The Happy Home Company, May 5th, 2015

This is the seed financing deck for The Happy Home Company.

Transcript

1. Update Deck – April 2015 Private and Confidential - Doug@TheHappyHome.Co C O M P A N Y THE HAPPY H O ME
2. The Happy Home Company Page 2 Company Overview Our Vision We’re your personal home manager, helping you reduce the hassle of running your home. Revenue •  $1M+ annual run rate. •  $90,176 April 2015 expected revenue. •  80% 2015 average MoM growth rate. Our Team Founded by CEO Doug Ludlow (CEO of Hipster, acq. AOL), built by world-class engineers ( PayPal, Amazon, Stanford, UC Berkeley), an operated by a killer ops team. The Opportunity We are tackling a $1 trillion dollar industry (the US home services market) by providing a simple, scalable solution that will be loved by 102 million US households.
3. The Happy Home Company Page 3 Your Personal Home Manager
4. The Happy Home Company Page 4 Overview – Revenue Growth April 2015 Expected Revenue $90,176 12-Month Run Rate $1M+ Average 2015 MoM Growth 80% per month $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 $80,000 $90,000 $100,000
5. The Happy Home Company Page 5 Overview – Customer Satisfaction 4.5   5   5.5   6   6.5   7   7.5   8   8.5   December January February March April How likely are you to recommend The Happy Home Company to a friend? (scale of 0 – 10) The Happy Home Company has been instrumental in helping me accomplish more around the house, and has made me feel more confident that my home is safe. I'm looking forward to more projects with them in the future. Ryan Gerard, San Francisco, CA The Happy Home Company has been a fantastic experience for us, both with unexpected events (like an unfortunate plumbing emergency) and with bigger projects (like getting an HVAC installed). Nora Grasham, Sunnyvale, CA
6. The Happy Home Company Page 6 Overview – Average Sale $546 Our Home Managers work with a wide variety of trusted, screened service providers to find solutions to our member’s home needs. ($546 is based on October – March sales)
7. The Happy Home Company Page 7 The Homeowner’s Problem Managing your home can expensive, frustrating, and time consuming. Does the following experience sound familiar?
8. The Happy Home Company Page 8 How Problems Are “Solved” Today Hours of effort… Inconsistent Results Diagnose First, you notice you have a problem with your home, and are on your own to diagnose the issue. 30 minutes Search Search online for services providers, muddling through paid search results, aggregator/rating sites, and service provider websites. 30 minutes Screen Narrow down list of possible providers based off somewhat arbitrary criteria (e.g. unfamiliar rating systems). 20 minutes Call Call several to get bids and schedule. 30 minutes Wait Wait for provider during cable-company style window of time, with no penalty for arriving late. 3 hours Fight No/minimal recourse for no-show, late arrival, over- budget job, or poor service. - Finished? Problem solved??? Maybe start over…
9. The Happy Home Company Page 9 The Happy Home Solution Expert home help, at the push of a button. Network of trusted, vetted service providers. Personal Home Manager, on call 24/7. C O M P A N Y THE HAPPY H O ME Powerful technology platform, web and mobile.
10. The Happy Home Company Page 10 Our Product Today Our Web App www.TheHappyHome.co iPhone Application https://itunes.apple.com/us/app/happy-home-co/ id944456283?mt=8
11. The Happy Home Company Page 11 Product – The Next Steps “Happy Now” Lightweight, SMS-based communication with Home Manager. “Tidy Up” Group buying & neighborhood rates on home services.
12. The Happy Home Company Page 12 Market Size The home service industry is an enormous, yet highly fragmented market. $1 Trillion Annual US expenditure on home services $4 Trillion Annual worldwide expenditure on home services & No one company has a significant share of this market, or even dominance within one of its sub- categories: ü  Plumbing ü  Home Maintenance ü  Home Cleaning ü  Landscaping ü  Handyman Services ü  And many more…
