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Invest in Launch Code After School

High-quality, engaging computer science education for children K-12  

  • $21,900Amount raised
  • $1,000Minimum
  • $4,000,000Valuation cap

Purchased securities are not currently tradeable. Expect to hold your investment until the company lists on a national exchange or is acquired.

Launch Code After School is offering securities under both Regulation D and Regulation CF through SI Securities, LLC ("SI Securities"). SI Securities is an affiliate of SeedInvest Technology, LLC, a registered broker-dealer, and member FINRA/SIPC. SI Securities will receive cash compensation equal to 7.50% of the value of the securities sold and equity compensation equal to 5.00% of the number of securities sold. Investments made under both Regulation D and Regulation CF involve a high degree of risk and those investors who cannot afford to lose their entire investment should not invest. Furthermore, the contents of the Highlights, Term Sheet sections have been prepared by SI Securities and shall be deemed broker-dealer communications subject to FINRA Rule 2210 (the “Excluded Sections”). With the exception of the Excluded Sections noted above, this profile contains offering materials prepared solely by Launch Code After School without the assistance of SI Securities, and not subject to FINRA Rule 2210 (the “Issuer Profile”). The Issuer Profile may contain forward-looking statements and information relating to, among other things, the company, its business plan and strategy, and its industry. Investors should review the risks and disclosures in the offering's draft. The contents of this profile are meant to be a summary of the information found in the company’s Form C. Before making an investment decision, investors should review the company’s Form C for a complete description of its business and offering information, a copy of which may be found both here and below.


Company Highlights

  • Current Summer Camp enrollment of 179 and annual run rate of $240,000. Added 113 new customers in Q2 2019.
  • Founder’s previous company MakerSquare, a leading adult coding bootcamp located in Austin, SF, LA, and NYC, was acquired in 2015 by Hack Reactor and subsequently acquired by Galvanize in 2018.
  • The company has developed key relationships with Sangfroid Studios, Z1 Digital, and ScaleFactor to help scale business operations.
  • The company has successfully raised over $550,000 to date from local, Texas-based angels and funds.
  • Launch is currently operating in one dedicated brick and mortar location and additional temporary locations. Launch will be opening one additional dedicated retail location this summer.

Fundraise Highlights

  • Total Amount Raised: US $21,900
  • Total Round Size: US $1,070,000
  • Raise Description:  Seed
  • Minimum Investment:  US $1,000 per investor
  • Security Type:  Crowd Note
  • Valuation Cap:  US $4,000,000
  • Offering Type:   Side by Side Offering

We built the program we wish we had when we were kids. Launch teaches kids K-12 how technology works and how to build it instead of simply consume it. We teach kids computer science so they can leverage the power of automation for their future.


Problem

The computer programming skills gap is large and growing. The American Bureau of Labor Statistics showed that 84% of parents acknowledged that computer science subjects are required in primary and secondary education. There is also a shortage of skilled computer scientists. To really solve this problem, we decided we need start by getting kids interested at a younger age.

Solution

Launch Code After School provides coding classes and camps for kids ages 7-14. Launch offers weekly classes and summer camps in an in-person environment.  By leveraging a proprietary learning management platform that is used to power every aspect of the business, we have built an engine that can scale into a variety of in-person environments, from schools, to retail stores, to community centers. 

Pitch Deck

Product & Service

Product Overview

Launch is powered by a custom-built learning management platform. The platform consists of four major users:

  • Students - Students start by reviewing teacher comments from their last session and then move on to new course work. Kids work at their own pace and teachers assist when they get stuck.
  • Teachers - Teachers have the ability to create content (upload videos, short answer quizzes, multiple choice quizzes, boilerplate code, worksheets, and more) within our platform. At the end of each class, teachers grade student work. The system generates a report and emails student progress/comments to parents to keep them in the loop.   
  • Admins - An administrative user  handles the addition of new users, new locations, modification of payments configurations for products,  and various financial reports.
  • Parents - Parents have the ability to manage their subscriptions and products as well as review student progress and teacher feedback.
This platform makes it easy for us to offer our services in a variety of in-person settings (our own retail centers, at a school, or at a community center).  

Business Model

Launch has two main products - summer camp and weekly classes. Customers pay for summer classes one-off and the weekly classes as a monthly subscription. Launch offers summer camps in our retail stores and satellite locations (schools and community centers). These camps typically have 2 sessions/day, 12-15 students per session at $250-499 per camp session. Our weekly classes are only offered at our retail locations. Students drop in 1-2x per week at a $199 - $299/month subscription. We also have ancillary revenue streams like computer rentals, parents' night out, birthday parties, and retail products. 

