fndrvestr

We assist entrepreneurs throughout the startup lifecycle.

Waxdale is an Ecosystem as a Service organization that provides services, tools, and resources throughout the startup lifecycle to participants of global entrepreneurial ecosystems.

 August 01, 2021 1:55 min

BUSINESS PLAN: WAXDALE ECOSYSTEM INC.

BUSINESS STRUCTURE

BUSINESS DESCRIPTION

Waxdale Ecosystem is an Ecosystem as a Service organization that provides services, tools, and resources throughout the startup lifecycle to participants of global entrepreneurial ecosystems.

VISION

Waxdale's vision is to be the most effective Ecosystem as a Service organization in the world.

MISSION(S)

  1. Reduce the costs and risks associated with launching, operating, and scaling a great company globally by researching and developing effective services, tools, and resources.
  2. Assist entrepreneurs in pursuing their dreams of launching, operating, and scaling businesses globally by providing them with a sustainable innovative environment.

BUSINESS VALUES

  1. Leadership: Stand out from the crowd.
  2. Creativity: Look at the world through different lenses.
  3. Innovation: Change things with a sense of purpose.

PROBLEM

Launching, operating, and scaling a company is still very costly and risky. Most entrepreneurship service centers around the globe aren't effective and the environments  they provide are not conducive to success because they work in silos and not within a true ecosystem. This results in a lack of leadership, creativity, and innovation from most startup ecosystems around the globe.

WHY IS THIS PROBLEM IMPORTANT TO SOLVE?

Because most people around the globe cannot afford to lose money on a startup, they cannot afford to take risks, they cannot afford to waste their time on ineffective services. They don't have a choice but to be successful, they don't want to be shipped to innumerable silos because they don't know what they need and silos make it worst. Because people are in need of an ecosystem that provides leadership, creativity, and innovation.

USE CASE/SCENARIO

Brandon is from Nigeria, he has a young family and a small budget to start his own company. Entrepreneurship service centers in his home town of Lagos haven't been able to help him launch his startup.  His startup budget is running low and he has yet to achieve anything. He has gone through multiple entrepreneurship service centers all of which provide different services. None of those entrepreneurship service centers have taken the lead, showed creativity, and innovation in their service offerings to Brandon.

IDEA/SOLUTION

Provide Brandon with an effective Ecosystem as a Service that provides him with the right services, the right tools, and the right resources so he can reduce the costs and risks associated with starting his own company. This Ecosystem as a Service will ensure Brandon's success over time. The lack of silos enables Brandon to find everything he needs within one startup ecosystem, an Ecosystem as a Service that shows leadership, creativity, and innovation.

SERVICES OFFERED TO STARTUPS TO DATE

  • Service-based accelerator (membership)
    • 7-day free trial 
    • Free websites, landing page, and SEO
    • Online HQ for the business
    • Access to a team to assist 24/7/365
    • Business engineering assistance
  • Software
    • Waxdale Ecosystem as a Service platform
    • Meet360 Communications platform
    • Launcher program software tools and guidance from a business advisor

SERVICES TO BE OFFERED WITHIN THE NEXT QUARTER

  • Good Founder App (connect all founders on planet earth and create a serendipity network)

SERVICES TO BE PURSUED IN 12 PLUS MONTHS

  • Business management software
  • Coworking Space platform
  • Legal Services platform
  • Recruitment and hiring platform
  • Supply chain platform
  • Creative and design software
  • Financing services
  • SME training services
  • Flagship Accelerator programs
    • For Women Founders
    • For Black Founders
  • Venture Capital Fund (Pre-seed and Seed)

BUSINESS MODEL: MARKET SIDE

Customer Segments

Our current customer segments are:

  1. Young aspiring entrepreneurs
    1. Between the ages of 20 to 40 years old
    2. With strong love/belonging needs
    3. With strong self esteem needs
    4. With strong self actualization needs

Value Proposition 

Our main value propositions are:

  1. Ability to launch a startup effectively and efficiently (launching)
  2. Opportunity to receive guidance and assistance from a team available 24/7/365 (operating)
  3. Access to growth solutions for startups (scaling)

Customer Relationship

We are going to retain our customers by providing them with:

  1. Online headquarters
  2. Customer calls
  3. Strategy and analysis sessions
  4. Content

Revenue Streams

Our primary revenue streams are:

  1. $69.99 CAD average monthly subscription revenues
  2. $1200 CAD average monthly service revenues

Channels

Our main marketing and sales channels are:

  1. Email Marketing
  2. Social Media
  3. Content Sites
  4. Selling through intermediaries (Ecosystem Leaders)

BUSINESS MODEL: OPERATIONS SIDE

Cost Structure

Our costs are driven by intangible capital expenses and fixed operating expenses. 

