A subscription-based online community, cashflow positive with Monthly Recurring Revenue, and ready to scale in a Total Addressable Market of 90 million users. Projected IPO: Q2 2022
*This is not a solicitation.
1. The value proposition
Founded in 2019, Wall Street Business Academy is a for-profit subscription-based online community. Its mission is to help Spanish speaking users from all walks of life interact and learn from like-minded individuals to become better market participants. The community empowers its members by bringing the world of finance and market opportunities closer to them. The company is organized in the United States. Members join for a low recurring subscription fee of $45 dollars per month. By doing so members also receive immediate access to an entire educational program, methodology, and professionally produced content totally free. The community has experienced a 1068% growth since its inception in April 2019 as more families become aware of the role that financial knowledge plays in their success.
"Virtualization technology has been around for many years, and its use is increasingly becoming common in education" —Institute of Education Sciences.
WallStreetBA is seeking $540,000 for 5%, the equivalent to 10,000,000 units at $0.054 (the price per unit —see below for details).
The projected scale of issuance:
Total issuance 200,000,000 (100%)
This issuance 10,000,000 (5%)
Intermediate issuances 30,000,000 (15%)
To be issued at IPO 50,000,000 (25%)
Spanish is (the Second Most Widely Spoken Language in the World) with a global population of 577 million and growing. There are currently active members from more than 12 countries. Among the various social media venues, only on Facebook and Instagram alone, the active Total Addressable Market (TAM) from the Spanish-speaking population is 320 million users from 20 Spanish-speaking countries. Approximately, 1 out of 3 (30%) uses credit cards. The TAM (Total Addressable Market) for WallStreetBA is approx. 90 million users. In the U.S. alone there are over 20 million Spanish-speaking Facebook and Instagram users with full access to credit and debit cards. The company has successfully employed the use of growth specialists and is constantly conducting A/B testings engineered to develop strategic smart ways to improve the business and the result of the campaigns. Paid traffic is at the core of WallStreetBA's own successful growth system. Contrary to organic traffic, paid traffic allows to forecast and predict growth in a more accurate way and consistently over a longer period of time. Paid traffic also helps develop retargeting funnels with ads, emails, SMS, and messenger among other venues. Ai (artificial intelligence) also helps to maximize the market offer fit. Since its inception, the community has grown by 1068.75%. The community is also rapidly gaining traction with the press (see: https://linktr.ee/YurekVazquez). Members also support the mission to help reach and educate Hispanics globally. The impact transcends the individual. The benefits are passed on to their families, friends, as well as their local governments, and countries.
At the core of what the company offers as a business, WallStreetBA's method has proven to be viable at scale. Everybody wins when Hispanics become better market-participants.
For more details of the program see: WallStreetBA.com
WallStreetBA is seeking $540,000 for 5%, the equivalent to 10,000,000 units at $0.054 (the price per unit). The company has successfully sold 50% of this offering and is now at only 2.5% away from its goal. The minimum to join is $27,000 for 500,000 units at $0.054, and the maximum allowed is 2.5% for 5,000,000 units. The funds will be used to scale to 2066 subscribers by December 2021 and a $33 million valuation. After December 2021 the community will continue to focus on scaling to 5,000 users within the next 24 to 36 months. Phase-3 will move on to the total target of 19,000 subscribers. The Total Addressable Market is 90 million users. As of September 2020, WallStreetBA has successfully raised $270,000 (this is the equivalent of 2.5% and 5,000,000 units of the total 5% and 10,000,000 unit funding target for this round). The success of this 2.5% funding places the company's valuation at $10.8 million. The remaining 2.5% or 5,000,000 units are now available and are expected to close by December 2020. The benefits include up to $2700* in monthly recurring dividends distribution until IPO, plus the valuation of the price per unit as the revenue grows.
"IT IS EXPECTED THAT THE E-LEARNING MARKET WILL REACH APPROXIMATELY USD 132,98BN ACROSS THE WORLD BY 2023."
