationthatoccursintheappstores. WhattrulysetsdoGoodAppsapartfromotherreviewsitesisthatwewantto do good intheworld.thegeneralfundthatthedevelopersdonatetowillbe distributedtoadifferentnonpprofitorganizationquarterly,whichwillbechosenby bothusersanddevelopersthroughanonlinevotingprocess. dogoodappspresentsawinpwinpwinsituationfordevelopers,charitiesandusers. Developersgainauniqueplatformtogainnewusers,whichmeansmoredownloads andhigherrevenues.charitiesreceiveanewsourceoffundingandfree advertisementonoursite.userseasilyfindthehighestqualityappsonthemarket andfeelgoodknowingthattheirpurchasewillsupportagoodcause. DailyDownloads 60,000 50,000 40,000 30,000 20,000 10,000 DailydownloadsofpaidiphoneappsintheAppleAppStoreby RankintheAppStore P RankinginAppStore Figure1.ProfileoftheiPhonepaidappsmarket,showingthenumberofdailydownloadsversustherankin theappleappstore. 5 5Garg,R.,Telang,R.,2012.InferringAppDemandfromPublicallyAvailableData.MIS$Quarterly,$ Forthcoming.

5 TheProblem/Valueproposition Problem:Theappstoresareovercrowdedandhighlyskewedtowardsonlyafew popularapps,withthevastmajorityofappdeveloperslosingmoneyorbreaking even.ngosarealwaysinneedofadditionaldonationsandawareness.usersof smartphonesarelookingforhighqualityappsandwanttomakesociallyminded purchases. Value,proposition:doGoodAppsallowssociallymindedsmartphoneuserstoeasily findhighqualityapps,generateshigherrevenuesforappdevelopersand,most importantly,doesalotofgoodbygeneratingfundsforcharity. TheIdea/howitworks The,user,experience:,,, OurprimarygoalatdoGoodAppsisto dogood. Withthatinmind,theaestheticof oursitewillbeclean,easytouseandprominentlyfeaturethecurrentfundraising effort.uponenteringoursitetheuserwillbegreetedwithahighqualityimagethat encapsulatestheworkofthecharityandthesizeofthecurrentdonation,whichwill beupdateddaily.also,featuredatthetopofthesitewillthetotalamountthathas beenraisedanddonatedtoallcharitiestodate.belowthebannertheuserwillsee ournewlyfeaturedapps,asearchbarandappcategories(games,productivity,etc.). ThegenerallayoutoftheappswillbesimilartotheAppStoreandGooglePlay,with whichusersarealreadyfamiliar.userswillhavetheabilitytotogglebetween viewingappsfortheiphone,ipad,androidphonesandandroidtablets. Oncetheuserfindsandselectstheapptheyarelookingfor,theuserwillbetakento aninformationpageabouttheapp.inadditiontothestandardinformationabout theapp(description,screenshots,etc.),theapppagewillincludealinkandbrief descriptionofacharitythattheappendorses.theendorsedcharityissimplyfree advertisingforthatcharityanddoesnotindicateanycommitmentfromthat developerortheuser.iftheuserwantstopurchasetheapptheywillclickonalink thatwilltakethemtotheappstoreorgoogleplaytodownloadtheapp. Iftheuserissoinclined,shecanbrowseasectionoftheappcalled donegood. In thissectionwewillfeaturestoriesaboutthecharitiesthatdogoodhasdonatedto, wherethemoneyhasgone,financialauditsandtheimpactwehavehad. The,developer,experience:, IntheBetaphaseofdoGooddeveloperswillbeinvitedtojoinoursitedirectly.Once wearefullyoperational,however,developerswillsubmittheirappstous

