- 1,200+ teams using our app and 55,000+ parents and coaches subscribed to our newsletter
- Youth Sports is a $15B industry, comprised of 45M kids, that is projected to grow to $41B in 5 years.
- Relationships with some of the biggest names in youth sports: TeamSnap, Positive Coaching Alliance, National Alliance for Youth Sports
- Notable investors include Howie Roseman (EVP NFL, Philadelphia) and Jay Fulcher (CEO, Zenefits)
- Portfolio company of NexCubed, A San Francisco-based technology accelerator
- Total Amount Raised: US $85,503
- Total Round Size: US $1,000,000
- Seed :
- Minimum Investment: US $1,000 per investor
- : Preferred Equity
- US $4,875,000 :
- Side by Side Offering
Did you know that 70% of kids quit youth sports by the age of 13? And can we blame them? With parents screaming from the sidelines and coaches who don't have the time or tools to help kids succeed. Research tells us that kids are quitting youth sports because it's just not fun anymore.
With 45 million kids playing youth sports in the US, stressed sideline parents, and inexperienced coaches have become a national epidemic that is not limited by geography, demographics, or socio-economics.
While 3 of the biggest names in sports (Dick's Sporting Goods, NBC Sports, Jerry Jones of the Dallas Cowboys) have acquired over 30 youth SportsTech apps in the last 2 years, they are all focused on tools for the administrators of sports programs such as scheduling, scorekeeping, player registrations, and payment processing. But these businesses are less focused on tools that help kids have fun and be more successful. This void became our business opportunity.
So, in 2016, we decided to change the way youth sports coaches and parents collaborate, communicate, and track player success. The result was novel but so simple: when coaches and parents are on the same page, kids are much more likely to have fun and be successful in their sport.
Our Educational App
First, we launched an app to help kids succeed in sports. Our app sets age- and sport-specific goals, empowers coaches to share post-game feedback with the kids, provides an objective player evaluation tool, and allows team parents to share stickers and praise with any player on the team. In just 18 months, we have over 1,200 teams using the app and have a plan to reach 650,000 teams in 5 years.
Our Educational Newsletter
We also launched a bi-weekly newsletter that we like to refer to as our “support group” for parents and coaches. We feature original content from sports psychologists, educators, pro athletes, coaches, and sports parents, that is informative and frequently-funny. We now have over 55,000 sports parent and coach subscribers, and we are projecting 10M subscribers by 2023.
Scale Through Relationships
As validation of the void we are filling in the market, we’ve already forged relationships with some of the largest platforms in youth sports: TeamSnap, Positive Coaching Alliance, and National Alliance for Youth Sports among others. These partnerships with the industry leaders will get us access to nearly the entire youth sports market.
Activating Multiple Revenue Streams
First, we sell subscriptions at $39.99/season for a team, currently, we are targeting the 1.3M coaches and travel teams in the US, but running trials with some professional training companies that would lead to scaling in 2019.
Second, We have started to generate revenue from corporate sponsorship, with Marriott being our first paid advertiser.
Finally, starting in 2019, we will monetize our data for sports parents, athletic directors, college recruiters, sports retailers, and more.
In 2016, as a suburban sports parent and coach, Ian Goldberg was shocked at just how chaotic youth sports games are. The iSport360 founders not only share a passion for youth sports but also share 25 years of friendship and professional collaboration. Ian and Rich were early innovators at some of the leading agencies in NYC's digital marketing industry. While Ian's focus has always been on sales and business development, Rich was focused on digital marketing and digital product development.
Product #2: The iSport360 bi-weekly newsletter and blog is an informative and frequently-funny way to educate and engage youth sports coaches and parents. Articles are written by psychologists, educators, pro athletes, coaches and more.
Our IP is our database of sports standards which we believe is defensible and patentable, however to-date we have not filed for patents.
PAM: Our target audience is the 1.3M travel sports teams. These teams have a greater level of financial commitment, time commitment, and travel commitment….with greater commitment comes a greater need for tools that help coaches, parents, and players collaborate. Our core age group is 7-14 years old, which is when parents are very involved in their kids’ activities
Our unique differentiators:
They provide player assessments, we provide a robust platform for coaches, parents, and kids to share ongoing feedback throughout the season.
They provide a tool to be used a few times a season, we provide a tool to be used many times each week.
