Spenda Limited · ASX:SPX
Spenda — Non-Deal Roadshow (August 2022)
47 slides from Spenda's roadshow presentation, Aug 17, 2022
Slide 1: ASX Release: Non-Deal Roadshow - Singapore
For personal use only ASX Release 17 August 2022 Non-Deal Roadshow - Singapore Spenda Limited (ASX: SPX, “Spenda” or “the Company”) is pleased to release an updated presentation to the market in advance of a non-deal roadshow in Singapore. Company representatives are conducting a non-deal roadshow i
Slide 2: About Spenda
For personal use only About Spenda Spenda Limited (ASX: SPX) is a transaction services business supplying industries with a broad range of B2B payment services, digital trading software and integrated solutions. Our goal is to convert EFT payments to card payments utilising the BPSP engagement coupl
Slide 3: Supply Chain Software, Payments and Lending
For personal use only Supply Chain Software, Payments and Lending Spenda Limited (the Company) ASX:SPX ASX:SPX August 2022
Slide 4: Disclaimer
Disclaimer This presentation contains certain statements that may constitute forward looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that Spenda a
Slide 5: Table of contents
Table of contents For personal use only About Spenda 04 The Problem 09 The Opportunity 13 The Solution 16 FY23 and Beyond 19 Supplementary Information 23
Slide 6: About Spenda
For personal use only About Spenda
Slide 7: Spenda business ecosystem
For personal use only Spenda is a business ecosystem that facilitates the transfer of both operational and financial data between businesses as they buy and sell from each other. Spenda has over 20 years Spenda Limited owns an integrated applications, payments and lending experience in delivering a
Slide 8: Company Snapshot
Company Snapshot For personal use only Who benefits from Payment methods Our integration What we sell using Spenda we offer partners Bank transfer Scalable and secure Suppliers Credit card payments payment solutions Manufacturers Invoice management Distributors software Franchise Groups On-demand le
Slide 9: History
History For personal use only Motopia Partnership with (ASX:MOT) Invigo, an Cirralto renamed Cirralto launches integrated Acquisition of Acquisition Spenda acquires Cirralto Business Payments payment platform Appstablishment Greenshoots Pty Ltd 2017 2019 2020 2021 2022 Motopia renamed to Cirralto Tr
Slide 10: Years of Innovation - the evolution of product
20 Years of Innovation - the evolution of product For personal use only We have built and commercialised many products over the years, all designed to help businesses trade better. The culmination of these efforts have resulted in the Spenda, a complete business suite designed to boost operational e
Slide 11: The Problem
For personal use only The Problem
Slide 12: The Payments Problem
The Payments Problem For personal use only Over 53% of B2B receivables Around 5 to 7 stakeholders usually approve payment before in Australia are paid late. (Xero, 2019) an invoice is processed. (iBanFirst, 2021) 3x more Companies spend about 520 on manual accounting and administrative tasks. It cos
Slide 13: How we're addressing the current pain points
How we’re addressing the current pain points For personal use only Problem Problem Poor payment processes and options Chasing late payments • B2B payments are accessed as a discrete service and only integrate • Late payments and uncertainty in debt recovery contribute to cash partially for either th
Slide 14: How we're addressing the current pain points
How we’re addressing the current pain points For personal use only Problem Problem Integration of multiple systems Data entry errors • These systems often don’t talk to one another and require manual • Running multiple systems requires manual efforts to connect the efforts to connect the data. data
Slide 15: The Opportunity
For personal use only The Opportunity
Slide 16: Capturing Market Share
S Node Capturing Market Share S S S For personal use only S Our solutions are horizontal in application, enabling us to focus on direct growth in recurring revenue from a brand cross-section of industries. S Node While the payments space has a lot of players, most are focusing on the same slice of t
