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WECHNOLOGY INTEGRATED ERP PLATFORM

Complete Business Plan & Investment Proposal v5.0

Realistic Market-Validated Costs Edition

Version: 5.0 Final – Accurate Costs
Date: January 2025
Classification: Confidential
Prepared For: Investment & Strategic Partnership Discussions

EXECUTIVE SUMMARY

Company Overview

Wechnology is Nigeria’s first AI-native, 100% open-source Enterprise Resource Planning (ERP) ecosystem designed to serve 39.65 million Nigerian businesses—from micro-enterprises earning <₦50,000/month to large corporations with complex regulatory requirements. Our revolutionary hybrid AI architecture combines on-device AI (zero server cost) with cloud AI (shared resources) to deliver 73% cost savings while providing offline-first capabilities critical for Nigeria’s infrastructure challenges.

Our Motto: “We are technology” (Wechnology)

The Hybrid AI Revolution

Tier 1 – On-Device AI (₦0 server cost per user):

Tier 2 – Shared Cloud AI (High efficiency):

Tier 3 – Dedicated Enterprise AI:

Market Opportunity

MVP INVESTMENT: ₦68.5 MILLION (Realistic)

Previous Estimate: ₦285M ❌
Actual Realistic Cost: ₦68.5M ✅

Breakdown by Category

CategoryAmount (₦)% of TotalJustification
Infrastructure (3 months)₦8,500,00012.4%Local cloud colocation + self-hosted
Software Development₦28,000,00040.9%4 core modules + hybrid AI
Team Salaries (3 months)₦16,200,00023.6%12-person lean team
Marketing & Sales₦6,500,0009.5%VAR program + digital
Legal & Compliance₦3,800,0005.5%NDPR + corporate setup
Office & Equipment₦2,500,0003.6%Co-working space
Contingency (15%)₦3,000,0004.4%Risk buffer
TOTAL MVP₦68,500,000100%($44,800 at ₦1,530/$)

1. INFRASTRUCTURE SETUP: ₦8.5M (3 Months)

Research Finding: Nigerian startups pay ₦500K-2M/month for cloud, but local colocation costs 50-70% less.

1.1 Compute Infrastructure (₦5.2M)

Strategy: Use Nigerian local cloud providers (colocation) instead of AWS/Azure

ComponentProviderSpecificationMonthly Cost3-Month TotalNotes
Application ServersGigaLayer/Layer3 (Nigeria)4x vCPU, 16GB RAM × 3₦450,000₦1,350,000App hosting (naira payments)
GPU Server (AI)Suburban Cloud (Abuja)NVIDIA T4 16GB × 1₦800,000₦2,400,000Qwen 3 7B inference
DatabaseSelf-hosted PostgreSQL8 vCPU, 32GB RAM × 1₦200,000₦600,000Primary + replica
Redis CacheSelf-hosted4 vCPU, 8GB RAM × 1₦120,000₦360,000Session + caching
Load BalancerNGINX (self-hosted)2 vCPU, 4GB × 1₦80,000₦240,000Traffic distribution
Setup & MigrationOne-time––₦250,000Initial configuration
TOTAL COMPUTE₦1,650,000/mo₦5,200,000

Why Local Providers:

1.2 Security & Communication (₦2.8M)

ServiceTechnologyMonthly Cost3-Month TotalNotes
CDN & DDoSCloudflare Free/Pro₦15,000₦45,000Basic protection
SSL CertificatesLet’s Encrypt₦0₦0Free, automated
Email ServerPostal (self-hosted)₦80,000₦240,000Own SMTP server
SMS GatewayJasmin (self-hosted) + MTN direct₦350,000₦1,050,000Direct telco connection
WhatsApp APIOfficial API via BSP₦150,000₦450,000Message credits
Security ToolsWazuh, ModSecurity, Suricata (open-source)₦100,000₦300,000Self-hosted monitoring
Backup StorageCloudflare R2₦50,000₦150,000500GB backups
MonitoringGrafana + Prometheus (open-source)₦50,000₦150,000Self-hosted
Domain & DNS.ng + .com domains₦20,000₦60,000Registration
Setup & ConfigOne-time–₦355,000Initial implementation
TOTAL SECURITY₦815,000/mo₦2,800,000

Open-Source First Strategy:

1.3 Development & DevOps (₦500K)

ToolTechnologyCostNotes
Version ControlGitLab CE (self-hosted)₦0Open-source
CI/CDGitLab CI + ArgoCD₦0Open-source
Container RegistryHarbor (self-hosted)₦0Open-source
Project ManagementTaiga (self-hosted)₦0Open-source alternative to Jira
Design ToolsFigma (free tier)₦03 editors included
Dev ServerLocal development₦500,000One-time hardware
TOTAL DEV TOOLS₦500,000One-time investment

TOTAL INFRASTRUCTURE: ₦8,500,000

2. SOFTWARE DEVELOPMENT: ₦28M

Research Reality: <cite index=”22-1″>Lagos developers earn $7,500/year average (₦625K/month), but skilled developers cost ₦400-800K/month</cite>

2.1 Development Approach

Strategy: MVP with 4 core modules, hybrid AI, built in 3 months

2.2 Core Platform (₦10M – Weeks 1-6)

ComponentCostTimelineDeliverables
Multi-Tenancy₦3,000,000Weeks 1-3Schema-per-tenant, RBAC
Authentication₦2,000,000Weeks 2-4Keycloak SSO, OAuth2
API Gateway₦1,500,000Weeks 3-4Kong + rate limiting
Admin Dashboard₦2,000,000Weeks 4-6Tenant management
Billing System₦1,500,000Weeks 5-6Subscription + payments
TOTAL PLATFORM₦10,000,000Complete SaaS foundation

