Use of Funds
EXCLUSIVELY for Central Technology, IP, and Executive Management. Funds are NOT used for regional mall inventory, logistics fleets, or local operations.
Equity Offered (Investors)
50% Stake in the Holding Company. Immediate equity in all centralized IP and future fixed-fee revenue streams.
Equity Retained (Founders)
50% Stake in the Holding Company. Retained by the founding team/original owner (including CTO/Architect role).
Legal Status and Compliance (SEC)
The MyxxMarket Online Mall Network is a duly organized and existing corporation under Philippine law. The investment sought is for the Holding Company (Parent Corporation).
Corporate Structure:
We operate as a Holding Company, where the primary function is the ownership and licensing of Intellectual Property (IP), isolating the investor's core assets from regional operational liabilities.
Asset & Liability Isolation:
The Holding Company carries zero liability for regional operations (fleet maintenance, local payroll), isolating the investor's core IP assets from regional market risks.
II. Critical Metrics: Immediate ROI
The holding company investment is structured to provide investors with a low-risk, high-return profile based on two revenue levers: predictable fixed-fee revenue (Annual ROI) and IP valuation (Exit ROI).
Minimum Annual ROI (Fixed Fee Floor)
48.5%. Based purely on 150 regional malls paying the fixed monthly fee.
Optimistic Annual ROI (10 Malls)
57.6%. 10 regional malls hitting their high-performance sales targets.
Exit ROI (Target Acquisition)
1,000%. Payout on a target valuation of ₱400,000,000 (Year 5-7).
III. The Foundation: Central IP and High-Margin Revenue
The investment risk is mitigated because the core business model (Consolidated Fulfillment) is validated through our initial successful subsidiary, and the Network's revenue is derived from a highly predictable, high-margin, fixed-fee model.
A. The Holding Company Value Proposition
The MyxxMarket Online Mall Network provides superior returns by specializing in centralized technology and strategic management, avoiding the high OpEx of physical logistics:
Centralized Technology Ownership
All proprietary e-commerce platforms, logistics algorithms, and the secure API gateway are owned by the Holding Company, which licenses them to subsidiaries.
Fixed-Fee Revenue Model
The Network’s profitability is based solely on fixed service charges paid by regional subsidiaries, guaranteeing a high-margin, predictable income stream.
Asset & Liability Isolation
The Holding Company carries zero liability for regional operations (fleet maintenance, local payroll), isolating the investor's core IP assets from regional market risks.
B. Fixed-Fee Revenue Model (150-Site Projection)
The Network’s profit model is built on stability and predictability, ensuring a fixed, high-margin return by billing 150 regional sites a ₱15,000 monthly fee.
1. Central Services Fee (Total Revenue)
₱15,000 x 150 sites = ₱2,250,000
Less: Monthly Central OpEx
(Based on ₱7.6M Annual Group Mgmt Cost - 4-Person Salaried Team)
(₱633,333)
SUBTOTAL MONTHLY NET PROFIT (Fixed Fee)
₱1,616,667
Investor Monthly Share (50% Equity)
₱808,333
Dividend Payout Policy
The predictable, high-margin nature of the Central Services Fee allows the Holding Company to provide regular returns to its shareholders. Dividends from the Fixed Fee Revenue stream will be distributed Quarterly. The payout will be based on the preceding quarter's net operating income, ensuring consistent cash flow to investors.
C. The Equity Profit Multiplier (The Twist)
The Network also holds a controlling 50% equity stake in every regional subsidiary, generating a second, high-volume revenue stream from the actual logistics and retail operations.
Model: Every time a subsidiary finds an investor for 50% of the local operations (e.g., the ₱8M investment for 50% in Cebu), the Network automatically retains the other 50% of the subsidiary's net profit.
Projected Additional Revenue (Example based on Cebu Mall's Optimistic Target): If Cebu hits its target, it yields ₱2.74M in annual profit for the Network’s 50% share. As the network grows, this variable equity profit will far surpass the fixed-fee income, dramatically increasing the Group's total valuation.
D. The Competitive Moat: Network Effect & Algorithm Lock-in
Our defensibility lies in the combination of our proprietary technology and the Network Effect created by the sheer number of subsidiaries. This creates a competitive barrier that is exponentially difficult for competitors to replicate.
Proprietary Logistics Algorithm (IP Moat): Our system is based on proprietary algorithms for Consolidated Fulfillment—the ability to process and efficiently route diverse, multi-category, high-AOV orders into a single delivery package. This code is the core IP of the Holding Company and cannot be licensed or reverse-engineered by competitors without decades of operational data.
National Network Effect: As the number of operational regional malls grows, the value of the MyxxMarket brand platform increases for every new subsidiary, making it the unavoidable partner for high-value logistics nationwide. This creates a powerful lock-in for both local investors and consumers.
