Due Diligence

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Transcript

They're going to engage in something called due diligence. Okay? This is the most crucial part of the investment process. This is when they investigate everything about your company inside and out. They want to know everything about your team, your product, your technology, your infrastructure, your organization, your documentation. Do you have contracts signed?

Is everything in the IP agreement sign that lawyers go over your, your documents? Do you have a cap table? Do you have stocks and options? You know, they want to see everything, okay? It's like a it's like an IRS audit almost. And some of the pieces of documents you might want to show them I have here for you.

One of them is your financial projections. This shows you how much money we spent on install more over the course of certain time and then it shows you how you start to earn a profit. You can see at the bottom here on the green, it starts to show you a monthly profit and at the end of month 37 we should be earning $21 million. That's called a projection. And if they see this, they'll say, oh, wow, if I give you money in 37 months, you should be able to make $21 million. This makes them want to invest in your company.

Okay. There's also something called a plan of action. I have two different ones. This one was an overall corporate plan of action that kind of explains what we're going to do next, if we raise the money is to do tons and tons and tons of optimization and tweaking and partnerships and building and and, you know, monetization techniques and incentives for our users. Just tons of stuff, right. And we also had something called the user acquisition.

The user acquisition plan, you know, this is a way to bring more users and how are we going to do it? How long will it take? How much will it cost? Where are we going to get the users? How are we going to keep them engaged? What kind of information do we need about our users?

These are all the things you have to do. And then of course, they're going to want to see everything else about your company. So be polite. paired to be investigated, okay, and if you pass the due diligence, which is huge if you can pass this and I have a 26 page document of a due diligence that was done by a huge investment company and it's very robust

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