Contractor+
Collaborative platform and AI for contractors
Last Funded August 2024
$538,831
raised from 536 investors
Investment Terms
You will be investing in Contractor+ 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.
- SPV Subscription Agreement - Early Bird
- Early Bird Cooley Go Convertible Note
- SPV Subscription Agreement
- Cooley Go Convertible Note
Financials
We have financial statements ending December 31, 2024. Our cash in hand is $170,583, as of December 2024. Over the three months prior, revenues averaged $38,361/month, cost of goods sold has averaged $4,903/month, and operational expenses have averaged $71,189/month.
At a Glance
Jan 1 – Dec 31, 2024
$479,309
Revenue
+104%
-$371,852
Net Loss
$915,934
Short-Term Debt
+160%
$483,831
Raised in 2024
$170,583
Cash on Hand
+104%
Net Margin:
-78%
Gross Margin:
0%
Return on Assets:
-150%
Earnings per Share:
-$0.06
Revenue per Employee:
$17,752.19
Cash to Assets:
69%
Revenue to Receivables:
1,803%
Debt Ratio:
373%
ContractorPlus-2023-Audit.pdf
ContractorPlus-2022-Audit.pdf
ContractorPlus-2024-Audit.pdf
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.
Milestones
Contractor Plus, Inc. was incorporated in the State of Delaware in February 2020.
Since then, we have:
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 $6,753 in debt, $45,000 in equity, and $115,000 in convertibles.
After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 12 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 16 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
Contractor Plus, Inc. cash in hand is $170,583, as of December 2024. Over the last three months, revenues have averaged $38,361/month, cost of goods sold has averaged $4,903/month, and operational expenses have averaged $71,189/month, for an average burn rate of $37,731 per month. Our intent is to be profitable in 12 months.
Contractor Plus has applied for a non-provisional patent on its AI assistant. Further, the company has raised $105,092 through private angel investors.
We expect our revenue to reach $80k MRR after finalization of v2, and our expenses to be ~$75k.
We are not yet profitable, and therefore, we are raising $1.5m to become profitable within the next 12 months, and continue our MRR growth to $350k within 24 months of closing the round. Between accelerating customer acquisition efforts, and increasing our unit pricing, we should achieve profitability within 12 months of release of V2.
As at Dec 31, 2024 Contractor+ has the following sources of capital: Director Loan $6,753. Private Investors funding of $105,092. The company intends to cover the short-term burn throughout the campaign through the following: Accounts Receivable due on Dec 2024 amounting to $26,590. Bank balance amounting to $170,583.
All projections in the above narrative are forward-looking and not guaranteed.
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.
Milestones
Contractor Plus, Inc. was incorporated in the State of Delaware in February 2020.
Since then, we have:
- $516K Annual Run Rate Revenue, 86%+ Gross Margins, 162% YoY growth
- Multiple Revenue Streams: Subscriptions, Payment Facilitation, Financing, Insurance Referrals & more
- $60B market opportunity with a CAGR of 19%, $13T annual construction spend
- $35k MRR, $7k+ monthly one-time revenue. 6,000 MAUs, 1040+ active paying customers
- Partnerships & integrations with Thumbtack, Intuit Quickbooks, 1build, CompanyCam, Lowe’s & Square
- Patent-pending Contractor+ Assistant AI & Strategic network effects for exponential growth
- Available on all platforms with native applications for Web, iOS and Android Phones & Tablets
- Revenues & Gross Margin. For the period ended December 31, 2024, the Company had revenues of $479,309 compared to the year ended December 31, 2023, when the Company had revenues of $234,363.
- Assets. As of December 31, 2024, the Company had total assets of $247,103, including $170,583 in cash. As of December 31, 2023, the Company had $55,148 in total assets, including $18,344 in cash.
- Net Loss. The Company has had net losses of $371,852 and net losses of $128,639 for the fiscal years ended December 31, 2024 and December 31, 2023, respectively.
- Liabilities. The Company's liabilities totaled $922,687 for the fiscal year ended December 31, 2024 and $358,894 for the fiscal year ended December 31, 2023.
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 $6,753 in debt, $45,000 in equity, and $115,000 in convertibles.
After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 12 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 16 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
Contractor Plus, Inc. cash in hand is $170,583, as of December 2024. Over the last three months, revenues have averaged $38,361/month, cost of goods sold has averaged $4,903/month, and operational expenses have averaged $71,189/month, for an average burn rate of $37,731 per month. Our intent is to be profitable in 12 months.