IV. Financial Projections: The Scalability of IP
The true value of this investment lies in the scalability of the two revenue streams: the fixed-fee floor and the high-growth equity multiplier. The goal remains 150 online malls across the country and Southeast Asia.
A. Expansion Roadmap & Key Milestones (36 Months)
The ₱20 Million investment provides the operational runway to hit the following milestones, ensuring accountability to our investors:
Month 0-6
Cloud Migration & Security Hardening Founder/CTO oversees migration, securing API layer. Developer executes prototype transition to GCP/AWS Microservices architecture. Launch Davao (Site 2).
Month 7-18
Hyper-Expansion Phase 1 Launch 3 new regional subsidiaries (e.g., Manila, Iloilo, Bacolod) to reach 5 total operational sites. Begin establishing formal central processes for finance and HR.
Month 19-36
Network Acceleration Phase 2 Launch 5 additional regional subsidiaries to reach the Optimistic Target of 10 total operational sites (triggering 1094.4% ROI). Implement Group-level centralized marketing initiatives.
Revenue Scenario
Ultimate Target (150 Malls) 150 regional malls hit their high-performance sales target (34.3% ROI). Annual Net Profit - ₱437,757,690 Investor Annual Return (50%) - ₱218,878,845 Annual ROI on ₱20M - 1094.4%
Optimistic Target (10 Malls) 10 regional malls hit their high-performance sales target (34.3% ROI). Annual Net Profit - ₱23,037,690 Investor Annual Return (50%) - ₱11,518,845 Annual ROI on ₱20M - 57.6%
Safety Net Target (3 Malls) 3 regional malls only hit their minimum sales target (14.0% ROI). Annual Net Profit - ₱15,980,000 Investor Annual Return (50%) - ₱7,990,000 Annual ROI on ₱20M - 40.0%
Fixed Fee Floor (150 Sites) 150 sites paying the ₱15K fixed fee, regardless of local sales performance. Annual Net Profit - ₱19,400,000 Investor Annual Return (50%) - ₱9,700,000 Annual ROI on ₱20M - 48.5%
Note: The Fixed Fee Floor ROI represents the highest-margin, lowest-risk revenue stream, optimized by the highly experienced central technical team.
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V. Investment Allocation (₱20,000,000 Breakdown)
The funding is now hyper-focused on executing the critical technology transformation and securing a minimum 9-month runway for the central management team.
A. Investment Summary
1. Central Technology & IP Build-Out | ₱12,000,000
Funds the complete cloud migration, advanced security hardening, Microservices architecture, API gateway development, and IP licensing framework. | Builds a competitive barrier to entry (the highest-value asset).
2. Key Tech Talent Runway | ₱1,800,000
Funds one year of salary for the high-tier Full Stack Developer (₱150K/mo), executing the migration under the founder's direction. | Secures elite talent capable of handling national-scale architecture with CTO oversight.
3. Central OpEx & Working Capital Reserve | ₱6,200,000
Focused Operational Runway (9.8 Months) for Group-level management and a dedicated capital reserve to strategically seed new regional subsidiaries. | Provides sufficient runway for the central team to secure regional investors and manage initial launches.
TOTAL ₱20,000,000
Critical 12-Month Technology Transformation and Central Operations Runway.
B. Detailed Staffing and Salary Breakdown
(The Lean 4-Person Salaried Team)
The Network requires a minimal, highly-specialized team of only 4 full-time personnel (not including the founder's CTO/Architect role) to execute the migration, secure regional investments, and manage 150+ sites.
1 Founder / CTO & Architect
Directly responsible for Cloud Migration, Security, and Code Quality.
1 Full Stack Developer - ₱1,800,000
Execution of code migration, testing, and deployment of the Microservices architecture.
1 Head of Business Development - ₱2,500,000
Drives the hyper-expansion phase by securing the ₱8M regional investors and managing partnership relations.
1 Executive/Group Manager - ₱1,800,000
Strategic oversight, IP licensing, and investor relations.
1 Central Finance/Admin - ₱1,500,000
Billing, financial reporting, and compliance for the national network.
4 Total Personnel - ₱7,600,000 (Annual)
Highly qualified, low-cost team for 150+ sites.
VI. Exit Strategy: Valuation on Technology & Predictable Revenue
The highest valuation multiple in an acquisition comes from the Technology and IP, and the stability of the fixed, recurring revenue stream. The lower capital base means your equity is even more valuable.
Target Buyers: Strategic buyers (telecoms, banks, national logistics firms) seeking to acquire a pre-built, revenue-generating national e-commerce technology platform.
Target Valuation: By Year 5, with 10+ operational subsidiaries and a proven high-margin fixed-fee model, we project a minimum valuation of ₱400,000,000. (This valuation increases dramatically toward the Ultimate Target of 150 sites).
Investor Capital Return (50% Equity): ₱200,000,000 (a spectacular 10.0x return on the ₱20M capital investment, not including monthly fixed-fee dividends or the subsidiary profit share).
