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Change Heroes: Seed Deck

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Page 1: Change Heroes: Seed Deck

SERIES C

SEED

Page 2: Change Heroes: Seed Deck

"Change Heroes is the biggest opportunity in fundraising I have seen in years. Change Heroes is not simply shifting donors from one channel to another like current enterprise models. It is opening up a new channel of revenue along with viral high-quality donor acquisition. This is far different, and well beyond, crowdfunding. This is a new category of fundraising all together."

Vinay BhagatFounder and CEO of Convio.

Convio (fundraising software) was acquired

by Blackbaud in 2012 for $325M

Page 3: Change Heroes: Seed Deck

Change Heroes has created a new way of fundraising that allows nonpro�ts to raise 1000% more money from millennials, increase their average donation by 500%, and acquire more high-quality donors than ever before

IMPACT

It’s what the Ice Bucket Challenge did for ALS, scaled to 1.5M organizations.

Page 4: Change Heroes: Seed Deck

1 START MOBILIZE WIN2 3

PRODUCT

We are the only platform on earth to scale the one thing that matters most in fundraising, face to face asks

Here’s how it works:

Nonpro�ts inspire their existing donors to launch campaigns through our white label product

Campaign runners use personal videos to ask their immediate friends to join their campaign (proprietary software)

Projects are funded, kids get new schools, villages get clean water, girls and women are empowered

Page 5: Change Heroes: Seed Deck

Here’s an example of how a millennial named Eltonused Change Heroes to fund 2 schools for 2,000 kids in his home country of India

1 START MOBILIZE WIN2 3

PRODUCT

Elton made a list of his friends and made each of them a 15 second long video inviting them to build a school with him

66 people gave, raising $20,000 in 48 hours, funding 2 new schoolhouses in India

Elton and his friends received pictures of the project inspiring them to become ongoing supporters

Page 6: Change Heroes: Seed Deck

Each victory inspires many more campaigns,expanding it’s impact

VICTORIES

*Over 100 schoolhouses were funded with over $1,000,000 raised during our pilot campaign

$62,000 raised 250 high quality donors $254 average donation 6,200 children impacted

Rajsamand district India

68Donors

Jeremy and 33 friends fund a schoolhouse in Kenya

Massai Mara regionKenya

32Donors

DomeabraGhana

29Donors

Joel and friends fund schools in Kenya and Ecuador

Massai Mara, KenyaNapo Province, Ecuador

72Donors

VICTORY - $24,000 raised

Sisters fund schoolhouse in Ghana

Elton funds 2 schoolhouses for 2,000 children

VICTORY - $10,000 raised

VICTORY - $20,000 raised

VICTORY - $8,000 raised

Page 7: Change Heroes: Seed Deck

Campaigns fund a wide range of projects, impacting people around the globe

VICTORIES

VICTORY

Ruby and Flynn

4 and 9-year-olds raise $11,000 to build schoolhouse in Ecuador

Je�rey Wright raises $17,000 for emergency medical kits in Sierra Leone

University student funds library in Vietnam

Jordan raises $3200 to volunteer in India

3 friends raise $15,000 in 3 days for survivors of sex tra�cking

First Spanish campaign launches in Chile, raises $25,000 in 7 days

Client: Client: Client:

Client: Client: Client:

VICTORY

Ruby and Flynn

VICTORY

VICTORYVICTORY

Ruby and Flynn

VICTORY

Ruby and Flynn

EBOLA SURVIVAL FUND

Page 8: Change Heroes: Seed Deck

175 projects have been fully funded in 13 countries by donors in 40+ countries that will impact 175,000+ people

VICTORIES

Page 9: Change Heroes: Seed Deck

MEDIA

Change Heroes has been featured at the world’s largest social good events, presented live to 100,000+ people, and featured in online and o�ine media around the globe

South America’s largest social good event

20,000+ people

We Days across the country

60,000+ people

Harvard’s largest annual conference

United Nations in NY

Hundreds of delegates from 50+ countries

LECTURES:

MEDIA:

EVENTS:

Thousands of viewers in attendance and streaming around the world

HARVARD

Page 10: Change Heroes: Seed Deck

CORPORATE CAMPAIGNS

Because of this brand recognition and millennial expertise, Change Heroes is increasingly used as a millennial employee engagement tool by fortune 5000 companies

