<aside> 🚨 Warning! Investing in a startup is extremely risky (including investing in Snowball). Your entire investment could be lost if the company fails. Investing in a startup is not liquid at all. It’s very hard to sell your investment unless there’s a liquidity event like a sale or an IPO (or another investor buys your investment).

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<aside> 🇫🇷 Pour traduire en français, vous pouvez cliquer ici.

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<aside> 📝 This memo is deliberately very long and comprehensive to give you as much information as possible to help you make an informed decision.

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<aside> 💡 When you see a ▶︎, you can click on it in order to see more content.

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<aside> 💰 If you want to invest in Snowball you can visit this page www.invest.snowball.xyz (there’s a tutorial right after the table of content).

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Table of content

💡 Cheat Sheet, if you don’t want to read everything

  1. Warning! Investing in a startup is extremely risky (including investing in Snowball). Your entire investment could be lost if the company fails. Investing in a startup is not liquid at all. It’s very hard to sell your investment unless there’s a liquidity event like a sale our an IPO (or another investor buys your investment).
  2. Snowball’s goal is to become an $X-billion (I hope) company that can reshape the way Human Beings (like you and me, and not only crypto maximalists or pro-traders) manage their wealth by combining TradFi, and DeFi on Web3 x Web2 foundations.
  3. Snowball wants to raise from $1 million to ∞ in order to start building its product, a super-app allowing people to easily invest in multiple assets (PEA, Stocks, crypto, DeFi, etc.), and a financial media for the new generations. The fundraising will be continuous thanks to Fairmint services. You can invest whenever you want, but the sooner the better for you as the valuation of the company will rise as the amount of money raised rises.
    1. Amount I’m looking for: between €1 million and ∞.
    2. For 10% of equity.
    3. At a $10 million initial valuation.
    4. Why $10 million? When you raise money pre-seed, pre-product, usually, the valuation is not really based on fundamentals because there’s no product, no revenues, but just a vision and a team. Therefore, a common way to define it is the following: how much equity are you selling? 10% in my case. How much do you wanna raise? $1 million. Therefore a valuation of $10 million (10,000,000/0.1).
  4. At the moment, close to 3000 members of the community are ready to invest around €5.7 million in Snowball.
  5. Key figures of the business:
    1. 1 employee (me).
    2. €227,000 of ARR.
    3. With €0 of marketing budget or paid acquisition.
    4. 23,500 subscribers including 3,800 premium members (€6/month or €60/year).
    5. Recently launched a sponsoring offer to monetize the free version of Snowball. This should bring €120,000 of additional revenues per year (already 2 potential sponsors interested) for a total of €347,000 of ARR.
  6. Snowball wants to reinvent how human beings manage their wealth. Its vision is to allow as many people as possible not only to access to investing, but also and most importantly, to allow them to build the financial independence they’re aiming at without any toxic features such as gamification to spend more on products that are bad for investors, but good for the business (options and CFDs for instance). Gamification yes, but healthy gamification (more about that later).
  7. The main target of Snowball will be the younger generations (20-40yo). You need to know that 90 % of GenZers think that it’s important to prepare their future by investing, and that 35 % of them start to prepare their retirement in their twenties!
  8. Snowball wants to build a one-stop-shop investment product coupled with a Media arm fuelling the growth of the former. The Media Arm of Snowball will also be a big source of revenue for the company. Remember that Harvard generates 30% of its revenues thanks to its Media Arm called Harvard Business Review!
  9. The Snowball’s product will look like a super-app allowing you to invest in a wide variety of assets (stocks, cryptos, startups, collectibles, etc.).
  10. Want to invest in stocks? Just install the mini-app stock trading. Want to invest with your friends in stocks? Just install the mini-app “investment club”. Want to invest in DeFi, just install the mini-app DeFi…
  11. The UI/UX will be as easy as possible, and gamified, but unlike Robinhood or other apps, it’ll be aligned with the investors’ interest and it won’t push them to act recklessly (options trading, CFD, FOMO, etc.). All of this will be powered by behavioral finance concepts.