Dear Investor,
Thanks for coming by. This page shares the business aspects of online poker and how you can participate in the Weevos opportunity.
Online Poker/Casino/Gaming is a rapidly growing market worldwide. Global Betting and Gaming Consultants (GBGC) puts the global gaming market's gross gaming yield for 2007 at $328.5 billion, up from $309.6 billion in 2006.
- Within that total, online gaming, including online lotteries, is estimated to represent just 5% of the total, or $15.0 billion. There is tremendous room for online poker/gaming growth, and the level of money online poker companies spend on advertising shows is an indication of the level of money they are generating.
- Another key trend expressed by leading online poker/casino players like PartyGaming and PokerStars is the need to constantly offer new games or variety to players.
Weevos will leverage both these market trends to popularize an interesting version, of the less known, two-card poker game called "Guts" under the Weevos brand name, and specialize in guts tournaments. Weevos will be the premiere guts-tournament and ring-table site in the world. Weevos will grow as a community with strong emphasis on personal relationship building with each player, which should result in the lowest player attrition rates in the industry.
We plan to operate with lowest fixed costs possible, and put maximum effort in customer service (which is a weak area in today's gaming companies) through a comprehensive marketing plan, so that we can break-even within 18 months.
This combination of an "innovative game" plus "low cost set-up" plus "player relationships", gives Weevos an interesting revenue upside with a limited downside.
Over the next 3 to 5 years, Weevos would generate 120% to 550% Return on Investment for its investors. The founders of Weevos have self-funded the company to get it started and making it ready for Beta launch. We want to add a few investors who like our business. So we plan to sell 8%-10% of the company equity through two low-ticket options: 1% equity for $15K and 2% equity for $30K-- to enable participation by a few interested investors.
If this sounds interesting to you, please see the following Q&A pdf and audio recording for more details:
Note on Weevos Share Valuation: The forward looking price-to-earnings ratio of S&P 500 is 15. While Weevos is more risky than the S&P 500, Weevos will grow more rapidly (50% YoY is conservative) with a higher profitability (25% Net Margin) than the S&P500.
Therefore for Weevos, the same forward looking price-to-earnings ratio of 15 can still be applied, as a balance of higher risk for higher growth and profitablity. The projected net profit average for Year 1 and 2 is $100K, giving a valuation of $1.5mn. Based on this, we are offering 1-2% equity per investor at $15k per 1% equity. Only 8% equity is available in this first round of investment, of which 1% has been placed, and we are in discussion with few other interested investors. So if this opportunity interests you, please get in touch with us soon.
Our growth projections are conservative and we are confident of achieving them. At the end of Year-2, with a net profit of about $200k, and the projected net profit average for Year 3 and 4 as $1mn, the same forward looking price-to-earnings ratio of 15, will give a valuation of $15.0mn. We may then sell 10-15% equity raise funds to accelerate growth, and our current investors will have the first right of refusal for any new equity offers. We plan to reward our investors through a combination of dividends and share buyback. The business plan has more details.
Our business plan covers all details of business strategy, marketing and operations plan, projected financials, investment returns and exit options. To request a copy of the detailed business plan, please fill the form below, and we will get back you soon.
Thanks,
James Cason
On behalf of Weevos S.A
Email: info@weevos.com
