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Timothy Treagus: Personal Blog

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Potential buyers

Speak to:

Jack from Coloop → Investors who invested in him
60DB
Culture Foundry
AskAfrika
Infoquest
The Consumer Insight Agency
Cint
IQ Business
Neil Lilford
Purespectrum
Local: KLA, AskAfrika
Qualzy
David and Aidan Hurly

Panel software:

Attest
Apinnio
Pollfish

Calumn Ober
Christiaan
Lara
Karin

Next job chat to:

Karl / Luke
Bevan
ShopriteX guy
Georgia
Caleb

Companies

Validation

Do you have problems with current research software?
Would you like to use WhatsApp?
Would they use for data collection or just invites / notifications or Survey tool

Email:

Do you resonate with these problems. We use WhatsApp
Be part of trend report

Top dilemmas

Selling to another company other than Rather Chat poses many challenges: The bot and database IP is owned by RC and will need to either be broken out or still owned and maintained by Rather Chat which will be a barrier to a new buyer. Yazi would need to buy or disassemble the survey and research code from Rather Chat’s overall backend. This is not easy as it is fundamentally tied into their code and is their IP. Yazi could perhaps just take ownership of the databases and allow the bot to still run off of Rather Chat’s code / system. However, it would largely still be a tricky sale to make as RC
The segment getting the most value of of Yazi’s product / offering are Market research agencies or research companies (highest frequency of research). However, this is a segment that RC is not currently targeting. They are unlikely to have appetite to grow and further develop a business and product which is not in their core focus. Yazi’s frontend is only valuable to clients who want to do frequent and varied surveys. If they only want to do NPS or Pulse surveys that largely stay the same then the frontend is hardly going to be in demand.

Yazi value to buyer Questions and Thoughts

Can webapp be incorporated into existing frontend?
Is there customer segment synergy? RC is targeting enterprise clients for: Sales, Customer support, Marketing and Customer feedback. Yazi’s frontend is only valuable to clients who want to do frequent and varied surveys. If they only want to do NPS or Pulse surveys that largely stay the same then the frontend is hardly going to be in demand.

Value to Rather Chat

Redirect website traffic
Yazi has built a high-converting website and has many great articles about WhatsApp and its different use cases for research which will start ranking and bringing in leads through SEO
Yazi’s backlinks are increasing, meaning that a lot of the traffic will only come in in a few months
The Acquisition announcement can fuel press and will serve as an opportunity to land new clients
Distribution through Tim’s LinkedIn and growth strategies. With a complete onboarding process and service product, Tim and Lwanda will be able to consistently bring in leads through cold email and LinkedIn posts
For Corporate clients
Customer feedback is one of Rather Chat’s top 4 use cases. Currently, RC does not have any tooling that enables their client to script surveys or feedback forms(self-service) and immediately view the results.
Enhanced Research Capabilities for Enterprises: With Yazi's technology, Rather Chat could offer enhanced research capabilities to its enterprise clients. This includes high-response rate surveys, the ability to conduct research more frequently, and the use of qualitative data like videos and voice notes. Such features could make Rather Chat's offerings more attractive to enterprises looking for comprehensive customer feedback and research tools.

Technically

Yazi’s frontend has been built around being able to integrate into Rather Chat’s backend. The products are already connected and working together. RC just needs to have the appetite to integrate Yazi’s angular webapp frontend with their existing React app (less features than Yazi’s). They also need the appetite to build in Angular or maintain a product that is partially built in Angular
Rather Chat does not have a strong technical engineering team. Yazi could help them make major gains in being able to go to market with a self service product that is well designed and easy to use
Rather chat does not seem to have a great CRM or way of enabling their clients to track engagement or how many template messages have been sent, response rate etc. If

Issues with not Selling to Rather Chat

Yazi would need to buy or disassemble the survey and research code from Rather Chat’s overall backend. This is not easy as it is fundamentally tied into their code and is their IP.
Yazi could perhaps just take ownership of the databases and allow the bot to still run off of Rather Chat’s code / system. However, it would largely still be a tricky sale to make as RC

What’s needed to sell

Documentation of codebase

All market research tech companies:
Pollfish
Appinio
Culture Foundry
Rather Chat
Old Mutual

Ways they can buy

Earn-out Agreement: A deal structure where part of the purchase price is paid based on the target company's future performance. This can be beneficial if Yazi continues to perform well post-acquisition.
Stock Swap: Payment in the form of Rather.Chat's shares rather than cash. This is viable if Yazi's owners are willing to become shareholders in Rather.Chat.
Vendor Financing: Yazi could finance the sale by allowing Rather.Chat to pay over time. This is essentially a loan from Yazi to Rather.Chat, secured by the assets being sold.
Deferred Payment Agreement: Structuring the deal with initial lower payments that increase over time as Rather.Chat's cash flow improves.
Joint Venture or Partnership: Instead of a full acquisition, they could form a joint venture or partnership, sharing profits and losses according to their contributions.
Seeking External Financing: Rather.Chat could look for external financing options, like bank loans, or finding investors interested in funding the acquisition.

Advisor list

Dewald
Louis
Stretch


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