6 unsolicited.adeveloperwhowishestobefeaturedonthedogoodappssitewill submitinformationabouttheirapp,screenshotsandthepercentageoftheir revenuestheywouldbewillingtodonate.wewillprocesstheirappasquicklyas possible,likelyintwoweeks,dependingonthevolumeofsubmissions. TheappwillbeinvitedtojoindoGoodAppsifitpassesourqualitycontrolsandfills aspecificneedthatisnotyetmetbyanexistingappfeaturedonoursite.inorderto befeaturedondogoodapps,developerswillcreateanaccountwithusbyproviding creditcardinformationandlinkingtheirappdevelopmentaccountfromappleor Googletooursitealongwithanymobileadaccountstheyusetomonetizetheirapp. Wewillthenbeabletomonitortheapp srevenueandchargethedevelopertheir pledgedpercentageonamonthlybasis.linkingdeveloperaccountstoexternal sitesisacommonpracticefordevelopersandshouldnotbeamajorconcern. 6 TojoindoGoodAppsdeveloperswillneedtoagreetodonateatleast20%oftheir grossrevenuetothegeneralfund.werecommend,however,thatdevelopers donate30%asapplealsocharges30%ofdevelopers grossrevenue.inthisscheme 30%wouldgotoApple,30%wouldgotothegreatergood,and40%wouldgo tothedeveloper.basedonourpersonalexperienceashobbyappdevelopersthis isareasonableposition.furthermore,ouranalysisshowsthatdeveloperswillat leastdoubletheirprofitsafterbeingfeaturedonoursite,evenafterpledging30%of theirtotalrevenue.inotherwords,the40%oftotalrevenueswillbeworthdouble thanthe70%theywouldhaveearnedifnotfeatured.ultimately,thedeveloperwill choosethepercentagedonatedaslongasitisabove20%. Toinstillconfidenceinthedevelopersthattheirchargedamountwillgotothe featuredcharity,wewillestablishanescrowaccountwithlegalrestrictionsstating thatthemoneyinthegeneralfundcanonlybegiventoanonpprofit.dogoodapps willcharge5%ofthetransactiontocovertransactioncostsandtomaintaindogood Appsasasustainablesocialenterprise. The,charity,experience, DevelopersthatarepartofdoGoodAppswillnominatecharitieseachquarter.The dogoodappsteamwillchooseamanageablenumberofcharitiesfromthe nominationstobefeaturedonanonlineballotwherebothusersanddeveloperscan voteonthecharitythatwillreceivethedonation.thecharitieswillnotneedto activelyseekthefundingbutwillneedtoconfirmthattheyhavethecapacityto receivethedonationbeforetheycanbeaddedtothefinalballot. 6Manyexternalwebsitesthatprovideservicestodevelopersrequiredeveloperstolinktheir accounts.forexample,appannieprovidesconsolidatedinformationondownloadsandrevenueto developersrequireslinkingandisusedby80%ofthetop100iospublishers.

7 ImpactandScalability dogoodappsishighlyscalableandhaspotentialtohaveanenormousimpactonthe world.currently,thereare600,000appsintheappleappstorealone,whichare producedbyroughly80,000developers.thegoogleplaymarketnowhasasimilar numberofappsanddevelopers.withamere500paidiphoneand500paidipad appsdonating30%oftheirrevenue,thedogoodappsgeneralfundwillbeableto donate$1.3milliondollarstocharityeachyear. The1000paidiOSappsthatwewilltargetinitiallyarenotblockbusterapps.They willbesimilartotheiosappsalreadydevelopedbytwoofthecopfoundersof dogoodapps:rankedbelow1,000intheappleappstore,generatingapproximately $25adayanddevelopedbyhobbyistdevelopers(whomakeuproughlyathirdof appdevelopers). ThepaidappsareonlyhalfthestoryintheAppStore.Freeappsreceivefarmore downloadsperappandcanbehighlylucrative.freeappstypicallyreceiverevenue frominpapppurchases,subscriptionsandads.iffreeappsgeneratesimilarrevenue aspaidapps,thenbyfeaturing500freeappsperplatformthedogoodgeneralfund wouldgrossatotalof$2.6milliondollarsayear. Apple sappstore,however,isonlyaportionofthesmartphonemarket.ifgoogle PlaycanbeassumedtohavesimilarrevenueastheAppStore,thenfeaturingan equivalentnumberofandroidappswouldgenerateanadditional$2.6million dollarstowardscharity,totaling$5.2millioninthedogoodgeneralfund. dogoodappsistrulyexcitingbecauseithasthepotentialtonotonlygenerate donationsbutalsoincreaserevenuefordevelopersandinturnsynergistically furtherincreasedonations.byexclusivelyfeaturingarelativelysmallnumberof apps,dogoodappswoulddriveuserstothoseappsandincreasedownloadsand revenue.again,usingonlythepaidappsintheappleappstoreasanexample,ifwe feature500iphoneand500ipadappsthatarerankedinthetop200p700apps,see figure2,ourdeveloper sprofit(afterapple scutanddogood scut)wouldmore thandouble,withthemostsuccessfulappincreasingitsprofitseightfold.in addition,thegeneralfundwouldblossomfrom$1.3millionto$46millionannually. 7 IfwecanduplicatethatmovementinfreeappsandagaininGooglePlay,thegeneral fundwouldequal$184millionannually. 7CalculationsbasedonGarg,2012

