State One places 21c price target on Buddy, page-22

Bill Gross did a neat Ted Talk on what makes start-ups successful



He assesses 5 key ingredients:

1) The Idea - its quality / originality / point of difference

2) The Team - depth / breadth / skillsets

3) Its Funding - how much cash / runway

4) Timing - the extent to which the market is ready for the business

5) The Business Model - how revenues are made

Two things to note:

Firstly, timing is by far away the most important determinant of success. Many great ideas are ahead of their time - and some too late. For Buddy, their timing seems to be absolutely perfect - we have sky rocketing energy prices / governments trying to drive lower emissions / companies needing to make savings in a world of flat growth / and a growing interest from consumers to see sustainable initiatives from the companies they wish to buy from.

We also have a world where data is exploding in volumes - as more and more devices get connected - requiring new companies to come forward to manage it all.

This looks like a perfect storm in terms of timing.

Secondly, Buddy scores exceedingly well on every other metric. Strong funding position; strong team; clear business model; great idea.

There aren't many early stage stocks on the ASX with all that.