Recovery floor
A$60k minimum cumulative share before any exit so the studio recoups baseline investment even in slower ramps.
Investor overview
Guardrails that make investors comfortable
These terms give founders room to build while keeping investor capital protected. The studio only steps revenue share down once the venture is healthy, and downside is buffered by clear floors, caps, and buyout math.
Scaled cap
Cap is max(A$150k, 3x studio-funded build cost) so larger scoped builds still return appropriately.
Performance gates
Step-downs require ≥75% gross margin and <5% monthly churn, keeping retention and efficiency tight.
Post-cap choices
Founders pick a A$1.5k–A$3.5k support retainer or a 2% tail for 12 months; infrastructure continues at pass-through cost.
Buyout formula
After month 18 the optional buyout is max(A$50k, 3x current MRR) minus the last 6–12 months of revenue share.
Why the floor matters
- •Baseline capital is protected, even if a cohort ramps more slowly.
- •Installs discipline for cost control and go-to-market focus in early months.
Cap + scale alignment
- •Larger builds have proportional headroom so we don’t underwrite losses.
- •Upside beyond the cap reverts to the founder, maintaining the founder-first promise.
Retention guardrails
- •Step-down economics only trigger when gross margin is healthy.
- •MRR churn monitoring keeps low-quality revenue from diluting cohort performance.
Post-cap optionality
- •Founders decide between ongoing support retainer or a short tail revenue share.
- •Infrastructure is always passed through at cost so unit economics stay clean.
Buyout discipline
- •Buyout only opens after month 18 and revenue share history offsets the figure to avoid double counting.
- •Multiple guardrails ensure valuations stay grounded in observable performance.
Looking for the deeper model?
Reach out for the full investor deck, quarterly cohort performance, and historical payback timelines.