MySwimPro

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

From beginners to elite competitors, MySwimPro delivers an incredible training experience for swimmers through personalized swim workouts, weekly training plans, instructional video content, and detailed analytics. Swimmers from over 180+ countries are training with guided MySwimPro workouts on their phones and smartwatches – “it’s like a swim coach on your wrist.” Our entire team loves to swim, and we couldn’t be more excited to continue building the #1 app for swimmers. 

Milestones

MySwimPro, Inc. was incorporated in the State of Delaware in March 2015.

Since then, we have:

• Over 2 Million Downloads on iOS & Android
• $7M+ in Lifetime Revenue and 13,000+ paying subscribers
• Doubled revenue and tripled audience size in the last 18 months
• Over 500 investors from 50+ countries
• Named App of the Year by Apple
• Co-Founded and led by #1 Youtuber in swimming
• Featured in Men's Health, Sports Illustrated, New York Times

Historical Results of Operations

• Revenues & Gross Margin. For the period ended December 31, 2022, the Company had revenues of $1,674,127 compared to the year ended December 31, 2021, when the Company had revenues of $1,262,582. Our gross margin was 85.28% in fiscal year 2022, compared to 83.89% in 2021.
• Assets. As of December 31, 2022, the Company had total assets of $605,390, including $502,783 in cash. As of December 31, 2021, the Company had $703,701 in total assets, including $162,161 in cash.
• Net Loss. The Company has had net losses of $591,688 and net losses of $209,981 for the fiscal years ended December 31, 2022 and December 31, 2021, respectively.
• Liabilities. The Company's liabilities totaled $630,051 for the fiscal year ended December 31, 2022 and $468,127 for the fiscal year ended December 31, 2021.

Liquidity & Capital Resources

To-date, the company has been financed with $80,000 in convertibles and $1,041,042 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 Expenses

MySwimPro, Inc. cash in hand is $207,957.82, as of September 2023. Over the last three months, revenues have averaged $184,942/month, cost of goods sold has averaged $44,824/month, and operational expenses have averaged $152,205/month, for an average burn rate of $12,087 per month. Our intent is to be profitable in 8 months.

In February 2023, the Company expanded the number of shares issued from 1,100,000 to 2,000,000. All full-time team members were awarded additional option grants in relatively equal proportion to their existing option grants from when they first joined the Company. 

In the next 3-6 months, revenues are projected to rise 10-20% while expenses increase 5-10%. This increase in revenue met with a slower increase in expenses will bring the Company closer to profitability. The Company's strategy is to be cash-flow positive in 2024. 

We are not yet profitable. The Company's strategy of increasing revenue at a faster rate than increasing expenses will enable the business to be cash-flow positive in 2024, assuming we are able to raise at least $200,000 in capital.

Aside from Wefunder, the Company generates revenue from subscription sales, advertising, and events. The fundraising campaign will enable accelerated product development and marketing to reach profitability more quickly. 

All projections in the above narrative are forward-looking and not guaranteed.