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Piggyback Network

We unite everyday driving families with local driving parents for safe and reliable youth carpool

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Security Type
CAFES
Categories
Transportation & Storage, Education, Technology, Sustainability
Min Investment
$250
Location
Chicago, IL
Expected Close Date
April 29, 2024
Target Raise
$50.00K-$124.00K
No. Investors
106
Security Price
$1
Number of Employees
2
Cash
$30,624
Revenue
$126
Short Term Debt
$6,036
Cost of Goods
$0
Long Term Debt
$0
Net Income
$-290,452

Company Description

Piggyback Network is an app for carpooling, dedicated to parents and guardians connecting local families that are already driving the same routes.

PiggyBack unites everyday driving families with locals (driving parents) for a safe and reliable youth carpool. Parents use PiggyBack to match with other parents going in the same direction. To be able to drive others, parents pass a national & local criminal background check, a motor vehicle history check, and a check of the national sex offender registry in order to ensure safety. The two parties meet in person and decide if they want to share the ride. Once in agreement, they begin to schedule rides. The pricing model strives to make PiggyBack the most affordable solution. During Peak Travel the pricing is $4.00 Base Fare + 0.75 Per Mile + 5.00 Per Hour and during Off-Peak Travel the pricing is $3.00 Base Fare + 0.32 Per Mile + 0.50 Per Hour. The calculation is done by the inbuilt pricing calculator. The global ride-hailing market is expected to grow from $70.12B in 2022 to $122.48B in 2027 at a CAGR of 15% as per Global Newswire. The company’s expected SOM is $2.8B. The compny believes there is no other company solving the issue in this way. 

The company has signed a formal agreement with YMCA Metro Chicago and partnered with the Chicago Arts Program for after-school transportation. Its pipeline includes Youth organizations and schools in Chicago, Austin, Phoenix, Houston, Boston, New York, etc. The revenue for 2022 was $126 against $464 in 2021. The net loss stood at $290k in 2022 and $5.94k in 2021. The company has not generated any revenues in recent months and has a burn rate of $20k/month.

Key Deal Facts

PiggyBack signed a formal agreement with YMCA Metro Chicago. http://ow.ly/mz1350OA7BL . PiggyBack has partnered with Chicago Arts Programs for after-school transportation. $300,000 raised to-date for the initial growth and sustained momentum of PiggyBack Network. We are focused on Chicago to establish traction and Product Market Fit. Our pipeline includes Youth Orgs & Schools in Chicago, Austin, Phoenix, Houston, Boston, New York... The Youth Transportation Market is growing, proven by recent actions by dominant industry leaders.

Use of Proceeds

The company plans to use the proceeds for tech, marketing strategy, advertising costs, operating costs, and platform fees.

Management Team / Advisory Board Bios

The management has a good technical team.

Ismael El-Amin, CEO
Ismael is an innovator, TEDx speaker, clean energy enthusiast, and volunteer. He has completed his B.E. from Princeton University. He has 20 years of corporate leadership experience. Prior to this, he has co-founded More Men to Schools and is a board member of Dream Academy Foundation. Currently, he works with Piggyback Network and More Men to School. 

Donald Scott II, CTO
Donald has extensive experience in building tech for startups. He has also co-founded Snapshot Consulting and More Men to Schools. Currently, he works on all his startups simultaneously. 
 

Valuation Notes

Up till 2022, the company had been financed with $323k in SAFEs. The company has valued itself at $12M post-money. With the current revenue and lack of proven product market fit, the company is overvalued.

Amount Raised : $117,695
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Security Description

A CAFES (Contract and Future Equity Stake) can convert into different types of equity upon a Triggering Event, such as: common or preferred stock for a corporation, limited partnership interest for a limited partnership and membership interest for a limited liability company. At the time of the Triggering Event, the specific rights and limitations associated with the equity stake being issued to the investors will be determined and disclosed by the Entrepreneur.

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