Management’s Discussion and Analysis of Financial Condition and Results of Operations

You should read the following discussion and analysis of our financial condition and results of operations together with our financial statements and the related notes and other financial information included elsewhere in this offering. Some of the information contained in this discussion and analysis, including information regarding the strategy and plans for our business, includes forward-looking statements that involve risks and uncertainties. You should review the "Risk Factors" section for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis.

Overview

One in three Americans live with criminal records. That's 70 million people. And most of these 70 million Americans experience pain when they try to reintegrate into the workforce. As an ex-convict myself, I wanted to serve my brothers and sisters in and out of the prison when I was released. That's how I got to building the first job board for the formerly incarcerated.

At first, my goal was to be responsible for one million men and women having an opportunity – maybe for the first time in their lives – to truly live the American dream. The human being in me would be happy if there were even just one but the businessman in me wants a bigger number. 

Ultimately, 70MillionJobs' goal is to become a billion-dollar business that will pump in 70M people back into the US economy and introduce them to necessary services, like banking and healthcare. 

Milestones

70Million Resources, Inc. was incorporated in the State of Delaware in August 2016.

Since then, we have:

• Y Combinator 2017 alum. Other alumni include Dropbox, Stripe, and Airbnb.
• Partnership with the City of Los Angeles.
• SXSW Pitch Competition Finalist in 2018.

Historical Results of Operations

Our company was organized in August 2016 and has limited operations upon which prospective investors may base an evaluation of its performance.

• Revenues & Gross Margin. For the period ended December 31, 2018, the Company had revenues of $89,000 compared to the year ended December 31, 2017, when the Company had revenues of $0. Our gross margin was 100.0% in fiscal year 2018, compared to % in 2017.
• Assets. As of December 31, 2018, the Company had total assets of $239,734, including $100,000 in cash. As of December 31, 2017, the Company had $1,226.98 in total assets, including $1,226.98 in cash.
• Net Loss. The Company has had net losses of $423,858 and net income of $1,226.98 for the fiscal years ended December 31, 2018 and December 31, 2017, respectively.
• Liabilities. The Company's liabilities totaled -$44,484.29 for the fiscal year ended December 31, 2018 and $0 for the fiscal year ended December 31, 2017.

Related Party Transaction

Refer to Question 26 of this Form C for disclosure of all related party transactions.

Liquidity & Capital Resources

To-date, the company has been financed with $44,484 in debt, $255,000 in convertibles, and $650,000 in SAFEs.

After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 7 months before we need to raise further capital.

We plan to use the proceeds as set forth in this Form C under "Use of Funds". We don’t have any other sources of capital in the immediate future.

We will likely require additional financing in excess of the proceeds from the Offering in order to perform operations over the lifetime of the Company. We plan to raise capital in 12 months. Except as otherwise described in this Form C, we do not have additional sources of capital other than the proceeds from the offering. Because of the complexities and uncertainties in establishing a new business strategy, it is not possible to adequately project whether the proceeds of this offering will be sufficient to enable us to implement our strategy. This complexity and uncertainty will be increased if less than the maximum amount of securities offered in this offering is sold. The Company intends to raise additional capital in the future from investors. Although capital may be available for early-stage companies, there is no guarantee that the Company will receive any investments from investors.

Runway & Short/Mid Term Expenses

70Million Resources, Inc. cash in hand is $100,000, as of March 2018. Over the last three months, revenues have averaged $25,000/month, cost of goods sold has averaged $0/month, and operational expenses have averaged $42,000/month, for an average burn rate of $17,000 per month. Our intent is to be profitable in 3 months.

Prior to November, 2017, we were primarily engaged in building our network of active job seekers. Currently, we have access to more than one million potential applicants with criminal records.

In November, 2017, we began selling efforts, directed at large, national employers. The sales cycle is approximately 3-4 months, on average. We are now signing up large companies at an accelerated pace and believe we generate significant revenue on an on-going basis, as a result.

Per above, we are now seeing the fruits of our prior months' sales efforts, in the form of large, national employers engaging us for recruitment services. We believe that if our clients have a positive initial experience with our services and the applicants they hire, they will continue utilizing our services on an on-going basis. We are signing up several new, large customers on a weekly basis, so we expect to see significant revenue to result. This should build as new client business is added to existing business.