8 60,000 DailydownloadsofpaidiphoneappsintheAppleAppeStoreby RankintheAppStore DailyDownloads 50,000 40,000 30,000 20,000 10,000 $46milllion tocharityannually dogoodapps P RankinginAppStore Figure2.If500paidiPhoneappsand500paidiPadappsdonating30%oftheirrevenuetocharityweretohold therankings200p700intheappstorethetotalcharitabledonationwouldbe$46millionannually. Finally,wesuspectthattohaveatrulyrobustreviewsitethatmeetstheneedsof ourusers,wewillreviewmorethan500appsforphonesandtablets.intheapp Storethereare43categoriesofapps(23generalcategoriesplus20subcategories ofgames).with500appswewouldfeatureroughly10appsineachcategory.based onouranalysisofthemarket,however,weestimatethatwecouldfeatureupto100 appsineachcategorywithoutlesseningthebenefitstothedevelopers.thus,by increasingthenumberofappsfeaturedondogoodappsfrom500toamaximum 5000perplatform,theannualfundhasthepotentialtoincreaseto$536million annually. 8 TargetMarkets Developers:, Thedevelopersweinitiallytargetarethosewhoarerankedbelow1,000intheapp storebuthaveahighqualityproduct.thedeveloperswilltypicallybesocially mindedhobbyists,recentgraduatesandstudents.thisisasimilartoprofileoftwo ofthecopfoundersofdogoodapps,whoasgraduatestudentslaunchedtwo successfulappsasahobby.weexpectthistobetheprofileofasizableportionof developersbecause,accordingtorecentglobalsurveyofsmartphonedevelopersby 8WeassumethatdoGoodAppsarerankedconsecutivelyanduseGarg2012 sequationstoget$131 millionfor5000paidiphoneappsand5000paidipadapps.then($131,000,000)*(2forthefree apps)*(2fortheandroidmarket)

9 theevansdatacorp.,22%ofappdevelopersclassifythemselvesasa serious hobbyist andanother11%arerecentgraduatesorstudents. 9 Users:, Wewilltargetuserswhowanthighqualityappswithoutextensivesearchingand aresociallyminded.oneanalogyisthatourusersaretargetshoppersratherthan WalPMartshoppers. Charities:,, Thecharitiesthatwewillservewillbegeneratedfromourdevelopersandusers.It islikelythatthecharitieswillbemediumtolargeinsizewithanactivesocialmedia presence. BusinessModelandStructure AtdoGoodAppswebelieveindoingsustainablegoodthroughsocial entrepreneurship.ourmodelgeneratesdonationsforcharitiesbutalsogenerates additionalrevenuefordevelopers.webelievethatbyincreasingtherevenuetoour developersweareincreasingtheabilityofsociallymindedindividualstocontinue todogoodintheirowncapacity.becausesocialentrepreneurshipisatthecoreof ourphilosophywewillrundogoodappsasasocialventure.indoingso,wewillbe abletoinvestinourproductsandourselvesinordertomaximizeourpositive contributiontotheworld.wearecurrentlyexploringthebestbusinessstructure andareconsideringforminganl3cbecauseofitsflexibility. dogoodappswillgeneraterevenuefromtwoprimarysources.firstwewillcharge a5%transactionfeethatwillcoverouroperationalcosts,afeethatiscomparableto otheronlinemarketplaces(e.g.kickstarter).wewillsendabilltodevelopersonce amonththatincludestheirdonationplusthetransactionfee.asdiscussedabove, wewillmonitortheirrevenuebylinkingtotheirappstoreandthemobilead networkaccounts.thebillwillbecalculatedfromtheirrevenuefromtheappstores andadrevenue. 10 Second,wewillbebecome affiliates ofthemajorappstores.beinganaffiliate meansthatwewillreceiveupto5%ofanypurchasesmadeintheappstoreswithin a72phourperiodforanytrafficthatwedirecttothestore.thus,whenausersclicks onalinktoanappfromoursiteandthenpurchasesthatapp(oranyotherapp within72hours)wewillreceive5%ofthatpurchase. 9Albright,P., majoritypapppdevelopersparepmoonlighters/2012p04p16#ixzz2jnvwyjev 10Billingbasedondownloadsorrevenueisacommonpracticefordeveloperservices.Forexample, UrbanAirshipprovidesInAppPurchasehostingservicesandcharges$0.10perdownloadedInApp Purchase.