There are currently active members from more than 12 countries. The active Total Addressable Market (TAM) for Spanish-speaking users on Facebook and Instagram is 320 million users from 20 Spanish countries. Approximately, 1 out of 3 (30%) uses credit cards. The TAM (Total Addressable Market) for WallStreetBA is approx. 90 million users. In the U.S. alone there are over 20 million Spanish-speaking Facebook and Instagram users with full access to credit and debit cards.
Wall Street Business Academy is dividing its projected growth into three Phases. The immediate Phase-1-Target is 2066 members by December 2021 before proceeding to Phase-2 at 5,000 members, which only represents 0.00005556% of the 90 million Spanish speaking Total Addressable Market (TAM).
WallStreetBA.com is scaling to grow its subscriber base via Facebook, Instagram, and Google. For every $84 to $120 in ads-spend (based on the purchasing power of the zipcode and the demographic), WallStreetBA gains one (1) more member. By allocating funds to digital ad campaigns via Facebook, Instagram, and Google the program scales its growth and expands as desired. Since its inception in April 2019, Wall Street Business Academy has grown 1068.75%.
See more here: https://linktr.ee/YurekVazquez
2.Upon reaching the ongoing goal of 5%, the steps are as follows:
begin scaling to 2,066 members;
vertically file for the S.E.C. (Securities and Exchange Commission) PPM —Private Placement— (upon completion of the SEC filing, the 5% or 1,000 units converts to 10,000,000 units (equal to 1,000,000 units for every 1% and 500,000 units for every 0.25%);
at 2,066 users or 10.8% of the 19,000 total targeted users, the MRR (Monthly Recurring Revenue) grows to $92,970, and the Annual Recurring Revenue (ARR) grows to $1.1 million
As per the current SaaS valuation at 35x, WallStreetBA can easily achieve a targeted $39 million valuation and investors' $540k for 5% or 10,000,000 units at $0.054 has the potential to grow to $0.1952 or greater in the projected time frame. Upon signing the agreement and funds are provided, the investors qualify for a yearly dividend program of $5.40 per year for each subscriber (up to 5,000 per each percentage point) or the equivalent of up to $135K —27% ROI— per year in dividends.
The additional value will be distributed as part of the percentage of any sale in the event of selling the community or the selling of units in future financing rounds and/or merger-acquisition. WallStreetBA overall next Phase-3 will be to place its entire focus in scaling to 19,000 members, $855,000 in MRR, $10,260,000 in ARR, and $359 million valuation. This valuation and 19,000 member target represents only 0.00021111% of the TAM.
"According to MarketWatch and The New York Times, more than 800 million people might be out of a job by 2030 because of automation". In another report CBS published a study from the Brookings Institution's Metropolitan Policy Programs, that shows that "almost half of U.S. workers between the ages of 18 - 64 are employed in low-wage jobs", the Brooking Institutions found.
Pitchbook's analysts assert that Decentralized Finance (DeFi) encompasses conventional financial tools and services built on the blockchain. DeFi is offered on open protocols and decentralized networks, enabling users to be custodians of their own assets. The rise and money flow into this sector show the public interest in finding how to better understand these markets.
4.The Ripple Effects of COVID-19
During the Great Recession, venture investment only declined 28% from the pre-recession peak. However, deal volume was more resilient, falling only 5%. This time around, the growth and maturity of the VC ecosystem and federal stimulus efforts could help mitigate any downturn. Analysts at Pitchbook expect very early-stage investment activity to remain relatively active and note angel & seed deal count actually increased during the Great Recession (...) Whereas angel & seed startups may require less funding to stay afloat during difficult times, later-stage startups have higher cash burn rates that VCs may be less willing to support when hockey stick growth appears less likely. Source: Q1_2020_The_Ripple_Effects_of_COVID_19_on_Emerging_Technologies
5.Become a member, free education model
WallStreetBA is the developer of a subscription-based online educational membership service. The program empowers Spanish-speaking individuals from all walks of life to become better market participants through self-paced studies made easily available worldwide. The platform offers online courses that include recorded video lectures, auto-graded tests, and assignments as well as, community discussion forums, enabling members to learn from a variety of markets and industries to achieve their educational and personal enrichment goals. Subscribers' learn the availability of tangible tools that further their thirst to continue their education. WallStreetBA is making an immediate impact in spreading market literacy to Hispanics worldwide.
