~TIMIA’s North American Expansion Crystallized with Texas Software Company~
VANCOUVER, BC – October 17, 2018 – TIMIA Capital Corporation (“TIMIA” or the “Company”) (TSX-V:TCA) announced that it has entered into a US$2.5 million investment facility for Austin, Texas-based software company, Real Savvy, Inc. (“RealSavvy”). The financing facility includes an initial disbursement of US$1,000,000, which was advanced today, and a further US$1,500,000 to be disbursed upon certain milestones being met over the term of the agreement.
“This is an important first step for TIMIA, as the U.S. SaaS market represents a significant opportunity,” said Greg Smith, CIO of TIMIA. “Moreover, this is a great opportunity to finance a private software company, outside the volatility of public markets. RealSavvy’s management understands their market, are efficient with their capital, and the Company’s demonstrable growth is a great match for our revenue-based financing.”
“We found that TIMIA’s revenue-based financing was aligned with our sales growth and objective to maintain our ownership position,” said Rick Orr, CEO & Co-Founder, RealSavvy Inc. “The overall value proposition for us was a great fit as we have a proven business model that is ideally suited for non-dilutive capital from TIMIA.”
TIMIA is continuously seeking new and exciting investments in the software as a service or SaaS industry. Under TIMIA’s revenue-based financing model, TIMIA advances capital to a SaaS business with a recurring revenue stream that allows the portfolio company to make monthly payments to TIMIA that are a combination of principal and interest with a repayment schedule sculpted to the portfolio company’s revenue streams. The amounts advanced are secured and may be repaid early, triggering a bonus payment to TIMIA. The Company expects to make further investments in the coming months, in the pursuit of its business model, which is to earn a combination of monthly payments and periodic gains on investments.
Founded in 2014, RealSavvy provides custom websites for brokers and agents where they can collaborate with buyers throughout the home search. Buyers can search real estate listings, and then “pin” a home listing they like on a personalized board, which they can share with others involved in their home search. RealSavvy’s target customers are real estate brokerages who utilize the company’s first-in-class platform to enable their agents to work more easily and efficiently with their clients. Complete with beautiful front end websites, award winning branded apps, rich home search experience and predictive CRM, RealSavvy is built to drastically enhance its customers’ ability to capture and convert leads to home buyers and sellers. Visit www.realsavvy.com to learn more.
About TIMIA Capital Corporation
TIMIA Capital Corporation is a specialty finance company that provides growth capital to technology companies in exchange for payments based on monthly revenue. This alternative financing option complements both debt and equity financing, while allowing entrepreneurs and existing stakeholders to retain ownership and control of their business. TIMIA’s singular focus is the fast growing, global, business-to-business Software-as-a-Service (or SaaS) segment. We align ourselves with entrepreneurial management teams growing their sales from $1 Million to $10 Million in Annual Recurring Revenue. For more information about TIMIA Capital Corporation, please visit www.timiacapital.com
For more information, please contact:
Vice President, Capital Markets & Communications
Mike Walkinshaw, CEO
TIMIA Capital Corporation
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Certain information and statements in this news release contain and constitute forward-looking information or forward-looking statements as defined under applicable securities laws (collectively, “forward-looking statements”). Forward-looking statements normally contain words like ‘believe’, ‘expect’, ‘anticipate’, ‘plan’, ‘intend’, ‘continue’, ‘estimate’, ‘may’, ‘will’, ‘should’, ‘ongoing’ and similar expressions, and within this news release include any statements (express or implied) respecting further North American expansion, further disbursements upon the completion of certain milestones and expectations regarding making further investments in the coming months. Forward-looking statements are not guarantees of future performance, actions, or developments and are based on expectations, assumptions and other factors that management currently believes are relevant, reasonable and appropriate in the circumstances, including, without limitation, the following assumptions: that the Company and its investee companies are able to meet their respective future objectives and priorities, assumptions concerning general economic growth and the absence of unforeseen changes in the legislative and regulatory framework for the Company. Although management believes that the forward-looking statements are reasonable, actual results could be substantially different due to the risks and uncertainties associated with and inherent to Timia’s business. Material risks and uncertainties applicable to the forward-looking statements set out herein include, but are not limited to, the Company having insufficient financial resources to achieve its objectives; availability of further investments that are appropriate for the Company on terms that it finds acceptable or at all; successful completion of exits from investments on terms that constitute a gain when no such exits are currently anticipated; intense competition in all aspects of business; reliance on limited management resources; general economic risks; new laws and regulations and risk of litigation. Although Timia has attempted to identify factors that may cause actual actions, events or results to differ materially from those disclosed in the forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, predicted, estimated or intended. Also, many of the factors are beyond the control of Timia. Accordingly, readers should not place undue reliance on forward-looking statements. Timia undertakes no obligation to reissue or update any forward-looking statements as a result of new information or events after the date hereof except as may be required by law. All forward-looking statements contained in this news release are qualified by this cautionary statement.