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TIMIA CapitalTECHNOLOGY-ENABLED LENDING FOR GROWING SOFTWARE COMPANIES
TSXV TCA
DisclaimerNot an Offer to Purchase or Sell Securities
This overview is for informational purposes and is not an offer to sell or a solicitation
of an offer to buy any securities in TIMIA Capital Corp. (the “Company”), and may
not be relied upon in connection with the purchase or sale of any security.
Forward-Looking Statements and General Disclaimer
This presentation is Copyright 2017 TIMIA Capital Corp., which reserves all rights in
and to this presentation.
TIMIA Capital Corp. (the “Company”) is a public company listed on the TSX
Venture Exchange (TSX-V: TCA), with a principal office in Vancouver, British
Columbia, Canada.
The statements contained in this presentation which are historical in nature are
accurate to the best of our knowledge. However, the Company makes no
assurances and does not guarantee that the statements included herein are
accurate.
Forward-Looking Statements (Safe Harbor Statement)
The information set forth in this presentation may contain “forward-looking
statements” that are not historical fact and are subject to certain risks and
uncertainties. Statements in this presentation which are not purely historical in
nature, including statements regarding beliefs, plans, expectations or intentions
regarding the future, are forward-looking. Statements that are not historical facts,
including statements that are preceded by, followed by, or that include such words
as “estimate,” “anticipate,” “believe,” “plan”, “intend”, “expect”, “may” or “should” or
similar statements, are forward-looking statements. Forward-looking statements
which may be contained within this presentation include, but are not limited to,
statements regarding the economic prospects of the Company’s investments,
general economic conditions, the Company’s future plans or future revenues, timing
of potential expansion or improvements. Such forward-looking statements are
subject to risks and uncertainties which could cause actual results to differ
materially from estimated results. Such risks and uncertainties include, but are not
limited to, the Company’s ability to raise sufficient capital to fund investment,
changes in general economic conditions or financial markets, changes in interest
rates, litigation, legislative, judicial, regulatory, political and competitive
developments in Canada and world-wide, technological and operational difficulties
and changing foreign exchange rates. There can be no assurance that the
Company’s efforts will succeed and ultimately achieve sustained commercial
success. These forward-looking statements are made as of the date of this
presentation. There can be no assurance that beliefs, plans, expectations or
intentions of the Company will prove to be accurate.
Cautionary Note to U.S. Investors
As of the date of this Presentation, the Company has made no filings with the
Securities Exchange Commission (“SEC”), and makes no representations that it
has or will have a duty to make filings with the SEC. The Company is not
authorized to offer any securities to residents of the United States of America.
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Investment Highlights
3
Delivering Returns
• TIMIA is a cashflow focused specialty lender
• Focused on small to medium private software
companies
• Experienced tech VC management team
• 9 investments since 2015 inception, 3
successful early exits, >23% portfolio IRR
• Strong portfolio, all payments made on time.
• TIMIA takes security on the cashflow of its
portfolio investment companies versus
traditional finance companies securing assets
alone
Creating Global Platform
• Financial Technology (Fintech) platform lowers
risk and makes smaller loans more economic
• Innovative capital structure both accesses low
cost capital while monetizing portfolio to
improve shareholder return
• Blockchain Application - incorporating
Blockchain to reduce operational costs,
globalize investor access, de-risk investments,
and create new products
TIMIA is Pioneering an Underserved Sector
TRADITIONAL BANKS, PRIVATE EQUITY
VENTURE
CAPITALSTRUGGLING
ANGEL INVESTORS / EQUITY
100
10
1
Re
ve
nu
e (
$M
)
0 20 100Annual Revenue Growth (%)
Financing Landscape for Software Companies
4
Typical Investment
Recurring revenue software companies provide strong security
In addition, the average company we invest
in is growing revenues of at least 25% YoY.