Contractor Plus has applied for a non-provisional patent on its AI assistant. Further, the company has raised $105,092 through private angel investors.
We expect our revenue to reach $80k MRR after finalization of v2, and our expenses to be ~$75k.
We are not yet profitable, and therefore, we are raising $1.5m to become profitable within the next 12 months, and continue our MRR growth to $350k within 24 months of closing the round. Between accelerating customer acquisition efforts, and increasing our unit pricing, we should achieve profitability within 12 months of release of V2.
As at Dec 31, 2024 Contractor+ has the following sources of capital: Director Loan $6,753. Private Investors funding of $105,092. The company intends to cover the short-term burn throughout the campaign through the following: Accounts Receivable due on Dec 2024 amounting to $26,590. Bank balance amounting to $170,583.
All projections in the above narrative are forward-looking and not guaranteed.
Risks
1
Our company acknowledges several key market trends that present both opportunities and risks in the field service management (FSM) sector. The global FSM market is experiencing significant transformations, driven by emerging trends such as the increased adoption of contactless, cashless, and self-service technologies. These innovations are setting new standards in our industry, offering enhanced flexibility and convenience for both workers and customers.
We are committed to adapting our strategies in response to these trends, but investors should be aware that such market dynamics could influence our revenue growth, market position, and profitability. The ability to respond effectively to these trends while managing the associated risks will be critical to our success in this evolving market landscape
We are committed to adapting our strategies in response to these trends, but investors should be aware that such market dynamics could influence our revenue growth, market position, and profitability. The ability to respond effectively to these trends while managing the associated risks will be critical to our success in this evolving market landscape
2
Both ends of the fragmented market we're working to consolidate are extremely competitive. Competition in many cases may be more capitalized and efficient than we are at GTM.
3
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.
Other Disclosures
The Board of Directors
| Director | Occupation | Joined |
|---|---|---|
| Justin Smith | CEO @ Contractor Plus, Inc. | 2020 |
| Roshanlal Sethia | CTO @ Contractor Plus. Inc. | 2020 |
| Michael Demler | Investor & Software Engineer @ San Diego Startups | 2024 |
| Liam Bowers | Investor @ Teel Mountain Capital | 2024 |
Officers
| Officer | Title | Joined |
|---|---|---|
| Justin Smith | 2020 | |
| Roshanlal Sethia | CTO | 2020 |
Voting Power
| Holder | Securities Held | Power |
|---|---|---|
| Justin Smith | 2,850,000 Common Stock | 45.5% |
| Roshanlal Sethia | 2,500,000 Common Stock | 39.9% |
Past Fundraises
| Date | Security | Amount |
|---|---|---|
| 8/2024 | Convertible Note | $433,831 |
| 7/2024 | Convertible Note | $50,000 |
| 12/2023 | Convertible Note | $55,000 |
| 5/2023 | Convertible Note | $94,317 |
| 10/2021 | Convertible Note | $113,527 |
| 12/2020 | Loan | $6,753 |
Convertible Notes Outstanding
| Issued | Amount | Valuation Cap | Maturity |
| 12/7/23 |
$55,000
|
$8,100,000 | 6/6/25 |
| 7/10/24 |
$50,000
|
$8,100,000 | 6/6/25 |
Outstanding Debts
| Issued | Lender | Outstanding | Maturity |
|---|---|---|---|
| 12/30/20 | Justin Smith |
$6,753
|
11/30/21 |
Related Party Transactions
Use of Funds
| $50,000 | After the 7.5% Wefunder platform fees, we will allocate 42.5% to product (extending our current runway as we continue on the path of growth) and 50% to sales and marketing. |
|---|---|
| $1,500,000 | After the 7.5% applicable Wefunder platform fees, we will allocate $625,212 (32.5%) to marketing, $487,500 (20%) to sales/business development, $162,500 (10%) to increase in overhead, $240,000 (16%) auto increase in engineering costs and $216,000 (14%) to sustain current burn. |
Capital Structure
| Class of Security | Securities (or Amount) Authorized | Securities (or Amount) Outstanding | Voting Rights |
|---|---|---|---|
| Common | 10,000,000 | 6,262,995 | Yes |
Form C Filing on EDGAR
The Securities and Exchange Commission hosts the official Form C on their EDGAR web site.