They provide a complicated fee per player, we provide a simple flat price per team.
A Side by Side offering refers to a deal that is raising capital under two offering types. If you plan on investing less than US $20,000.00, you will automatically invest under the Regulation CF offering type. If you invest more than US $20,000.00, you must be an accredited investor and invest under the Regulation D offering type.
US $8,503 (under Reg CF only)
All non-Major Purchasers will be subject to an Investment Proxy Agreement "IPA". The IPA will authorize SeedInvest to act as representative for each non-Major Purchaser and take certain actions for their benefit and on their behalf. Please see a copy of the IPA included with the Company's offering materials for additional details.
Investors in iSport360 get a FREE team subscription to the iSport360 app allowing you to set up unlimited sports teams. That’s our way of saying thank you and helping you enjoy the benefits of our platform.
Invest a minimum of $1,000 and get one season free for your teams (a $39.99 value)
Invest a minimum of $5,000 and get one year free for your teams (an $89.99 value)
Invest a minimum of $10,000 and get free access for life for your teams (valued at $89.99 per year)
At the end of this campaign, iSport360 will email you with a promo code to get your FREE PERK.
It is advised that you consult a tax professional to fully understand any potential tax implications of receiving investor perks before making an investment.
The graph below illustrates theor the of iSport360's prior rounds by year.
iSport360, Inc., a Delaware Corporation (“the Company”), was formed on December 9, 2014. The Company is headquartered in Manalapan, New Jersey.
iSport360, Inc. operates in the application industry by launching the first-ever mobile application for coaches and parents to share objective player feedback throughout the season. The application lets coaches set objective goals, conduct fair player evaluations, share quality feedback, and allows for positive parent engagement.
Liquidity and Capital Resources
The proceeds from the Offering are essential to our operations. We plan to use the proceeds as set forth above under "Use of Proceeds", which is an indispensable element of our business strategy. The Offering proceeds will have a beneficial effect on our liquidity, as we have approximately $36,000 in cash on hand as of 10/09/2018 which will be augmented by the Offering proceeds and used to execute our business strategy.
The Company currently does not have any additional outside sources of capital other than the proceeds from the Combined Offerings.
Capital Expenditures and Other Obligations
The Company does not intend to make any material capital expenditures in the future.
Trends and Uncertainties
After reviewing the above discussion of the steps the Company intends to take, potential Purchasers should consider whether achievement of each step within the estimated time frame is realistic in their judgment. Potential Purchasers should also assess the consequences to the Company of any delays in taking these steps and whether the Company will need additional financing to accomplish them.
The financial statements are an important part of this Form C and should be reviewed in their entirety. The financial statements of the Company can be found in the Dataroom.
With 45M kids in youth sports and $15B spent by their parents in the last year, there are many companies getting in on the youth SportsTech game, but iSport360 is filling a void.
Some of the biggest names in youth sports today are NBC SportsEngine, TeamSnap, and Stack Sports (from Jerry Jones of the Dallas Cowboys). Each has built a robust platform of administrative tools to help teams, clubs, and leagues run their operations. We are cooperating with these companies, not competing with them.
Additionally, there are many smaller youth SportsTech companies building tools for teams including video analysis companies, carpooling apps, apparel companies, tournament organizers, and tools for tryouts. We are forging partnerships with these companies, not competing with them.
These companies are focusing on tools to help the adults running youth sports programs but iSport360 is creating tools to help the kids. Our national partnerships, adoption of our app and subscriptions to our newsletter are evidence that we are filling this void in this growing industry.
We have not prepared any audited financial statements. Therefore, you have no audited financial information regarding the Company’s capitalization or assets or liabilities on which to make your investment decision. If you feel the information provided is insufficient, you should not invest in the Company.
The development and commercialization of the Company’s products and services are highly competitive. It faces competition with respect to any products and services that it may seek to develop or commercialize in the future. Its competitors include major companies worldwide. Many of the Company’s competitors have significantly greater financial, technical and human resources and may have superior expertise in research and development and marketing approved services and thus may be better equipped than the Company to develop and commercialize services. These competitors also compete with the Company in recruiting and retaining qualified personnel and acquiring technologies. Smaller or early stage companies may also prove to be significant competitors, particularly through collaborative arrangements with large and established companies. Accordingly, the Company’s competitors may commercialize products more rapidly or effectively than the Company is able to, which would adversely affect its competitive position, the likelihood that its services will achieve initial market acceptance and its ability to generate meaningful additional revenues from its products and services.