Slide 17: Target Market
Target Market For personal use only Who are our Customers? • Buying Groups • Franchises • Marketplaces • Small Medium Enterprises • Grain and Livestock Farmers • Abattoirs What do all our Customers want? • Improved cash flow, which really means access to the right level of capital to pay their credi
Slide 18: The Spenda Solution
For personal use only The Spenda Solution
Slide 19: Key Business Segments
Key Business Segments For personal use only Spenda Platform Software Enables businesses to transform with Spenda operates a SaaS model for fast, error-free digital efficiency and to licensing of the components of the boost cash flow across the entire supply chain. Software Spenda platform. Businesse
Slide 20: Key Achievements to Date
Key Achievements to Date For personal use only Acquired Appstablishment Acquired Invigo Mastercard Agreement Gaining ownership of the IP of key Enabled the Company to further Signed a five-year referral proprietary software and intellectual monetise our software and fully agreement with Mastercard i
Slide 21: FY23 and Beyond
For personal use only FY23 and Beyond
Slide 22: Key Deliverables for FY23
Key Deliverables for FY23 For personal use only • Revenue • Continue the rollout and onboarding of current customers, leveraging SaaS, Payment and Lending revenue. • Accelerate growth in various industry segments, where the Company already has significant traction. • Grow the Debtor Finance lending
Slide 23: Investment Highlights
Investment Highlights For personal use only Robust platform integrated with major accounting and payment providers that simplifies B2B and B2C processes and payment flows. Spenda has over 20 years experience Existing platforms lack ledger-to-ledger integration and data entry automation. Spenda’s pro
Slide 24: Spenda Limited contact details
For personal use only spenda.co Spenda Limited 605, 275 Alfred Street North Sydney, NSW 2060 1300 682 108 investors@spenda.co ASX:SPX Authorised by the Board of Directors
Slide 25: Supplementary Information
For personal use only Supplementary Information
Slide 26: Corporate Profile
For personal use only Corporate Profile
Slide 27: Company Overview: Capital Structure
Company Overview Capital Structure For personal use only Share Price (12-May) A$/sh 0.009 Shares Outstanding M 3,182 Market Cap A$m 28.6 Fully Diluted Shares Outstanding M 3,182 Fully Diluted Market Cap A$m 28.6 Cash (30-Jun) A$m 7.6 Debt (30-Jun) A$m 8.3 Enterprise Value A$m 21.0 Share Price Histor
Slide 28: Board
Board For personal use only Peter Richards Howard Digby Stephen Dale Chairman Non-executive Director Non-executive Director Peter Richards has over 40 years of Howard Digby began his career at IBM Stephen Dale’s experience is in experience with global companies and has spent over 25 years managing t
Slide 29: Executive Leadership Team
Executive Leadership Team For personal use only Adrian Floate Richard Jarvis Managing Director Chief Financial Officer Adrian Floate has founded, built and sold technology Richard Jarvis is a qualified Chartered Certified businesses and worked in Asia, Australia, the UK and US Accountant and has ove
Slide 30: Latest Quarterly Results
For personal use only Latest Quarterly Results
Slide 31: Quarterly Results - Q4 FY22
Quarterly Results - Q4 FY22 For personal use only Cash receipts from customers 700 Cash Receipts $693k for the quarter 600 693 107% $2.3m for the FY22 year 500 Cash receipts growth 10% cash receipt growth from Q3, FY21 compared with Q4, FY21 400 $,000 95% of CR is recurring revenue 300 334 200 Furth
Slide 32: Quarterly Results - Q4 FY22
Quarterly Results - Q4 FY22 For personal use only 21/22 Payments Volume from Key Strategics Lending $5.00 Remained stable, with limited $4.50 $4.00 500% growth while the debt $3.50 New payment and warehouse was established. $3.00 lending flows Millions Secured $50m debt warehouse. $2.50 $2.00 Paymen
Slide 33: $50m debt facility secured to accelerate growth
The Company has entered into a scalable $50m debt facility agreement with a prominent Australian private credit fund to provide capital to accelerate its business growth. $50m debt For personal use only The facility will refinance the existing portfolio funding and provide runway for warehouse growt