Organizations are evolving into continuous creators of digital content. To be successful, they must find ways to streamline and prioritize product development and reduce administrative bottlenecks. WallStreetBA has the potential to realize these goals while making it easier to manage the complexity and fast-paced nature of today’s content building and launching landscape at a dramatically reduced cost and low infrastructure business model (we are profitable, turning $5 in Recurring Revenue for every $1 we invest).
7.Most Recent Financing Status: (as of Septmber 2020)
The company raised $270 thousand of Seed venture funding putting the company's pre-money valuation at $10.8 million.
Pre-seed (successfully ended)
Angel-seed VC - Accelerator (now open)
9.Total for this round:
$540,000 USD for 5% (corresponds to 10,000,000 shares or 1,000 subcription units of 0.005%).
$27,000 for 0.25% (50 units of 0.005%) which converts to 500,000 shares upon filing with the SEC.
10.Use of Funds:
scale to 2,066 members;
vertically file for the S.E.C. (Securities and Exchange Commission) PPM —Private Placement— (upon completion of the SEC filing, the 5% or 1,000 units converts to 10,000,000 units (equal to 1,000,000 units for every 1% and 500,000 units for every 0.25%); Complete S.E.C. Private Placement filing (Stage 1 to 7 in Pre-IPO), each 0.25% of this round converts to 500,000 units, the equivalent to 10,000,000 for 5%.
at 2,066 users or 10.8% of the 19,000 total targeted users, the MRR (Monthly Recurring Revenue) grows to $92,970, and the Annual Recurring Revenue (ARR) grows to $1.1 million, and $39 million valuation.
Spanish (the Second Most Widely Spoken Language in the World)
Private (for-profit) Company
Wall Street Business Academy, LLC.
Generating revenue and cash-flow positive.
Privately Held (Backing).
18.Year Officially Founded:
Established in 2015, reorganized to Delaware in 2019
19.Country and State of Registry:
The United States of America, Delaware.
Educational and Training Industry (B2C).
TMT (Technology, Media, and Telecom).
23.Primary Contact Information:
Founder, Chief Executive Officer
Subscribers access an interactive, collaborative, educational environment.
Easily available world-wide, from a computer, mobile or tablet device.
Built-in drip content technology regulates and enforces lecture-video completion.
The system forces the user to finish the lessons in order to access the exams and advance to the next level module.
Requires a minimum 70% passing score to emphasize our accountability.
SSL Certificate secures subscribers' information during log-in and check-out.
24/7 user growth and payout report to Admin and Investors in real-time.
A subscription-based model.
Subscribers pay a $45 monthly recurring fee.
Subscribers land at WallStreetBA.com to register.
Traffic is generated from social media campaigns.
Campaign budget is determined by proven Customer Acquisition Cost.
Scale subscriptions from Customer Acquisition Cost allocated to Marketing propelled with Artificial Intelligence via social media campaigns (funnels, ads, messenger, SMS, videos, webinars, Facebook, and Instagram live), podcasts, seminars, and influencers.
Continue building value to investors by expanding the use of products based on translations to other languages, the re-purposing to robotics, Ai, digital gaming, and the licensing to fashion merchandising, bibliography, and accessories to boost presence and the bottom line.
The company ran multiple pilot programs. The first one was launched in 2015, consisted of a one-time fee of $1375 for a face-to-face group program. Limited to twelve individuals. The announcements of the opening were inexpensively made via Facebook. No budget was ever allocated to advertising.
The social media campaign model was simple:
1) post several informational videos to a group of followers,
2) the followers watch the video where a call-to-action was made to follow the link to a Landing Page, and
3) another informational video and text will explain the details of the program and invite the follower to subscribe for $1375.