Key Resources

Our most important resources are intangible assets, human capital, and financial resources. 

Key Activities

We understand that the entire value chain is important, the following activities are the most important in operating our business. 

  1. Primary activities - Operations intensive (operational systems)
  2. Primary activities - Marketing and sales intensive (show product/service benefits)
  3. Primary activities - Customer service intensive (maintaining product/service value)
  4. Support activities - Technological development intensive (minimizing costs, staying current with advances, maintaining technical excellence)

Key Partners

Our most important partners are: 

  1. Entrepreneurs
  2. Ecosystem Leaders
  3. Advisors
  4. Third-party service providers
  5. Advertisers, sponsors, ambassadors, board members

MICROENVIRONMENT

INTERNAL BUSINESS ENVIRONMENT

We are a team of two founders. Jean Agenor is the Founder and Chief Executive Officer and Mohsin Pathan is the co-founder and Chief Technology Officer. To supplement the founders we have a team of 3 operators as well as a 1 designer and 4 developers. 

MARKET SIZING

Total Addressable Market (TAM)

We use the bottom-up approach to calculate our TAM. There are 300 million aspiring entrepreneurs every year: 300 million * $69.99 (subscription revenues) * 12 months = 252 b per year; 100 million * $1200 (service revenues) * 12 months = 1.4 t; Total TAM = 252 b + 1.4 t = Our TAM is 1.7 t per year.

Served Available Market (SAM)

We are targeting young aspiring entrepreneurs between the ages of 20 to 40 years old, with strong love and belonging needs, with strong self esteem needs, and with strong self actualization needs. 40% of the world’s population is between the ages of 20 to 40 years old: SAM = 1.7 t * 40% = Our SAM is 680 b per year.

Serviceable Obtainable Market (SOM or current TAM)

Our active markets are India, Africa, and North America. India population is equivalent to 18% of the world population, Africa population is equivalent to 18% of the world population, and North America population is equivalent to 5% of the world population: SOM (India) = 680 b * 18% = 122 b; SOM (Africa) = 680 b * 18% = 122 b; SOM (North America) = 680 b * 5% = 34 b; Total SOM or current TAM = Our SOM or current TAM is 278 b per year.

COMPETITIVE ANALYSIS

Industry Incumbents

  1. Y Combinator
  2. Techstars
  3. 500 Startups

Market Verticals they're in

  1. Early stage venture capital 
  2. Accelerator programs
  3. Network

Competitive Advantage

Y Combinator, Techstars, and 500 Startups are basically early stage venture capital firms. They are not true Ecosystem as a Service organizations, they do provide a major component of the Ecosystem as a Service model, funding, but many well funded startups still fail. From a competitive standpoint Waxdale is more similar to large consulting firms such as Accenture, Infosys, or Capgemini. Waxdale also has similarities to Vista Equity Partners which is an enormous Private Equity firm. Vista created One Vista for its portfolio companies which is essentially an Ecosystem as a Service. Waxdale serves early stage companies whereas those four enormous firms serve fortune 500 clients. We have a service component provided by hands-on advisors as well as software and platforms designed and engineered specifically for entrepreneurial success.

Not being an early stage venture capital firm means that Waxdale has a balance sheet that does not depends on management fees and carried interests. The company does not have to wait for an exit or raise funds. Subscription and service revenues are generated as entrepreneurs launch, operate, and scale their businesses. This business model is a major competitive advantage since Waxdale can be more innovative in its approach to business.

Y Combinator, Techstars, and 500 Startups could be considered Ecosystem as a Service organizations, but only because they have the ability to write the first checks and hold demo days for more access to capital. But those companies, do not accept every aspiring entrepreneurs thus not every aspiring entrepreneurs can benefit from their services. This means that Waxdale has a larger pool of customers who can benefit from a diversified list of services provided by a true Ecosystem as a Service.

