1. 1
TechShop
Investment
Opportunity

2. Multi-Billion Dollar Intersection
Maker Movement
2
Education
Collaborative Economy
Retail

3. Exciting Times
for TechShop
3

4. TechShop a
Globally
Recognized
Leader in the
Maker Movement
4

5. Valua%ons
• Collaborative Economy:
• Uber: $41 Billion
• AirBNB: $13 Billion
• WeWork: $5 Billion
• Retail:
• Kinko’s $3.2 Billion exit
• Maker Movement:
• MakerBot: $600 Million exit
• Etsy $3.5 Billion
5

6. The
Problems
TechShop
Solves
• People need access to tools, knowledge
and community to make things.
• Cities, corporations, high schools,
universities and libraries need help setting
up and running maker spaces.
• Startups need design and manufacturing
services.
6

7. • Membership-Based
• Open Access
• DIY Machine Shop
and Fabrication Studio
(Maker Space)
• The worlds first, largest and
most advanced, multiunit
maker space
TechShop
7

8. • 15,000 - 20,000 Sq. Ft.
• Every tool needed
• $125 a month
• 100’s of Classes
• Corporate Events
• 24/7
• Know good expansion process
• Global reach
TechShop
8

9. TechShop’s Spheres of Engagement
On Site
Local
Community
National Market
Training/Mentoring
Member Activities
Showcase/ Retail
Special Events
9

10. TechShop’s Spheres of Engagement
On Site
Local
Community
National Market
Training/Mentoring
Member Activities
Showcase/ Retail
Special Events
10
Community Events
Special Promotions
Maker Faires
Pop-Ups/Shows/Displays
Community Outreach
Prizes/Scholarships
Mentoring/Training

11. TechShop’s Spheres of Engagement
On Site
Local
Community
National Market
Training/Mentoring
Member Activities
Showcase/ Retail
Special Events
11
Community Events
Special Promotions
Maker Fairs
Pop-Ups/Shows/Displays
Community Outreach
Prizes/Scholarships
Mentoring/Training
Prizes/National Promotions
Expert Help
Pop-Ups/Garages
Short-Run Manufacturing
Training & Resources
Open Innovation Platform
Tours/Shows
Online/Digital Community
TV/Video Programming

12. Machine Tools
12

13. Machine Tools - CNC
13

14. 3D Printing
14

15. Laser Lab
15

16. Sheet Metal
16

17. Welding
17

18. Water Jet
18

19. Wood Working
19

20. Plastics
20

21. Software and Electronics
21

22. Textiles
22

23. Large Project Bay
23

24. Team and Group Events
24

25. Community
25

26. TechShop’s Mission
Drive Global Innovation
by Engaging, Enabling
and Empowering The
“Creative Class” to Build
Their Dreams
26

27. Become the leading
platform in the market
focused on the creative/
maker class.
TechShop’s Goal
27

28. TechShop IP
28
Custom built and fully
integrated CRM, ERP,
Class Management,
and RFID enabled tool
and access
management system.

29. TechShop Maker Space SaaS Platform
29

30. Platform
TECHSHOP STORE
Memberships ✔
Classes ✔
Events ✔
Retail ✔
Design services (‘15)
Manufacturing (‘15)
RETAIL EXPANSION
Branded merchandise (’15)
3D Printers (‘15)
REAL ESTATE
Innovation centers
Co-working spaces
ONLINE
Online Training (‘15)
Member project store
Maker space licensed SaaS (‘15)
TECHSHOP INVESTING
Hardware incubator
Seed fund
Fast Follow Fund
EDUCATION
Certificates / Badges (‘15)
Degree program (with ASU) ✔
Human centered design ✔
TECHSHOP CONSULTING
Learning journeys ✔
Innovation Strategy
Maker Spaces
TECHSHOP MEDIA
TV Show (Mike Rowe)
YouTube Channel
Publishing
30

31. Platform and Use of Funds
TECHSHOP STORE
Memberships ✔
Classes ✔
Events ✔
Retail ✔
Design services (‘15)
Manufacturing (‘15)
RETAIL EXPANSION
Branded merchandise (’15)
3D Printers (‘15)
REAL ESTATE
Innovation centers
Co-working spaces
ONLINE
Online Training (‘15)
Member project store
Maker space SaaS (‘15)
TECHSHOP INVESTING
Hardware incubator
Seed fund
Fast Follow Fund
EDUCATION
Certificates / Badges (‘15)
Degree program (with ASU) ✔
Human centered design ✔
TECHSHOP CONSULTING
Learning journeys ✔
Innovation Strategy
Maker Spaces
TECHSHOP MEDIA
TV Show (Mike Rowe)
YouTube Channel
Publishing
31