Slide 34: Business Summary
For personal use only Business Summary
Slide 35: Spenda Business Overview
Spenda Business Overview Buying Selling For personal use only Procurement ▪ Range products and manage catalogue Activities Activities Sales & Service ▪ Facilitate a sale or service with a customer ▪ Order stock from suppliers ▪ Manage Customers ▪ Visualise and manage Stock On Hand ▪ Manage customer
Slide 36: Spenda Product Ecosystem
Spenda Product Ecosystem Sales & Service • Delivered through the following Spenda software: Buying Selling For personal use only Point of Sale eCommerce Activities Activities Procurement Delivered through the following Service Sales & Spenda software: Management Fulfilment Purchasing Marketplace Sal
Slide 37: Integrations
Integrations For personal use only Our integration capabilities enables businesses to connect Some of our existing integration partners include: applications together to remove repetitious data entry and automate information exchange and stay on top of your finances at all times. We have a range of
Slide 38: Accounts Receivable management
Accounts Receivable management Put an end to late payments and turn receivables into cash, faster For personal use only 23 Harley White Selling • Accounts Receiveables Vanderlay Industries Pty Ltd 2 Overdue 1 Due Soon ©Spenda $12,000.00 $6,600.00 Total Owing Overdue Due Soon 0 Credits 0 Payments $18
Slide 39: Accounts Payable software
Accounts Payable software Effortlessly manage supplier payments and drive stronger cash flow management For personal use only 23 Spenda Bentley Brown (Admin) Vanderlay Industries Pty Ltd ©Spenda Total Owing Last Sync Overdue Due Soon $33,000.00 10:02 AM Create Batch(1) $395.00 Accounts Payable Add A
Slide 40: Digital checkout solution
Digital checkout solution Customise and improve your eCommerce payment experience For personal use only White-labelled Checkout Solution Get an easy to install payment widget that integrates with your ecommerce service, offering diversified payment methods, such as credit card, bank account and via
Slide 41: On-demand lending services
On-demand lending services Boost cash flow and reduce supply chain friction For personal use only Invoice Finance Supplier Finance Buyer Finance Limit: up to $2m Limit: up to $2m Limit: up to $300k per month A facility that allows your business to borrow A facility that allows businesses to pay thei
Slide 42: Business Benefit Overview
Business Benefit Overview For personal use only Automated reconciliation & time/cost savings - Quick financial integration and secure ledger-to-ledger connection between buyer and seller reduces admin effort and the risk of keying in errors or omissions. This automation reduces the number of back of
Slide 43: Case Study - Franchise Groups
For personal use only Case Study - Franchise Groups
Slide 44: Case Study: Overview
Case Study: Overview For personal use only Spenda’s software, payments and lending products positions them as an intermediary and service provider to businesses with significant SME customer bases and transaction volumes, such as Franchise Groups Product Proposition Revenue model Spenda Objectives ▪
Slide 45: Payment Flow
Payment Flow For personal use only Spenda are pursuing a ‘node and spoke’ strategy, focusing on the acquisition of conduit partner (i.e. Franchisor) who sit in the value chain aggregating procurement and demand. Spenda payments services collect fees in most circumstances regardless of the Franchisor
Slide 46: Value Chain Benefits
Value Chain Benefits For personal use only PO PO PO End customer Franchisee Store Franchisor Supplier pays by card Invoice Invoice ▪ Member terms ▪ T+0 payment received from customers ▪ T+0 payment received ▪ Flexible payment options from the buying group ▪ Increased liquidity to pay Suppliers ▪ ESD
Slide 47: Case Study: Indicative Rollout
Case Study: Indicative Rollout 6-9 months For personal use only - Complete integration and - Complete integration and testing testing - Commence pilot store - Commence pilot store - Make first lending offer to engagement engagement approved stores - Process end-to-end - Process end-to-end - Rollout