REVENUE STREAM = NOW WORTH $17 MILLION
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6
$3M
$2M
$1M
5
Multiple Income Streams Drive Revenue & Income Growth
Total
portfolio has
delivered
23% IRR
since 2015
SELECT INVESTMENTS
Plus! A strong pipeline of deals ready to fund
* Based on actual and current expected cash flows
Monthly Interest 20% per annum*
Transaction FeesUp to 2% of
transaction
Buyout PremiumsUp to 50% IRR
per annum
WarrantsUp to 3%
annual return
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Selling Participations : Driving Shareholder Value
INVESTED CAPITAL
Balance Sheet
PARTICIPATION CAPITAL
Currently 31% of Capital
Target ~ 70% of Portfolio
PORTFOLIOINVESTMENTS
HIGH NET WORTH & INSTITUTIONAL
INVESTORS
• Invest Capital Directly
• Earn Share of Cashflow
• Monthly payments
• transaction fees
• Buyouts / warrants
• Advance funding
• Receive performance data
• Take security
YIELD DIFFERENTIAL RETAINED
7
Strong Returns
As at March 31, 2018
• 23% IRR per annum since inception (August, 2015)
• 9 deals — successfully exited from three
• $9.4M invested, $6M currently outstanding
• >$5.6M collected in payments over 2.5 years
• $11.1M to be collected in payments over next 5 years
• 7 in British Columbia, 2 in Ontario
• $4M in available cash to invest
• International expansion underway through Blockchain technology adoption and new lending platform
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Blockchain Will Transform our Business
Globalization
Expand geographic deal scope
while maintaining trust
Exploit variances in local
interest rates
Access global investors in
participation finance model
Bring Yield to the Crypto-
Currency Market
Operational Cost Reduction
Improve Risk Management
Smart wallets facilitate low
cost transfers and F/X
Smart contracts facilitate
payment automation / escrows
Elimination of Intermediaries
Real time transactional data
drives payments
Reduce due diligence on
follow-on tranches by using
smart contracts
New Product Offerings
Tokenization can provide
liquidity
Broader range of products
possible given automation i.e.
daily payments
Utilize automated escrows for
more routine milestone based
disbursements
Access imperfect lending
markets remotely
Re-structure TIMIA to focus on
high margin / strategic activities
Compliance
Regulatory / X-Border
9
2020
Expand beyond North
America
$100 M +
Focus on core value
components (risk
management)
EXISTING
Speciality Lending
Canadian Software
Companies
>23% Annual IRR
Managing Risk
Controlling Costs
Delivering Cash to
Investors
SMART CONTRACT 1 SMART CONTRACT 2
Blockchain Roadmap
PORTFOLIO
Phase 1 - Q3 2018
Smart Contract 1 in Place
Crypto-Currency as a
Medium of Exchange
Automated Payments
Regulatory Compliant
Tokenized Asset
Canadian Portfolio
10
Phase 2 - Q3 2019
Smart Contract 2 in Place
Automated Payments
Offering Crypto Loans
New Product Offerings
North American Portfolio
INVESTORS
Financial Results –FY2017
11
• Record annual revenue of $1,040,895, up 69% over prior year
• Assets under management grew over 80% compared with the
prior year.
• A significant increase in net income resulted in a reduced net loss
of $197,620 compared with a net loss of $424, 951 in the prior
year
• Adjusted EBITDA* increased $180,919 to $138,852 compared
with an Adjusted EBITDA loss of $42,067 for the prior year period
• Net loss per share of $0.01 compared with a $0.02 loss per share
in the prior year
Net Income
$-
$100,000
$200,000
$300,000
$400,000
Q1 2016Q2 2016
Q3 2016Q4 2016
Q1 2017Q2 2017
Q3 2017Q4 2017
Revenue Growth
Revenue Gains
$(250,000)
$(200,000)
$(150,000)
$(100,000)
$(50,000)
$-
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
Q12016
Q22016
Q32016
Q42016
Q12017
Q22017
Q32017
Q42017
$(40,000)
$(20,000)
$-
$20,000
$40,000
$60,000
$80,000
$100,000
Q12016
Q22016
Q32016
Q42016
Q12017
Q22017
Q32017
Q42017
Adjusted EBITDA
Experienced Management TeamMike Walkinshaw Chief Executive Officer
Greg SmithChief Investment Officer
Darren SeedVP – Capital Markets
Andrew AboucharChief Credit Officer
Stephanie AndrewVP – Finance
• Mike joined the company
as the CEO in August
2015
• Co-Founder and
Managing Partner of
Fronterra Capital
• Managing Partner, CFO
at Chrysalix Energy
• Greg joined TIMIA as the
CIO in September 2015
• Co-Founder and
Managing Partner of
Espresso Capital
• Business Development
Bank of Canada’s
(“BDC”) Technology
Seed Investment Group
• 20-plus years of experience in
Canada’s venture capital and
private equity industry
• Cofounder and partner in Tech
Capital Partners Inc.
