Do you have vegan (non-dairy) options? For someone lactose-intolerant like me, that is important! :)

Hello Francis - apologies for the delay in replying. Our products all contain milk at the moment, although we do have vegan options made with coconut milk. They're very labor intensive, unfortunately, so we only make them for events as a special request. This is one of the top priorities on our product roadmap and we've been trying to see how to make it more cost effective.

Hi, I have a few questions: 1. How scalable is your business when all the truffles are handmade? What if Renata wants to take a 2 week vacation, who is going to keep the same production rate? 2. What other online distribution channels are you planning besides your own site? 3....

Great questions, Ruan.Renata hasn't been hands-on in production for over 3 years since we have staff that make chocolate and put on events. And she's been gone for a 3 week span in the past without affecting production.Our brigadeiros are hand made in the sense that the final stage involves people, but the vast majority of the process doesn't.Our production team is all part-time, which means we have had to pay roughly 25% - 50% more per hour for these qualified folks in order to retain t...

does your products includes alcohol ? or even in the process of making it ?

Hi Fawaz - thanks for your question and your patience with my response time. No, we don't have any alcohol in any of our products and we're not planning on adding any. There is so much to do with various types of chocolate, with fruits and nuts that it'll keep us busy for a long time.

Since we invest in future equity agreement what is roadmap for the company to go public or possibilities for the investors to make a profit?

Hi Lydia - the plan is to be acquired, not to go public. It's simpler and easier. I cover a few scenarios in a FAQ about acquisition which has documents outlining acquisition scenarios and why we feel that a $25M valuation in 5 years is reasonable. The short answer is that we plan on growing the company 75% to 100% for the next few years, reaching $7M in annual revenue / $3.2M in EBITDA (profit). At that time we would be able to earn an 8x multiple from an acquirer. If this sounds too cryptic...

Will there be any profit sharing to investors in the next 5-10 without an exit scenario?

Good question, Dilip. At this time we have no plans for a dividend or revenue share. We considered it, but felt that it would limit the company's growth so we opted for a SAFE, which is strictly a stock arrangement. Regards, Andrei

tinyB chocolate

Brazilian chocolate truffles, sweet experiences

tinybchocolate.com

San Francisco

Female Founder Food & Beverage B2C Cafe & Food Truck

Investment Terms

Financials

We have financial statements ending December 31, 2018. Our cash in hand is $162,382, as of June 2020. Over the three months prior, revenues averaged $32,207/month, cost of goods sold has averaged $16,030/month, and operational expenses have averaged $28,189/month.

At a Glance

Jan 1 – Dec 31, 2018

$537,057

+69%

Revenue

-$187,225

Net Loss

$8,974

-64%

Short-Term Liabilities

Raised in 2018

$162,382

Cash on Hand

Net Margin:

-35%

Gross Margin:

35%

Return on Assets:

-169%

Earnings per Share:

-$0.05

Revenue per Employee:

$179,019

Cash to Assets:

109%

Revenue to Receivables:

3,332%

Debt Ratio:

253%

attachment 1.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

2019 Operations

We saw continued strength in our team building offering and grew revenues steadily.

We faced two main challenges during our busiest time of the year due to unexpected change in staff. We were not able to keep up with demand because two of our key staff members left the organization and the Founders had to focus on maintaining the back-end logistics rather than sell.
However, we still achieved a revenue growth of over 60% from 2018.

Runway & Short/Mid Term Expenses

tinyB chocolate LLC cash in hand is $162,382, as of June 2020. Over the last three months, revenues have averaged $32,207/month, cost of goods sold has averaged $16,030/month, and operational expenses have averaged $28,189/month, for an average burn rate of $12,012 per month. Our intent is to be profitable in 18 months.

The pandemic shifted our business significantly: we saw zero revenue from team building activities and at the same time saw a surge in our eCommerce business.

We expect to continue strong eCommerce sales, boosted by a new virtual team building offering.

We obtained a $93,000 emergency disaster loan which has helped significantly. We are also investing in online advertising and marketing.

Risks

Our clients are predominantly large high tech and biotech companies in Silicon Valley. Any economic event that causes a significant negative impact on these industries will also impact our company.

In order to continue our rapid growth, we will need expand and diversify our services, the markets we serve or both. Although there are exceptions, a given decision maker (ie a team or department) will not purchase an identical event for a team for several years after an initial event.

We must manage our cash flow carefully, taking into account potential seasonality both in terms of slower demand for our services during summer and a peak in demand during the Holidays.

Other Disclosures

The Board of Directors

Director	Occupation	Joined
Renata Stoica	Co-founder @ tinyB chocolate LLC	2014
Andrei Stoica	Co-founder @ tinyB chocolate LLC	2014
Ilya Druzhnikov	CEO and Founder @ Exit VR	2016

Officers

Officer	Title	Joined
Renata Stoica	Co-Founder	2014
Andrei Stoica	Co-Founder	2014

Voting Power

Holder	Securities Held	Power
Renata Stoica	20,000,000 Common Units	50.0%
Andrei Stoica	20,000,000 Common Units	50.0%

Past Fundraises

Date	Security	Amount
3/2020	SAFE	$127,902
7/2019	Loan	$25,000
12/2016	Loan	$250,000
7/2016	Convertible Note	$100,000

Outstanding Debts

Issued	Lender	Outstanding	Maturity
12/16/16	Main Street Launch (SBA loan)	$210,000	12/16/26
7/15/19	Vladimir Stoica	$25,000	7/15/24

Related Party Transactions

Name	Vladimir Stoica
Amount Invested	$25,000
Transaction Type	Loan
Issued	7/15/19
Outstanding Principal Plus Interest	$25,000 as of 7/17/19
Interest	12% per annum
Maturity	7/15/24
Outstanding	Yes
Current with Payments	Yes
Relationship	Father

Use of Funds

$100,000	70% toward new production facility, 22.5% sales & marketing (specifically testing of LinkedIn and partnerships), 7.5% Wefunder intermediary fee
$400,000	25% toward new production facility, 10% toward sales & marketing (specifically testing of LinkedIn and partnerships), 20% officers' salaries, 37.5% operating capital, 7.5% Wefunder intermeidary fee

Capital Structure

Class of Security	Securities (or Amount) Authorized	Securities (or Amount) Outstanding	Voting Rights
Common Units	20,000,000	4,000,000	Yes

Form C Filing on EDGAR

The Securities and Exchange Commission hosts the official Form C on their EDGAR web site.

Details