 It costs approximately $300-$425 to acquire a customer, and we typically break even on that unit advertising spend within 3-4 months. While we are young company, we have seen tremendous stickiness from our customer base with low churn, cross-product purchases, and also referrals. We believe that a mid-case, long term value per customer is around $2,900 and could range as high as $5,600.

Traction to Date

Since June 2018, we have served over 300 customers with a revenue run rate of $240K.  Launch is currently operating in one dedicated brick and mortar location and four additional temporary locations. Launch will be opening one additional dedicated retail location this summer. The company will be expanding throughout Texas over next year in Austin, Dallas, Houston, and San Antonio. We expect to begin franchising in Q4.

Roadmap

In the fall, our focus is to expand our age range and open our market wider by offering curricula for elementary and high school kids.  In Q4 we will begin focusing on opening new locations, via franchising in Austin, Houston, Dallas, and San Antonio.  We will focus our first 10 locations in the Texas area so that corporate can provide assistance to our new franchisees as needed. 

Testimonials 

"My son absolutely loves coming here! He has an interest in video games which Launch has turned into a love of coding as well... The staff of [sic] great I cant say enough there. Beyond all of this coding is critical in today's world and a major skill for kids to have later on in life. I feel like I am doing my job as a parent to effectively prepare him for the world with a big advantage by sending him here." - Christina P. 

"My daughter looks forward to her classes and absolutely loves Launch! She has learned so much about coding and loves interacting with the robot, Sphero." - Claire K.

Media Mentions

Team Story

Growing up, the founding team all shared a passion for technology. We were all tinkering with computers - taking them apart, putting them back together. As kids we never had the opportunity to have quality, in-depth, and fun guided learning centered around computing. Thus, we decided to build the program that we all wish we had when we were kids.

Launch's mission is to create leaders through coding. Using a proprietary learning management system, we have created a way to scale our offerings into schools, our own retail centers, community centers, and more. Over time we will take this same platform and create a fully online and scalable experience.

Our team's experience stems from being students of Kumon (a similar learning model), working at Kumon, building complex software, teaching computer science curriculum at schools, building computer science curriculum for online learning platforms and at school, and building and scaling an adult coding bootcamp. These experiences have set the Launch team up for great success.

Founders and Officers

Ravi Parikh

Co-Founder/CEO

Co-Founded MakerSquare in 2012, a leading adult coding bootcamp in the United States.  Exited to Hack Rector in 2015.  Founded RoverPass, a property management software company in the RV Park Industry in 2015 with the backing of angel investors and venture funds.  Ravi leads the engineering team, investor relations, fundraising, and sets the overall strategy of the organization.   

Ravi Parikh

Co-Founder/CEO

Co-Founded MakerSquare in 2012, a leading adult coding bootcamp in the United States.  Exited to Hack Rector in 2015.  Founded RoverPass, a property management software company in the RV Park Industry in 2015 with the backing of angel investors and venture funds.  Ravi leads the engineering team, investor relations, fundraising, and sets the overall strategy of the organization.   

Jobin George

Co-Founder

Jobin came to us from the healthcare industry where he was a strategy consultant focused on large enterprise sales at the Advisory Board and account management at TrendKite.  His focus within the Launch operation is managing our sales team on the B2C side as well as general day-to-day management of our corporate locations.  He also has been leading the charge with creation of our Franchise Disclosure Document and regulatory compliance for franchising. 

Jobin George

Co-Founder

Jobin came to us from the healthcare industry where he was a strategy consultant focused on large enterprise sales at the Advisory Board and account management at TrendKite.  His focus within the Launch operation is managing our sales team on the B2C side as well as general day-to-day management of our corporate locations.  He also has been leading the charge with creation of our Franchise Disclosure Document and regulatory compliance for franchising. 

Vijay holds an MBA from the Wharton School of Business.  Prior to receiving his MBA he worked as an investment banker in the energy sector.  Vijay was instrumental for our first round of funding and sits on our Board of Directors.  Vijay is in charge of corporate governance and general financial strategy.  He assists the day-to-day management team with business scenario modeling and general strategic decision making. 