2.3 Essential Tier Modules (₦12M – Weeks 4-12)

ModuleFeaturesCostTimeline
CRM1,500 contacts, pipeline, WhatsApp integration₦3,500,000Weeks 4-8
Inventory300 items, barcode scanning, livestock tracking₦3,000,000Weeks 5-9
AccountingIncome/expense, invoicing (200/month), VAT auto-calc₦4,000,000Weeks 6-10
Website Builder20 templates, drag-drop (GrapesJS), subdomain hosting₦1,500,000Weeks 7-12
TOTAL MODULES₦12,000,000

Critical Features:

2.4 Hybrid AI Integration (₦5M – Weeks 3-10)

AI ComponentModelCostPurpose
On-Device AIGemma 3N 2B (GGUF)₦1,500,000Offline assistant, simple tasks
Cloud AIQwen 3 7B (vLLM)₦2,000,000Business intelligence, complex queries
Vision AIQwen 2.5 VL₦1,000,000Receipt OCR, document scanning
Semantic Searchmxbai-embed-large₦500,000Vector search, recommendations
TOTAL AI₦5,000,000Complete hybrid AI stack

AI Cost Efficiency:

2.5 Mobile PWA (₦1M – Weeks 8-12)

FeatureCostNotes
PWA Development₦700,000Installable, offline-capable
On-Device AI Packaging₦300,000Gemma 3N 2B integration
TOTAL MOBILE₦1,000,000

TOTAL DEVELOPMENT: ₦28,000,000

3. TEAM SALARIES: ₦16.2M (3 Months)

Research Reality: <cite index=”15-1,18-1,21-1″>Nigerian tech salaries: Entry ₦200-400K/month, Mid ₦500-800K/month, Senior ₦1-2M/month</cite>

MVP Team Structure: 12 People (Lean & Efficient)

Monthly Total: ₦5,400,000
3-Month Total: ₦16,200,000

3.1 Leadership (3 people – ₦900K/month)

RoleSalaryJustification
CEO₦350,000<cite index=”21-1″>Below market ₦400-500K, but startup equity compensation</cite>
CTO₦300,000Technical leadership, below ₦400-600K market rate
CCO₦250,000Sales strategy, VAR program management
Subtotal₦900,000

Note: Below-market salaries offset by founder equity stakes

3.2 Development Team (4 people – ₦2.2M/month)

RoleSalaryQuantityTotalMarket Rate
Senior Full-Stack Developer₦600,0002₦1,200,000<cite index=”21-1″>Market: ₦650-800K for experienced</cite>
AI/ML Engineer₦700,0001₦700,000<cite index=”18-1″>Market: ₦600K-1.2M for AI specialists</cite>
UI/UX Designer₦300,0001₦300,000<cite index=”15-1″>Mid-level market rate</cite>
Subtotal4₦2,200,000

Skills Required:

3.3 Sales Team (3 people – ₦850K/month)

RoleSalaryQuantityTotal
Sales Manager₦350,0001₦350,000
Sales Reps₦250,0002₦500,000
Subtotal3₦850,000

3.4 Customer Success (2 people – ₦450K/month)

RoleSalaryQuantityTotal
Customer Success Manager₦250,0001₦250,000
Support Rep₦200,0001₦200,000
Subtotal2₦450,000

TOTAL TEAM: 12 people = ₦5,400,000/month × 3 = ₦16,200,000

Comparison to Previous Plan:

4. MARKETING & SALES: ₦6.5M

Research Finding: <cite index=”9-1″>Nigerian startups spend heavily on Google/Meta ads, but VAR networks provide better ROI</cite>

4.1 VAR Partner Program (₦3M)

ActivityCostDetails
Partner Recruitment₦1,500,000Recruit 15 initial VARs
Training Materials₦800,000Videos, playbooks, certification
Partner Portal₦500,000Basic web portal (open-source CRM)
Sign-up Bonuses₦200,000₦50K × 4 top performers
TOTAL VAR PROGRAM₦3,000,000

VAR Commission Structure:

4.2 Digital Marketing (₦2M)

ChannelBudgetStrategy
Brand Development₦500,000Logo, visual identity (freelancers)
Website₦600,000Corporate site (open-source CMS)
Content Creation₦400,00010 blog posts, 5 videos
Social Media Setup₦200,000Profiles, initial content
Digital Ads₦300,000Google Ads, Facebook/Instagram testing
TOTAL DIGITAL₦2,000,000

4.3 Launch Campaign (₦1M)

ActivityCost
Virtual Launch Event₦400,000
Press Release₦200,000
Early Adopter Incentives₦300,000
Influencer Partnerships₦100,000
TOTAL LAUNCH₦1,000,000

4.4 Sales Enablement (₦500K)

ItemCost
Demo Environment₦200,000
Sales Materials₦200,000
CRM Setup₦100,000
TOTAL ENABLEMENT₦500,000

TOTAL MARKETING: ₦6,500,000

5. LEGAL & COMPLIANCE: ₦3.8M

5.1 Corporate Setup (₦1.2M)

ItemCostDetails
CAC Registration₦250,000Company name, directors
Legal Structuring₦500,000Shareholder agreements
Employment Contracts₦200,000Templates for all roles
Vendor Agreements₦150,000VAR partner contracts
IP Protection₦100,000Basic trademark search
TOTAL CORPORATE₦1,200,000

5.2 NDPR Compliance (₦1.8M)

ItemCostDetails
DPIA₦600,000Data protection impact assessment
Privacy Policy₦400,000Terms of service, privacy policy
NDPR Registration₦200,000NITDA registration
DPO Setup₦300,000Data protection officer appointment
Consent System₦300,000Technical implementation
TOTAL NDPR₦1,800,000

5.3 Tax & Insurance (₦800K)

ItemCost
Tax Registration₦150,000
Accounting Setup₦300,000
Professional Liability Insurance₦250,000
Cyber Insurance₦100,000
TOTAL TAX & INSURANCE₦800,000

TOTAL LEGAL: ₦3,800,000

6. OFFICE & EQUIPMENT: ₦2.5M

6.1 Co-Working Space (₦900K)

Strategy: Start in co-working space (CcHub, Leadspace) for first 3 months

ItemCost
Hot Desks (12 people)₦250,000/month × 3
Meeting Room Credits₦50,000/month × 3
TOTAL SPACE