1 2 3Employees launch campaigns individually or as teams, using our personal video platform

Results are tracked and shared in real-time for 30 days, promoting friendly competition and camaraderie

They celebrate their collaborative achievement and the corporation uses results as cause marketing

A FEW OF OUR CURRENT CLIENTS

HOW IT WORKS

1 2 3

Page 11: Change Heroes: Seed Deck

VIRAL LOOP

Our community of fundraisers and donors creates a virtuous cycle of growth

A nonpro�t’s untapped donors start campaigns

(latent value)

Their friends give to campaigns

(becoming high quality donors)

Donors start their own campaigns

More money is raised and more donors are

acquired

Page 12: Change Heroes: Seed Deck

COMPETITIVE ADVANTAGE

We do not compete with or replace enterprise platforms (they compete against one another for CRM and static donation forms). And Crowdfunding sites are built for one-o� campaigns that are not scalable.THIS PUTS US IN A CATEGORY OF OUR OWN: THE ONLY PLATFORM TO TAP INTO LATENT DONOR GROUPS AND ALLOW NONPROFITS TO TAP INTO THE MILLENNIAL MARKET THAT HAS THUS FAR ELUDED THEM.

BUILT FOR ENTERPRISE

BUILT FOR INDIVIDUALS

HIGH ENGAGEMENT LOW ENGAGEMENT

PROPRIETARY IP� Personal video recording software � Real-time video view tracking � Campaign runner CRM � Intelligent email follow-up system

OUR RESULTS� $254 average donations - 500% higher � $5000 average raise - 1000% higher � 90% of donors give full amount requested ($299.70)

MORE UNIQUE OFFERINGS� Highest quality donor acquisition � Unparalleled viral loop� Team and leader boards � High conversion animated videos

Page 13: Change Heroes: Seed Deck

REVENUE

Because we are tapping into existing (untapped) distribution channels and facilitate nonpro�ts becoming sustainable based on small gifts, we have large opportunities for revenue

Our revenue comes from 3 diverse sources:

$10,000+ upfront charge, 5-10% of donations, SaaS revenue

$10,000+ upfront charge, 5-10% of donations, SaaS revenue

For non-pro�ts and companies

1

2

3

NONPROFITS

COMPANIES

CUSTOMIZATION FEES

Page 14: Change Heroes: Seed Deck

$300B Total donations in US*

Total fundraising expenses

Expense of fundraising from individual donors

More than 30% of donations spent on fundraising*

Removes costs of fundraising from corporations and foundations as well as from churches and universities*

TOTAL ADDRESSABLE MARKET

$90B

$30B

UNITED STATES

Nonpro�ts raise $300 billion each year in the US —and their biggest expense is fundraising

REVENUE NONPROFITS

*GivingUSA, 2013

Total addressable market

Page 15: Change Heroes: Seed Deck

It takes nonprofits 36 months* to recoup their acquisition cost of

new direct mail donors, and re-engagement is expensive.

The largest fundraising expense is direct mail, which is decreasingly e�ective. The most a�ordable and fastest growing channel is online

DIRECT MAIL

36 MONTHS

REVENUE NONPROFITS

DONOR ACQUISITION ROI

UNTIL ROI POSITIVE

Online acquisition is more targeted, scalable & a ordable than direct

mail, and it takes an avg. of 12-18 months** to recoup investment.

ONLINE

12 MONTHSUNTIL ROI POSITIVE

*Revolution in the Mailbox, Mal Warwick / **Target Analytics and Quarterly Client Roundtables

Page 16: Change Heroes: Seed Deck

1 2 3John gives to his friend Michelle’s campaign to fund a water project in Nepal

The implementing nonpro�t gives John and Michelle feedback on their water project

John feels both emotionally and �nancially attached the organization and becomes an ongoing supporter

3

GIVES TO A FRIEND’S CAMPAIGN

RECEIVES FEEDBACK ON THE PROJECT THEY FUNDED

SUPPORTS ORGANIZATION

WHAT MAKES CHANGE HEROES DONORS HIGHER QUALITY

Donors are better educated and connected to the cause due to the personal intro

Higher average donation of $254 vs $60

More personal data coming from Facebook (age, geo location, demographics, and interests)

3% of donors also launch their campaigns which is an average of $5000+.