10 Twoadditionalrevenuestreamsthatwewillconsiderbutnotpursueimmediately areadvertisementsandmerchandise.adscanbeanimportantrevenuesourcefor hightrafficsites.ourprimaryfocus,however,istofeaturetheappsandthe charities.therefore,thenumberofadswefeatureonoursitewillbekepttoan absoluteminimum.finally,webelievethatwehaveacompellingmessage: Do Good. Aswecontinuetodevelopasasocialventurewewillpursuemerchandise andbrandingopportunities. Competitors Thecurrentcultureofsmartphoneappsistofocusoneitherbeingnumberone (AngryBirds)orbulkprocessingofhundredsofthousandsofapps.doGoodAppsis different.wefocusonarelativelysmallnumberofhighqualityappsthatare currentlyburiedunderthemountainofapps.ourprimarycompetitorsareapp reviewsiteswhomaytrytoreproduceourmodeloncewegolive. Exclusive,App,Review,Sites:, 148apps.comisourclosestcompetitorbecausetheyareselectiveinthenumberof appstheyreview.theywereformedshortlyafterapple sappstorewentliveand arerespectedintheappcommunitybecausetheydonotchargedevelopersfora review.ifanappisfeaturedon148apps.comitusuallywillreceiveaboostin downloads.148apps.com,however,receivesitsrevenuefromadsandsoithasa highnumberofdistractingadsandlackscleanaesthetics.moreimportantly,itlacks thesocialmindednessofdogoodapps. Paid,App,Review,Sites:, Paidreviewsitesarenumerous(e.g.dailyappshow.com)andchargeanywherefrom $10to$150perreview.Thereviewsthemselvescanvaryfromsimpletextreviews tofullvideodemowithcommentary.thesesitesgeneraterevenuefromprocessing asmanyappsaspossible,makingthesitesbloatedwithapps.developersmay receiveasmall,shortspikeindownloadsbypayingoneofthesesites,butthe benefitsarehighlydebated. ManagementTeam BrianKrohnistheCEOofSetonaLLCanindependentappdevelopmentcompany, copfounder/leaddeveloperofglobalfitnessappsasuiteoffitnessappsforthe iphone,andstudiedatoxforduniversityasarhodesscholar.brianhasapatenton acommercializedprocessforproducinggreenfuels,wonthepeople schoiceaward inthe2011tataideaidolcompetitionandbelievesdogoodappsishisbestideatop date.bsaugsburgcollege;mscuniversityofoxford;mscuniversityofoxford;phd (candidate)universityofminnesota.

11 GraysonBadgleyiscurrentlytheHeadofDataatZimride,anenvironmentally orientedtransportationstartupinsanfrancisco.graysonhasexperienceinsearch engineoptimization,bigdata,webanalytics,anddatabaseadministration.bsfs GeorgetownUniversity;MScUniversityofOxford. KariAanestadhasfiveyearsexperienceinpublicrelations,communications,and fundraisinginthenonpprofitsector.sheisatrainedjournalistandordainedpastor withapassion,bothpersonallyandprofessionally,forthesocialgood.baaugsburg College;MDivLutherSeminary. SarahKleinmanisthecoPfounderofGlobalFitnessApps,wastheexecutive directoroffaceaids,anonpprofitthatmobilizesyoungpeopleonaddressing globalhealthissuesandinternedatmckinseyconsulting.sheiscurrentlyarhodes ScholaratOxfordUniversity,EnglandpursingaPhDinInternationalRelationsand studyingthestructuraleffectivenessofnonpprofitorganizations.bastanford;ma Stanford;PhD(candidate)OxfordUniversity. TechnicalDevelopment WewillbuilddoGoodAppsonHerokuscalablewebserverswithPythonscriptusing thetemplateenginejinjaandabootstrapfrontpendframework.thebenefitsofthis systemarethatitishighlyscalable,costeffectiveandelegant.becausewewill developthewebsiteinphouse,ouroperatingcosttorunthesitewillbelessthan $200amonth. NextSteps WeareexcitedtoalreadybepursuingdoGoodApps,whichwasconceivedofon January17 th,2013.sincethen,inamerefewweekswehavealreadymade considerableprogress.forournextstepsweareplanningaphasedrollout.inyear onewewillfocusonfeaturing1,000paidappsiosapps(500iphoneand500ipad apps).thenwewilladd1,000freeiosapps.withtheiosmarketestablished,in yeartwowewillexpandandfeatureandroidapps.finally,wewillfocuson maintenanceandexpandingthetotalnumberofappsfeaturedundereachplatform. Ourimmediategoalistobuildafunctioningwebsitethatwillbeablehostthe reviews,monitordeveloperaccountsandprocesstransactions.weestimatethat wecanbuildthebasicstructureofthewebsitebymayof2013.also,duringthis timewewillestablishourbusinessstructureandanynecessarylegalandfinancial channelstohandledonations. Withthebasicstructurelaidoutwewillspendthesummermonthscontacting developersandprepscreeningappsforabetaversionofdogoodapps.thebeta versionwillrequirelowercontributionsfromdevelopersinordertoencourage

