One Investment. Many Startups - And Returns

**Full disclaimer below

At Nobody Studios, our prime focus is?solving tough problems by building great companies and impacting the world for the better.???

But it’s also important to understand the financial outcomes if everything goes right and we’re successful in the Studio.

Investing in early-stage startups can have high risks and rewards. Yet, if you understand how the?Nobody Studios financial returns model?works, you can use it to inspect our assumptions and?draw your own conclusions about the potential upside of a Nobody Studios investment.

You can also dive deeper into this by?watching this 20-minute video with our CFO Greg Lovett?to learn how we're modeling our returns.

We believe we’ve created a truly compelling model where investors and full-time Nobodies’ incentives are totally aligned – everyone sees the upside when companies achieve an exit event, whether a merger, acquisition, or IPO.

One Investment. Many Returns.

At Nobody Studios, we’re building a distribution-paying machine.???

Some public companies pay dividends to shareholders each year. A dividend is a distribution of profits by a corporation to its shareholders. When a corporation earns a profit or surplus, it can pay a portion of the profit as a dividend to shareholders.

Apple is a great example of a company that frequently pays dividends to shareholders each year, and one of the reasons Warren Buffet likes to hold such a large amount of their stock. Who wouldn’t like a company sending them a check once a year for simply owning their stock?

Nobody Studios is similar yet different.?We distribute returns every time we have an exit event for any of our portfolio companies.

As we build 100 portfolio companies over the next five years, we anticipate 50 of them will result in exit events over the next ten years. As long as you remain a Nobody Studios shareholder, each time we have an exit event, you can expect a distribution.

We Don’t Need Unicorns to Succeed

Another difference is our strategy for success.???

We don’t need unicorns to succeed.?(A “unicorn” being a company with a billion-dollar plus valuation.) In fact, the vast majority of the exits in our model are projected to be less than $100M.

In traditional venture capital, firms invest a lot of money in startups hoping their valuations will increase over time. An?average investment?in a Series B startup in 2022 was $10,000,000 at a valuation of $48,000,000.

In order for VCs to see the returns they seek, those companies have to achieve a billion-dollar-plus valuation, exit, or IPO for VCs to make the desired money back of a 20x return.

At Nobody Studios we’re different.

We incubate and own the majority of our companies we build from the beginning.

Our Frugressive approach means we invest, on average, $250,000 over 12 months to bring a company to market before seeking external investment.

If we had an early-stage exit and sold a portfolio company that we owned outright for $25,000,000, we would achieve a 100x return. Even if we had been diluted, the projected return would still be highly attractive.

We’ll build companies for $250,000 and sell them for $25,000,000 all day and twice on Sunday.

We don’t need unicorns to succeed. But when we have one, well—you can imagine the distribution from that exit.

What If Things Go Right?

So what happens if we’re right?

What if Nobody achieves its bold ambition? What would your returns look like?

Here’s an?example?of a $90,000,000 exit valuation after one of our companies was incubated in the Studio.

This company would have had two rounds of external investment, Series A and B, where we would have diluted our original ownership percentage of the company from 70% at incubation to 30% at the time of the exit.

As the company was acquired for $90,000,000 and Nobody Studios owned 30% of it at the time of the exit event, the Studio would get $27,000,000 from the sale.

What happens next is the business model formula for Nobody Studios.???

The Studio retains the money invested in that company during its incubation, plus a 30% reinvestment amount to put back into our pot for building more companies.

In this example, that would be $8,000,000 from the $27,000,000 sale.

The remaining $19,000,000??Every cent of that goes to shareholders, distributed based on the number of shares they hold.

If you were a?crowdfunder who invested $1,000 in our current crowdfunding campaign, you’d receive $444 from this exit event.

Yeah, that’s correct.?Almost half your principal investment is returned from one exit.???

We truly believe we offer investors something special, unique, and different.

We believe Nobody Studios is an adVenture to be part of from the beginning.

Got More Questions? Ask Us.

Understanding the financial side of an investment in Nobody Studios is important.

We know there will be questions. We want to be available for you to answer them.

In the first instance, go over our?crowdfunding site on Republic,?including our Investor FAQ.???

Make sure to watch our CFO?Greg Lovett’s?live stream on-demand anytime?too.????

We’ll be hosting more live events throughout the crowdfunding campaign where you can connect with the leadership team to ask any questions in person and in real-time. We’ll be sure to include them in this newsletter and via our social media accounts on?LinkedIn,?Twitter,?Facebook,?and?YouTube.

That said, if something springs to mind, hit reply to this email.

We Called. You Answered and Then Some!

Earlier this week we asked for your help to drive 100 new investors in 72 hours.

We didn’t just do that, we smashed it!???

Last week we were trending #1 on Republic and had the most traction of any campaign!

Thank you, let’s keep up the good work and bring more new Nobodies into our crowd.

Full Disclaimer

Certain information set forth in this article contains “forward-looking information”, including “future-oriented financial information” and “financial outlook”, under applicable securities laws (collectively referred to herein as forward-looking statements). Except for statements of historical fact, the information contained herein constitutes forward-looking statements and includes, but is not limited to, the (i) projected financial performance of the Nobody Studios, Inc. (the “Company”); (ii) completion of, and the use of proceeds from, the sale of the shares being offered through various means; (iii) the expected development of the Company’s business, projects, and joint ventures; (iv) execution of the Company’s vision and growth strategy, including with respect to future M&A activity and global growth; (v) sources and availability of third-party financing for the Company’s projects; (vi) completion of the Company’s projects that are currently underway, in development or otherwise under consideration; (vi) renewal of the Company’s current supplier and other material agreements; and (vii) future liquidity, working capital, and capital requirements. Forward-looking statements are provided to allow potential investors the opportunity to understand management’s beliefs and opinions in respect of the future so that they may use such beliefs and opinions as one factor in evaluating an investment. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or result expressed or implied by such forward-looking statements. Although forward-looking statements contained in this article are based upon what management of the Company believes are reasonable assumptions, there can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.