Puniani, Arjan Singh - Partnership Proposal to DFJ

Partnership Proposal Material Consideration for:

April 2012 Arjan Puniani

Megan Shih

| Berkeley Engineering

| Haas School of Business

PUNIANI V E N T U R E S

Connecting and sourcing Berkeley entrepreneurs to VC firms in the Valley

PUNIANI V E N T U R E S WHO WE ARE WHAT WE DO OUR PLAN YOUR FUTURE

Prepared Exclusively for Draper Fisher Jurvetson

Filtration Audition Selection

Problem: Berkeley entrepreneurs are

frustrated with inaccessibility to the people and

capital in Silicon Valley

Student ventures from a variety of colleges and affiliations will apply for “Venture Consideration”

Puniani Ventures will carefully screen the potential companies and forward the top batch to DFJ

Top teams will present to DFJ at HQ, and a final decision will be levied by investment pros

Pitch

DEAL

PU

NIA

NI

VE

NT

UR

ES

In 2011, more than 1,000 aspiring entrepreneurs applied to startup accelerators in the Bay Area, with countless more in perpetual stealth-mode simply because they aren’t sure what to do. Puniani Ventures aims to redefine this process. By partnering with and representing DFJ on campus, our team will vet applicants from all over campus, critically analyze their team, market, and product, and forward the best-of-breed to the DFJ office. Even the losers win, since our combined experience will be used to assist those that didn’t make the cut and ensure their next application is stronger than the last. This collaboration will introduce an incredible efficiency in the catalysis of startup innovation in Berkeley and success in Silicon Valley.



-  Profiles -  Professional Skills & Experience

-  Company Screening Experience

Puniani Ventures will bring people, capital, and ideas together to better serve the Berkeley entrepreneurial community

Material Consideration for



Venture Associate Venture Associate

Arjan Puniani Graduating Dec 2012

Megan Shih Graduated Dec 2011

§  BS Chemical Engineering, Minors in EE, CS, and Physics; Honor Roll

§  PC Vice President, Alpha Kappa Psi

§  Member of IEEE, AIChE, Engineering World Health, CSUA, URAP, CalFencing

§  Researcher at LBNL, UCSF, BQIC

§  Walter A. Haas School of Business student, BA in Business Administration

§  VP External Relations, Delta Sigma Pi

§  President, Freshman-Sophomore Business Club

§  California Leadership Scholar, BIG

Collectively, the founders of Puniani Ventures pursue the most challenging and intensive majors on campus, and enjoy leadership positions in nationally-renown student organizations, bringing a

number of valuable technical and people skills to the table, in addition to a passion for technology



Summer 2012

Summer 2011

Summer 2010

Summer 2009+

SCIENCE FINANCE Fields Covered

Inv

estm

en

t/Bu

siness V

alu

atio

n a

nd

Fin

an

cial F

ore

castin

g

Acco

un

ting

Ele

ctron

ics En

gin

eerin

g

Co

mp

ute

r Arch

itectu

re a

nd

Desig

n

Bio

med

ical E

ng

ine

erin

g

Co

mp

ute

r Pro

gra

mm

ing

(Java, C

++

, Pyth

on

, Ru

by)

Health

care

Mark

etin

g

Ap

plica

tion

Develo

pm

en

t

Th

eo

retica

l Ph

ysics

Math

em

atica

l Ph

ysics

Some of the firms and respective fields covered that the founder’s have worked for and in.

Secu

rities

Cle

an

Tech

Neu

roscie

nce



§  Our youth is misleading…

§  We bring several advantages to the table—in addition to extremely strong relationships with the largest professional organizations on campus—we enjoy extensive experience in many relevant fields:

Why would DFJ partner with Puniani Ventures?

Our collective experience provides a strong foundation for long-term success and profitability for DFJ

Value Drivers

Fin

an

cia

l S

erv

ices

Case

S

tud

ies

Re

searc

h

The founders have worked in this industry at the analyst level, developing solid modeling and analy8cal skills

We have extensive experience in banking, consul8ng, and investment cases, consistently placing in the finals

Investment Banking and Asset Management

§  AP was responsible for IPO/M&A financial modeling in five live deals, and profiling hundreds of companies in the SaaS, IDM, and Telecom space at Pacific Crest Securities.