Our video based peer to peer product helps nonpro�ts acquire high quality donors at scale

REVENUE NONPROFITS

Page 17: Change Heroes: Seed Deck

We generate $10,000 in upfront revenue per nonpro�t client, 10% per transaction, and generated $150,000+ from our �rst nonpro�t

REVENUE NONPROFITS

SAMPLE CLIENTS

*Currently we have over 150 of the world’s top nonprofits in our pipeline and are being onboarded as we peak.

Page 18: Change Heroes: Seed Deck

REVENUE

The old United Way model of taking money o� an employee’s paycheck does not appeal to millennials

CORPORATE

Change Heroes enables companies to attract and engage employees while positioning the company as a leader in philanthropy.

A SAMPLE OF THE COMPANIES USING OUR EMPLOYEE ENGAGEMENT PRODUCT IN 2015

43,000 employees10,000 employees40,000 employees 60,000 employees

World’s largest accounting firm

Steakhouse and bar restaurants Leading investment bank Canada’s 2nd largest telecom company

Page 19: Change Heroes: Seed Deck

REVENUE

Companies spent $1.3B on cause marketing in the US in 2012 and are increasingly allocating marketing dollars to position themselves as socially conscious businesses

CORPORATE

Nonprofits want us to partner with their corporate partners because we leverage their (untapped) employees, catalyze more donations, and acquire new donors. This is “found money” for the nonprofit as we are not replacing the annual contribution a company makes.

A SAMPLE OF COMPANIES IN OUR PIPELINE

Page 20: Change Heroes: Seed Deck

$25m

$50m

$75m

$100m

$125m

$150m

2015 2016 2017 2018 2019 2020

REVENUE

By scaling our sales team, growing our user base, and diversifying revenue, we’ll generate $100M+ by 2020

CHARITYCAMPAIGNS

CORPORATE CAMPAIGNS

CUSTOMDEVELOPMENT

Page 21: Change Heroes: Seed Deck

Taylor ConroyFounder & CEO

Mike TanCo-founder & COO

Ryan CampbellCTO

We are led and advised by a team of thoughts leaders and experts that have done it before.

TEAM

Vinay BhagatFounder of Convio

Jim FletcherStrategic Advisor at OMERS Ventures

Deborah BentonPartner at Breakwater Private EquityFormer President and COO of NastyGal.com

Joel SolomonPresident of Renewal Ventures

Matthew BrimerFounder of General Assembly

Kenny HawkFounder and Growth CEO

Praveen VarshneyPartner at Varshney Capital

Social entrepreneur and thoughts leader in millennial giving.Lecturer: Harvard, Princeton, Cornell, NYU, UN.

Founded SaaS company with 100,000 paying clients.

FedEx, Starbucks, Blackberry.

Acquired by Blackbaud for $325M.

Ed-tech company valued at $225M

Canada’s largest venture fundGrew NastyGal.com to $400M valuation

Canada’s largest social venture fund

3 IPOs

Angel investor

Page 22: Change Heroes: Seed Deck

COMPANY

We’re building a new kind of company — one that aligns pro�ts & returns with social impact

PROFIT IMPACTCompanies and investors maximize profit, but have limited social impact

Nonprofits and donors maximize impact, but have

limited scale & no return

Change Heroes aligns profits & impact to scalably address some of the major challenges of our time while providing a market rate return to our investors

Page 23: Change Heroes: Seed Deck

BRIDGE

We raised a Seed round of $1mm from mission-aligned investors to accelerate our path toward this vision, and recently approved a $750,000 bridge round to accomplish the following

USE OF FUNDS IN 2015

Self-ServePlatform

CorporateCampaigns

Scaling sales

Global expansion

Opening up our platform to 1.5M nonpro�ts

Launching engagement campaigns with the world’s top brands and companies

We have 100+ nonpro�ts in our pipeline, we will hire 3 more reps to execute on this list

Expanding to Europe, Latin America, India, and China. We are the most successful fundraising platform on earth and can dramatically improve the lives of 1 billion people globally

Page 24: Change Heroes: Seed Deck

Our vision is to impact 1 billion people by building the world’s largest community of people who take action through giving