Vijay Kalvakuntla

Co-Founder

Vijay holds an MBA from the Wharton School of Business.  Prior to receiving his MBA he worked as an investment banker in the energy sector.  Vijay was instrumental for our first round of funding and sits on our Board of Directors.  Vijay is in charge of corporate governance and general financial strategy.  He assists the day-to-day management team with business scenario modeling and general strategic decision making. 

Mitch Morales

Co-Founder/COO

Former finance expert turned entrepreneur.  Mitch got his start at e-learning 360 where he was in charge of M&A in the e-learning industry.  Mitch later become an energy trader.  When his company was sold, he fell in love with the music industry and started one of central Texas's premier music festivals.  Mitch was recruited for his expertise in B2C marketing and general entrepreneurship skills.  Additionally, Mitch is heavily involved with the company's finances as well as general operations.    

Mitch Morales

Co-Founder/COO

Former finance expert turned entrepreneur.  Mitch got his start at e-learning 360 where he was in charge of M&A in the e-learning industry.  Mitch later become an energy trader.  When his company was sold, he fell in love with the music industry and started one of central Texas's premier music festivals.  Mitch was recruited for his expertise in B2C marketing and general entrepreneurship skills.  Additionally, Mitch is heavily involved with the company's finances as well as general operations.    

Lindsay Walker

Co-Founder

Lindsay started her career as a teacher.  From there she acquired her masters in integrative STEM education and begun developing curriculum for various e-learning platforms.  Lindsay later received a certificate in front end development where she shifted to developing content specifically for the K-12 computer science curricula space.  Lindsay, and her curriculum team, are responsible for building all of the curricula that the students use and also for teacher training. 

Lindsay Walker

Co-Founder

Lindsay started her career as a teacher.  From there she acquired her masters in integrative STEM education and begun developing curriculum for various e-learning platforms.  Lindsay later received a certificate in front end development where she shifted to developing content specifically for the K-12 computer science curricula space.  Lindsay, and her curriculum team, are responsible for building all of the curricula that the students use and also for teacher training. 

Key Team Members

Jameson Pitts

Marketing Manager

Evan Morrison

Center Administrator

Olivia Ruggles

Sales Representative

Q&A with the Founder

  • Please detail your product/platform and its key use cases.

    We offer summer camps in our retail stores + satellite locations (schools and community centers). These camps typically have 2 sessions/day, 12-15 students per session at $250-450 per camp session. Our weekly classes are only at our retail locations. Students drop in 1-2x per week at $199 - $299/ month subscription. In 2020 we expect to release fully online courses which will be an extension of in person courses or fully online self-paced curriculum at $50/month subscription.

  • Please summarize your business.

    Launch teaches coding with engaging and relevant curricula. Our curriculum is collaboratively created by experienced teachers and expert developers, combining with real world applications like programming Sphero bots, Minecraft, Fortnite, and more to gamify learning.

  • Please detail the current stage of your product/platform development.
    Our platform is fully functional and is used by our customers on a daily basis. We are continuing to iterate on it to improve functionality and also streamline our business operations with various automations.
  • Please detail your market opportunity.

    We believe that we can teach every kid in America to learn how to code. There are currently 74 million kids in the United States and we believe that our product caters to the upper middle-class and upper class which is roughly 35 million kids. When we launch our online product, we believe we can teach 1 billion kids to code not just in the United States, but globally.

  • Please describe your typical customer/user profile.
    Our customers are both parents and students. We must first attract the parent to the concept. The kids then come in for a free demonstration of the classes. Our kids are age 7-14. Occasionally we have an advanced 6-year-old take our program. We are working to roll out products that target even younger and older kids.
  • The Q&A with the Founder is based on due diligence activities conducted by SI Securities, LLC. The verbal and/or written responses transcribed above may have been modified to address grammatical, typographical, or factual errors, or by special request of the company to protect confidential information.

    Term Sheet

    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.

    Fundraising Description

  • Round type:
    Seed

  • Round size:
    US $1,070,000

  • Raised to date:
    US $21,900
    US $21,900 (under Reg CF only)

  • Minimum investment:
    US $1,000

  • Target Minimum:
    US $250,000
  • Key Terms

  • Security Type:
    Crowd Note

  • Conversion discount:
    20.0%

  • Valuation Cap:
    US $4,000,000

  • Interest rate:
    5.0%

  • Note term:
    36 months
  • Additional Terms

  • Investment Proxy Agreement

    All non-Major Purchasers will be subject to an Investment Proxy Agreement (“IPA”). The IPA will authorize an investment Manager 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 Company's offering materials for additional details.


