Launch Code After School

Launch Code After School

High-quality, engaging computer science education for children K-12  

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Security Type
Crowd Note
Categories
Other
Min Investment
$1,000
Location
Austin, TX
Offering Date
August 12, 2019
Expected Close Date
November 10, 2019
Target Raise
$250.00K-$1.07M
Deal Notes

Round type: Seed Round size: US $1,070,000 Minimum investment: US $1,000 Target Minimum: US $250,000 Security Type: Crowd Note Conversion discount: 20.0% Valuation Cap: US $4,000,000 Interest rate: 5.0% Note term: 36 months Closing conditions: While Launch Code After School has set an overall target minimum of US $250,000 for the round, Launch Code After School must raise at least US $25,000 of that amount through the Regulation CF portion of their raise before being able to conduct a close on any investments below $20,000. For further information please refer to Launch Code After School's Form C. Transfer restrictions: Securities issued through Regulation CF have a one year restriction on transfer from the date of purchase (except to certain qualified parties as specified under Section 4(a)(6) of the Securities Act of 1933), after which they become freely transferable. While securities issued through Regulation D are similarly considered "restricted securities" and investors must hold their securities indefinitely unless they are registered with the SEC and qualified by state authorities, or an exemption from such registration and qualification requirements is available. Raised to date: US $19,900 US $19,900 (under Reg CF only)

Company Description

High-quality, engaging computer science education for children K-12  ProblemThe computer programming skills gap is large and growing. The American Bureau of Labor Statistics showed that 84% of parents acknowledged that computer science subjects are required in primary and secondary education. There is also a shortage of skilled computer scientists. To really solve this problem, we decided we need start by getting kids interested at a younger age.SolutionLaunch Code After School provides coding classes and camps for kids ages 7-14. Launch offers weekly classes and summer camps in an in-person environment.  By leveraging a proprietary learning management platform that is used to power every aspect of the business, we have built an engine that can scale into a variety of in-person environments, from schools, to retail stores, to community centers. 

Perks

$1,000 (“Bronze”) – Free t-shirt and and plaque to commemorate this offering.
$5,000 (“Silver”) – All of the above, plus two (2) months free of our weekly classes or one (1) free summer camp.
$25,000 (“Gold”) – All of the above, plus participation in regularly scheduled quarterly calls with senior management.
$50,000 (“Platinum”) – All of the above, plus arranged, paid airfare (domestic or domestic equivalent airfare towards international) to Austin for in-person investor tour and a one-time dinner with management. Also includes invitation to annual updates (dinners, calls, etc.) with the Launch senior management team.

Key Deal Facts

Current Summer Camp enrollment of 179 and annual run rate of $240,000. Added 113 new customers in Q2 2019.
Founder’s previous company MakerSquare, a leading adult coding bootcamp located in Austin, SF, LA, and NYC, was acquired in 2015 by Hack Reactor and subsequently acquired by Galvanize in 2018.
The company has developed key relationships with Sangfroid Studios, Z1 Digital, and ScaleFactor to help scale business operations.
The company has successfully raised over $550,000 to date from local, Texas-based angels and funds.
Launch is currently operating in one dedicated brick and mortar location and additional temporary locations. Launch will be opening one additional dedicated retail location this summer.

Use of Proceeds

Marketing/Sales, Product, Development, Office, Course Development

Management Team / Advisory Board Bios

Ravi Parikh
Co-Founder/CEO
Co-Founded MakerSquare in 2012, a leading adult coding bootcamp in the United States.  Exited to Hack Rector in 2015.  Founded RoverPass, a property management software company in the RV Park Industry in 2015 with the backing of angel investors and venture funds.  Ravi leads the engineering team, investor relations, fundraising, and sets the overall strategy of the organization.   

Jobin George
Co-Founder
Jobin came to us from the healthcare industry where he was a strategy consultant focused on large enterprise sales at the Advisory Board and account management at TrendKite.  His focus within the Launch operation is managing our sales team on the B2C side as well as general day-to-day management of our corporate locations.  He also has been leading the charge with creation of our Franchise Disclosure Document and regulatory compliance for franchising. 

Vijay Kalvakuntla
Co-Founder
Vijay holds an MBA from the Wharton School of Business.  Prior to receiving his MBA he worked as an investment banker in the energy sector.  Vijay was instrumental for our first round of funding and sits on our Board of Directors.  Vijay is in charge of corporate governance and general financial strategy.  He assists the day-to-day management team with business scenario modeling and general strategic decision making. 

Mitch Morales
Co-Founder/COO
Former finance expert turned entrepreneur.  Mitch got his start at e-learning 360 where he was in charge of M&A in the e-learning industry.  Mitch later become an energy trader.  When his company was sold, he fell in love with the music industry and started one of central Texas's premier music festivals.  Mitch was recruited for his expertise in B2C marketing and general entrepreneurship skills.  Additionally, Mitch is heavily involved with the company's finances as well as general operations.    

Lindsay Walker
Co-Founder
Lindsay started her career as a teacher.  From there she acquired her masters in integrative STEM education and begun developing curriculum for various e-learning platforms.  Lindsay later received a certificate in front end development where she shifted to developing content specifically for the K-12 computer science curricula space.  Lindsay, and her curriculum team, are responsible for building all of the curricula that the students use and also for teacher training. 

Deal Notes

Round type: Seed Round size: US $1,070,000 Minimum investment: US $1,000 Target Minimum: US $250,000 Security Type: Crowd Note Conversion discount: 20.0% Valuation Cap: US $4,000,000 Interest rate: 5.0% Note term: 36 months Closing conditions: While Launch Code After School has set an overall target minimum of US $250,000 for the round, Launch Code After School must raise at least US $25,000 of that amount through the Regulation CF portion of their raise before being able to conduct a close on any investments below $20,000. For further information please refer to Launch Code After School's Form C. Transfer restrictions: Securities issued through Regulation CF have a one year restriction on transfer from the date of purchase (except to certain qualified parties as specified under Section 4(a)(6) of the Securities Act of 1933), after which they become freely transferable. While securities issued through Regulation D are similarly considered "restricted securities" and investors must hold their securities indefinitely unless they are registered with the SEC and qualified by state authorities, or an exemption from such registration and qualification requirements is available. Raised to date: US $19,900 US $19,900 (under Reg CF only)

Amount Raised : $48,900
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Security Description

A Crowd Note modifies the typical convertible note so that the crowd does not automatically convert to equity shareholders on the next financing and remain off the issuer’s capitalization table, but the crowd will still participate in any exit as if they had converted to equity. If there is no future financing, the holders of the Crowd Note still have upside, but could miss out significantly.

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