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Complete energy-saving solutions for your home.
The Home Retrofit IT System™
for home performance contractors
AngelList Investor Presentation
June 24, 2013
Proprietary & Confidential 1
 Build America’s leading network of home performance
contractors – by aggregating select contractors as
licensees, all on a single, integrated IT platform to scale
up home efficiency retrofits.
 Revenue Model: License fees, with a fixed monthly fee
and a fee per home retrofit, plus fees for lead
generation.
What’s the investment opportunity?
Proprietary & Confidential 2
What does a home performance contractor do?
Insulate attics
Insulate basements
& crawlspaces
Upgrade HVAC systems
Seal or replace ductwork
Seal interior air leaks
Proprietary & Confidential 3
Contractors need a SaaS platform for home retrofits
1. Streamline retrofit management
2. Improve effectiveness: Get to retrofit
3. Generate leads
Energy audit Home retrofit Test out Post-retrofit
analysis
Proprietary & Confidential 4
The Home Retrofit IT System™
The Home
Retrofit IT
System™
The first fully-integrated IT platform for home retrofits:
1.Customer
Relationship
Management
System
2.Home Energy
Assessment
System
3.Home
Retrofit
Management
System
4.Retrofit
Financial
Admin System
Proprietary & Confidential 5
Competing IT Systems: Wide open opportunity
No integrated IT systems available for complete home retrofit process
Some home performance contractors using generic software for
different components of home retrofit process:
• CRM platforms, e.g. Saleforce.com
• Home energy assessment software, with focus on building modeling,
e.g. Conservation Services Group’s Energy Measure HOME, Hancock
Software’s iHeat, or PSD Consulting’s TREAT
• Field service management software, e.g. Dell’s packetTrap
• Financial accounting software, e.g. Intuit’s QuickBooks
Several companies building national/regional contractor networks for
home retrofits may develop their own IT platforms
Proprietary & Confidential 6
Developed elements for IT System
Over 200 energy audits and 80+ retrofits in Atlanta
Proprietary & Confidential 7
It works! 40% savings on heating & cooling
Proprietary & Confidential 8
So, how do we scale?
Proprietary & Confidential
Six leading home performance contractors signed up
License fees starting at $120 per month and $40 per retrofit
9
Demonstrated demand
Energy Construction LLC (Albany, NY)
Retrofits in 2012: 40
HomeRx (Seattle, WA)
Retrofits in 2012: 70
Insulation Man (Binghamton, NY)
Retrofits in 2012: 33
Neil Kelly Home Performance (Portland, OR)
Retrofits in 2012: 400
Sellair (Allentown, PA)
Retrofits in 2012: 50
TerraLogos (Baltimore, MD)
Retrofits in 2012: 112
Proprietary & Confidential 10
Build America’s leading home retrofit network
67 million single-family, owner-occupied homes
384 metropolitan areas (pop. 55,000+)
 Est. $150 billion retrofit market, with $1.1 billion for IT systems
Proprietary & Confidential 11
Identify core markets in each state – e.g. New Jersey
Passaic county
Bergen county
Essex county
Middlesex/
Union counties
Morris county
Somerset county
Hunterdon county
Mercer/Monmouth
counties
Monmouth county
(Sandy Hook)
Monmouth (Jersey shore)/
Ocean counties
Ocean county (Barnegat)
Atlantic county (Hammonton)
Atlantic county (Jersey shore)
Cumberland
county
Gloucester
county
Camden/Burlington
W. Deptford
counties
New Jersey Clean Energy
Program:
• 155 participating home
performance contractors
• Of which 44 contractors
are potential licensees in
16 core markets
Home performance
contractor
Proprietary & Confidential 12
Lead generation with RFA’s Home Efficiency App™
Proprietary & Confidential 13
How do we execute?
Key Management & Expertise
Key Personnel to hire
• Geoff Berlin, Founder & CEO
• Maxim Ivanov, IT Lead [Ciklum]
• Dr. Matthew Realff, Lead on
Home Efficiency App™ [Georgia
Tech]
Board members
• Ron Harris, Chair
• Rick Degolia, Director
Geoff Berlin, CEO
• IT Director
• Business Development
Director
• Marketing Manager for
Lead Generation
Proprietary & Confidential 14
Financing requirements to go to market
Raising $500,000 through issuance of Series A Preferred Stock
to:
• Develop and deploy v1.0 of the Home Retrofit IT System™
• Scale to 20 to 25 home performance contractors
Follow by $800,000 to complete IT development and scale
Proprietary & Confidential
$(20)
$-
$20
$40
$60
$80
$100
$120
$140
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
$ millions Pro Forma Financial Results
15
How much money do we make?
5-Year Pro Forma Results (2018)
• Contractor licensees: 390
• Home retrofits: 245,000
• Revenue: $41 million
• Operating Cash Flow: $24 million
Revenue
Operating
Cash Flow
+ Upside: Home Improvement IT System™ for specialized
home improvement subcontractors
Proprietary & Confidential 16
How do we exit?
Build value through IT systems and national network of home
performance contractors.
Potential strategic acquirers include:
• Home improvement retailers (e.g. Lowe’s, Sears, The Home Depot)
• HVAC manufacturers (e.g. Carrier, Goodman, Lennox, Trane)
• Renewable energy system installers (e.g. SolarCity, Sungevity)
• Home performance contractors establishing a national presence
(e.g. Masco Corporation)
• IT companies with a focus on residential energy efficiency
(e.g. OPower)
• IT companies in the home improvement sector
(e.g. Dell/Quest Software)
Proprietary & Confidential 17
 A proven, successful approach
 Demonstrated demand
 A high impact investment
The Bottom Line

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Rfa angel list 23jun13

  • 1. Complete energy-saving solutions for your home. The Home Retrofit IT System™ for home performance contractors AngelList Investor Presentation June 24, 2013
  • 2. Proprietary & Confidential 1  Build America’s leading network of home performance contractors – by aggregating select contractors as licensees, all on a single, integrated IT platform to scale up home efficiency retrofits.  Revenue Model: License fees, with a fixed monthly fee and a fee per home retrofit, plus fees for lead generation. What’s the investment opportunity?
