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What is Sports MadMen? An online daily fantasy sports website focused on the top six sports in the industry Offers league and head-to-head contests Generates high levels of return through a percentage of the entry fees collected
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Page 1: Investor deck

What is Sports MadMen?

• An online daily fantasy sports website focused on the top six sports in the industry

• Offers league and head-to-head contests

• Generates high levels of return through a percentage of the entry fees collected

Page 2: Investor deck

What we do

• Transition and teach traditional fantasy sports enthusiasts about daily fantasy games

• Capitalize on the exploding market created by UIGEA of 2006 which clarified the legality of fantasy sports.

Page 3: Investor deck

Revenue gains averaged 11.7% per year from 2009-2013

Explosive Market Potential

60% growth in daily

fantasy sport players

since 2010

Industry revenue is

forecast to grow to 1.8

billion through 2018.

Daily fantasy sports, a category that didn’t exist

few years ago, was racking in an annual $465

million in contestant fees

as of June 2012.

• Article on 5/28/13 on Forbes.com

“Atlas Ventures predicts that daily fantasy

sports will overtake traditional fantasy sports

in 5 to 7 years and that daily fantasy

wagering will generate $2 billion in fees by

the year 2020…”

• MGT Capital investments“Daily Fantasy Sports has now attracted the full interest of Wall Street and venture capitalists, as well as the large media/entertainment companies.”

Page 4: Investor deck

Who are we – The Team

Management Team• Marquette Marshall - Founder and Chief Executive Officer

• Charles Young Jr, CPA – Chief Financial Officer

Consultants/Advisors:• Jay Correia – Owner, DreamCo. Design

• Keathel Chauncey Esquire, CPA – President, Fresh Legal Perspective

• Ahli Moore - President, XFactor Solutions

• Charles Young Sr – President, Young & Sons Tax and Accounting

Page 5: Investor deck

Marquette Marshall - CEO

Education and Background– M.S. – University of South Florida – Educational Leadership; B.A. from

Florida State University - Physical Education– 14 years as a teacher in Hillsborough County Public Schools and Florida

Virtual School– 17 years of experience in fantasy sports; Commissioner for 8 years

Personal highlights– Currently resides in Tampa, Florida– Married with 3 children– Loves music and sports– Member of Omega Psi Phi

Page 6: Investor deck

Charles Young Jr, CPA - CFO

Education and Career Highlights– B.A. from Eastern Michigan University – Double major in Accounting and

Economics– Coca-Cola Enterprises, Turner/Time Warner, CPA earned at

PricewaterhouseCoopers

Personal highlights– Originally from Atlanta 44 years old, Married - 10 years with 2 children– Currently resides in Tampa, FL– Loves cigars, collecting watches, member of Alpha Phi Alpha

Page 7: Investor deck

Jay Correia

Page 8: Investor deck

Industry Leaders

FanDuel is a web-based fantasy sports premium game and the largest company in the relatively new Daily Fantasy Sports concept.

During 2014, FanDuel plans to pay out $400 million in prizes-up from $150 million in 2013, $50 million in 2012 and $10 million in 2011.

Skyllzone LLC formed in the winter of 2009 with the goal of revolutionizing the fantasy sports industry.  

In the summer of 2010, the team officially released DraftStreet.com.

Page 9: Investor deck

Industry Leaders (cont’d)

DraftKings is a leading provider of daily fantasy sports. Large variety of both free and paid contests in multiple game types.

Featured tournaments with the biggest money pay outs. Over $200 million guaranteed in prizes.

FanThrowdown is an industry leading daily fantasy sports website.

In 2011 the FanThrowdown team came together, seeking to put the best daily fantasy sports site on the web.

Page 10: Investor deck

• Omaha World Herald quoted the president of the Fantasy Sports Trade Association

“It’s exploded in the last couple of years,” association President Paul Charchian said. “It’s growing so fast, by the time we get the research back, it’s already out of date. It’s gotten more investment in the past two years than in the history of fantasy sports combined.”

• Article on 5/28/13 on Forbes.com“Atlas Ventures predicts that daily fantasy sports will overtake traditional fantasy sports in 5 to 7 years and that daily fantasy wagering will generate $2 billion in fees by the year 2020…”

• MGT Capital investments“Daily Fantasy Sports has now attracted the full interest of Wall Street and venture capitalists, as well as the large media/entertainment companies.”

Add’l Industry Info

Page 11: Investor deck

Participants Entry fee

Prize Money

Rake is 10% of all entry fees.

How To Make A Profit

Page 12: Investor deck
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Bowl Game Fantasy

NFL Playoff Fantasy ChallengeNFL/NCAA Hybrid

NBA All-Star Weekend Challenge

March Madness Fantasy

I’m Different… Yes, I’m Different…

Page 16: Investor deck

Customer Acquisition MethodWe will strategically market to target the

novice player, college player, female player

Page 17: Investor deck

Financial Statement Info

• Fiscal Year – July 1st through June 30th

• Internal financials provided by the 10th business day

• Investor statements provided quarterly

• Internal control policies will be developed

Page 18: Investor deck

Financial Summary 2015 -2017

FY 2015

Revenue $136,500

Web development and comp costs ($110,000)

Total Expense ($292,825)

EBITDA ($266,325)

FY 2016

$5,994,000

($142,000)

($5,862,059)

($10,059)

FY 2017

$15,163,500

($2000)

($14,366,080)

$795,420

Page 19: Investor deck

Financial Summary 2018 -2019

FY 2018

Revenue $24,325,500

Web development and comp costs ($2,000)

Total Expense ($22,781,839)

Cash Income $1,541,661

FY 2019

$33,134,700

($2,000)

($30,897,992)

$2,234,708

Total

$78,754,200

($258,000)

($74,200,794)

$4,295,406

Page 20: Investor deck

Total Investment Required - $375,000Start-up Costs Site Development

(Sep – Feb)

Marketing $0

Web Devlpmt, content, and hosting $100,500

Salaries & Benefits $26,657

Legal and Professional Fees $13,000

Facility Costs $500

Insurance, License, Other $350

Office Expenses $12,200

Unforeseen $7,000

Total Start-up Costs $160,207

First 6 months(Mar – Aug) Total

$60,000 $60,000

$61,600 $162,100

$64,079 $90,737

$1,000 $14,000

$9,430 $9,930

$4,100 $4,450

$4,600 $16,800

$9,000 $16,000

$213,809 $374,017

Page 21: Investor deck

Investment Decisions, Dates, Etc.

• Commitment by Wednesday, July 30, 2014

• Cash Investment due by Wednesday, August 6, 2014

• Go live Monday, March 2, 2014…in time for March Madness

Page 22: Investor deck