The amount of capital the Company is attempting to raise in this Offering is not enough to sustain the Company’s current business plan. In order to achieve the Company’s near and long-term goals, the Company will need to procure funds in addition to the amount raised in the Offering. There is no guarantee the Company will be able to raise such funds on acceptable terms or at all. If we are not able to raise sufficient capital in the future, we will not be able to execute our business plan, our continued operations will be in jeopardy and we may be forced to cease operations and sell or otherwise transfer all or substantially all of our remaining assets, which could cause a Purchaser to lose all or a portion of his or her investment.
The Company has just begun efforts at monetization of its products and may not be successful in its efforts to grow and monetize its products. The Company has limited operating capital and for the foreseeable future will be dependent upon its ability to finance operations from the sale of equity or other financing alternatives. There can be no assurance that the Company will be able to successfully raise operating capital. The failure to successfully raise operating capital, and the failure to effectively monetize its products, could result in bankruptcy or other event which would have a material adverse effect on the Company and the value of its shares. The Company has limited assets and financial resources, so such adverse event could put investors’ dollars at significant risk.
The Company’s expenses will significantly increase as they seek to execute their current business model. Although the Company estimates that it has enough available cash runway until the end of this calendar year, they will be ramping up cash burn to promote revenue growth, initiate payroll, further develop R&D, and fund other Company operations after the raise. Doing so could require significant effort and expense or may not be feasible, and may decrease the Company's available cash runway.
We may not be successful in protecting our proprietary rights. Our success depends in part on our ability to obtain, maintain, and protect our proprietary rights to the technologies used in our services. We are not currently protected from our competitors and have not sought nor expect to file patents at this time. Moreover, any patents or other intellectual property protections that we may seek or are issued to us may be challenged, invalidated, found unenforceable or circumvented in the future. Any intellectual enforcement efforts the Company seeks to undertake, including litigation, could be time-consuming and expensive and could divert management’s attention.
The Company may be unable to maintain, promote, and grow its brand through marketing and communications strategies. It may prove difficult for the Company to dramatically increase the number of customers that it serves or to establish itself as a well-known brand in the competitive sports technology space. Additionally, the product may be in a market where customers will not have brand loyalty.
The Company may be unable to attract and retain key employees and talent. The Company currently has a small number of employees. It may prove difficult for the Company to retain these employees and attract new employees to help successfully grow the Company's business. Failure by the Company to successfully attract and retain its employees could adversely affect the Company's business.
Cyclical and seasonal fluctuations in youth sports seasons may have an effect on our business. Both cyclical and seasonal fluctuations in youth sports may affect our business. While many kids are playing youth sports year round, the summer time is when many youth sports leagues are on a break. These seasonal trends may cause fluctuations in our quarterly results, including fluctuations in revenues.
The Company does not keep proper board minutes. Although the Company is not legally required to keep proper board minutes to conduct operations, boards, and record keeping play a critical role in effective risk oversight. A board helps ensure that management’s actions are consistent with corporate strategy, reflective of the culture of the business, and in line with the organization’s risk tolerance.
The Company has not filed a Form D for its prior Series Seed issuances. The SEC rules require a Form D to be filed by companies within 15 days after the first sale of securities in the offering relying on Regulation D. Failing to register with the SEC or get an exemption may lead to fines, the right of investors to get their investments back, and even criminal charges. There is a risk that a late penalty could apply.
The Series Seed III Preferred Stock will not be freely tradable until one year from the initial purchase date. Although the Series Seed III Preferred Stock may be tradable under federal securities law, state securities regulations may apply and each Purchaser should consult with his or her attorney. You should be aware of the long-term nature of this investment. There is not now and likely will not be a public market for the Series Seed III Preferred Stock. Because the Series Seed III Preferred Stock have not been registered under the 1933 Act or under the securities laws of any state or non-United States jurisdiction, the Series Seed III Preferred Stock have transfer restrictions and cannot be resold in the United States except pursuant to Rule 501 of Regulation CF. It is not currently contemplated that registration under the 1933 Act or other securities laws will be effected. Limitations on the transfer of the Series Seed III Preferred Stock may also adversely affect the price that you might be able to obtain for the Series Seed III Preferred Stock in a private sale. Purchasers should be aware of the long-term nature of their investment in the Company. Each Purchaser in this Offering will be required to represent that it is purchasing the Securities for its own account, for investment purposes and not with a view to resale or distribution thereof.