12 themtojoinandwillallowustorefineoursystems.ourgoalistogolivewith dogoodappsondecember1,2013becausetheholidayseasonishighlyactivefor bothcharitiesandapps. PhasedRollOut JanuarytoMay MaytoAugust September1 December1 January1 JanuarytoMay MaytoDecember December1,2014 May2015 Year1,2013 Developwebstructureandlegalstructure ContactiOSBetaDevelopers BetaLaunchforiOS OfficialLaunchofdoGoodforiOS(1,000apps) Year2,2014 Firstdonationtoacharity AddiOSFreeApps AddpaidAndroidApps OfficiallaunchofdoGoodforAndroid Year3,2015 AddAndroidFreeApps ThreeHYearFinancialProjections Basedontheabovephaserolloutweestimatethatwecanbeprofitablewithinthe firstyearandbythethirdyearbegeneratingaebitdaprofitof$780,000andan annualcharitablefundofover$16milliondollars.seeappendix1foradetailed operatingbudget. Acaracompetition Ourdevelopmentplanisanextremelyambitiousplan,butwebelievethatwearean exceptionalteamandwillbeabletomeetoutgoals.tomeetthesegoalsweare seekingfinancialsupportintheformof$5,000tohelpcoverthelegalfeesandother costsassociatedwithestablishinganescrowaccountforthedonations.thelegal feesareourgreateststartpupcostandtheremainingfundingneededforthewebsite willcomefrompersonalfunds.

13 Year)1)Financial)Projections Item Month)1 Month)2 Month)3 Month)4 Month)5 Month)6 Month)7 Month)8 Month)9 Month)10 Month)11 Month)12 Year)1 Mile)Stones Beta%Launch ios%paid%launch Costs Management% (4%co6founders) $0 $0 $0 $0 $0 $0 $0 $0 $5,000 $10,000 $10,000 $21,250 $46,250 Book%keeper $0 $0 $0 $0 $0 $0 $0 $1,875 $1,875 $1,875 $4,688 $4,688 $15,000 App%Reviewer $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Software%Developer $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Business%Development% Associate $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Labor)Subtotal $0 $0 $0 $0 $0 $0 $0 $1,875 $6,875 $11,875 $14,688 $25,938 $61,250 Technology)Subtotal $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $2,400 Legal)&)Admin)Subtotal $417 $417 $417 $417 $417 $417 $417 $417 $417 $417 $417 $417 $5,000 Total)Expenses $617 $617 $617 $617 $617 $617 $617 $2,492 $7,492 $12,492 $15,304 $26,554 $68,650 Revenue ios%paid%fee%revenue $0 $0 $0 $0 $0 $0 $0 $570 $2,280 $5,700 $11,400 $11,400 $31,350 ios%paid%affiliate% Revenue $0 $0 $0 $0 $0 $0 $0 $1,900 $7,600 $19,000 $38,000 $38,000 $104,500 ios%free%fee%revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Android%Paid%fee% Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Android%Free%fee% Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total)Revenue $0 $0 $0 $0 $0 $0 $0 $2,470 $9,880 $24,700 $49,400 $49,400 $135,850 EBITDA ($617) ($617) ($617) ($617) ($617) ($617) ($617) ($22) $2,388 $12,208 $34,096 $22,846 $67,200 dogood)charity)fund $0 $0 $0 $0 $0 $0 $0 $11,400 $45,600 $114,000 $228,000 $228,000 $627,000

