muthopay

Company
Overview
v Everyone’s go to payment platform.

v Mobile Keyboard and Mobile Wallet Based

payment solution,

v 1.1K Agent points to avail our services,

v 5K Moving Agents in Dhaka and Chittagong.

v 7000 Female Customers.

v 1000 Netflix gift cards are being ordered

every month from a B2B partner. Average gift
card value $15 ( From April/May’19)
Company History and Progress
§ Founded and incorporated in Bangladesh as MuthoPay Limited by
Reyad Rahman and Tafsir Ony. Muthopay Singapore will be the parent
company of Muthopay Bangladesh.

§ Initially focused on the wallet but later on offering a mobile keyboard

to socialize digital payment and a marketplace for digital services.

§ Working with 5 major telecom operators and

1 commercial bank. One Bank Limited as Settlement Bank.

§ Has 1.1K agent point across Bangladesh, 60K bus tickets daily in the
inventory.

§ Raised $30K from one angel investor.

§ Acquiring EMS (e-Money License) & PSO (Payment Service Operator)

License.

§ Going through Toru Accelerator (http://toruinstitute.com/)

Muthopay Offers:
App and Browser based Payment Wallet,
Process payments for local and global
companies,
An offline to online Marketplace.
Muthopay In Agent Points
We sell Netflix Subscriptions ( 3 Packages ) and Gift Cards through our agent
points. One user goes to our agent points, describes the packages or gift card
he/she needs, pay in local currency and get the services.

We are adding Spotify, Amazon, and AliExpress in our inventory.

Mobile Keyboard Based Payment Solution
A mobile keyboard both on Android and iOS, lets
you pay your friends and family over WhatsApp,
Messenger, Snapchat and more.

Mutho Keyboard
 Market Overview

Ø 300 Billion Dollar Economy, 13 Billion

Dollar Remittance each year (incoming).

Ø 50% population unbanked, 90%

population underbanked.

Ø less than 5% payment is by cards.

Ø 10 Million Debit Cards, 1 million Credit

Cards in the market.

Ø Existing ecosystem players process

roughly 36 to 48 Billion Dollar per year by
mobile phone.
 Market Overview

Mobile Subscriptions Ecommerce

Micro Market
§ Initial Target Customers are in from Youth; cities; consuming the majority of the internet; who has a
smartphone and already spending money on e-commerce or digital services.

§ 99% of transactions are still in cash, thus without the smartphone market is relatively huge.

§ MuthoPay Marketplace, Cross Border Payments, O2O experience.

§ Targeting 15 to 25 and 25 to 35+ ranges.

o Social Media,
o Campus,
o YouTube.
Industry Analysis
o What o How

o Threat of New • Requires a license.

Entrance • Requires partnerships with banks.
• Requires either a network of agents or merchants.

o Supply Power • Agent points are leased or managed by the agents,

• No substitute for agent points
• Large offline customer base. Considerable online customer base.

o Buyer Power • Multiple payment options: cash or competitors.

• No switching cost.
• Pricing sensitivity, Transactions by/on MuthoPay is free.

o Competitive Rivalry • Same agent network.

• Same geographical location.
• Backed by big investors.
Industry Analysis
Competitive Advantages

o What o How

o Agents • Planning to have own agent locations, instead of shared agents. Selling
products and services and process payments, offline and online, by
these dedicated agent points. Agent points will be rent and managed
by agents, we will enable rest by technology.
o Pricing • Transactions are free, forever.

o Proprietary • In the process of filing for software patents, takes time here.
Elements

o Credit • First mover Advantage. No public/private credit score or no such

platform exists. Will give individuals/small medium enterprises access
to credits for a fixed service fee.

o Cash out Anytime • For businesses, cash out within 24 hours. Currently, they get paid in 7
days to 15 days from the payment company.
Business Model
o Marketplace = Since acquiring a license is time-consuming, We will provide services offline and online through
our marketplace from early May ‘19.

o Pricing = Each transaction happen at Muthopay is free. However, we may charge the government and large
organizations for using our backend and data.

o Continuous Improvements = on overall user experiences and business model.

o O2O Experience = We should have a presence in both offline and online since 99% of transactions happen by
cash and at offline, here.

o Possible on-demand cash out = If users cash out a big amount of money at a time, they will be charged.

o Remittance = We won’t just receive remittance, will also process cross border payment. Will make money from
exchanges rate.

o Credit = Will issue credits to individual and businesses for a fixed service charge, accessible by basic phone,
smartphone, web; based on owned AI Based credit score.
Projections and Our Ask
Key Summary Data Year 1 Year 2 Year 3 Year 4 Year 5

Newly Acquired Customer 10,00,000 50,00,000 1,25,00,000 3,00,00,000 7,00,00,000

Total Number of Customers 10,00,000 60,00,000 1,85,00,000 4,85,00,000 11,85,00,000

Paying Customers 50,000 75,000 2,00,000 5,00,000 12,50,000

Mobile Recharge 10,00,00,000 18,00,00,000 25,00,00,000 37,00,00,000 50,00,00,000

Average Annual Wallet Transactions ( Upon Getting 50,00,00,000 75,00,00,000 180,00,00,000 350,00,00,000 1000,00,00,000
License)

Gross Revenue Year 1 Year 2 Year 3 Year 4 Year 5

Mobile Recharge or Top Up 10,00,00,000 18,00,00,000 25,00,00,000 37,00,00,000 50,00,00,000

Marketplace Sales 30,00,000 75,00,000 1,75,00,000 5,00,00,000 10,00,00,000

Total Revenue 10,30,00,000 18,75,00,000 26,75,00,000 42,00,00,000 60,00,00,000

Direct Costs Year 1 Year 2 Year 3 Year 4 Year 5

Fixed Cost 5,50,00,000 8,00,00,000 15,00,00,000 32,00,00,000 45,00,00,000

Transaction Costs 50,00,000 1,20,00,000 3,00,00,000 5,00,00,000 7,00,00,000

Agent Costs 50,00,000 1,50,00,000 4,50,00,000 7,50,00,000 10,00,00,000

ATM Costs 56,86,800 1,70,00,000 1,70,00,000 5,00,00,000 7,50,00,000

Settlement Cost 7,00,000 10,00,000 30,00,000 50,00,000 50,00,000

Bank Out Cost 50,00,000 50,00,000 50,00,000 50,00,000 50,00,000

Total Direct Costs 7,63,86,800 13,00,00,000 25,00,00,000 50,50,00,000 70,50,00,000

COGS 8,58,33,333 15,62,50,000 22,29,16,666 35,00,00,000 50,00,00,000

Total Cost 16,22,20,133 28,62,50,000 47,29,16,666 85,50,00,000 120,50,00,000

EBIT ( in BDT ) -5,92,20,133 -9,87,50,000 -20,54,16,666 -43,50,00,000 -60,50,00,000

EBIT ( in USD ) - 0.7 Million -1.16 Million -2.425 Million - 5.135 Million -7.143 Million

We need $3.6 Million to make this happen!

People

Sumaiya Dina Reyad Rahman

Co Founder, Director and Founder, Managing Director and
Angel Investor Tafsir Hossain CEO
Co Founder, Director and
Chairman