§  MS analyzed risk profiles of several different asset classes and analyzed several attractive investment opportunities at Goldman Sachs using fundamentals research and comparative analysis.

§  2011 Goldman Sachs IBD M&A Case | 2nd Place: eBay’s acquisition of GSI Commerce

§  2011 Dodge & Cox Stock Pitch | 2nd Place: Investment presentation of POSCO Steel §  2011 Morgan Stanley IBD IPO Case | 2nd Place: Flotation of Amyris Biotechnologies §  2011 Macy*s Marketing Case | National Winner: myStylist mobile application and strategy §  2010 Bain Consulting Case | 2nd Place: private equity M&A analysis for a restaurant chain

Walter A. Haas School of Business Case Competitions

Selected Coverage

From neurosurgery to par8cle physics, from ETFs to bioengineering, our varied experiences have significantly developed our analy8cal skills

Scientific and Financial Research

§  Selected projects include: bolometric detection of terrestrial neutrinos, characterization of evasion pharmacology in glioblastoma multiforme, proof-of-concept for photovoltaic paint, statistical modeling of retinal registration threshold

§  All projects require creative solutions to multi-faceted, ambiguous, and ill-posed problems, collaboration, and very strong analytical abilities and reasoning skills

We know what it takes to analyze a good investment, and, even more valuable to the student body, we know what elements make a successful

and profitable business—our accolades and experience attest to it In S

um



-  Company Overview -  Sample Analysis

-  Partnering with Us

Our firm will offer a spectrum of advisory services to Berkeley entrepreneurs, ultimately leading to a profitable investment for DFJ





We manage your pipeline to Berkeley’s hottest startup ideas and entrepreneurs

DRIVEN STUDENT BODY

Nearly half of the campus maintains an affiliation with a professional organization

WORLD-CLASS INSTITUTION

Berkeley—one of the top engineering schools in the world—is widely considered a “mega-brand”1

ENTREPRENEURIAL SPIRIT

East Bay startup accelerators are overwhelmed with applicants, who pine for access to the Valley’s firms

University of California, Berkeley

1 Times Higher Education



We provide a canonical example of the type of analysis you can expect from Puniani Ventures. In addition to scrubbing for relevant financial metrics, we evaluate the core product portfolio of each company, and assess the target market, the risk-reward profile of deployment, competitive landscape, and barriers to entry/IP protection.

C A S E STUDY

Landscape Analysis

Precision Targeting

The Goldman Sachs IBD case study asked us to resolve the acquisition universe for eBay, and identify any weaknesses in the company’s portfolio. This analysis required market dynamics

insight and forecasting relevant trends.

After tallying a shortlist, we dug further into the top contenders. We assessed the brand, the positioning, and the factors that make the company a compelling investment to eBay. Below, we show

what went into our GSIC analysis:

The Puniani Ventures Solution

§  Knowing what part of the business is important §  Anticipating multiple steps ahead (“endgame analysis”) §  Shielding management when appropriate

§  Accurately and realistically assess strategic alternatives §  Knowing exactly how much leverage is available §  Understanding other parties’ motivations and not overplaying one’s hand



Partnering with Puniani Ventures means access and exclusivity:

More than 40,000 students go to Berkeley...

§  Nearly 22% of them would like to one day start and own their

own company1

§  The statistic more than doubles in business fraternities, professional organizations, and athletics clubs

1 Berkeley Career Center

RELATIONSHIPS

Through leadership positions in leading campus organizations, the founders have cultivated an incredibly strong network of aspiring entrepreneurs who are extremely eager to see their idea take off with DFJ

Business

Technical

Pro

fess

ion

al

So

cial

Puniani Ventures is UC Berkeley’s exclusive solution bridging titans in Venture Capital to aspiring Cal Entrepreneurs. Only Puniani Ventures can deliver the dedication, drive, expertise and Cal connections that DFJ needs to cement its position as Silicon Valley’s undisputed venture game-changer through high-quality relationship management