MACROENVIRONMENT

Demographic Developments (Global Entrepreneurship Monitor 2020/2021 Global Report)

Inclusiveness in entrepreneurship is critical to any economy, because, if one group in society is not starting businesses on a par with other groups, this will limit job creation, innovation, income generation, the availability of new products and services, and all of the other benefits that new businesses bring to the economy and society.

The relationship between age and entrepreneurial activity is ambiguous, just as the relationship between income and entrepreneurial activity since income and age are often closely related. Younger people may have more energy and drive, have longer to reap the benefits of starting a business, are more familiar with technology and trends, and, perhaps most importantly, have not yet learned what they can’t do! Older people are likely to have more skills and knowledge, including awareness of markets, and better access to the information, networks and other resources needed to launch a successful business. On the other hand, older people may have more responsibilities, including mortgages and dependent family members, and have more to lose in giving up a well-paid job. So there is a balance of influences affecting the age–entrepreneurial activity relationship. Add in national culture and demographics, and it is not surprising that the relationship between age group and entrepreneurial activity is variable.

The relationship between educational attainment and the propensity to start a new business is complex, not least because of the positive association between education and lifetime income, and any link between education and the ability to spot opportunities. So, as anticipated, the relationship between holding a post-secondary degree and the propensity to start a new business is not straightforward. Those with adegree are more likely to be starting a new business. Certainly, increasing the supply of graduates could be an important step towards higher levels of early-stage entrepreneurial activity. In addition, if high proportions of graduates start businesses, the inclusion of entrepreneurship courses and activities on campus may improve their business prospects.

Cultural Developments (Global Entrepreneurship Monitor 2020/2021 Global Report)

Why people start businesses:

  1. To make a difference in the world
  2. To build great wealth or very high income
  3. To continue a family tradition
  4. To earn a living because jobs are scarce

Technological Developments (affecting advisory businesses)

  1. Online networks (on-demand assistance)
  2. Value-adding process model (software and technology based tools for data analytics and data-driven decision-making)
  3. Asset-based consulting (in asset-based consulting (self-service digital tools), technology is used to add value and competitive advantage for customers by shortening project lead times and providing more functionality with lower costs)

MARKETING

Idea/Product Awareness

The purpose of marketing is to increase customer and investor awareness to enable a company to make consistent good business decisions.  Customers are aware of the problem that we're solving and they view our solution as a good alternative to solve it.  We have a lot of work to do to improve brand and benefit recognition so we can achieve product preference, insistence, and loyalty. 

Go-to-Market Strategies

Marketing message:

  • We will help you launch and operate your startup. Become a member.

Service-based Accelerator:

  • A service-based accelerator is an accelerator program where we do not take equity in a startup. In a service-based accelerator we give startups access to all the services they require to go through the 3 most important stages of their lifecycle: Launch, operate, scale.

Need-based Services

  1. Waxdale ONE Impact Accelerator: Every week, we guide startups through the right steps to improve their chances of success. Their business advisor enters the data into the right software tool during the weekly meeting. At the end of every week, the data is provided to the startup via reports.
  2. FndrVestr: FndrVestr is a PR service from Waxdale that assist entrepreneurs in increasing customer and investor awareness through PR. This enables startups to make consistent good business decisions.

Marketing Strategies/Channels

Strategies:

  1. Online Magazines
  2. Blog Posts
  3. Podcast
  4. Founders List

Channel:

  • Social Media

Marketing Concepts

  • Online Magazines
    • Waxdelle (Interviews with women founders from around the world)
    • A World of Returns (Providing exposure to startup Ecosystem Leaders from around the world)
  • Podcast
    • Waxdale Pod (Interviews with startup founders from around the world)
  • Blog Posts
    • Linkedin (Entrepreneurship related blog posts)
  • Founders List
    • 1 Billion Black Founders (List of 1 billion black founders to assist them with exposure)

Marketing Tactics

  • Use of Linkedin to find the founders and to share the content through different networks.

SALES

Capacity

Sales Objective: Add 100 Ecosystem Leaders (partners) on each of our 3 most important markets (North America, India, Africa).

Timeline: Remaining of Q3 (August-September) and Q4.