  • Custody of Shares

    Investors who invest $50,000 or less will have their securities held in trust with a Custodian that will serve as a single shareholder of record. These investors will be subject to the Custodian’s Account Agreement, including the electronic delivery of all required information.


  • Closing conditions:
    While Launch Code After School has set an overall target minimum of US $250,000 for the round, Launch Code After School must raise at least US $25,000 of that amount through the Regulation CF portion of their raise before being able to conduct a close on any investments below $20,000. For further information please refer to Launch Code After School's Form C.

  • Transfer restrictions:
    Securities issued through Regulation CF have a one year restriction on transfer from the date of purchase (except to certain qualified parties as specified under Section 4(a)(6) of the Securities Act of 1933), after which they become freely transferable. While securities issued through Regulation D are similarly considered "restricted securities" and investors must hold their securities indefinitely unless they are registered with the SEC and qualified by state authorities, or an exemption from such registration and qualification requirements is available.

  • Use of Proceeds

    Investor Perks

    • $1,000 (“Bronze”) – Free t-shirt and and plaque to commemorate this offering.
    • $5,000 (“Silver”) – All of the above, plus two (2) months free of our weekly classes or one (1) free summer camp.
    • $25,000 (“Gold”) – All of the above, plus participation in regularly scheduled quarterly calls with senior management.
    • $50,000 (“Platinum”) – All of the above, plus arranged, paid airfare (domestic or domestic equivalent airfare towards international) to Austin for in-person investor tour and a one-time dinner with management. Also includes invitation to annual updates (dinners, calls, etc.) with the Launch senior management team.

    It is advised that you consult a tax professional to fully understand any potential tax implications of receiving investor perks before making an investment.

    Prior Rounds

    The graph below illustrates the valuation cap or the pre-money valuation of Launch Code After School's prior rounds by year.


    This chart does not represent guarantees of future valuation growth and/or declines.

    Pre-Seed

  • Round Size
    US $606,000
  • Closed Date
    Jun 14, 2019
  • Security Type
    Convertible Note
  • Valuation Cap
    US $1,750,000
  • Financial Discussion

    Operations

    Launch After School, LLC. (“the Company”) is a limited liability company organized under the laws of the State of Texas. The Company is an education resource center that provides tutoring services and afterschool programs for middle school students. The Company specializes in teaching coding and other software development classes.

    The financial statements have been prepared on the going concern basis, which assumes that the Company will continue in operation for the foreseeable future. However, management has identified the following conditions and events that created an uncertainty about the ability of the Company to continue as a going concern. The Company sustained a net loss of $273,285 during the year ended December 31, 2018 and has limited operating history.

    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  $8,146 in cash on hand as of June 28, 2019. 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.

    Market Landscape

    Launch is positioned to be a leader in the kids coding education market. We believe that we can teach every kid in America to code. There are currently 74M kids in the US. Our target market is middle to upper class which is roughly half of the US population (37M kids). 

    Our primary competition are other brick and mortar retail coding education facilities. This includes a handful of regional and national players:

    Regional Competitors

    • iCode - Texas player that is starting to franchise
    • Hatch - mostly located in Canada. Big focus on school partnerships
    • uCode - California based, corporate only

    National Competitors

    • Code Ninjas - franchisor, largest in the industry
    • The Coder School - second largest franchisor 

    We charge $199-599 for summer camps and $199-299 for our weekly classes. What sets Launch apart is the unique experience that all users of our product receive. Our proprietary software, fully integrated unique real estate experience, and most importantly quality of curriculum set us apart. 

    Our key differentiator is the software that we have built to run our business. We have made it so simple to run a Launch location that an entry level, $10/hr employee can run it. Our platform helps the individuals running their location focus on student experience and retention while leaving more of the mundane administrative functions to the platform. The platform allows us to focus on superior unit economics and automates away low level work.

    Additionally, our physical space is carefully crafted to create a setting where kids not only come to learn, but also is a space for them to kick back and relax while learning. We have made our spaces as much a part of our product as our curriculum and platform. Kids can come in and kick off their shoes and relax all while learning. 

    Risks and Disclosures

    The Company’s cash position is relatively weak.The Company currently has only $8,146 in cash on hand as of June 28, 2019. The Company believes that it is able to continue extracting cash from sales to extend its runway. The Company could be harmed if it is unable to meet its cash demands, and the Company may not be able to continue operations if they are not able to raise additional funds.

