Ovanti Limited (ASX: OVT) - USA BNPL Hypothetical Market Entry & Execution Plan, page-6

Ovanti doesn’t need to raise the full $50M USD upfront. Instead, a staged funding approach makes more sense, especially given the upcoming funds from the IDSB sale. Here's a revised funding strategy that aligns with Ovanti’s expected cash inflows and milestone-based expansion.

Proposed Staged Funding Plan for Ovanti BNPL USA Expansion

Stage 1: Initial Launch & Regulatory Setup (Q1 - Q4 2025)

Funding Needed: $15M - $20M
Source: IDSB sale proceeds + ASX equity raising (if needed)

✅ Legal & Compliance Setup ($5M - $7M)

• Obtain U.S. BNPL state-by-state licenses (initial focus on high-use BNPL regions).
• Build risk & fraud prevention systems to comply with U.S. consumer lending laws.
• Secure partnerships with U.S. financial institutions for payment processing.

✅ Technology Development ($5M - $6M)

• Develop Ovanti BNPL platform, AI-powered risk assessment tools, and mobile app.
• API integration with merchants & payment gateways (Visa, Mastercard, Apple Pay).
• Ensure cybersecurity & fraud prevention capabilities.

✅ Pilot BNPL Transactions & Early Merchant Onboarding ($3M - $5M)

• Target 3 key U.S. states for the initial launch (likely Texas, Florida, and Georgia).
• Onboard regional merchants to validate demand & refine pricing models.
• Initiate early-stage marketing to acquire first 10,000 BNPL users.

Expected Outcome:

• First BNPL transactions by mid-2026.
• $10M - $20M TTV achieved within 12 months.
• Option to raise more capital based on progress.

Stage 2: Expansion to Additional States & Scaling (Q1 - Q4 2026)

Funding Needed: Additional $15M - $20M
Source: ASX capital raise + BNPL revenue reinvestment

✅ Expand into additional high-BNPL states ($5M - $7M)

• Regulatory approvals & compliance in at least 10 U.S. states.
• Hire additional compliance and legal staff to support scale.

✅ Aggressive Customer Acquisition & Merchant Expansion ($7M - $8M)

• Target 50,000 BNPL customers by the end of 2026.
• Partner with national retailers ($200M+ turnover) to drive adoption.
• Digital marketing: Google, Facebook, TikTok, influencer promotions.

✅ Operational Growth & Risk Management ($3M - $5M)

• Enhance AI-driven credit risk models to minimize defaults.
• Establish a customer support team for U.S. operations.
• Launch BNPL for everyday expenses (bills, groceries, medical).

Expected Outcome:

• $50M TTV milestone achieved in 18-24 months.
• Preferred BNPL provider for at least 1 large U.S. retailer.
• Well-positioned for next capital raise (if needed).

Stage 3: National Expansion & Scaling to $500M TTV (Q1 2027 – Q4 2027)

Funding Needed: Additional $10M - $15M (if necessary)
Source: Internal BNPL profits + institutional investment

✅ Expand Ovanti BNPL to all 50 U.S. states ($5M - $7M)

• Fully licensed across the top 15 BNPL markets.
• Top 5 BNPL provider in at least one state.

✅ Secure Multi-Year Retailer Partnerships ($3M - $5M)

• Target partnerships with retailers with $500M+ annual revenue.
• Make Ovanti the exclusive BNPL option at select stores.

✅ Introduce Business BNPL (B2B Model)

• Expand BNPL services to small businesses needing short-term financing.
• Further monetization opportunities beyond consumers.

Expected Outcome:

• $200M TTV achieved by early 2027.
• $500M TTV achieved by Q4 2027.
• Ovanti’s valuation rises to AUD $500M+.

Final Funding Summary

Stage	Timeframe	Funding Needed	Source
Stage 1 (Initial Setup & Pilot)	2025	$15M - $20M	IDSB Sale + ASX Raising
Stage 2 (Expansion & Scaling)	2026	$15M - $20M	ASX Capital Raise + BNPL Revenue
Stage 3 (National Growth)	2027	$10M - $15M (if needed)	Internal Profits + Institutional Investment
Total Estimated Funding	2025 - 2027	$40M - $50M (in stages)

Key Benefits of Staged Funding

✅ Reduces upfront capital risk – no need to raise all $50M at once.
✅ Utilizes internal cash flow from BNPL operations as business scales.
✅ Flexibility to adjust funding needs based on real-time market performance.
✅ Leverages IDSB sale proceeds instead of immediate heavy dilution.

Next Steps

1. Finalize BNPL strategy & regulatory approvals.
2. Use IDSB sale funds for initial BNPL buildout.
3. Start pilot transactions & evaluate scaling options.
4. Raise additional capital in phases as traction grows.

This staged funding approach ensures Ovanti can execute its U.S. BNPL expansion with financial discipline while maximizing returns for investors.