Nigeria 8th most populous country (150Million people)

8th largest producer of oil

Business capital city, Lagos, ranked 30th in cost of

living.

Only US city ahead of it is NY, 22nd, LA

55th, ...Chicago 84th

Source: mercer.com, Forbes magazine , NY Times

Current state of e-commerce in Nigeria

Paucity of e-commerce websites Fraud, identity theft, phishing Limited payment options Limited shipping options Complex websites

pay.com.ng Make payments online at pay.com.ng Make payments using a web-enabled phone No need for credit/debit card or bank account Ultra-secure system

3-factor authentication: password, pin and hardware

generated number 128 bit SSL website 160 bit SHA encryption of sensitive data

Easy to use website

simple.com.ng Integrated Internet services

Auction

Web shops

Real estate listing

Job listing

Auto listing

Classifieds

Advertisements

And more .......

9zencart

Open source software

Free to everyone

Only uses pay.com.ng

Features include: gift certificates, coupons,

discounts, shipping costs calculator

Milestones

pay.com.ng system in beta testing

simple.com.ng in beta testing. More features planned

Planned integration with 6 of the 24 banks

Pilot with Virgin Nigeria Airways

Pilot with Mona Hotels

Partnership with naijamessenger.com, Yoopta

Listing agreements with real estate agents and auto sellers

Financing sought

$5M to cash flow positive

Use of funds

Marketing budget $3M

Computer equipment to connect with 24 banks $720K

Computer servers and storage $280K

Operations $1M

Financing cont... $1M first round

Use of funds

Equipment to connect to 10 banks $300K

Marketing $200K

Computers for servers and storage $100K

Operations $400K

Revenue model pay.com.ng 0.5% transaction fee

simple.com.ng

$0.85 per listing for auto, real estate, job and auction

Additional 3% of closing value for auction

Advertisements

Future revenue from SaaS offerings

Cash flow projection

Year 2009 2010 2011 2012 2013Revenue 2,000 8,500 60,000 125,000 210,000COGS 220 850 6,000 12,500 21,000Gross profit 1,780 7,650 54,000 112,500 189,000Operating expenses 3,000 5,600 14,000 22,500 34,000Operating income -1,220 2,050 40,000 90,000 155,000Net income -1,220 1,200 24,000 55,000 95,000Funding 5,000Cash flow 3,780 1,200 24,000 55,000 95,000Cumulative cash flow 3,780 4,980 28,980 83,980 178,980

Cash flow in 000's (USD)

Team Management

Lanre Sarumi CEO

Jamie Sabin CTO

Ibukun Dalmeida CMO

Advisory board Gbade Alabi, CEO CBC Ltd

Seun Peters, Partner, South Pacific Solicitors

Nike Ogunlana, Former ED, ARM Ltd

Jason Sissel, Founder, Sissel Capital Management

Exit strategy

Separate IPO of pay.com.ng and simple.com.ng in

4 years

Acquisition by eBay, Yahoo!, MSN, Amazon or

Google

Summary

Hindsight is perfect, foresight is priceless