6.2 Equipment (₦1.6M)

ItemSpecificationQtyUnit CostTotal
Laptops (Devs)Refurbished MacBook Pro M1 or Dell XPS7₦180,000₦1,260,000
Laptops (General)Budget Windows laptops5₦80,000₦400,000
TOTAL EQUIPMENT12₦1,660,000

Note: Using refurbished equipment reduces costs by 60-70%

TOTAL OFFICE: ₦2,500,000

7. CONTINGENCY: ₦3M (15%)

Purpose: Risk buffer for unforeseen expenses

Allocation:

MVP INVESTMENT SUMMARY

CategoryAmount (₦)% of Totalvs. Previous
Infrastructure (3 months)₦8,500,00012.4%₦32.5M → ₦8.5M (-74%)
Software Development₦28,000,00040.9%₦98M → ₦28M (-71%)
Team Salaries (3 months)₦16,200,00023.6%₦30.45M → ₦16.2M (-47%)
Marketing & Sales₦6,500,0009.5%₦45M → ₦6.5M (-86%)
Legal & Compliance₦3,800,0005.5%₦22M → ₦3.8M (-83%)
Office & Equipment₦2,500,0003.6%₦16M → ₦2.5M (-84%)
Contingency (15%)₦3,000,0004.4%₦29M → ₦3M (-90%)
TOTAL MVP₦68,500,000100%₦285M → ₦68.5M (-76%)

Key Cost Reductions:

  1. Local Nigerian cloud providers instead of AWS/Azure (-70% infrastructure)
  2. Open-source everything (Postal, Jasmin, GitLab, etc.) (-₦7.35M/month)
  3. Realistic Nigerian salaries based on market research (-47% team costs)
  4. VAR-led growth instead of expensive paid advertising (-86% marketing)
  5. Co-working space instead of dedicated office (-84% office costs)
  6. Refurbished equipment instead of new hardware (-65% equipment)

Conversion to USD: $44,800 at ₦1,530/$

FULL PROJECT INVESTMENT: ₦580M (24 Months)

Investment by Phase

PhaseTimelineMVP FundsAdditional FundingCumulative TotalPurpose
MVPMonths 1-3₦68.5M₦0₦68.5MLaunch with 4 core modules
Growth 1Months 4-6From revenue₦85M₦153.5MAdd 4 Premium modules, scale team
Growth 2Months 7-12From revenue₦146.5M₦300MService offerings, profitability
Scale 1Months 13-18From revenue₦140M₦440MEnterprise tier, 3,000+ customers
Scale 2Months 19-24From revenue₦140M₦580MMarket leadership, ₦3B+ ARR

Detailed Yearly Budget

Year 1 (Months 1-12): ₦300M

CategoryMVP (M1-3)Growth (M4-12)Year 1 Total
Infrastructure₦8.5M₦36M₦44.5M
Team Salaries₦16.2M₦97.2M₦113.4M
Development₦28M₦24M₦52M
Marketing₦6.5M₦32M₦38.5M
Operations₦6.3M₦25M₦31.3M
Contingency₦3M₦17.8M₦20.8M
YEAR 1 TOTAL₦68.5M₦232M₦300M

Year 1 Milestones:

Year 2 (Months 13-24): ₦280M

CategoryAmountDetails
Infrastructure₦96MScale to support 5,500+ customers
Team Salaries₦108MGrow to 40-person team
Development₦28MEnterprise tier + service offerings
Marketing₦24MNational expansion
Operations₦16MProcesses, compliance, certifications
Contingency₦8M15% buffer
YEAR 2 TOTAL₦280M

Year 2 Milestones:

TOTAL 24-MONTH INVESTMENT: ₦580 MILLION

REVENUE PROJECTIONS

Year 1 Revenue Model

Pricing Strategy:

Essential Tier:

Premium Tier:

Monthly Revenue Progression

MonthEssentialPremiumEssential MRRPremium MRRTotal MRRCumulative
1-200₦0₦0₦0₦0
315025₦2,250,000₦1,875,000₦4,125,000₦4,125,000
420030₦3,000,000₦2,250,000₦5,250,000₦9,375,000
525035₦3,750,000₦2,625,000₦6,375,000₦15,750,000
630050₦4,500,000₦3,750,000₦8,250,000₦24,000,000
740060₦6,000,000₦4,500,000₦10,500,000₦34,500,000
850065₦7,500,000₦4,875,000₦12,375,000₦46,875,000
955070₦8,250,000₦5,250,000₦13,500,000₦60,375,000
1070080₦10,500,000₦6,000,000₦16,500,000₦76,875,000
1185090₦12,750,000₦6,750,000₦19,500,000₦96,375,000
121,000100₦15,000,000₦7,500,000₦22,500,000₦118,875,000

Year 1 Annual Revenue: ₦118.875M (actual monthly recurring)
Year 1 Total Revenue: ₦270M (including annual prepayments with 15% discount)

Service Revenue (Launching Month 6)

ServiceMonth 6Month 12Month 24Notes
Wechnology Mail₦100K₦1M₦8MProfessional email hosting
Wechnology SMS₦400K₦2.5M₦20MBulk SMS platform (20% margin)
Wechnology Storage₦80K₦800K₦6MCloud file storage
Wechnology Chat₦150K₦1.2M₦10MWhatsApp Business API
Wechnology Meet₦80K₦600K₦5MVideo conferencing
Wechnology AI API₦200K₦1.5M₦25MAI-as-a-Service
Payment Share₦300K₦2M₦15MTransaction fee revenue share
TOTAL SERVICES₦1.31M₦9.6M₦89M

Combined Revenue:

PROFITABILITY ANALYSIS

Break-Even Analysis

Monthly Fixed Costs (Post-MVP):

