Ann: Capricorn Initiatives Update, page-53

Spenda is making waves recently with this game changing announcement that points to a very exciting future. The company, which focuses on software solutions that streamline business transactions, has hit several key milestones, particularly through its strategic partnership with Capricorn Society Limited.

Spenda has successfully launched the Digital Services Delivery (DSD) eCommerce Partner platform alongside Capricorn. The first transactions have been processed, marking the beginning of what could be a huge revenue generator for Spenda. The company has already pocketed $990,000 in development fees, and recurring SaaS revenue of $100,000 per month has started rolling in. This recurring revenue model is a big deal, as it creates consistent income and lays the groundwork for future financial stability.

On top of the DSD platform success, Spenda launched SwiftStatement commercially on November 4, 2023. This product uses Spenda’s own Pay-Statement-By-Link (PSBL) technology to offer Capricorn Members a live feed of their trade account transactions. What’s the benefit? Faster account reconciliation and reduced errors from manual data entry something that should be hugely attractive to businesses looking to streamline operations. With Capricorn’s extensive network of 30,000 Members, the potential for SwiftStatement adoption is huge.

Spenda and Capricorn have been working together since 2003, and this collaboration has only deepened over time. In 2023, Capricorn picked Spenda as its preferred vendor to roll out the DSD project. By the end of 2023, they had signed a 10-year service agreement, which could extend to 20 years if both parties exercise their options. To make things even more interesting, Capricorn invested $7.175 million in January 2024 to grab a 14% stake in Spenda. This kind of long-term commitment shows Capricorn’s confidence in Spenda’s technology and future prospects.

What does this mean for Revenue? Spenda is projecting a serious revenue boost. The combined initiatives are expected to generate a minimum of $2.2 million annually, with $1.5 million anticipated in the current quarter. That’s a 44% jump in yearly revenue! But it gets better: Spenda and Capricorn are aiming for a 50% adoption rate of SwiftStatement by September 2025. If they hit that target, the result would be an eye-popping $18 million in annual recurring revenue.

In another smart move, Spenda is rolling out new integrated payment features for Capricorn Members, allowing them to make card and account payments easily. Capricorn has even waived its rights to future payment processing revenue, choosing instead to be compensated with options. This is a big win for Spenda and highlights the mutual commitment to adding value for Capricorn’s Members.

What’s next for Spenda? With both companies heavily investing in marketing and sales efforts, Spenda is set up for success. The long-term partnership with Capricorn, the strong revenue forecasts, and the launch of highly scalable products like SwiftStatement all point to sustained growth. If everything goes according to plan, Spenda could see significant gains in annual recurring revenue through 2025 and beyond.

Good luck to all and let’s keep the announcements coming ✅

Spendorey