A majority of the Company is owned by a small number of owners. Prior to the Offering the Company’s current owners of 20% or more beneficially own up to 60.42% of the Company’s outstanding shares on a fully-diluted basis. Subject to any fiduciary duties owed to our other owners or investors under Delaware law, these owners may be able to exercise significant influence over matters requiring owner approval, including the election of directors or managers and approval of significant Company transactions, and will have significant control over the Company’s management and policies. Some of these persons may have interests that are different from yours. For example, these owners may support proposals and actions with which you may disagree. The concentration of ownership could delay or prevent a change in control of the Company or otherwise discourage a potential acquirer from attempting to obtain control of the Company, which in turn could reduce the price potential investors are willing to pay for the Company. In addition, these owners could use their voting influence to maintain the Company’s existing management, delay or prevent changes in control of the Company, or support or reject other management and board proposals that are subject to owner approval.
Your ownership of the shares of preferred stock may be subject to dilution. Non-Major Purchasers (as defined below) of preferred stock do not have preemptive rights. If the Company conducts subsequent offerings of preferred stock or Securities convertible into preferred stock, issues shares pursuant to a compensation or distribution reinvestment plan or otherwise issues additional shares, investors who purchase shares in this Offering who do not participate in those other stock issuances will experience dilution in their percentage ownership of the Company’s outstanding shares. Furthermore, Purchasers may experience a dilution in the value of their shares depending on the terms and pricing of any future share issuances (including the shares being sold in this Offering) and the value of the Company’s assets at the time of issuance.
You will be bound by an investor proxy agreement, which limits your voting rights. All Non-Major Purchasers of Series Seed III Preferred Stock will be bound by an investor proxy agreement. This agreement will limit your voting rights and at a later time may require you to convert your future preferred shares into common shares without your consent. Non-Major Purchasers will be bound by this agreement, unless Non-Major Purchasers holding a majority of the principal amount outstanding of the Series Seed III Preferred Stock held by Non-Major Purchasers vote to terminate the agreement.
The Securities will be equity interests in the Company and will not constitute indebtedness. The Securities will rank junior to all existing and future indebtedness and other non-equity claims on the Company with respect to assets available to satisfy claims on the Company, including in a liquidation of the Company. Additionally, unlike indebtedness, for which principal and interest would customarily be payable on specified due dates, there will be no specified payments of dividends with respect to the Securities and dividends are payable only if, when and as authorized and declared by the Company and depend on, among other matters, the Company’s historical and projected results of operations, liquidity, cash flows, capital levels, financial condition, debt service requirements and other cash needs, financing covenants, applicable state law, federal and state regulatory prohibitions and other restrictions and any other factors the Company’s board of directors deems relevant at the time. In addition, the terms of the Securities will not limit the amount of debt or other obligations the Company may incur in the future. Accordingly, the Company may incur substantial amounts of additional debt and other obligations that will rank senior to the Securities.
There can be no assurance that we will ever provide liquidity to Purchasers through either a sale of the Company or a registration of the Securities. There can be no assurance that any form of merger, combination, or sale of the Company will take place, or that any merger, combination, or sale would provide liquidity for Purchasers. Furthermore, we may be unable to register the Securities for resale by Purchasers for legal, commercial, regulatory, market-related or other reasons. In the event that we are unable to effect a registration, Purchasers could be unable to sell their Securities unless an exemption from registration is available.
The Company does not anticipate paying any cash dividends for the foreseeable future. The Company currently intends to retain future earnings, if any, for the foreseeable future, to repay indebtedness and to support its business. The Company does not intend in the foreseeable future to pay any dividends to holders of its shares of preferred stock.
Any valuation at this stage is difficult to assess. Unlike listed companies that are valued publicly through market-driven stock prices, the valuation of private companies, especially startups, is difficult to assess and you may risk overpaying for your investment. In addition, there may be additional classes of equity with rights that are superior to the class of equity being sold.