Infrastructure: ₦4M

Team (25 people): ₦13.5M

Office & Operations: ₦2M

Marketing: ₦3M

Total: ₦22.5M/month

Average Revenue Per Customer: ₦20,000 (blended Essential + Premium)

Break-Even: 1,125 customers = ₦22.5M revenue

Expected Timeline:

Gross Margin by Phase

Month 3 (MVP Launch):

Monthly Revenue: ₦4.125M

Infrastructure: ₦2.83M (67%)

Team: ₦5.4M (included in burn)

Gross Margin: ₦1.295M (31%)

Monthly Burn: -₦4.105M (not profitable yet)

Month 6 (Early Growth):

Monthly Revenue: ₦9.56M (₦8.25M ERP + ₦1.31M Services)

Infrastructure: ₦4M (42%)

Team (25 people): ₦13.5M (included in burn)

Gross Margin: ₦5.56M (58%)

Monthly Burn: -₦13.94M (scaling phase)

Month 12 (Approaching Break-Even):

Monthly Revenue: ₦32.1M (₦22.5M ERP + ₦9.6M Services)

Infrastructure: ₦8M (25%)

Team (35 people): ₦19M (59%)

Operations: ₦3M (9%)

Marketing: ₦4M (12%)

Gross Margin: ₦24.1M (75%)

Net Result: -₦1.9M (almost break-even)

Month 18 (Profitable):

Monthly Revenue: ₦72M (₦60M ERP + ₦12M Services)

Infrastructure: ₦12M (17%)

Team (40 people): ₦22M (31%)

Operations: ₦4M (6%)

Marketing: ₦6M (8%)

Gross Margin: ₦60M (83%)

Net Profit: ₦28M (39% net margin)

Month 24 (Highly Profitable):

Monthly Revenue: ₦211.5M (₦122.5M ERP + ₦89M Services)

Infrastructure: ₦16M (8%)

Team (50 people): ₦27.5M (13%)

Operations: ₦6M (3%)

Marketing: ₦12M (6%)

Gross Margin: ₦177.5M (84%)

Net Profit: ₦150M (71% net margin)

Cost Optimization Through Hybrid AI

Traditional Cloud-Only Architecture:

1,100 customers × 10,000 AI requests/month = 11M requests

Cost at $0.002/request = $22,000/month = ₦33.66M

Wechnology Hybrid Architecture:

On-Device (70%): 7.7M requests × ₦0 = ₦0

Cloud (30%): 3.3M requests × ₦1 = ₦3.3M

Total AI Cost: ₦3.3M/month

Savings: ₦30.36M/month (90% reduction)

Annual AI Cost Savings: ₦364.3M

This is why hybrid AI is revolutionary for African markets.

TEAM SCALING PLAN

Phase 1: MVP Team (Months 1-3) – 12 People

Total Monthly Cost: ₦5.4M

Already detailed above in Team Salaries section.

Phase 2: Growth Team (Months 4-12) – 25-35 People

Month 4-6 Team (25 people) – ₦13.5M/month:

Additional Hires (13 new people):

RoleSalaryQtyMonthly TotalPurpose
Backend Developers₦500K3₦1,500,000Module development
Frontend Developers₦400K2₦800,000UI enhancements
DevOps Engineer₦500K1₦500,000Infrastructure automation
QA Engineers₦300K2₦600,000Testing, quality
Sales Reps₦250K3₦750,000Customer acquisition
Customer Success Reps₦220K2₦440,000Support, onboarding
TOTAL NEW HIRES13₦4,590,000

Total Month 4-6: ₦5.4M (existing) + ₦4.59M (new) = ₦9.99M (~₦10M/month)

Month 7-12 Team (35 people) – ₦19M/month:

Additional Hires (10 more people):

RoleSalaryQtyMonthly Total
Product Manager₦450K1₦450,000
Marketing Manager₦400K1₦400,000
Content Creator₦250K2₦500,000
Data Analyst₦350K1₦350,000
Sales Executives₦280K3₦840,000
Support Reps₦220K2₦440,000
TOTAL NEW HIRES10₦2,980,000

Total Month 7-12: ₦10M (existing) + ₦3M (new) = ₦13M/month

Note: Conservative hiring, well below original 70-person projection

Phase 3: Scale Team (Months 13-24) – 40-50 People

Month 13-24 Team (50 people) – ₦27.5M/month:

Additional Hires (15 more people):

DepartmentRolesQtyMonthly Cost
EngineeringSenior developers, architects5₦3,000,000
Sales & CSRegional managers, account execs5₦1,750,000
OperationsHR, finance, legal, admin3₦1,100,000
MarketingBrand, content, digital2₦650,000
TOTAL15₦6,500,000

Total Month 13-24: ₦13M (existing) + ₦6.5M (new) = ₦19.5M (~₦20M/month)

VALUE-ADDED RESELLER (VAR) PROGRAM

The VAR Opportunity

Market Context:

VAR Tier Structure (Simplified)

Tier 1: Free Partner (₦0/month)

Tier 2: Pro Partner (₦20,000/month)

Tier 3: Elite Partner (₦50,000/month)

Tier 4: Territory Partner (₦200K-500K/month)

VAR Revenue Model Example

Free Partner with 20 Essential Customers:

20 customers × ₦15,000 average = ₦300,000 MRR

Commission: 15% × ₦300,000 = ₦45,000/month

Pro Partner with 60 Mixed Customers:

50 Essential × ₦15,000 = ₦750,000

10 Premium × ₦75,000 = ₦750,000

Total: ₦1,500,000 MRR

Commission: 25% × ₦750K + 20% × ₦750K = ₦337,500/month

Elite Partner with 150 Mixed Customers:

120 Essential × ₦15,000 = ₦1,800,000

30 Premium × ₦75,000 = ₦2,250,000

Total: ₦4,050,000 MRR

Commission: 35% × ₦1.8M + 30% × ₦2.25M = ₦1,305,000/month

VAR Support Infrastructure

Technology Platform:

Training Program:

Marketing Support:

VAR Recruitment Strategy

Target VAR Profiles:

  1. Accountants & Bookkeepers – Already serving MSMEs
  2. IT Consultants – Technical implementation capability
  3. Business Advisors – Trusted by business owners
  4. Co-working Space Operators – Access to startups
  5. Industry Association Members – Community trust

Recruitment Goals:

VAR Contribution to Revenue:

GO-TO-MARKET STRATEGY

Phase 1: MVP Launch (Month 3)

Target: 175 customers (150 Essential, 25 Premium)

Channels:

  1. VAR Partners (50% – 88 customers)
    • 15 initial VARs × 6 customers each average
    • Community-led sales, trust-based
  2. Direct Sales (30% – 53 customers)
    • Sales team outreach
    • Demo events in Lagos, Abuja, Port Harcourt
  3. Digital Marketing (15% – 26 customers)
    • Google Ads (₦150K budget)
    • Facebook/Instagram (₦100K budget)
    • WhatsApp marketing
  4. Referrals (5% – 8 customers)
    • Early adopter incentives
    • Word-of-mouth

Phase 2: Growth (Months 4-12)

Target: 1,100 total customers by Month 12

Essential Tier Strategy:

Premium Tier Strategy:

Phase 3: Scale (Months 13-24)

Target: 5,550 total customers by Month 24

Market Expansion:

Marketing Mix:

RISK ANALYSIS & MITIGATION

Critical Risks & Mitigation

Risk 1: Customer Acquisition Cost Too High

Risk 2: Churn Rate Above Target

Risk 3: Infrastructure Reliability

Risk 4: Competition from Established Players

Risk 5: Team Retention

Risk 6: Regulatory Changes

Investor Protection Mechanisms

Two-Phase Investment Structure:

Phase 1: MVP Investment (₦68.5M)

Phase 2: Growth Investment (₦231.5M over 21 months)

Board Representation:

Financial Controls:

INVESTMENT TERMS & EQUITY STRUCTURE

Investment Amount & Structure

Total Investment Sought: ₦68.5 Million (MVP)

Use of Funds:

Equity Offer with Performance-Based Reduction

Initial Equity: 40-45% for ₦68.5M investment

Performance-Based Reduction Mechanism:

If loan repayment completed:

Valuation Justification

Pre-Money Valuation: ₦85M – ₦105M

Comparable Nigerian SaaS Companies:

Post-Money Valuation: ₦153.5M – ₦173.5M

Corporate Structure

Recommended Structure:

Wechnology Holdings Limited (Nigeria – CAC)

Wechnology Operating Limited (Nigeria – CAC)

Why Nigerian Entity (Not Delaware):

INVESTOR RETURNS & EXIT STRATEGY

Return Scenarios

Scenario 1: Loan Repayment (18 months)

Cash Return: ₦76.72M (12% interest)

Equity Retained: 15%

Company Year 2 Valuation: ₦2-5B

Equity Value: ₦300M-750M

Total Return: ₦376.72M-826.72M (5.5x-12x)

IRR: 280-680%

Scenario 2: Loan Repayment (24 months)

Cash Return: ₦78.775M (15% interest)

Equity Retained: 25%

Company Year 2 Valuation: ₦2-5B

Equity Value: ₦500M-1.25B

Total Return: ₦578.775M-1.328B (8.5x-19.4x)

IRR: 245-625%

Scenario 3: Equity Hold (No Loan Repayment)

Year 2 Valuation: ₦4-8B (40% equity)

Investor Value: ₦1.6-3.2B

Return: 23x-47x

IRR: 440-780%

Year 3 Valuation: ₦12-24B (40% equity)

Investor Value: ₦4.8-9.6B

Return: 70x-140x

IRR: 550-850%

Year 5 Valuation: ₦40-100B (40% equity)

Investor Value: ₦16-40B

Return: 233x-584x

IRR: 740-1,100%

Exit Options (Years 3-5)

Option 1: Strategic Acquisition (60% probability)

Option 2: Secondary Sale to PE (30% probability)

Option 3: IPO (10% probability)

Option 4: Management Buyout (Not Recommended)

Dividend Policy

Before Profitability: No dividends (reinvest all revenue)

After Sustained Profitability (Month 18+):

SUCCESS METRICS & MILESTONES

MVP Success Criteria (Month 3)

Minimum Targets:

If Targets Missed:

Growth Milestones (Months 4-12)

Month 6:

Month 9:

Month 12:

Scale Milestones (Months 13-24)

Month 18:

Month 24:

Key Performance Indicators (KPIs)

Financial KPIs:

Customer KPIs:

Product KPIs:

Sales & Marketing KPIs:

IMPLEMENTATION TIMELINE

Week-by-Week MVP Execution (Months 1-3)

MONTH 1: Foundation

Weeks 1-2: Legal & Infrastructure

Weeks 3-4: Team Assembly & Development Start

MONTH 2: Development Sprint

Weeks 5-6: Core Platform

Weeks 7-8: Module Development

MONTH 3: AI Integration & Launch

Weeks 9-10: AI & Testing

Weeks 11-12: Launch Preparation & Go-Live

Quarterly Milestones (Months 4-24)

Q2 (Months 4-6): Early Growth

Q3 (Months 7-9): Acceleration

COMPETITIVE ANALYSIS

Market Landscape

International Competitors:

1. Zoho (India)

2. Microsoft Dynamics 365

3. SAP Business One

4. Salesforce

Local Competitors:

1. AccountAbility Plus (Nigeria)

2. CloudBooks (Nigeria)

3. SeamlessHR (Nigeria)

4. Manual Processes (Majority)

Competitive Differentiation Matrix

FeatureWechnologyZohoLocal CompetitorsManual
Pricing (Essential)₦2,000-15,000/mo₦76,500+/mo₦3,000-15,000/moFree
Offline Capability✅ Full functionality❌ Limited❌ None✅ N/A
Local Languages✅ 5 languages❌ English only❌ English only✅ N/A
Hybrid AI✅ On-device + cloud✅ Cloud only❌ None❌ None
Nigerian Tax Auto✅ VAT, WHT, PAYE⚠️ Generic✅ VAT only❌ Manual
Integrated Suite✅ 16+ modules✅ 45+ modules❌ 1-3 modules❌ None
Mobile-First✅ PWA + native⚠️ Mobile apps⚠️ Limited❌ None
NDPR Compliant✅ Day 1✅ Yes⚠️ Unclear❌ N/A
Local Support✅ WhatsApp, voice⚠️ Email/chat✅ Phone❌ N/A
VAR Network✅ 500+ target❌ Direct only❌ Limited❌ N/A

Competitive Positioning Statement

“Wechnology is the only African business management platform that works offline, speaks your language, and costs 80% less than international alternatives—built specifically for Nigerian MSMEs who deserve enterprise-grade tools without enterprise prices.”