14 Year)2)Financial)Projections Item Month)13 Month)14 Month)15 Month)16 Month)17 Month)18 Month)19 Month)20 Month)21 Month)22 Month)23 Month)24 Year)2 Mile)Stones ios%free%launch Paid%Android%Launch Costs Management% (4%co6founders) $10,000 $10,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $270,000 Book%keeper $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $56,250 App%Reviewer $0 $0 $0 $0 $0 $0 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $28,126 Software%Developer $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Business%Development% Associate $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $75,000 Labor)Subtotal $20,938 $20,938 $35,938 $35,938 $35,938 $35,938 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $429,376 Technology)Subtotal $9,200 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $16,900 Legal)&)Admin)Subtotal $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $24,310 Total)Expenses $32,163 $23,663 $38,663 $38,663 $38,663 $38,663 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $470,586 Revenue ios%paid%fee%revenue $11,970 $12,569 $13,197 $13,857 $14,550 $15,277 $16,041 $16,843 $17,685 $18,569 $19,498 $20,473 $190,528 ios%paid%affiliate% Revenue $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $456,000 ios%free%fee%revenue $0 $0 $1,140 $5,985 $11,999 $12,570 $12,627 $13,201 $13,287 $13,866 $13,980 $14,565 $113,219 Android%Paid%fee% Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,140 $1,140 Android%Free%fee% Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total)Revenue $49,970 $50,569 $52,337 $57,842 $64,548 $65,847 $66,668 $68,044 $68,972 $70,435 $71,478 $74,177 $760,887 EBITDA $17,807 $26,905 $13,674 $19,178 $25,885 $27,184 $23,317 $24,693 $25,621 $27,084 $28,127 $30,826 $290,302 dogood)charity)fund $239,400 $251,370 $286,739 $396,835 $530,962 $556,940 $573,359 $600,885 $619,444 $648,701 $669,564 $723,548 $6,097,747

15 Item Month)25 Month)26 Month)27 Month)28 Month)29 Month)30 Month)31 Month)32 Month)33 Month)34 Month)35 Month)36 Year)3 Mile)Stones Costs Free%Android%Launch Year)3)Financial)Projections Management% (4%co6founders) $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $300,000 Book%keeper $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $56,250 App%Reviewer $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $4,688 $56,251 Software%Developer $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Business%Development% Associate $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $75,000 Labor)Subtotal $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $40,625 $487,501 Technology)Subtotal $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $8,400 Legal)&)Admin)Subtotal $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $2,026 $24,310 Total)Expenses $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $43,351 $520,211 Revenue ios%paid%fee%revenue $21,496 $22,571 $23,700 $24,885 $26,129 $27,435 $28,807 $30,248 $31,760 $33,348 $35,015 $36,766 $342,161 ios%paid%affiliate% Revenue $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $38,000 $456,000 ios%free%fee%revenue $14,709 $15,300 $15,474 $16,074 $16,277 $16,888 $17,122 $17,744 $18,009 $18,644 $18,941 $19,591 $204,771 Android%Paid%fee% Revenue $5,985 $12,569 $13,197 $13,857 $14,550 $15,277 $16,041 $16,843 $17,685 $18,569 $19,498 $20,473 $184,543 Android%Free%fee% Revenue $0 $0 $0 $1,197 $6,284 $13,197 $13,857 $14,550 $15,277 $16,041 $16,843 $17,685 $114,931 Total)Revenue $80,190 $88,440 $90,370 $94,012 $101,240 $110,797 $113,827 $117,384 $120,731 $124,602 $128,297 $132,515 $1,302,406 EBITDA $36,839 $45,089 $47,019 $50,661 $57,889 $67,446 $70,476 $74,033 $77,380 $81,252 $84,946 $89,164 $782,195 dogood)charity)fund $843,799 $1,008,796 $1,047,406 $1,120,246 $1,264,803 $1,455,942 $1,516,532 $1,587,678 $1,654,621 $1,732,049 $1,805,945 $1,890,305 $16,928,121