Business Model & Economics
✅ Healthy Unit Economics: LTV:CAC = 16:1
Break-even in Month 6 with 187 customers
Pricing Strategy
| Tier | Target User | Price | Key Features | Usage Limits | Conversion Goal |
|---|---|---|---|---|---|
| Free | Hobbyists, trial users | $0/mo | Core features, limited exchanges | 5 exchanges/mo | 5% → Paid |
| Premium | Active users, small businesses | $4.99/mo | Unlimited exchanges, priority matching | Unlimited | 70% retention |
| Community | HOAs, community associations | $99/mo | Group features, dashboard, priority support | Unlimited | 90% retention |
3-Year Financial Projections
| Year | Revenue | Growth Rate | Customers | Churn Rate |
|---|---|---|---|---|
| 1 | $100,000 | - | 1,000 | 10% |
| 2 | $300,000 | 200% | 3,000 | 8% |
| 3 | $900,000 | 200% | 9,000 | 6% |
Customer Acquisition Cost (CAC) and Lifetime Value (LTV)
CAC: $69, LTV: $1,120, LTV:CAC Ratio: 16:1
Break-Even Analysis
Break-even in Month 6 with 187 customers
Funding Strategy
$300K pre-seed for 12-month runway: $180K for engineering, $60K for community team, $40K for marketing, $20K for legal and insurance
Unit Economics Summary
ARPU: $70, Gross Margin: 80%, LTV:CAC Ratio: 16:1, Payback Period: 1 month
Health Indicators
✅ LTV:CAC > 3:1, ✅ Payback < 12 months, ✅ Gross Margin > 70%, ✅ Churn < 7%, ✅ Break-even < 12 months