Start-up investing is risky. Investing in startups is very risky, highly speculative, and should not be made by anyone who cannot afford to lose their entire investment. Unlike an investment in a mature business where there is a track record of revenue and income, the success of a startup or early-stage venture often relies on the development of a new product or service that may or may not find a market. Before investing, you should carefully consider the specific risks and disclosures related to both this offering type and the company which can be found in this company profile and the documents in the data room below.
Your shares are not easily transferable. You should not plan on being able to readily transfer and/or resell your security. Currently there is no market or liquidity for these shares and the company does not have any plans to list these shares on an exchange or other secondary market. At some point the company may choose to do so, but until then you should plan to hold your investment for a significant period of time before a “liquidation event” occurs. A “liquidation event” is when the company either lists their shares on an exchange, is acquired, or goes bankrupt.
The Company may not pay dividends for the foreseeable future. Unless otherwise specified in the offering documents and subject to state law, you are not entitled to receive any dividends on your interest in the Company. Accordingly, any potential investor who anticipates the need for current dividends or income from an investment should not purchase any of the securities offered on the Site.
Valuation and capitalization. Unlike listed companies that are valued publicly through market-driven stock prices, the valuation of private companies, especially startups, is difficult to assess and you may risk overpaying for your investment. In addition, there may be additional classes of equity with rights that are superior to the class of equity being sold.
You may only receive limited disclosure. While the company must disclose certain information, since the company is at an early-stage they may only be able to provide limited information about its business plan and operations because it does not have fully developed operations or a long history. The company may also only obligated to file information periodically regarding its business, including financial statements. A publicly listed company, in contrast, is required to file annual and quarterly reports and promptly disclose certain events through continuing disclosure that you can use to evaluate the status of your investment.
Investment in personnel. An early-stage investment is also an investment in the entrepreneur or management of the company. Being able to execute on the business plan is often an important factor in whether the business is viable and successful. You should be aware that a portion of your investment may fund the compensation of the company's employees, including its management. You should carefully review any disclosure regarding the company's use of proceeds.
Possibility of fraud. In light of the relative ease with which early-stage companies can raise funds, it may be the case that certain opportunities turn out to be money-losing fraudulent schemes. As with other investments, there is no guarantee that investments will be immune from fraud.
Lack of professional guidance. Many successful companies partially attribute their early success to the guidance of professional early-stage investors (e.g., angel investors and venture capital firms). These investors often negotiate for seats on the company's board of directors and play an important role through their resources, contacts and experience in assisting early-stage companies in executing on their business plans. An early-stage company may not have the benefit of such professional investors.
Representatives of SI Securities, LLC are affiliated with SI Advisors, LLC (“SI Advisors”). SI Advisors is an exempt investment advisor that acts as the General Partner of SI Selections Fund I, L.P. (“SI Selections Fund”). SI Selections Fund is an early stage venture capital fund owned by third-party investors. From time to time, SI Selections Fund may invest in offerings made available on the SeedInvest platform, including this offering. Investments made by SI Selections Fund may be counted towards the total funds raised necessary to reach the minimum funding target as disclosed in the applicable offering materials.
Frequently Asked Questions
A Side by Side offering refers to a deal that is raising capital under two offering types. This Side by Side offering is raising under Regulation CF and Rule 506(c) of Regulation D.
The Form C is a document the company must file with the Securities and Exchange Commission (“SEC”) which includes basic information about the company and its offering and is a condition to making a Reg CF offering available to investors. It is important to note that the SEC does not review the Form C, and therefore is not recommending and/or approving any of the securities being offered.
Before making any investment decision, it is highly recommended that prospective investors review the Form C filed with the SEC (included in the company's profile) before making any investment decision.
Rule 506(c) under Regulation D is a type of offering with no limits on how much a company may raise. The company may generally solicit their offering, but the company must verify each investor’s status as an accredited investor prior to closing and accepting funds. To learn more about Rule 506(c) under Regulation D and other offering types check out our blog and academy.
Title III of the JOBS Act outlines Reg CF, a type of offering allowing private companies to raise up to $1 million from all Americans. Prior capital raising options limited private companies to raising money only from accredited investors, historically the wealthiest ~2% of Americans. Like a Kickstarter campaign, Reg CF allows companies to raise funds online from their early adopters and the crowd. However, instead of providing investors a reward such as a t-shirt or a card, investors receive securities, typically equity, in the startups they back. To learn more about Reg CF and other offering types check out our blog and academy.
