INVEST
min $100
A Convertible Note is debt that converts to equity. If you invest, you're betting AptDeco will be worth more than $40M in the future.
You will be investing in AptDeco through an SPV. This means that when you invest, you will be signing the SPV Subscription Agreement, not the direct investment contract. For more information on SPVs, see here.
We have financial statements ending December 31, 2023. Our cash in hand is $450,000, as of July 2024. Over the three months prior, revenues averaged $489,000/month, cost of goods sold has averaged $98,000/month, and operational expenses have averaged $375,000/month.
Management’s Discussion and Analysis of Financial Condition and Results of OperationsYou 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.OverviewAptDeco, Inc. is the leading furniture-specific resale marketplace for buying and selling online.AptDeco Inc. is an online marketplace for buying and selling pre-owned furniture, offering a convenient platform with delivery services included. MilestonesAptDeco was formed in Delaware on February 28, 2013 under the name AptDeco, LLC. On December 12, 2013 the Company filed a certificate of conversion from a limited liability company to a corporation: the name of the corporation is AptDeco, Inc. Since then, we have:
Historical Results of Operations
Liquidity & Capital ResourcesTo-date, the company has been financed with $2,414,000 in debt, $6,959,812 in equity, $10,260,368 in convertibles, and $655,000 in SAFEs.After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 36 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 ExpensesAptDeco, Inc. cash in hand is $450,000 as of July 2024. Over the last three months, revenues have averaged $489,000/month, cost of goods sold has averaged $98,000/month, and operational expenses have averaged $375,000/month, for an average net margin of $16,000 per month. Our intent is to be profitable in 2 months.Since the date our financials cover, the business has been trending positively. We've significantly reduced our burn since the 2022–2023 period. Based on our current trends, we expect to be fully cash flow positive in 2H24.We expect our revenue to average $700K a month over the next 6 months and our total expenses (including COGs) to equal $700K a month as well. We are not profitable yet, but we expect to be profitable in 2024.We've raised capital from venture capital investors as well as a venture debt loan. We're able to finance the business with the current cash on hand.All projections in the above narrative are forward-looking and not guaranteed.
Dependence on individuals and businesses listing furniture on the platform: The platform's success depends on the need for people to sell furniture. The company has no control over the availability and quality of the products listed on its platform. The platform may suffer if there are not enough people or businesses that need to sell furniture.
Our future success depends on the efforts of a small management team. The loss of services of the members of the management team may have an adverse effect on the company. There can be no assurance that we will be successful in attracting and retaining other personnel we require to successfully grow our business.
Shipping risks: The platform provides shipping services for the products sold on its platform. Any disruption in the shipping infrastructure, such as delays or damages during transit, could impact the platform's ability to fulfill orders on time and could result in customer dissatisfaction.
Quality risks: The quality of the used products sold on the platform may vary widely. If customers receive products that do not match the description or are in poor condition, the platform's reputation and customer satisfaction may suffer.
Liability risks: The platform may face liability claims related to the products sold on its platform or related to the shipping services it provides. These claims may result in legal costs, settlements, and reputational damage.
The Securities and Exchange Commission hosts the official Form C on their EDGAR web site.