    Failure to obtain new clients or renew client contracts on favorable terms could adversely affect results of operations. The Company may face pricing pressure in obtaining and retaining their clients. Their clients may be able to seek price reductions from them when they renew a contract, when a contract is extended, or when the client’s business has significant volume changes. Their clients may also reduce services if they decide to move services in-house. On some occasions, pricing pressure results in lower revenue from a client than the Company had anticipated based on their previous agreement with that client. This reduction in revenue could result in an adverse effect on their business and results of operations.

    Further, failure to renew client contracts on favorable terms could adversely affect the Company's business. The Company's contracts with clients generally run for several years and include liquidated damage provisions that provide for early termination fees. Terms are generally renegotiated prior to the end of a contract’s term. If they are not successful in achieving a high rate of contract renewals on favorable terms, their business and results of operations could be adversely affected.

    The development and commercialization of the Company’s products and services are highly competitive. 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. The after-school coding class market is an emerging industry where new competitors are entering the market frequently. 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.

    Because our business operations are concentrated in a single geographic area, we are susceptible to economic and other trends and developments, including adverse economic conditions, in this area. Our financial performance is dependent on our franchise locations in Texas. As a result, adverse economic conditions in this area could have a material adverse effect on our overall results of operations. In addition, local strikes, terrorist attacks, increases in energy prices, inclement weather or natural or man-made disasters could have a negative effect on our business.

    We depend on profitable franchise agreements of our technology and physical locations, and if we are unable to maintain and generate such agreements, then we may not be able to sustain existing levels of revenue or increase revenue.

    The Company has outstanding liabilities. As of December 31, 2018, the Company owes a total of $64,891 in short term liabilities. Of this, approximately $63,000 is accounts payable and $1,000 is accounts unearned revenue.

    The Company has generated substantial net losses and negative operating cash flows since its inception as part of the development of its business. The Company has generated substantial net losses and negative cash flows from operating activities since it commenced operations. It has incurred losses of approximately $273,285 from its inception through December 31, 2018. Before achieving profitability it will generate continued losses. Its costs may also increase due to such factors as higher than anticipated financing and other costs; non-performance by third-party suppliers, licensees, partners, or subcontractors; and increases in the costs of labor or materials. If any of these or similar factors occur, its net losses and accumulated deficit could increase significantly and the valuation could decline.

    The Company conducts business in a heavily regulated industry and if it fails to comply with these laws and government regulations, it could incur penalties or be required to make significant changes to its operations or experience adverse publicity, which could have a material adverse effect on its business, financial condition, and results of operations. The after-school program industry is heavily regulated and closely scrutinized by federal, state and local governments. Comprehensive statutes and regulations govern the manner in which the Company provides and bills for services and collects reimbursement from governmental programs and private payors, contractual relationships with Providers, vendors and Clients, marketing activities and other aspects of its operations. Because of the breadth of these laws and the narrowness of the statutory exceptions and safe harbors available, it is possible that some of the Company’s business activities could be subject to challenge under one or more of such laws. Achieving and sustaining compliance with these laws may prove costly. Failure to comply with these laws and other laws can result in civil and criminal penalties such as fines, damages, overpayment recoupment loss of enrollment status. The risk of the Company being found in violation of these laws and regulations is increased by the fact that many of them have not been fully interpreted by the regulatory authorities or the courts, and their provisions are sometimes open to a variety of interpretations. The Company’s failure to accurately anticipate the application of these laws and regulations to the business or any other failure to comply with regulatory requirements could create liability for us and negatively affect the business. Any action against us for violation of these laws or regulations, even if we successfully defend against it, could cause us to incur significant legal expenses, divert management's attention from the operation of the business and result in adverse publicity.

    The Company relies heavily on their technology and intellectual property, but they may be unable to adequately or cost-effectively protect or enforce their intellectual property rights, thereby weakening their competitive position and increasing operating costs. To protect their rights in our services and technology, they rely on a combination of copyright and trademark laws, patents, trade secrets, confidentiality agreements with employees and third parties, and protective contractual provisions. They also rely on laws pertaining to trademarks and domain names to protect the value of their corporate brands and reputation. Despite their efforts to protect their proprietary rights, unauthorized parties may copy aspects of their services or technology, obtain and use information, marks, or technology that they regard as proprietary, or otherwise violate or infringe their intellectual property rights. In addition, it is possible that others could independently develop substantially equivalent intellectual property. If they do not effectively protect their intellectual property, or if others independently develop substantially equivalent intellectual property, their competitive position could be weakened.