13. The Happy Home Company Page 13 Business Model The Happy Home Company Platform is engineered to serve customers with varied preferences and ability / willingness to pay. HHC Service Revenue Advice and Diagnosis of Issue FREE Scheduling and Billing 5%-10% of job, paid by service provider In-person Home Management Service 5% - 20% of job, paid by member High Member LTV ü  Annually, the average US homeowner spends $2,000+ on home maintenance / home improvement projects. ü  The largest member job to date is $28,000.
14. The Happy Home Company Page 14 Competition The Happy Home Company saves members both time and money, and is affordable for virtually all homeowners. C O M P A N Y THE HAPPY H O ME Traditional Home Manager $50,000 - $300,000 Affordable to All Only available to the elite Affordability Ease of Use Customer manages the solution to their problem Problem is solved for customer
15. The Happy Home Company Page 15 Company Founder An experienced entrepreneur, who lives the problem The Happy Home Company is trying to solve. Doug Ludlow, CEO Founder, Hipster (acq. AOL), Innovation Partner at AOL Ventures, UCLA Doug's Story Buying your first home is a little like bringing your first child home from the hospital – sure, you’re excited, but you’re also pretty nervous! This is how I felt after my wife and I bought our first home in 2010. I’ve never really been a “handy” person, and yet all of a sudden I was in charge of maintaining and repairing a brand new home – I was totally out of my league. For instance, I knew I needed to regularly flush my water heater and change my HVAC filter, but I had no idea how to do it. I was new to the area, so I had no idea who to call when I needed our carpets cleaned or an appliance repaired. I wanted to be a responsible homeowner – I just wished I had someone to guide me through the process.
16. The Happy Home Company Page 16 Founding Team The Happy Home Company is a diverse and experienced team of entrepreneurs, engineers, and home management professionals. PRODUCT AND TECHNOLOGY TEAM •  Nick Peddy (VP Engineering) - Amazon, PayPal, UC Berkeley •  Ginger Cullen (Sr. Software Eng.) – PayPal, CalTech, Stanford •  Mikael Peterson (Software Eng.) – eBay, Newegg, CalPoly •  Bradly Schlenker (Software Eng.) – University of Washington •  Anthony Walker (Design) - Tokyo National University of Fine Arts •  Drew Ludlow (Chief of Staff) – Advance Romney Presidential Campaign, BYU •  Andrea Campopiano (Member Support) – University of San Francisco HOME MANAGEMENT TEAM •  Carlo Isip – Contractor sales and services •  Shane Cota – High-end concierge background •  Matt Brading – Santa Clara University •  Matt Lu– Property Management, UC, Berkeley •  Zach Pardue – On-staff handyman
17. The Happy Home Company Page 17 Investors The Happy Home Company is supported by a world-class group of active investors. •  Josh Felser– FreeStyle Capital •  Chris Sacca and Matt Mazzeo – Lowercase Capital. •  David Tisch– Box Group •  Brian Pokorny– SV Angel •  Dave Morin and Kevin Colleran, Slow Ventures •  Robert Stephens – Founder, Geek Squad •  Aaron Levie – CEO, Box •  Matt Coffin – Founder, LowerMyBills •  Salman Zahar– Professor and EIR, Duke University •  Johann Moonesinghe– CEO, EquityEats
18. The Happy Home Company Page 18 Company Financing How Much We Are Raising We are raising an additional seed capital - $2,000,000 has been raised to date. Round Terms The round is being done through a convertible note, with a cap that has yet to be determined. Interest rate and discount will be industry standard.
19. The Appendix
20. The Happy Home Company Page 20 April 7th, 2015: The Happy Home Company, a home repair start-up, specifically recruits parents. Some of the most qualified, talented and passionate people in the valley are often overlooked by start-ups for not being a ‘cultural fit,’ which is often code for ‘too old, too much of a parent, too female, too different,’ ” said Doug Ludlow, its co-founder. A Culture That Reflects Our Values The Happy Home Company has been recognized for our efforts to build an inclusive, diverse, family-friendly culture. Families are invited to all Happy Home Company events, and our kids are often put to work for the company!