  • 3. Proprietary & Confidential 2 What does a home performance contractor do? Insulate attics Insulate basements & crawlspaces Upgrade HVAC systems Seal or replace ductwork Seal interior air leaks
  • 4. Proprietary & Confidential 3 Contractors need a SaaS platform for home retrofits 1. Streamline retrofit management 2. Improve effectiveness: Get to retrofit 3. Generate leads Energy audit Home retrofit Test out Post-retrofit analysis
  • 5. Proprietary & Confidential 4 The Home Retrofit IT System™ The Home Retrofit IT System™ The first fully-integrated IT platform for home retrofits: 1.Customer Relationship Management System 2.Home Energy Assessment System 3.Home Retrofit Management System 4.Retrofit Financial Admin System
  • 6. Proprietary & Confidential 5 Competing IT Systems: Wide open opportunity No integrated IT systems available for complete home retrofit process Some home performance contractors using generic software for different components of home retrofit process: • CRM platforms, e.g. Saleforce.com • Home energy assessment software, with focus on building modeling, e.g. Conservation Services Group’s Energy Measure HOME, Hancock Software’s iHeat, or PSD Consulting’s TREAT • Field service management software, e.g. Dell’s packetTrap • Financial accounting software, e.g. Intuit’s QuickBooks Several companies building national/regional contractor networks for home retrofits may develop their own IT platforms
  • 7. Proprietary & Confidential 6 Developed elements for IT System Over 200 energy audits and 80+ retrofits in Atlanta
  • 8. Proprietary & Confidential 7 It works! 40% savings on heating & cooling
  • 9. Proprietary & Confidential 8 So, how do we scale?
  • 10. Proprietary & Confidential Six leading home performance contractors signed up License fees starting at $120 per month and $40 per retrofit 9 Demonstrated demand Energy Construction LLC (Albany, NY) Retrofits in 2012: 40 HomeRx (Seattle, WA) Retrofits in 2012: 70 Insulation Man (Binghamton, NY) Retrofits in 2012: 33 Neil Kelly Home Performance (Portland, OR) Retrofits in 2012: 400 Sellair (Allentown, PA) Retrofits in 2012: 50 TerraLogos (Baltimore, MD) Retrofits in 2012: 112
  • 11. Proprietary & Confidential 10 Build America’s leading home retrofit network 67 million single-family, owner-occupied homes 384 metropolitan areas (pop. 55,000+)  Est. $150 billion retrofit market, with $1.1 billion for IT systems
  • 12. Proprietary & Confidential 11 Identify core markets in each state – e.g. New Jersey Passaic county Bergen county Essex county Middlesex/ Union counties Morris county Somerset county Hunterdon county Mercer/Monmouth counties Monmouth county (Sandy Hook) Monmouth (Jersey shore)/ Ocean counties Ocean county (Barnegat) Atlantic county (Hammonton) Atlantic county (Jersey shore) Cumberland county Gloucester county Camden/Burlington W. Deptford counties New Jersey Clean Energy Program: • 155 participating home performance contractors • Of which 44 contractors are potential licensees in 16 core markets Home performance contractor
  • 13. Proprietary & Confidential 12 Lead generation with RFA’s Home Efficiency App™
  • 14. Proprietary & Confidential 13 How do we execute? Key Management & Expertise Key Personnel to hire • Geoff Berlin, Founder & CEO • Maxim Ivanov, IT Lead [Ciklum] • Dr. Matthew Realff, Lead on Home Efficiency App™ [Georgia Tech] Board members • Ron Harris, Chair • Rick Degolia, Director Geoff Berlin, CEO • IT Director • Business Development Director • Marketing Manager for Lead Generation
  • 15. Proprietary & Confidential 14 Financing requirements to go to market Raising $500,000 through issuance of Series A Preferred Stock to: • Develop and deploy v1.0 of the Home Retrofit IT System™ • Scale to 20 to 25 home performance contractors Follow by $800,000 to complete IT development and scale
  • 16. Proprietary & Confidential $(20) $- $20 $40 $60 $80 $100 $120 $140 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 $ millions Pro Forma Financial Results 15 How much money do we make? 5-Year Pro Forma Results (2018) • Contractor licensees: 390 • Home retrofits: 245,000 • Revenue: $41 million • Operating Cash Flow: $24 million Revenue Operating Cash Flow + Upside: Home Improvement IT System™ for specialized home improvement subcontractors
  • 17. Proprietary & Confidential 16 How do we exit? Build value through IT systems and national network of home performance contractors. Potential strategic acquirers include: • Home improvement retailers (e.g. Lowe’s, Sears, The Home Depot) • HVAC manufacturers (e.g. Carrier, Goodman, Lennox, Trane) • Renewable energy system installers (e.g. SolarCity, Sungevity) • Home performance contractors establishing a national presence (e.g. Masco Corporation) • IT companies with a focus on residential energy efficiency (e.g. OPower) • IT companies in the home improvement sector (e.g. Dell/Quest Software)
  • 18. Proprietary & Confidential 17  A proven, successful approach  Demonstrated demand  A high impact investment The Bottom Line