About

40 million domain names suffer from exact-domain impersonation, low email deliverability, and the risk of getting blacklisted (a $22 billion market). Skysnag is solving this by building the fastest, most reliable and automated/self-served email authentication system in the market today that allows IT and system admins to set up the requisite protocols in 5 minutes. The founders have 15 years of experience in software and DNS; Jad, the CEO, is a technical 3-time founder with prior exits. The product is live, revenue-generating, and traffic is growing at 20% week over week thanks to a unique GTM strategy that is generating 200+ global leads per day.

Fundraising Synopsis

The founders have bootstrapped the business but now they're looking to raise some angel money to grow their sales operations to handle the volume of incoming leads from key geographies and maximize conversion to reach $100k in MRR before going out for an A round (currently projected to reach $11k before Q3, up from $7k in May). The founder raised $350k in SAFE notes from angel investors at $10.5MM post-money cap and is still looking for another $150k to hit target, however, he is eager to get the right quality investor-advisor at this stage, therefore will keep an open mind to any new terms or structure they might set.

Why Are We Backing This Client

1. The company is unique in being an automated plug-and-play solution that is easy to implement, that works, and is quite cheap compared to how big of a problem it is solving;

2. Malicious cyber-attacks are growing ever larger in volume and in intelligence; in a world where reputation is everything, email security will gain a much larger wallet share in the next 5 years in comparison to current historicals; 

3. The segment of the market who has already been affected by an attack have a 10x more propensity to convert and make large carve outs in their IT budgets to email safety, and 99% of Skysnag's organic leads are affected by one form of attack or the other;

4. Regulated firms such as brokerages e.g. could face devastating consequences when their clients fall victim to BEC (Business Email Compromise) attacks where an impersonator may deceive a customer by posing as their broker; similar disasters could happen within law, insurance and other large firms that deal with the public, including government;

5. The company has virtually an endless market, and the team is dedicated to perfecting funnel strategies and running winning sales playbooks that maximize lead conversion; 

6. Company would experience exponential growth if/when Google, Outlook and similar large players begin to flag domains with no DMARC configuration (think when Chrome began displaying "Not Secure" on the browser bar when navigating a website that has no SSL configuration) and become an attractive acquisition target in a relatively short amount of time;

7. Product is expected to be as sticky as it is essential, yielding lower churns and high retention rates that allow for an easy upsell and account expansions.