• Founder of TCP Property Inc.
• Accountant at PwC
• Investment manager at
Working Ventures
• Advisor to the Government of
Canada and Province of
Ontario
• Board of Ontario Centres of
Excellence
• Over 20 years of capital markets
experience across various
exchanges and industries
• Darren joined TIMIA as the Vice
President, Capital Markets &
Communications (VPCMC) in
January 2018
• VPCMC of Avigilon Corporation
• President of Incite Capital
Markets Inc
• Raised in excess of $750 million
for previous companies.
• VP Finance, Espresso Capital
• Founding Partner of the
Women’s Equity Lab (WEL)
• Executive Director of the Capital
Investment Network (CIN
• MSc in Molecular Biology and
Medical Genetics
• MBA at the Schulich School of
Business
• CFA charter holder
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Experienced Board
13
Thealzel Lee Director
James PrattDirector
• Vancouver Angel Technology Network
(VANTEC)
• Vancouver chapter of the Keiretsu
Forum
• National Angel Capital Organization
(Canada) and the Angel Capital
Association (U.S.)
• Founder of two angel seed funds: Nelsa
Investment (VCC) Inc. and VANTEC
Entrepreneurs Fund (VCC) Inc.
• Co-Owner of Prosnack Natural Foods,
which makes Elevate Me energy bars
and other healthy lifestyle food
products
• CEO, Sepp’s Gourmet Foods
• Active angel investor
• Director of the Food Innovation Centre
of BC
• Chairman of the Functional Foods
Alberta Centre of Excellence
• David Demers was the CEO and
Co-Founder of Westport Fuel
Systems (TSX:WPT) for over 20
years
• Extensive TSX and board
experience
• Strong knowledge of the
technology sector
David DemersDirector
Howard AtkinsonDirector
• Howard Atkinson has over 30
years of investment management
experience
• Published four books on Exchange
Traded Funds
• Former President of Horizons
ETFs Management (Canada)
• Member of the S&P/TSX Canada
Index Advisory Panel
Mike VolkerChairman
• Mike is a Co-Founder of TIMIA (formally
GreenAngel Energy)
• For over 30 years, Mike has been active
in the development of new high
technology ventures
• Director of Simon Fraser University’s
Innovation Office
• Vancouver Angel Network
• New Ventures BC business plan
competition
Investment Highlights
14
Delivering Returns
• TIMIA is a cashflow focused specialty lender
• Focused on small to medium private software
companies
• Experienced tech VC management team
• 9 investments since 2015 inception, 3
successful early exits, >23% portfolio IRR
• Strong portfolio, all payments made on time.
• TIMIA takes security on the cashflow of its
portfolio investment companies versus
traditional finance companies securing assets
alone
Creating Global Platform
• Financial Technology (Fintech) platform lowers
risk and makes smaller loans more economic
• Innovative capital structure both accesses low
cost capital while monetizing portfolio to
improve shareholder return
• Blockchain Application - incorporating
Blockchain to reduce operational costs,
globalize investor access, de-risk investments,
and create new products
Capital Structure
• Shares Outstanding
– ~34.5 MILLION TOTAL OUTSTANDING
– ~50 MILLION FULLY DILUTED
• Market Capitalization ~$6 million
• Warrants outstanding -10,341,281 with weighted average @ $0.18
• Options outstanding - 3,535,000 with weighted average @ $0.08
• $2,051,000 convertible debentures @$0.14 convertible into 14,650,000
common shares
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TIMIA CapitalFRICTIONLESS FINANCE FOR GROWING SOFTWARE COMPANIES
TSXV TCA