TECHNOLOGY ARCHITECTURE

System Architecture Overview

Architecture Philosophy:

Technology Stack (Complete)

Frontend:

Backend:

Database:

AI/ML Stack:

Models Used:

  1. Gemma 3N 2B (On-Device): Simple tasks, offline
  2. Qwen 3 7B (Shared Cloud): General intelligence
  3. Qwen 3 14B (Premium Cloud): Advanced reasoning
  4. Qwen 3 32B (Enterprise): Complex compliance, custom training
  5. Qwen 2.5 VL (Vision): Receipt OCR, document processing
  6. mxbai-embed-large: Semantic search, recommendations

Infrastructure:

Security:

Communication Services:

Storage:

Development Tools:

Hybrid AI Architecture Details

Request Routing Logic:

def route_ai_request(query, complexity_score, user_tier, online_status):

    “””

    Intelligent routing of AI requests

    “””

    if not online_status:

        return “gemma_3n_on_device”  # Offline: always on-device

    if complexity_score < 3 and user_tier == “essential”:

        return “gemma_3n_on_device”  # Simple task: use on-device

    if complexity_score < 6:

        return “qwen_3_7b_shared”  # Medium task: shared cloud

    if complexity_score < 8 and user_tier == “premium”:

        return “qwen_3_14b_shared”  # Advanced: Premium shared

    if user_tier == “enterprise”:

        return “qwen_3_32b_dedicated”  # Enterprise: dedicated

    return “qwen_3_7b_shared”  # Default: shared cloud

Complexity Scoring:

Cost Optimization:

Result: 73% cost savings vs cloud-only architecture

Offline-First Architecture

Local Storage Strategy:

IndexedDB Structure:

{

  contacts: { /* CRM contacts */ },

  inventory_items: { /* Inventory products */ },

  transactions: { /* Accounting entries */ },

  invoices: { /* Sales invoices */ },

  sync_queue: { /* Pending updates */ },

  ai_cache: { /* Cached AI responses */ },

  embeddings: { /* Vector embeddings for search */ }

}

Sync Strategy:

  1. User Action Offline: Save to IndexedDB, add to sync queue
  2. Network Detected: Begin sync process
  3. Conflict Detection: Timestamp-based, server wins default
  4. Sync Queue Processing: Sequential, with retry logic
  5. User Notification: Sync complete or conflicts to resolve

Encryption:

Scalability Strategy

Current Architecture (MVP – 500 customers):

Scaling Path (1,000-5,000 customers):

Scaling Path (5,000-50,000 customers):

Database Sharding Strategy (Future):

FINANCIAL PROJECTIONS (3-YEAR DETAILED)

Year 1: Foundation & Growth

Monthly Breakdown:

MonthCustomersMRRInfrastructureTeamOperationsNet Result
1-20₦0₦2.83M₦5.4M₦2M-₦10.23M
3175₦4.125M₦2.83M₦5.4M₦2M-₦6.105M
4230₦5.25M₦3.5M₦10M₦3M-₦11.25M
5285₦6.375M₦3.5M₦10M₦3M-₦10.125M
6350₦9.56M₦4M₦10M₦3M-₦7.44M
7460₦10.5M₦5M₦13M₦4M-₦11.5M
8565₦12.375M₦5.5M₦13M₦4M-₦10.125M
9620₦13.5M₦6M₦13M₦4M-₦9.5M
10780₦16.5M₦7M₦19M₦5M-₦14.5M
11940₦19.5M₦7.5M₦19M₦5M-₦12M
121,100₦32.1M₦8M₦19M₦6M-₦0.9M

Year 1 Summary:

Year 2: Profitability & Scale

Quarterly Breakdown:

QuarterCustomersAvg MRRTotal MRRInfrastructureTeamOperationsNet Profit
Q11,650₦40M₦120M₦30M₦60M₦18M₦12M
Q22,500₦60M₦180M₦40M₦66M₦20M₦54M
Q34,000₦95M₦285M₦48M₦72M₦24M₦141M
Q45,550₦155M₦465M₦54M₦82.5M₦27M₦301.5M

Year 2 Summary:

Year 3: Market Leadership

Annual Projection:

MetricTargetDetails
Customers11,10010,000 Essential, 1,000 Premium, 100 Enterprise
MRR₦395M₦245M ERP + ₦150M Services
Annual Revenue₦4.74BIncluding annual prepayments
Infrastructure Costs₦576M12% of revenue
Team (70 people)₦936M20% of revenue
Operations & Marketing₦948M20% of revenue
Total Costs₦2.46B52% of revenue
Net Profit₦2.28B48% net margin
Cash Position₦2.85BCumulative cash

Return on Investment Timeline

For Investor (₦68.5M Investment):

Scenario 1: Loan Repayment at Month 18

Scenario 2: Loan Repayment at Month 24

Scenario 3: Equity Hold (Year 3 Exit)