Total Available Human Capital: 14,000+

>85% Share of Cal’s F500 Placement



-  Marketing & Advertising -  Screening & Business

Development

Our single biggest goal is to ensure that DFJ is represented on campus as the premiere destination for aspiring entrepreneurs




Publicity and online marketing are our key tools to your success Unlike Y Combinator and Skydeck, we comb through UC Berkeley

and the people ourselves, looking for the next great idea…

Haas Business School

Enrollment

1,300

Berkeley Engineering

Enrollment

2,870

Letters and Sciences

Enrollment

6,181 Popular Exit

Banking Strength

Business

Core

Finance Desired Exit

Startup

Popular Exit

Software Strength

Product

Core

EECS Desired Exit

Startup

Popular Exit

Research Strength

Analysis

Core

Economics Desired Exit

Banking

Puniani Ventures is quickly gaining traction on the

Berkeley newsfeed and rests on three

pillars of marketing

Website and LinkedIn

Facebook + Chalking

Exclusive ListServing

Founders maintain a directory of the top leaders in Berkeley’s entrepreneurship community and regularly interact with them

Efficient marketing tools (Facebook Javascripts) ensure news and updates reach more than a third of all students

Having connections means we give DFJ nearly…

…and assess their strategic fit in DFJ’s portfolio.

Website is operational and undergoing a major overhaul—by mid-April, expect an application portal, resources, and marketing material

We contend that there are more than 3,000 potential candidates with an exciting new startup idea that would love to pitch to us T

he

sis

40+ Clubs

Result

38% Student Body

§  Puniani Ventures can outsource marke8ng and hand-‐billing responsibili8es to our professional business fraterni8es

§  We can also siC through our expanding LinkedIn network for Cal startups and help them realize their dream company

Our next steps are to make-over the website, and continue to forge relationships with students on campus to spread awareness

Puniani Ventures is committed to employ a number of different persuasive methods to ensure a healthy application stream, including guest lectures at club meetings, publicity events at undergraduate career fairs, and social media advertising on Facebook, LinkedIn, Twitter, Pinterest, TechCrunch, etc.



Our screening process is engineered to look for top disruptors

We breakdown our filtration method into three distinct components:

Team Impact Exit

§  Nothing can quite eclipse

the importance of an incredible team to the entrepreneurship game, and our first step is interviewing the applicants who came through our web portal

§  We then take a look at the

product and if the market really needs this idea. Our experience combing through data ensure we are apt for this analytic process

§  In investment management and banking, we have always concerned ourselves with risk profiles, and we bring that level of rigor to the Puniani Ventures

§  As an EECS student, AP can understand the functionality and scalability of source code, and MS can think through the growth drivers and competitive landscape

§  We want to ensure that the

company understands the stakes involved in the VC process by preparing them for what to expect

Strategic Expansion

Student Engagement

What the Future Holds

§  Attracted to the idea of student-mentors, formerly uncertain entrepreneurs will more likely pursue their ideas simply knowing this resource exists

§  As partners, we also hope to expand our analytical toolset by working closely with DFJ to ensure we make high-quality decisions

ENDGAME ANALYSIS: DFJ can potentially become the premier VC household name on campus thanks to our ground-floor efforts in marketing, analysis, and success.

Our primary focus will be looking for companies that are potential blockbuster investments—on the scale of Facebook and Baidu—while ensuring that they receive the help they need to convince DFJ that, indeed, this is the case, through financial modeling, market analysis, product development, team matchmaking, and business logistics (registration)

§  After spending the last few years

interviewing for highly competitive positions in different fields and securing many offers, the founders have tremendous experience in connecting with others and truly being able to surmise a fruitful collaboration

§  We will perform valuations and

economic analyses of the companies to paint a quantitative portrait for the team and DFJ

§  Our services will be geared towards ensuring that solid cash flows and growth will be expected

§  Finally, we deliver well-groomed and thoroughly prepped Berkeley entrepreneurs to the DFJ offices for final screening and consideration



-  DFJ Day -  Previous Companies -  Deal Overview -  Timeline

Puniani Ventures is the ideal partner for letting your franchise tap into an extremely talented pool of entrepreneurs




