I am excited to invest in Lunch because: 1) A narrow focus on the academic vertical is a differentiated approach within the traditional factoring market and should improve the team’s ability to successfully “land and expand.” 2) Academic institutions are traditionally well-capitalized and have a reputation for being reliable with making payments, so the risk of the end-user not paying is limited. 3) The founding team has strong startup experience with complementary backgrounds in operations, product, and technical development. The team has a proven track record and we have enjoyed getting to know them. The company does not have a formal board but does have a great network that they lean on. Furthermore, investors from Financial Venture Studio have been great in offering advice and connections in the financial, regulatory, investment, and customer acquisition areas. The market is large. Colleges, universities, and K-12 schools account for nearly $1.4 trillion of academic spend every year. While these institutions are usually fairly solvent, often backed by government funding, recurring donations, and/or contributions from endowment funds, they are also laden with dense bureaucratic processes that make approving and paying vendors a lengthy and inefficient process. These institutions often wield significant buyer power, which limits vendors’ ability to negotiate for faster payment terms and stresses their liquidity. Lunch provides immediate payments to vendors for their invoices that are outstanding with academic institutions, charging a 5% flat transaction fee in return. This solution alleviates liquidity issues for vendors while providing immediate cash payments at a fraction of the cost associated with bank lines of credit and traditional receivables factoring solutions. The company has multiple offers on the table for the line of credit that it will use to pay vendors. The deal that the team is most excited about has $2M in committed capital and can scale up to $25M. The interest rate starts at 15.5% and decreases as Lunch scales. This is certainly expensive initial capital, but Lunch is charging a flat 5% rate to customers and collecting in under a month, giving Lunch a 60%+ annual return. With this initial capital, management feels confident that they can prove out the business model to banks that will replace the credit facility at a significantly lower rate. We believe that the company will hit its milestones, including: 1) Hit $1M in cumulative lending for factoring services. 2) Conduct $25M of monthly transaction volume. 3) Build self-service vendor onboarding functionality into the platform. 4) Process more than 10,000 invoices per month 5) Add 500 new vendors to the platform. We are excited about what we believe this team will accomplish, and we believe the company will exit to a credit card company, a credit reporting agency, or a payment company.