RISK MITIGATION & CONTINGENCY PLANS

Technical Risk Mitigation

Risk: Infrastructure Failure

Risk: Data Loss

Risk: Security Breach

Risk: AI Model Performance Degradation

Business Risk Mitigation

Risk: Slow Customer Acquisition

Risk: High Churn Rate

Risk: Competition Response

Risk: Regulatory Changes

Risk: Team Attrition

Financial Risk Mitigation

Risk: Cash Flow Shortfall

Risk: Revenue Miss

Risk: Foreign Exchange Volatility

Market Risk Mitigation

Risk: Economic Downturn

Risk: Infrastructure Deterioration

CONCLUSION

Investment Highlights Summary

1. Massive Market Opportunity

2. Unique Competitive Advantages

3. Conservative Financial Projections

4. Exceptional Investor Returns

5. De-Risked Investment Structure

6. Proven Business Model

7. Strong Execution Plan

8. Market Validation

Why Wechnology Will Succeed

Market Timing:

Product-Market Fit:

Execution Capability:

Competitive Moat:

The Opportunity

Wechnology represents a once-in-a-generation opportunity to build Africa’s leading business management platform by serving the 99% of businesses ignored by international software companies.

We are not just building software—we are democratizing access to enterprise-grade business tools, enabling millions of Nigerian entrepreneurs to formalize, scale, and access the capital they need to grow.

For investors, this is:

Next Steps

For Interested Investors:

1. Due Diligence Package Available:

2. Meetings & Demos:

3. Term Sheet Negotiation:

4. Legal Documentation:

5. Fund Transfer & Launch:

APPENDICES

Appendix A: Detailed Cost Calculations

Infrastructure Cost Breakdown (Monthly):

Application Servers (3x): ₦450,000

GPU Server (1x T4): ₦800,000

Database (PostgreSQL): ₦200,000

Redis Cache: ₦120,000

Load Balancer: ₦80,000

CDN (Cloudflare): ₦15,000

Email Server (Postal): ₦80,000

SMS Gateway (Jasmin): ₦350,000

WhatsApp API: ₦150,000

Security Tools: ₦100,000

Backup Storage: ₦50,000

Monitoring: ₦50,000

Domain & DNS: ₦20,000

TOTAL: ₦2,465,000/month

Team Salaries Breakdown (Month 1-3):

CEO: ₦350,000

CTO: ₦300,000

CCO: ₦250,000

Senior Developers (2x): ₦1,200,000

AI/ML Engineer: ₦700,000

UI/UX Designer: ₦300,000

Sales Manager: ₦350,000

Sales Reps (2x): ₦500,000

CS Manager: ₦250,000

Support Rep: ₦200,000

TOTAL: ₦5,400,000/month

Appendix B: Market Research Sources

  1. SMEDAN-NBS National MSME Survey 2021
  2. PwC Nigeria MSME Survey Report 2024
  3. National Bureau of Statistics (NBS) GDP Reports Q2 2024
  4. World Bank Nigeria Market Bite Reports
  5. NITDA Digital Economy Reports 2024
  6. Nigeria Upstream Petroleum Regulatory Commission (NUPRC)
  7. Central Bank of Nigeria (CBN) Economic Reports
  8. Lagos Chamber of Commerce (LCCI) Industry Reports

Appendix C: Technology Stack Licenses

All Open-Source Licenses:

No Proprietary Dependencies

Appendix D: Team Hiring Timeline

Month 1 (Week 1-4):

Month 2 (Week 5-8):

Month 3 (Week 9-12):

Appendix E: VAR Partner Training Curriculum

Day 1: Product Mastery

Day 2: Sales & Implementation

Certification Exam:

Appendix F: Customer Onboarding Process

Essential Tier Onboarding (Self-Service):

Day 0: Sign-Up

Day 1: Setup Assistance

Day 3: Check-In

Day 7: Weekly Progress

Day 14: Onboarding Complete

Premium Tier Onboarding (Guided):

Week 1: Kickoff Call (60 minutes)

Week 2: Data Migration & Setup (3 hours)

Week 3: Team Training (4 hours)

Week 4: Go-Live Support (ongoing)

Appendix G: System Requirements

For Users (Web Browser):

For Mobile Apps:

For VAR Partners:

Appendix H: Service Level Agreements (SLAs)

Essential Tier:

Premium Tier:

Enterprise Tier:

SLA Credits:

Appendix I: Data Security & Privacy

Encryption Standards:

Access Controls:

Data Retention:

NDPR Compliance:

Physical Security:

Appendix J: Customer Success Metrics

Health Score Components (1-100):

Health Score Thresholds:

Intervention Playbooks:

At-Risk Customer (Score 40-59):

  1. Automated email: “We noticed you’re not using X feature”
  2. CS rep reaches out within 24 hours
  3. Offer personalized training session
  4. Check-in call in 1 week
  5. Monitor for improvement

Critical Customer (Score 0-39):

  1. Immediate CS Manager notification
  2. Call within 4 hours
  3. Root cause analysis
  4. Custom action plan
  5. Daily monitoring
  6. Executive escalation if no improvement in 1 week

Appendix K: Financial Model Assumptions

Revenue Assumptions:

Cost Assumptions:

Growth Assumptions:

Appendix L: Exit Comparables (Nigerian Tech)

Recent Nigerian Tech Exits:

  1. Paystack (2020):
    • Acquired by: Stripe
    • Value: $200M+
    • Revenue: ~$20M ARR
    • Multiple: 10x revenue
    • Years to Exit: 4 years
  2. Flutterwave (2022 – Secondary):
    • Valuation: $3B
    • Revenue: ~$150M ARR
    • Multiple: 20x revenue
    • Years to Valuation: 5 years
  3. Interswitch (IPO Planned):
    • Expected Valuation: $1B+
    • Revenue: ~₦50B+ (~$100M)
    • Multiple: 10x revenue
    • Years to Exit: 15+ years

Wechnology Exit Projections:

Conservative (Year 3):

Base Case (Year 4):

Optimistic (Year 5):

Appendix M: Regulatory Compliance Checklist

Pre-Launch (Month 1-3):

Ongoing Compliance (Monthly):

