Hey,

Last week, I highlighted the gold mine we have and how we now believe we are ready to begin to mine it. This gold mine is the combined audience of all the creators on the Upspace platform.

Below I highlight our 3-month plan to reach this audience and become cash flow positive.

You are receiving this because you are an investor or advisor, expressed interest in either, or someone thought you might be interested in learning more. We send one update per week. If this is no longer relevant, feel free to unsubscribe below.

3-Month Plan to Cash Flow Positive

For Upspace to be successful, our creators must feel incentivized enough to continuously invite their social media audience to their profiles on Upspace. If this happens, the flywheel will take over, and we will see rapid growth larger than anyone expected.

​

Flywheel

The incentive is baked into the business model...

50% of all revenue is shared back with creators. Creators get paid based on the views of their content. Here is the flywheel:

• Creator shares with their social media audiences to get more views and make more money.
• More users join, increasing the creator payout pool, and increasing the incentive for creators to share.
• New creators join and the potential audience grows.
• Both existing and new creators share and the virtuous cycle continues.

​

Opportunity

If you add up all the Instagram audiences of the Upspace creators on the app today, it equals 9.97 million. This does not include TikTok, YouTube, or newsletters which many have millions of followers.

If we can reach that audience and convert .2%, then we will have 20k subscribers, making us $40k in profit per month while paying out $110k/mo in the creator payout pool.

Not only will we be self-sustainable, but we will also have the traction to raise our Seed Round of a few million dollars to amplify this product.

​

Problem

Early on this incentive is small.

We have fewer users than we will ever have, meaning less rev-share than we will ever have and, therefore, fewer incentives for creators to promote than we will ever have.

So the question is, how do we incentivize creators to share now while the rev-share pool is still small?

​

Solution

We need to incentivize them to share by paying them until the rev-share is substantial enough that they are already incentivized to do so.

​

Plan

We will spend $80k over the next 3-months all focused on encouraging our creators to invite their social media audiences to their content in the Upspace app. We will do this in 3 primary ways.

1. Pay to promote ($12k/mo): we are speaking with our top creators to pay them monthly to promote themselves to their audiences each time their content is added to Upspace
2. Contest ($8k/mo): we will be running a weekly contest of $1k/wk for whichever creator brings the most users in and $1k/wk for whoever gets the most completions.
3. Add to Creator Payout Pool ($4k/mo): we will add up to $4k/mo to the creator payout pool to increase the built-in incentive to share

Each of these things incentivizes creators to invite their social media audiences to join them on Upspace. The remaining will be used for ads to test messaging and further understand our Customer Acquisition Cost.

​

If this is successful, the flywheel will have enough momentum where the rev-share pool itself is enough to incentive creators to keep sharing. But of course, we will continue to add fuel to that fire as well.

​

Thank you,

Shaughnessy