Referral Program

6-MONTH REPORT TO CLIENTS, INVESTORS, AND PROSPECTIVE CLIENTS

Dear Clients, Investors, and Prospective Clients,

I am delighted to present our 6-month report, showcasing the remarkable achievements and significant strides we have made at NextRound. As the CEO of our dynamic organization, I take immense pride in sharing the key takeaways and exciting developments that have shaped our journey over the past months.

KEY HIGHLIGHTS:

• Conducted interviews with 728 prospective companies and submitted decks.

• Onboarded 99 new clients.

• Received interest for 68 clients. (slightly better than feared–I am sure you recall in our introduction call that “normal” is a 75% failure rate)

• Engaged in calls with at least one VC or family office for 39 clients.

• Successfully advanced 10 clients into due diligence.

• We are confident that 3 clients will receive funding, while the status of the remaining 7 clients is uncertain.

• A comment on timing-As we have a collaborative process and revise messaging as we learn from the audience patience on our part and the clients’ part is very important

• Some clients get investor calls in the first month and some do not until month 3 or even 5–predicting investor behavior is frankly impossible

• For companies with no interest, we will focus on messaging and explore referrals to Chris Piedmonte to see if he can help with improving the messaging and/or finding appropriate investors.

BUSINESS MODEL TRANSITION:

• The upcoming changes in our business model will not affect existing clients.
• 8 existing clients have voluntarily awarded NextRound an option to buy 1% at a strike price 125% above post-money valuation.

HIRING AND NEW PRICING:

• NextRound is expanding and will be hiring additional client service resources.
• The new pricing model will be as follows:
  • $499 USD/month 3 months MINIMUM. At the 90-day mark clients can extend on a month-to-month basis at $499/month for up to an additional 3 months
  • An option to buy 1% at a strike price of 125% of post-money valuation.
  • At the 6-month mark, both parties can mutually agree to continue working at zero cost to pursue the 1%.
  • If funding is not secured, the 1% option fee will be returned.

ADDITIONAL RESOURCES:

We will be providing additional resources for the following:

• Improved outreach and follow-up to our network and investor database.

• Deck and messaging services to clients via Neoterra Capital and Neoterra Ventures.

NEW CLIENT SCHEDULING:

We will be accepting a maximum of 50 clients on September 1 and March 1, with no other enrollment periods.

REVISED PROCEDURES:

• When we reach out via LinkedIn or email, we will provide a brief 1-minute video and request submission of the client’s deck.
• All decks will be thoroughly reviewed by Mike, the Advisory Board, and Neoterra Capital.
• Prospective clients deemed a good fit will receive our agreement and a schedule link to book a call with Mike.
• Prospective clients who are not fit will receive detailed feedback via email.

ENDORSEMENTS AND TESTIMONIALS:

• We have received 3 endorsements/testimonials, which will be posted on our website.
• Closed deals and tombstones will be posted shortly.

At NextRound, we remain dedicated to providing competitively priced services while delivering results to our valued clients and investors.

Best regards,

Michael Porteous 

CEO, NextRound