When you complete your investment on SeedInvest, your money will be transferred to an escrow account where an independent escrow agent will watch over your investment until it is accepted by iSport360. Once iSport360 accepts your investment, and certain regulatory procedures are completed, your money will be transferred from the escrow account to iSport360 in exchange for your securities. At that point, you will be a proud owner in iSport360.
To make an investment, you will need the following information readily available:
- Personal information such as your current address and phone number
- Employment and employer information
- Net worth and income information
- Social Security Number or passport
- ABA bank routing number and checking account number (typically found on a personal check or bank statement)
If you are investing under Rule 506(c) of Regulation D, your status as an Accredited Investor will also need to be verified and you will be asked to provide documentation supporting your income, net worth, revenue, or net assets or a letter from a qualified advisor such as a Registered Investment Advisor, Registered Broker Dealer, Lawyer, or CPA.
An investor is limited in the amount that he or she may invest in a Reg CF offering during any 12-month period:
- If either the annual income or the net worth of the investor is less than $100,000, the investor is limited to the greater of $2,000 or 5% of the lesser of his or her annual income or net worth.
- If the annual income and net worth of the investor are both greater than $100,000, the investor is limited to 10% of the lesser of his or her annual income or net worth, to a maximum of $100,000.
Separately, iSport360 has set a minimum investment amount of US $1,000.
Accredited investors investing $20,000 or over do not have investment limits.
You are a partial owner of the company, you do own securities after all! But more importantly, companies which have raised money via Regulation CF must file information with the SEC and post it on their websites on an annual basis. Receiving regular company updates is important to keep shareholders educated and informed about the progress of the company and their investment. This annual report includes information similar to a company’s initial Reg CF filing and key information that a company will want to share with its investors to foster a dynamic and healthy relationship.
In certain circumstances a company may terminate its ongoing reporting requirement if:
- The company becomes a fully-reporting registrant with the SEC
- The company has filed at least one annual report, but has no more than 300 shareholders of record
- The company has filed at least three annual reports, and has no more than $10 million in assets
- The company or another party purchases or repurchases all the securities sold in reliance on Section 4(a)(6)
- The company ceases to do business
However, regardless of whether a company has terminated its ongoing reporting requirement per SEC rules, SeedInvest works with all companies on its platform to ensure that investors are provided quarterly updates. These quarterly reports will include information such as: (i) quarterly net sales, (ii) quarterly change in cash and cash on hand, (iii) material updates on the business, (iv) fundraising updates (any plans for next round, current round status, etc.), and (v) any notable press and news.
Currently there is no market or liquidity for these securities. Right now iSport360 does not plan to list these securities on a national exchange or another secondary market. At some point iSport360 may choose to do so, but until then you should plan to hold your investment for a significant period of time before a “liquidation event” occurs. A “liquidation event” is when iSport360 either lists their securities on an exchange, is acquired, or goes bankrupt.
You can return to SeedInvest at any time to view your portfolio of investments and obtain a summary statement. If invested under Regulation CF you may also receive periodic updates from the company about their business, in addition to monthly account statements.
This is iSport360's fundraising profile page, where you can find information that may be helpful for you to make an investment decision in their company. The information on this page includes the company overview, team bios, and the risks and disclosures related to this investment opportunity. If the company runs a side by side offering that includes an offering under Regulation CF, you may also find a copy of the iSport360's Form C. The Form C includes important details about iSport360's fundraise that you should review before investing.
For offerings made under Regulation CF, you may cancel your investment at any time up to 48 hours before a closing occurs or an earlier date set by the company. You will be sent a reminder notification approximately five days before the closing or set date giving you an opportunity to cancel your investment if you had not already done so. Once a closing occurs, and if you have not canceled your investment, you will receive an email notifying you that your securities have been issued. If you have already funded your investment, your funds will be promptly refunded to you upon cancellation. To cancel your investment, you may go to your portfolio page
If you invest under any other offering type, you may cancel your investment at any time, for any reason until a closing occurs. You will receive an email when the closing occurs and your securities have been issued. If you have already funded your investment and your funds are in escrow, your funds will be promptly refunded to you upon cancellation. To cancel your investment, please go to your portfolio page.