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Oak Financial Software Corp.
Chapulín
Chapulín
Consumer Brand for Hispanics, as
well as co-branded platform
Scalable & Secure Infrastructure in the cloud
Innovative patents in the money transfer
space
We are a non-exclusive, digital MSB agent of InterCambio
Express
We are a FinTech Provider of Mobile Transfers and International Prepaid Products
Chapulín
Old Way• Expensive• Inconvenient• Slow
Costs 8.0%* of sending amount*Average global cost of sending a remittance; Source: The World Bank: Remittance Prices
New Way• Low-cost• Convenient• Fast, easy
Costs 1.2% of sending amount
Chapulín
• $60B1 sent to LatAm through 150M transfers every year, generating $5B1 in fees
• 54M2 U.S. Hispanics, 17% of total US population. Expected to grow to 130M2 by 2060, 31% of total US population
• 72% Smartphone Penetration3
• About half of the U.S. Hispanic population is unbanked or under-banked
1 The World Bank: Remittance Prices Worldwide / 2 US Census 2013 / 3 Nielsen Digital Report 2014
Market Size
Chapulín
Oak’s strategy is to cost effectively DISRUPT the money transfer market to Latin America.
Sending money via Chapulin is more convenient and can save customers up to 85% vs. traditional providers.
The Chapulin Mobile Transfers App is the first to exclusively serve the needs of US Hispanics
Android: http://bit.ly/1cF5H0CiPhone: http://apple.co/1GdH8noWeb: www.michapulin.com
Customer Acquisition will be Enhanced by Co-brandingFirst contract is being negotiated with media company with
2 million Hispanic subscribers in the U.S. and 3 million in Mexico
Milestones to be accomplished:110,000+ customers at Customer Acquisition Cost of ~$20Earn $120 of revenue/$48 net per customer per year
and $240 net LTV per customer in 5 years
Summary
Chapulín
App Capabilities
Current In Progress
✓• Bill payment through OXXO,
Saldo.mx paying over 750 companies in Mexico
• Kayak-like marketplace of money transfer providers
• Send money more cheaply through the Ripple Protocol
• Enable beneficiaries to request money through Whatsapp, Facebook, other social media
Payout to cash, bank account, card
✓Pay with a debit card, credit card, prepaid card, bank account
Chapulín
Chapulín
1 The World Bank2 Mohr World Consulting /
19 Receiving countries: Latin America, Asia, Africa Including México, Philippines, China
11 Currencies
55,000 payout locations3 payout methods:
Cash, Account, Card
2,234,000,000 Reachable Customers
$168 billion1 sent to these countries every year, $13 billion1 spent in fees
“Xoom has more transactions now coming from phones than
desktops”2
# of Transfers1:
9%
ANNUAL GROWTH
Chapulín
of money transfers
Users select from a marketplace of providers
The
Chapulín
Indiana Celis, Sales & Marketing Director
30+ yrs. Selling and marketing to Hispanics. Former top salesperson for World Wide Vacation Home Sales
Jane Hennessy,Director & Chief Compliance Officer
25+ yrs. In payments and banking. Former EVP of International Banking at Wells Fargo. Ran their consumer remittances service
Charles Adams, CFO
35+ yrs. CFO experience in startups and Fortune 500 companies / Has raised $3B+ for financial institutions and $20M+ for startups
Jesus Izaguirre,Chairman & CEO
15+ yrs. Professor of Computer Science, University of Notre Dame / Has raised $7M+ in academic and startup funding
Justin Hintz, COO
5+ yrs. Mobile development & design. B.S. Computer Science from the University of Notre Dame 2013
Chapulín Team
Cesar Izaguirre, Director of Customer Service
Holds an MBA and has over 12 years of experience in Sales & Marketing and Customer Service in Mexico, Costa Rica, Spain and the US
Chapulín
Robert Clark, DirectorEntrepreneur in Residence, Elevate VenturesPreviously founded the Indiana Angel Network
José Fernandez, Director
Fred Gumbel, Advisor Isaac Torres, Advisor
Marco Montes Neri, AdvisorCEO, Saldo.mxExpertise in digital payments
Cardwell Beach, MarketingLead Creative & Social Media CampaignsBehind E-Trade baby
Payments ExpertExtended Career in Domestic and International Payment Systems
Founder and President of InterCambio ExpressExpert in money transfer services, marketing, sales and customer service.
President and Chief Investment Officer Omega Overseas Investments
Cardwell Beach
Faruck Morcos, Co-Founder, DirectorAssistant Professor, University of Texas-DallasExpertise in big data
Chapulín
Money Transmitter Operator (MTO)
BEST IN CLASS PROCESSES AND COMPLIANCECost-effective platform, not dependent on large amounts of financial services capital.
Chapulín
Remittances by Payout Options
Chapulín
How Companies Operate
Chapulín
✓ Digital
Referrals – Uber-like promo code
Digital Sales & Marketing
✓
Promotion by Damián Alvarez, Professional Soccer Player in Mexico
✓
Chapulín
Communi ty Events
Brand Ambassador
Co-Branding Sa les
Offline Sales
Chapulín
Target Market
Cost to User*
Unbanked, Banked Banked
Mexico: $9Guatemala: $6
Mexico: $16Guatemala: $14
Flat fee of $4.95 and Exchange Rates up to 2% Better
*Transfer fee + exchange rate loss on $500 USD
Chapulín
Target Customer Acquisition Cost: <$20
2 Transfers / Customer / month
Gross / Transfer
Gross / Customer / year
5 Years LTV$
$2
$48$240
Chapulín
1,200 downloads 10,000+ landing page views
WWW $$
$100,000+ transferred
Since we began promoting the app on May 4th:
Chapulín
Revenue
Chapulín
$(000s) 2015E 2016E 2017E 2018E 2019E
Total Active Users (EOY)
5,867 115,867 394,867 824,025 1,449,739
# of Transfers 30,667 1,356,514 6,317,800 14,913,747
27,653,732
Chapulin Revenue $ 92 $ 2,497 $ 14,552 $ 35,332 $ 71,190
Co-Branded Revenue
$ 60 $ 4,217 $ 16,751 $ 38,491 $ 65,696
Total Revenue $ 152 $ 6,715 $ 31,273
$ 73,823
$ 136,886
Expenses $ 740 $ 7,300 $ 29,326 $ 63,113 $ 113,643
EBITDA $ (588) $ (585) $ 1,947 $ 10,710
$ 23,242
Value of $100K invested
$130K $200K $700K $1,500K $2,800K
Return on Investment 30% 100% 600% 1,400% 2,700%
Key Assumptions• 2 transfers / customer /
month• $375 avg. transfer amount
• $4.95 fee / transfer• $3->$2 direct cost /
transfer
Financial Projections
Chapulín
MTOs
Financial Institutions
Processors
Networks
Hispanic Brands
Possible Exits
Chapulín
• Chapulin is poised to disrupt the U.S. Hispanic market for money transfers
• Our two-pronged strategy of promoting the Chapulin brand, as well as co-branding with Brands with substantial presence in our market lowers acquisition costs and helps us achieve break-even faster
Conclusion
Chapulín
Jesus IzaguirreCEO
Redwood City, CA
Justin HintzCOO
Charles AdamsCFO
