Square currently has 2M businesses who use them and growing. That equals a lot of damn opportunity and one HELL of a big target market. Oh, and we have 2 different lists with about 750k of them.
To back into a $500M acquisition, we're going to say:
1) We have to get about $50M per year in Annual Revenue (most unicorns have $100M ARR for reference).
2) $50M/year = $250M on a 5-yr valuation (with no discounting or inflation applied).
3) Most acquired tech companies are getting bought at a 2X multiple these days (especially when they have proven growth and/or more market share to go for).
4) So, we need approx. $4.2M/month in revenue.
5) If we charge about $25/mo. then that means we need about 168,000 Users/Customers/Clients - out of 2M.
6) Our Mobile Technology actually almost makes Square and many POS companies obsolete. Lots of our Clients already have 50% of their purchases occuring IN their mobile apps.
7) Our built-in E-Wallets actually cut transaction costs in half for low-ticket businesses. Think about it - if people are loading money (like Starbucks) to an App and then using THOSE funds to make purchases - what AREN'T they doing? Swiping cards. We've estimated the savings at about $500/mo for even the smallest businesses.
8) Our Apps have built-in Rewards + Loyalty, "Rich" Push Notifications and all kinds of features businesses pay for - built in - thus, saving businesses lots of money they're wasting on other services and 3rd parties right now.
9) We're prepared to launch a "Network" App when the market becomes too saturated with the same types of Apps. The "Network" App will have thousands of Square Businesses in it, thus eliminating the need for individual apps - and changing the dynamic of the strategy to reach 168,000 Square Businesses significantly - making it much easier.
10) Jack Dorsey, the Founder of Square (and Twitter) himself being interviewed back in April and talking about the future of payments and how it's all going towards mobile. He literally makes the case for our entire business model AND even mentions Pre-Order (at the 1:44 minute mark), which ironically happens to be the name of our $1M+ Mobile App solution/service for Square. Coincidence? Maybe. Or maybe subconsciously it's in his head because he knows about us and what we're doing. Our original name was "Order Ahead" and Square's Legal Team made us change it, so more than 3 years ago we picked the name Pre-Order. We also own preorderapps.com Here's the link (and the actual video is below): https://www.youtube.com/watch?v=4JR9TTr20fg