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

We're a team of filmmakers, proven in our ability to tell great stories and turn a profit in the marketplace. We need people like you to share in the production and revenues of this new and original suspense feature created in the way we know best: on a Micro-Budget for greater ROI potential.

We have a few films like this one in the queue with progressively higher budgets. But we want to start conservatively with Martingale to prove ourselves on a fundraising platform that is brand new to us!

Given the Company’s limited operating history, the Company cannot reliably estimate how much revenue it will receive in the future, if any.

Milestones

Martingale LLC was incorporated in the State of Colorado in January 2018.  It is owned by Adventus Film, which is owned by the founder and managing member of Martingale LLC, Chris Taylor

Since then, we have:

• Our marketing team grossed 30-40x the budget on previous movies
• Past movies have garnered 24 "Best Film" and "Audience Choice" awards at film festivals.
• Director Tony Doupé has acted in over 85 movies and TV shows.
• Historically, we've specialized in shoestring budgets with high production value to maximize profits.

Historical Results of Operations

Our company was organized in August 2017 and has limited operations upon which prospective investors may base an evaluation of its performance.

• Revenues & Gross Margin. For the period ended February 9, 2018, the Company had revenues of $0.
• Assets. As of February 9, 2018, the Company had total assets of $0, including $0 in cash.
• Net Loss. The Company has had net losses of $215 for 2018.
• Liabilities. The Company's liabilties totaled $0 for 2018.

Liquidity & Capital Resources

After the conclusion of this Offering, should we hit our minimum funding target, our expected runway will be about 6 months as we complete filming and pre-production.  If we only hit our minimum funding target, these funds will not be sufficient to complete the film, and we will need to raise further funds to complete post-production.

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. If we do not hit our maximum fundraising target we will look to individual investors to raise additional capital so we are able to finish the movie. 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.

The founder and managing member currently owns Adventus Films, which owns Martingale LLC.  The founder and managing member plans to award 50% of the units of Martingale LLC to give to producers of the film as sweat equity, and the other 50% of units to future investors willing to fund the project.  There have been no assets or intellectual property transferred between Adventus Films and Martingale LLC to date.

Runway & Short/Mid Term Expenses

Martingale LLC cash in hand is $0, as of January 2018. As we have not yet started production on the movie, over the last three months revenues have averaged $0/month, cost of goods sold has averaged $0/month, and operational expenses have averaged $0/month, for an average burn rate of $0 per month.

Martingale LLC has no operating history and has relied on its sole member's work to push the project forward.

Provided a successful funding campaign, the majority, if not all, of our funds will be expended in 6 - 12 months, which includes shooting, editing and distribution costs. While a minimum $65,000 investment is needed to get us through Filming and Pre-Production, another $15,000 will be needed for Post-Production.  If we only hit our minimum fundraising target we will need to raise additional funds to complete the film. 

If we're unable to raise that through an equity investment, crowdfunding or otherwise, our team has the aptitude and resources to bootstrap the rest of what's needed to deliver a completed film, whether it be through sweat equity, production company funds (outside of Martingale LLC), non-equity crowdfunding (Kickstarter for example), or all of the above. We've done this before and if it comes to that again, we have complete confidence in finding alternative means to finalize the movie to ensure its marketability.