Business plan and investment round preparation for a new subscription-based digital media outlet
Summary
ST strategy supported the promoters in the financial definition of the project and in preparing their first round.
Media companies are looking for sustainable business models based on a direct relationship with readers. Subscription newsletters have become a format with contained costs and a loyal community.
LocalNewsletter* is a new Catalan-language subscription media outlet focused on the city’s current affairs and challenges, complemented by social media and collaborative tools for subscribers.
ST strategy supported the promoters with the business plan and the preparation of the launch round, together with partners specialised in digital product and marketing.
Digital media
Business plan
Round preparation
The full story
Opportunity
Before launch, the promoters needed a credible financial plan and an investment document to raise the resources required for marketing, product and content.
Recommendations
Based on the analysis carried out by ST strategy, we worked on:
- Business plan: Modelling of subscriber acquisition and retention, pricing, costs and cash needs, with sensitivity analysis.
- Valuation: Approximation of value using discounted cash flows and the venture capital method.
- Documentation: Preparation of the Information Memorandum for investors, with versions tailored to different counterparts.
- Launch coordination: Joint work with the digital product and marketing partners to align the launch plan with the financial plan.
* The confidentiality of our clients is a priority of the company. Although we have changed their names, the information is real.