32. Leadership Team
Dan Woods
COO
Jim Newton
Chairman and Founder
Carrie Motamedi
Vice President of Marketing
Mike Hilberman
CFO
Mythbusters | Battle Bots
Mark Hatch
CEO
Avery Dennison | Kinko’s
Make | O’Reilly
Early Growth | Levi’s
AT&T | Booz Allen
Sun Microsystems | Burson-Marsteller
32

33. Board/Advisors
Doug Busch COO Care Innovations | Former Intel CIO
Carl Bass (Observer) CEO Autodesk
Jim Newton TechShop
Mark Hatch TechShop
Dan Woods TechShop
BOARD
ADVISORS
Chris Anderson DIY Drones | Wired
Guy Kawasaki Author, Thought Leader
Nolan Bushnell Atari | Chuck e Cheese
Eric Von Hippel MIT Open Innovation expert
Joe Pine Author, Mass Customization, The Experience Economy, business guru
Jerry Gramaglia P&G, Sprint, Nestle, Pepsi, Etrade
Bruce Wonnacott Sonic Wall
Todd Ordal Co-Founder Kinko’s
Russ Stanphill Motorola
Phoenix Wang Startl, Hewlett Foundation, MacArthur Foundation
33

34. Partners
34

35. Press
35

36. Fastest Growing Private Companies
36
TechShopA membership-based center offering equipment
such as laser cutters, welding stations and water jet
cutters and training for fabrication and prototyping.
RANK 3-YR-GROWTH 2013 REVENUE INDUSTRY
611 778% $1.1M Manufacturing
2014 INC. 5000 HONORS
Top Manufacturing Companies San Jose Metro Area

37. Ken Hawthorn
Co-Inventor
37

38. Tina Albin-Lax
Entrepreneur
38

39. Andy Filo
Entrepreneur
39

40. Aaron Cohen &
Darryl LeVasseur
TechEdSat
40

41. Danny Fukuba
Entrepreneur
41

42. Chris Chalmers
Artist
42

43. Brandon
Richardson
Entrepreneur
AperiaTech
Self Regulating Tire Inflator
43

44. Espen Siversten
Entrepreneur
Type- A Machines
Award Winning 3D Printer
44

45. Karen Snyders
Entrepreneur
45

46. Max Gunawan
Entrepreneur
Lumio
Innovative Lighting
46

47. Anton Willis
Entrepreneur
Oru
Origami Kayak
47

48. Roy Sandberg
Entrepreneur
48

49. Michael Pinneo
Desktop Diamonds
49

50. Patrick Buckley
Entrepreneur
DODOcase for iPad
50

51. 51

52. James McKelvey
Entrepreneur
Square
Mobile Payments Device
52

53. Phil Hughes
Entrepreneur
World’s Most Efficient
Server Cooling System
53

54. Nick Koshnick
Entrepreneur
Reduces Use of Fertilizers
and Nitrogen Runoff
Solum, Inc.
Agricultural Green
Technology
54

55. Jon Cedar &
Alec Drummond
BioLite Green
Technology
Stove recharges batteries
while cooking
55

56. Trevor Boswell
Entrepreneur
DripTech
Low Cost Drip
Irrigation System
56

57. Jane Chen &
Nagananad Murty
Entrepreneurs
Embrace
Portable Incubation blanket
57

58. 58
TechShop
Financial
Discussion

59. 59
Key Metrics/ Highlights
• 7,000 current active members
• $9.8 million revenue for 2013
• $12.0 million revenue for 2014
• 30x revenue growth in 6 years
Menlo
Park
STORE OPENINGS/REVENUE
Pittsburgh,
Chandler
San
Francisco
San Jose,
Raleigh
Detroit,
Austin
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
DC-Arlington

60. 60
2014 EBITDA Performance
($000s)
TechShop
San Francisco
TechShop
Detroit
TechShop
Chandler
Revenue 2,396 1,272 981
Cost of Sales (291) (124) (182)
Gross Margin 2,105 1,148 799
88% 90% 81%
Salaries and Benefits (808) (540) (510)
Facilities (297) (143) (47)
Other Operating Expenses (296) (235) (146)
Total Operating Expenses (1,401) (918) (703)
Net Ordinary Income (EBITDA) 704 230 96
29% 18% 10%
SAMPLE STORES

61. 61
Store Financing – A Major Pivot
• Historically stores funded through small loans
– Raised millions through small lenders for TSMP, TSSJ, TSSF
• Now New stores are funded largely through institutions (city, education,
commercial)
– Chandler: ASU & City of Chandler funded building, tenant improvements and equipment
– St. Louis: Cortex St. Louis Innovation Community facilitating $3 million in grants and 1,000
initial members with support from Washington University
– LA: REEF and City of Los Angeles providing $3.4 million in funding and 280 initial members
• Licensing deals: Leroy Merlin will own and operate 5 international stores for
a multi-million dollar, 5 year licensing and support contract