The goal was to measure if there was enough interest from a group of followers to advance their education, given that these lessons could be made easily available to them. The subscription was limited to twelve followers. It was sold out.
The second announcement was for $2700. Again the number of participants was capped. Again, it sold-out.
The revenue for both of these periods was $49,799. The student demographic was defined as Spanish speakers, ages 23-54, mainly in the U.S.
27.Next was to:
1) launch online,
2) reduce the price to $45 USD, and
3) make it easily available to the Spanish speaking community worldwide.
This phase landed in a $179.86 Customer Acquisition Cost, or what is equal to 4 months to Break-even. Then move to the inclusion of artificial intelligence. With the assistance of data-driven strategies to the latest campaigns, it helped dramatically reduce the Customer Acquisition Cost from $179.86 to $89 (2 months to B/E).
This also served to seal the quality of the content, which is reflected by the reviews and hundreds of comments of existing subscribers, which can be accessed and verified in WallStreetBA online platform. The Live-Time-Value of the subscribers is easily extended/enhanced through continuous real-time interaction, premium quality content, and continuous inexpensive added value to justify their stay in the community.
In 2021, over 2.14 billion people worldwide are expected to buy goods and services online, up from 1.66 billion global digital buyers in 2016.
A key point worth highlighting to potential investors is that the company's' revenue share opportunity is based on the Gross revenue, not the Net. The company is generating revenue and profitable. Full transparency is guaranteed by allowing the investor(s) full access 24/7 in real-time within the company's automated payment collection and financial reporting section of the platform. For the ownership structure, Wall Street Business Academy has "sliced" the ownership into 20,000 subscription units (100%). After SEC Filing WallStreetBA shares are converted to 200,000,000 units, for which the equivalent to the existing offer of 5% will be 10,000,000 units or 1,000,000 units for 1% or 500,000 units for 0.25%. Participants make a return in two ways: (1) receiving a piece of the gross revenue of 5% which is intended for distribution on a monthly basis, and (2) the equivalent to 5% of the income from future valuation at the time of any future sale equal, but not limited to, a merger or acquisition. As a result, investors receive a yearly dividend of $5.40 per year for each subscriber (up to 5,000) per each percentage point (up to a total of $135K per year in dividends), plus the percentage of the sale in the future. Dividends are distributed on a weekly basis.
Growing to 19,000 users and $10.2 million in revenue (with our Approx. EBITDA of 79.5%) at a Customer Acquisition of $89 to $120 the estimated cost to achieve this target is calculated at $1.7 to $1.8 million. When fully funded, and according to multiple recently tested campaigns, our 19,000 users and $10.2 million in revenue can be achieved in a period of 24 to 36 months after Phase 1 and 2, once our predictable pattern of 5,000 users has been fully achieved. The resulting growth will be exponentially experienced based on the compounding experience and virality of our digital campaigns.
30.Industry Valuation and Return on Investment:
Multiples in the SAAS industry are anywhere from 10x to 15x in revenue, and up to 40x EBITDA. Upon reaching the first target of 2,066 subscribers the Monthly Recurring Revenue (MRR) is $92,970, the Yearly Recurring Revenue is projected at $1.1 million, and the valuation is anywhere from $11.1 to $33.5 million. Upon reaching the next target of 19 thousand members our Yearly Revenue is projected at $10.2 million. At this stage, the valuation from the industry's multiples is anywhere from $100 to $350 million.
Four Marketing Advisers
32.From the Founder
Hi, my name is Yurek Vazquez, creator & founder of WallStreetBA.com. As a Trader I strive for daily opportunities in the global currency market; As a Coach at WallStreetBA.com, I've done my absolute best to take all of the complexities of the industry and present them in an easy to understand fashion. Since inception, I've successfully helped individuals and business owners with no prior experience in learning how to become better market participants by staying informed, learning from official sources, understanding our Federal Reserve System and mandates, analyzing money flows, index and industry trends, dates of economic significance, their specific industries, and how to follow the impact of politics in our economy and vice-versa. A better-educated world is a more civil and safer place for all. Join us!