Impact: Ecosystem Leaders are also paying members, they use our proprietary software tools to assist the entrepreneurs and are trained using our 60Pivots platform designed and engineered specifically for them. Ecosystem Leaders will increase our top line and strongly impact our bottom line. The higher the membership they choose to pay, the higher their monthly recurring commission gets (between 40% to 55% per month). Ecosystem Leaders build their business on top of our infrastructure. 

Sales Strategy: Build your business on top of our infrastructure and access 60Pivots software to get trained and supporting software to provide the services. 

Prospecting Strategy: Linkedin. 

 

Cash

Sales Objective: Surpass $20,000 in monthly recurring revenues on each of our 3 most important markets (North America, India, Africa) and 20% month over month growth rate.

Timeline: Remaining of Q3 (August-September) and Q4.

Impact: This extra cash will enable us to invest in marketing and recruit more Ecosystem Leaders. Our investment in marketing will help us increase customer awareness and more Ecosystem Leaders will enable us to attain our 20% month over month growth rate objective. 

Sales Strategy: Pitch your startup idea to us through our pitch studio and learn about our services. 

Prospecting Strategy: Email list, CoFounders Lab, and Linkedin. 

 

Opportunities

Sales Objective: Close potential long-term deal with the United Nations Association in Canada to assist aspiring entrepreneurs within their Building Young Entrepreneurs program. 

Timeline: Remaining of Q3 (August-September).

Impact: This would be our first B2B deal and offers great leverage opportunity to obtain other similar deals. 

Sales Strategy: Provide free mentorship to their aspiring entrepreneurs so they can learn about the quality of our services. 

Prospecting Strategy: Already in contact.

 

Opportunities

Sales Objective: Enter the european market.

Timeline: Remaining of Q3 (August-September) and Q4.

Impact: The european market would have a major impact on our cash flows since it is a less price sensitive market than India and Africa.  

Sales Strategy: Pitch your startup idea to us through our pitch studio and learn about our services.  

Prospecting Strategy: Email list, CoFounders Lab, and Linkedin. 

 

Relationships 

Sales Objective: Add influential partners to our network (influential entrepreneurs, mentors, investors, university partners, corporate partners, and service providers).

Timeline: Remaining of Q3 (August-September) and Q4.

Impact: This will enable us to add value to our network, value that will be translated to more sales opportunities. 

Sales Strategy: A World of Returns Online Magazine (free articles on your accomplishments to provide you with more exposure).

Prospecting Strategy: Linkedin.

 

FINANCIAL INFORMATION SUCH AS OUR CAP TABLE, FINANCIAL MODEL, AND FINANCIAL STATEMENTS WILL BE PROVIDED UPON REQUEST

 


Meet the Founders

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Jean Agenor, Founder & CEO

The name Waxdale literally means Silicon Valley, Wax is synonym for Silicone and Dale is synonym for Valley. A few years ago I became very interested in Silicon Valley and why this small region in this enormous state of California was creating so much value for the United States and the world. I wanted to see if I could box Silicon Valley's secret sauce into a business that I could take all over the world to shore up global startup ecosystems. I wanted to get rid of some of Silicon Valley's biases and I created the concept of an Ecosystem as as Service that could provide services, tools, and resources to entrepreneurs throughout the startup lifecycle. I'm a systems thinker and I believed then and now that a great business is engineered. A great business system cannot be too complex, it needs the right components and they must work together. A great business system needs to operate dynamically and has to be robust to ensure resiliency. A robust business system is more predictable and therefore, less complex, than one which is not as robust. A great business system has the right ratio of sentients element to non sentient elements. This systems thinker talk is great, but to be successful in business you must be in business. Therefore, a great entrepreneur is consistent and committed to never give up because success is inevitable.

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Mohsin Pathan, Co-Founder & CTO

I joined Jean in this amazing journey because I believed in his vision. We registered Waxdale in Canada first and soon after registered a subsidiary in India. I manage the tech team from India and I'm responsible for the design and development of all the tools we give the entrepreneurs we assist access to. The Waxdale Ecosystem as a Service platform provides a lot of great features to help aspiring entrepreneurs learn about the industry, our Meet360 platform made it easy for us to manage Waxdale on two continents while giving entrepreneurs access to their own private groups that we call Online HQs. We easily guide the entrepreneurs we assist by using software tools that were designed and develop specifically for their journey as entrepreneurs.


Contact the founders