We plan on ensuring DFJ is the go-to VC firm for Berkeley’s stars

Business Development

Business Initiation

Student Engagement

Founders will provide a service suite that enables startups to operate their new business online, and provides fulfillment integration

PV will help with business registration and logistics to ensure applicants are a legal entity prior to approaching DFJ

In addition to a vigorous marketing campaign, PV plans on throwing kick-off events and special awareness days to highlight the values of partnering with us

The Puniani Ventures Business Platform

§  To really cement DFJ in the student entrepreneur consciousness at Berkeley, Puniani Ventures would host a speaking event featuring the staff of DFJ

§  Ideally, we would love to have a few of the startups selected by Puniani Ventures that advanced to a final screening at the DFJ office discuss the process and experience

§  A number of high-tech venues exist,

including the Banatao auditorium in the newest campus building, which can seat around 200 students

September 2012: 1st Annual DFJ Day at Berkeley, CA

Perhaps future events can be structured as…

Based on the international sensation, DFJ Day can be the site of the first ever Shark Tank-style selection process, where students pitch their ideas to DFJ “Sharks” in front of a live audience, and preliminary deals, criticisms, and advice are levied. The highly-publicized event will draw an enormous crowd, press coverage, and VC interest

1

2

3

A DFJ Associate and PV founders should initially sit and discuss the mechanics behind a good investment and technicals

Next, marketing materials and website will feature DFJ and PV (or simply DFJ), depending on final details discussed

Ventures that apply to PV to get to DFJ will bypass Y Combinator and Skydeck in exchange for advance consideration

4 Future blockbusters will flesh out under the tutelage of DFJ and PV, allowing DFJ to enter the lucrative seed funding market



With Puniani Ventures, DFJ will be the first to know about the next…



DFJ and Puniani Ventures can transform the VC industry

§  Incredible experience and talent

§  Extremely strong brand

recognition §  Billions in

capital §  History of

momentous, blockbuster

investments

§  We accelerate the incubation process—forwarding to you the very best of Cal

§  Future DFJ investments will benefit from the network effect and peer-mentor dynamics without the equity dilution

§  Access to Berkeley entrepreneurs and startups

§  Dedicated and

experienced technologist-founders with great student group relationships

Dea

l S

um

mary

(1)  Puniani Ventures is committed to distinguishing DFJ from other firms in the Valley

(2)  Our relationships with the student body will provide DFJ exclusive access to the hottest startups and talent on campus

A collaboration between DFJ and Puniani Ventures would result in a significant milestone in the the Silicon Valley

§  Geography. UC Berkeley sits at the nexus between Silicon Valley and San Francisco, absorbing a spectrum of different ideas, and providing an intellectual Shangri-La for UC Berkeley’s student ventures

§  Pipelining. Puniani Ventures will work tirelessly to ensuring a steady feed of extremely high-quality teams are consistently supplying DFJ’s deal pipeline thanks to the sheer volume of overwhelming interest on campus and the network effect

§  Competitiveness. As a DFJ partner, Puniani Ventures is committed to maintaining a strong, healthy relationship with your firm and providing exclusive access to our on-campus relationships.

§  DFJ Seeding. Many of the traditional VC power-houses are examining the lucrative opportunities in seed investing, and Puniani Ventures will help DFJ connect to the very-early stage companies on

campus first by processing and filtering the best-of-breed on campus

Strategic Considerations

P U N I A N I V E N T U R E S


By partnering with Puniani Ventures, DFJ can expand its influence between Silicon Valley and San Francisco, and access the talents and ideas of some of the top students in the country. We share your goals—introducing technologies that will change the world—and we would love to work closely with you and the student body to ensure that all of us benefit from our efforts in launching important new businesses



Tentative Next Steps

Action

2012 2013 2014

Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Audition

Roll out campus wide advertising

Launch “DFJ Day" kick-off event

Presentation Day

Filtration

Narrow down submissions to Top 3

Consultation period

Selection

Top start-up pitches to DFJ offices



Arjan Puniani Megan Shih

§  [email protected]

§  (559) 392-1572

§  [email protected]

§  (206) 669-1868

Contact Information


Technology

Puniani, Arjan Singh - Partnership Proposal to DFJ