62. New
Offerings
• TechShop in a Box: Cities, corporations,
high schools, universities and libraries
need help setting up and running maker
spaces. SaaS Cloud based OS
• Online/ Offline learning, digital badges,
CNC training
• Design and manufacturing services.
62

63. 63
Business Model – Local Store Target
Store Opening
$3 - 3.5 Million
(Grant / Debt /
TI’s / Equity)
Local Market
Marketing
National Publicity
& Promotion
Local Store
Target: $2.7 million
annual revenue by year 5
25%+
EBITDA
GOAL
Local Revenue Targets
Memberships: 45-50%
Education: 15-20%
Events: 8-12%
Services: 15-20%
Retail: 2-5%

64. 64
Locations
OPEN (8)
Mid-Peninsula
(Redwood City)
San Francisco
San Jose
Detroit
Austin-Round Rock
Pittsburgh
Phoenix
DC-Arlington
ACTIVE
DISCUSSIONS (13)
Austin
Boston
Brooklyn
Calgary
Cedar Valley, IA
Chicago
Denver
Grand Rapids
Montreal, CA
Philadelphia
Savannah
Toronto, CA
Vancouver, CA
DEVELOPMENT (11)
Baltimore ($3m pledged)
St. Louis
Louisville ($1m pledged)
Los Angeles
Abu Dhabi
Munich
Paris (Leroy Merlin 1 of 5)
TARGETS (9)
Atlanta
Cincinnati
Cleveland
Miami
Milwaukee
Minneapolis
Portland
Salt Lake
Seattle

65. 65
Phased Approach to Rollout
Launch Phase
Rollout Phase 1
Rollout Phase 2
Rollout Phase 3
• Initial Launch
• 1 Location
• Prototype Stores
• Core Team
• Refine Local Model
• 8 Markets
• Strategic Partners
• Customized
to Location
• National Footprint
• Expansion of
Core Team
• Rapid Rollout
• 30 - 200+ Markets
• Multiple Models
in Market
• Expansion of
Services
• Integrated Platform
of Stores, Media &
Related Services
2006-2010
2011 -2014
2015-2020
2021+

66. 66
Future Outlook
• 20+ projects in development
• $150 to $250 million in pending commitments over 10 years with ½ in first
year
• Two International joint venture and licensing signed
– Multi-million dollar deal with Leroy Merlin for five stores – Paris will be launched first.
– TechShop Abu Dhabi first Middle East location supported by Abu Dhabi government.
• Education segment expansion
• Design and make services

67. 67
TechShop
Investment
Discussion

68. 68
Two Ways To Invest In TechShop
• Seeking up to $10-20 million
in additional equity.
• $50 million pre-money valuation.
• 10% discount on the second
$5 million.
• $2.54 / share (2.286 discounted).
• $25k minimum. Rolling close.
Equity: Series B Preferred Stock Debt: 10 Year Loan
• Debt is primarily held and
serviced by individual stores.
• 10 year notes at 8%.
• 5 year interest only period plus
5 year interest and principle.
• Annual payments.
• $25k minimum loan.
….All investors receive a Lifetime Membership

69. 69
Investing In Private Companies
• Part of the new JOBS Act
– Allows broader outreach to potential investors
• All investors in private companies must be “Accredited
Investors” (SEC requirement)
– Requirements: Either $1m in asset or $200/$300k in income
– Forms now must be certified by a lawyer, CPA, advisor or broker.
– http://www.sec.gov/investor/alerts/ib_accreditedinvestors.pdf

70. 70
Steps to Invest
Receive full investment documentation and company
financials, along with detailed funding instructions.
Contact invest@techshop.com today!
Questions: invest@techshop.com to reach Sesame Mish and team.
Make final decision to invest.
Fill in Accredited Investor Questionnaire (SEC requirement)
and get it certified by a lawyer, CPA or broker.
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71. 71
Conclusion
• Were you able to invest in the early stages of AirBNB, WeWork or
Uber? Where are they now?
– AirBNB: $13 Billion valuation
– WeWork: $5 Billion valuation
– Uber: $41 Billion valuation
• The market is begging for more TechShop locations, access to
capital is our limitation on expansion opportunities.
• Here is your chance to get in early on a huge opportunity!

72. Thank You!
Mark Hatch
CEO
TechShop
Twitter: @markhatch
Linkedin: markhatch

73. 73
Steps to Invest
Receive full investment documentation and company
financials, along with detailed funding instructions.
Contact invest@techshop.com today!
Questions: invest@techshop.com to reach Sesame Mish and team.
Make final decision to invest.
Fill in Accredited Investor Questionnaire (SEC requirement)
and get it certified by a lawyer, CPA or broker.
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