Annual Compliance:

Appendix N: Glossary of Terms

ARR (Annual Recurring Revenue): Total value of recurring subscriptions over 12 months

CAC (Customer Acquisition Cost): Total sales and marketing costs divided by new customers acquired

Churn Rate: Percentage of customers who cancel subscription in a given period

LTV (Lifetime Value): Total revenue expected from a customer over their entire relationship

MRR (Monthly Recurring Revenue): Total value of recurring subscriptions in a single month

NDPR (Nigeria Data Protection Regulation): Nigerian data privacy law similar to GDPR

NPS (Net Promoter Score): Customer satisfaction metric (-100 to +100)

PWA (Progressive Web App): Web application that works offline and can be installed like a native app

RBAC (Role-Based Access Control): Security model that assigns permissions based on user roles

SLA (Service Level Agreement): Commitment to performance standards (uptime, support response)

SME (Small and Medium Enterprise): Business with 10-199 employees or annual revenue ₦50K-₦5M/month

VAR (Value-Added Reseller): Partner who resells Wechnology with additional services

vLLM: High-throughput inference server for Large Language Models

FINAL WORD FROM THE FOUNDERS

Dear Potential Investor,

We stand at a pivotal moment in Nigeria’s digital transformation journey. While international tech giants have captured headlines and funding, 39.65 million Nigerian businesses remain underserved—paying exorbitant prices for ill-suited software or, more commonly, managing their businesses with pen, paper, and Excel.

This is not just a market gap—it’s a ₦2.8 trillion market chasm.

Wechnology was born from a simple observation: Nigerian businesses don’t need slightly cheaper versions of Western software. They need fundamentally different solutions built for their reality—unreliable power, inconsistent internet, multiple local languages, and price sensitivity that makes every naira count.

Our hybrid AI architecture isn’t just innovative technology—it’s a business necessity. By running 70% of AI processing on user devices, we achieve:

This isn’t possible with cloud-only architectures. This is our technological moat.

Our ₦68.5 million MVP investment isn’t just conservative—it’s revolutionary in its efficiency. We’ve eliminated every unnecessary cost:

We’re not asking you to bet on an idea. We’re asking you to bet on:

  1. A massive, validated market (39.65M businesses)
  2. A proven business model (SaaS subscriptions)
  3. Conservative financial projections (1,100 customers Year 1)
  4. Exceptional potential returns (87x-700x over 3-5 years)
  5. A de-risked structure (₦68.5M MVP validation first)
  6. An experienced team with deep Nigerian market expertise

Most importantly, you’re betting on impact. Every Wechnology customer is a Nigerian entrepreneur who can now:

This is nation-building through technology.

The path is clear. The market is ready. The technology is proven. The team is assembled. The only missing piece is your partnership.

Join us in building Africa’s leading business management platform.

Let’s make technology accessible to every Nigerian business, from the street vendor in Oshodi to the manufacturing plant in Nnewi.

We are technology. We are Wechnology.

Wisdom Ubaka
 Founder & CEO
Wechnology Limited

Contact Information:

Document Classification: Confidential – For Investor Review Only
Version: 5.0 Final – Realistic Market-Validated Costs
Date: January 2025
Pages: 47

This business plan contains proprietary and confidential information. Distribution without written consent is prohibited. All financial projections are forward-looking statements and actual results may vary.

INVESTMENT SUMMARY – ONE PAGE

Investment OpportunityDetails
CompanyWechnology Limited (Nigeria)
IndustryB2B SaaS – Enterprise Resource Planning (ERP)
Investment Sought₦68.5 Million ($44,800) for MVP
Equity Offered40-45% (with performance-based reduction to 15-35%)
Use of FundsInfrastructure (₦8.5M), Development (₦28M), Team (₦16.2M), Marketing (₦6.5M), Legal (₦3.8M), Office (₦2.5M), Contingency (₦3M)
Market Opportunity39.65M Nigerian businesses, ₦2.8T digital transformation market, <5% penetration
Unique Value PropHybrid AI (73% cost savings), offline-first, local languages, 80% cheaper than competitors
Revenue ModelSaaS subscriptions: Essential (₦2K-15K/mo), Premium (₦25K-100K/mo), Enterprise (₦150K+/mo)
Target CustomersYear 1: 1,100 customers (1,000 Essential, 100 Premium)
Financial ProjectionsYear 1: ₦270M revenue; Year 2: ₦1B revenue, ₦508M profit; Year 3: ₦4.74B revenue, ₦2.28B profit
Break-EvenMonth 12-13
Investor ReturnsLoan repayment (18-24 mo): 5.5x-15.7x; Equity hold (36 mo): 87x-175x
Exit StrategyStrategic acquisition (60%), PE secondary (30%), IPO (10%) – Year 3-5
ValuationPre-money: ₦85-105M; Post-money: ₦153.5-173.5M
Team12-person lean team: CEO (strategy), CTO (tech), CCO (sales), 2 Senior Devs, AI/ML Engineer, UI/UX, Sales (3), CS (2)
Competitive AdvantageOnly offline-capable AI-powered ERP for African MSMEs; 50-70% cheaper; local language support; VAR distribution network
RisksCustomer acquisition, churn, competition – mitigated by VAR network, offline capability, price advantage
Timeline3 months to MVP launch, 12 months to profitability, 24 months to market leadership
MVP Success Criteria175+ customers by Month 3 or business transfer to investor
Next StepsDue diligence review, term sheet negotiation, investment agreement, fund transfer, team hiring, development sprint

Investment Decision: This opportunity offers exceptional returns (87x-700x potential) with de-risked structure (phased investment) in a massive, underserved market (39.65M businesses) with proven business model (SaaS) and unique competitive advantages (hybrid AI, offline-first, local languages). Recommended for investment.: 100+ partners

Q4 (Months 10-12): Profitability

Q5-Q6 (Months 13-18): Enterprise Entry

Q7-Q8 (Months 19-24): Market Leadership

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