September 2022 Update

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Modern Company Overview⁠

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💡 Key highlights

🚀 We are on track to launch the Modern mobile app into public beta before the end of October.

Released our alpha mobile app into production with internal users and successfully processed our first transactions and interchange.

Opened a small strategic angel round to accelerate our roadmap (more info below)

Hired

David Silberstein⁠

to oversee credit risk and strategy and build out the Modern underwriting playbook.

Officially concluded our six-month Modern pilot program where we tested a web version of the mobile app with >450 users. Key learnings:

Consumers view their money as an individual part of a broader network (family or friends), rather than as a single family unit (original hypothesis).

As much as 40% of bills are paid to someone else in their network via P2P apps, often limiting access to cash, when and where they need it to pay bills.

Missing a bill payment is the one of the strongest pain points that manifests from the systematic cash flow and credit access problem.

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➡️ What’s next

Launch our Beta / MVP by end of October

Close small strategic angel round before EOY

Release next evolution of core features through Q4

Launch our Modern Underwriting pilot program by end of Q4

Full public launch, including release of Modern Bill Protect, our subscription-based product, in conjunction with Seed financing targeted for Q1-2023

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🙏 Asks

We have opened a small round to bring on strategic angel investors. This investment will allow us to build on the momentum of our public beta launch, accelerate our roadmap, and fill key roles to scale the platform ahead of our public launch and Seed round in Q1 of next year. If you or anyone in your network might be interested, please let us know or feel free to forward our

company overview⁠

We are also looking for strategic advisors to help us refine our credit / lending strategy, with specific expertise in building and scaling operations, risk and compliance programs.

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📈 Why we’re excited to build Modern

There are a number of significant macro and micro-level trends that signal the need for a solution like Modern, now more than ever.

MoneyLion sued by CFPB for violations of Military Lending Act and UDAAP Violations. We view this as another symptom of the neobank playbook that has proven to be fundamentally flawed. MoneyLion likely had to resort to these types of tactics, in large part, because they feel the pressure of upscaling their user base (i.e. diversifying their revenue) by offering higher margin products (e.g. loans) without having the wallet share and/or data needed to adequately underwrite.

Tally’s Series D fundraise represents the growing opportunity to provide targeted, automated solutions that help everyday consumers overcome mounting financial stress. We believe Tally’s automated debt repayment platform is analogous in several ways to the platform that powers Modern Bill Protect.

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