    Effectively policing the unauthorized use of their services and technology is time-consuming and costly, and the steps taken by them may not prevent misappropriation of their technology or other proprietary assets. The efforts they have taken to protect our proprietary rights may not be sufficient or effective, and unauthorized parties may copy aspects of their services, use similar marks or domain names, or obtain and use information, marks, or technology that they regard as proprietary. They may have to litigate to enforce their intellectual property rights, to protect their trade secrets, or to determine the validity and scope of others’ proprietary rights, which are sometimes not clear or may change. Litigation can be time consuming and expensive, and the outcome can be difficult to predict.

    Seasonal fluctuations in the economy, especially as it relates to the educational calendar, may have an effect on the Company. Both cyclical and seasonal fluctuations in education and after-school programs may affect their business. These markets generally slow during the summer months, and queries typically increase significantly in the fall months. These seasonal trends may cause fluctuations in our quarterly results, including fluctuations in revenues.

    The company currently has approximately $16,000 in secured debt. This may require the Company to dedicate a portion of its cash flow from operations or the capital raise to pay principal of, and interest on, indebtedness, thereby reducing the availability of cash flow to fund working capital, capital expenditures, or other general corporate purposes, or to carry out other business strategies. Some of the loans are personally guaranteed by the Founder, Ravi Parikh. In addition, the terms of the Loan clarify that upon any event of default, the Lender may declare all or any portion of the Loan to be immediately due and payable. One of the Events of Default, as defined in that agreement is a general inability to pay its debts. The Loan is secured with a continuing security interest in all the Company’s assets.

    The company has issued related party loans. In 2018, the Company drew funds against a consumer line of credit in order to purchase computer equipment (“Loan 1”). The loan does not accrue interest and is payable in equal installments in 2022. Minimum monthly payments are $137 per month. In 2018, the Company obtained a loan for the purpose of funding continuing operations (“Loan 2”). The loan accrues interest at the rate of 12% per annum and is payable in May 2019. Minimum monthly payments are $3,447. During 2018, the Company capitalized $0 in interest related to the loan.

    General Risks and Disclosures

    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") 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.

    Launch Code After School's Form C

    The Form C is a document the company must file with the Securities and Exchange Commission, 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.

    Download Launch Code After School's  Form C

    Frequently Asked Questions

    About Side by Side Offerings
    What is Side by Side?

    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.


    What is a Form C?

    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.


    What is Rule 506(c) under Regulation D?

    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.


    What is Reg CF?

    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.


    Making an Investment in Launch Code After School
    How does investing work?

    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 Launch Code After School. Once Launch Code After School accepts your investment, and certain regulatory procedures are completed, your money will be transferred from the escrow account to Launch Code After School in exchange for your securities. At that point, you will be a proud owner in Launch Code After School.


    What will I need to complete my investment?

    To make an investment, you will need the following information readily available:

    1. Personal information such as your current address and phone number
    2. Employment and employer information
    3. Net worth and income information
    4. Social Security Number or passport
    5. 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.


    How much can I invest?

    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, Launch Code After School has set a minimum investment amount of US $1,000.

    Accredited investors investing $20,000 or over do not have investment limits.


    After My Investment
    What is my ongoing relationship with the Issuer?

    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:

    1. The company becomes a fully-reporting registrant with the SEC
    2. The company has filed at least one annual report, but has no more than 300 shareholders of record
    3. The company has filed at least three annual reports, and has no more than $10 million in assets
    4. The company or another party purchases or repurchases all the securities sold in reliance on Section 4(a)(6)
    5. 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.


    How can I sell my securities in the future?

    Currently there is no market or liquidity for these securities. Right now Launch Code After School does not plan to list these securities on a national exchange or another secondary market. At some point Launch Code After School 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 Launch Code After School either lists their securities on an exchange, is acquired, or goes bankrupt.


    How do I keep track of this investment?

    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.


    Other General Questions
    What is this page about?

    This is Launch Code After School'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 Launch Code After School's Form C. The Form C includes important details about Launch Code After School's fundraise that you should review before investing.


    How can I (or the company) cancel my investment under Regulation CF?

    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 account's portfolio page by clicking your profile icon in the top right corner.


    What if I change my mind about investing?

    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 account's portfolio page by clicking your profile icon in the top right corner.