Capital & Costs
Growth Phase Reference
- Phase 1: Beachhead (4k Users)
- Phase 2: Boston Network (20k Users)
- Phase 3: Northeast (100k Users)
- Phase 4: National (5M Users)
- Phase 5: Ecosystem (20M+ Users)
Our Lean Operating Model
Capital-Efficient Tech Stack
| User Scale |
Infrastructure Cost |
Cost Per User |
Notes |
| Up to 10,000 users |
$25/month |
$0.0025 |
Supabase Pro plan baseline |
| 10k - 100k users |
$599/month |
$0.0060 |
Team plan + scaling reserves |
| 100k - 500k users |
$599/month |
$0.0014 |
Team plan + scaling |
| 500k+ users |
Custom pricing |
~$0.002 |
Enterprise negotiations |
Note:
'Cost per user' reflects foundational backend infrastructure costs at an early stage. It does not include scaling costs for additional services like advanced data processing or high-volume file storage which will be factored in at later stages.
Operational Model: Initial operations are founder-led, leveraging an equity-based advisory network to maintain minimal cash burn pre-funding.
Calculation Breakdown
Mathematical Foundation → Unit Economics → Financial Projections
Key Financial Formulas
Customer Acquisition Cost (CAC)
CAC = Total Marketing Spend ÷ Number of New Customers
Mixed Channel Approach:
• Campus Ambassadors: $500/month → 20 users = $25 per user
• Micro-influencers: $200/post → 8 users = $25 per user
• Local Events: $800/event → 32 users = $25 per user
• Digital Ads: Direct cost = $35 per user
Weighted Average CAC = $28
Payback Period
Payback Period = CAC ÷ Monthly ARPU
Phase-by-Phase Calculation:
Phase 1 (MVP):
• CAC: $28 | ARPU: $0/year → Payback: N/A (freemium)
Phase 2 (Boston):
• CAC: $28 | ARPU: $11.92/year ($0.99/month)
• Payback: $28 ÷ $0.99 = 28.2 months
Phase 3+ (Scale):
• CAC: $22 | ARPU: $27.53/year ($2.29/month)
• Payback: $22 ÷ $2.29 = 9.6 months
Target: < 12 months payback by Phase 3
Customer Acquisition Cost (CAC) Model
Mixed-Channel Approach → Capital-Efficient Growth → Sustainable Unit Economics
| Channel |
Budget % |
Cost Per Unit |
Conversion Rate |
Cost Per Install |
| Campus Ambassadors |
25% |
$500/month each |
20 installs/month |
$25 |
| Micro-influencers |
30% |
$200/post |
8 installs/post |
$25 |
| Local Events |
20% |
$800/event |
32 signups/event |
$25 |
| Digital Ads |
25% |
$35 CPI (Cost Per Install) |
Direct |
$35 |
Blended CAC Evolution
Phase 1-2 Blended CAC: ~$28
Phase 3+ Target CAC: ~$22 (organic growth + referrals)
Payback Period Calculation:
Payback Period (months) = CAC / Monthly ARPU
Phase 2: $28 / ($11.92 / 12) = 28.2 months
Phase 3+: $22 / ($27.53 / 12) = 9.6 months
Pre-Seed Use of Funds ($200k)
Capital Allocation → 12-Month Runway → Market Penetration
Capital Deployment Strategy
Capital Efficiency Summary
$0
Infrastructure cost until 50k users
$28
Blended CAC with mixed channels
28mo
Payback Period (at Phase 2 User/ARPU Scale)