CONFIDENTIAL
Measured by EquityNet
ABOUT OUR ODDS
Our odds of survival were calculated by comparing our answers to extensive data aggregated by EquityNet, the leader in advanced software for risk analysis of private businesses. The performance of hundreds of thousands of businesses was taken into consideration to generate our result. It's important to note that along with our business's 72% likelihood to survive in the timeframe provided comes a 28% likelihood of failure. (See Investment Risks below.)
WHAT OUR ODDS MEAN
The purpose of providing you our odds in business is to help us learn more about the pivotal factors that statistically increase or decrease your odds for survival. Using this knowledge, we are better equipped to achieve our goals.
WHAT FACTORS RAISE YOUR ODDS
- We indicated that an above-average amount of debt and/or equity capital ($400,000) will be received by Click IT Franchise. The amount of capital infused impacts our likelihood of survival. The more we get, the more likely you will be to endure difficulties and to utilize that money for revenue-generating initiatives. That means more time to reach profitability or a liquidity event.
- Our relatively short lead time (4 months) to gain access to additional capital makes it less likely that we'll exhaust our capital resources prior to reaching profitability or a liquidity event.
- Regularly managing cash flow is a key practice of successful businesses. Our answer to this question (every 2 weeks) suggests that we keep updated and accurate records and are disciplined about managing expenses and cash resources.
- Planning doesn't make perfect, but it sure does help. Businesses like ours that exhibit a relatively high degree of planning (7 on a scale of 1-7) are more likely to have well-thought-out, specific strategies for operational success and are more likely to execute on those strategies.
- Healthy, growing markets provide an environment in which our chances of survival are improved. The appealing growth rate (30%+ - extreme growth) in our market positively impacted our odds of survival.
- Management has a huge impact on the likelihood of survival. The above average management experience (30 years) we have gives us a higher chance of survival than businesses managed by people without as much management experience.
- Our business is managed by people with above average industry experience (30 years), and accordingly, we have a higher chance of survival than those businesses managed by people with lesser industry experience.