Secure your funding with a stellar commercial bank pitch deck

Issue

The current banking sector does not adequately serve low-income individuals and small businesses. This population often lacks access to basic banking services, such as loans or savings accounts, creating a cycle of financial instability. One such person who has experienced this problem is Maria, a small business owner from a low-income community. Maria dreamed of opening a bakery to support her family and uplift her community. However, due to her lack of financial resources and access to banking services, Maria was unable to obtain a loan to start her business.

What is the relevance of the problem?

The problem of financial exclusion is widespread in developing and developed countries. In the United States, approximately 25% of households are unbanked or underbanked, meaning they lack access to basic banking services. This issue disproportionately affects low-income individuals and small businesses, hampering their ability to thrive and contribute to the economy. Left unaddressed, this problem will continue to exacerbate income inequality and limit the financial growth of these communities.

What is the current solution for the problem?

The current solution offered by traditional banks is inadequate for low-income individuals and small businesses. Banks often require a high credit rating or collateral for loans, which many people do not have. Additionally, traditional banks have a limited physical presence in low-income communities, making it difficult for these people to access banking services. Alternatives, such as payday loans or check countering services, charge exorbitant fees and often create a cycle of debt for their customers.

Why does the problem exist?

The problem of financial exclusion exists because of a lack of innovation and investment in serving low-income people and small businesses. Traditional banks are profit driven and not prioritized in serving these markets. Additionally, regulatory hurdles often make it difficult for new, innovative companies to enter the banking industry and provide solutions to these populations. Without investment and collaboration from stakeholders, the problem of financial exclusion will continue to persist.

Solution / value proposition

Our solution to the limited options in the confectionery industry is a stopover for high quality handmade pastries, chocolates and other treats from local artisans, bakers and chocolatiers. We offer a wide range of delicious products that cater to the cravings of sweet-toothed customers, while supporting local small businesses. Our solution is not only innovative but also realistic, because we have curated a selection of the best local talents to present their work to the public.

Our physical store brings together a variety of pastries and chocolates under one roof, making it easy for customers to find and try new products. Our digital presence also allows our customers to pre-order items or gift sets through our website or social media, making our solution even more accessible. Our team has worked hard to ensure that the products sold in our shop are made with the finest and freshest ingredients, ensuring that customers receive an exceptional product every time they visit.

Our solution is so good that customers will go out of their way to experience our unique tastes and flavors. Our products delight the lives of our customers; They’re the perfect treat to brighten someone’s day, celebrate a special occasion, or just indulge in something sweet. Each product has a unique story behind it, which makes consumption all the more delicious. In our shop, customers not only leave a satisfied feeling, but also the knowledge that they have supported the community by supporting local artisans.

To develop our solution, we took a journey to uncover the problems in the confectionery industry. We’ve found that many small, local businesses struggle to source quality ingredients, market their products, or even reach their target audience. We realized that our solution would not only solve these problems, but also benefit small businesses and the community as a whole by supporting local talent. Our mission is to showcase the creativity and innovation of local artisans while providing customers with an exceptional experience.

In short, our solution is unique, innovative and practical. We’ve curated a curated selection of the best local talent on offer, giving customers a one-stop-shop for high-quality pastries, chocolates and other treats. Our products delight the lives of our customers and support small businesses and the community. By investing in our solution, you are investing in the success of local artists and entrepreneurs, as well as an entrepreneurial team passionate about providing a unique experience for our customers.

Market validation

Our market research indicates that there is a strong demand for locally made artisan chocolates and pastries, with a willing clientele willing to pay a premium for quality ingredients in the process. The total addressable market size for artisanal confectionery is billion.

Our addressed market has several specific specialties. First, we focus on sourcing ingredients from local artisans. This helps us maintain product quality while supporting local businesses.

• On average, our customers spend per visit, and we expect to have 200 customers per day, which gives us revenue of ,000 per day.
• Sales cycles in the confectionery industry are relatively short, with customers buying habitually and on impulse.

It’s a great idea to start our confectionery business in this market as it is growing, and we have identified an untapped niche. The covid-19 pandemic has led to an increase in the number of people looking for new experiences and trying unique things.

• The artisanal confectionery market is expected to grow at a CAGR of 3.6% between 2021 and 2028.
• We are positioned to respond positively to changing consumer behavior by explaining the growing demand for unique flavors and locally produced goods.

Our customers are willing to pay a premium price for our products because we ensure quality by sourcing ingredients from reputable local artisans.

• Our research shows that customers are willing to pay 30% more for confectionery products made from locally sourced ingredients.
• Our unique proposition to support and highlight the work of local pitting professionals provides a unique selling point that appeals to consumers who want to support local businesses.

business model

Our business model is designed to generate revenue through multiple channels. Our primary source of revenue is the interest we earn on the loans and credit we provide to our customers. Additionally, we also generate revenue through the fees we charge for services such as transaction processing, account maintenance, and other banking services.

The total amount of revenue we generate depends largely on the size of our customer base, the types of products and services they use, and the interest rates we charge on loans and credit. Our goal is to grow our customer base across multiple segments and diversify our revenue streams to ensure long-term stability and growth.

The following products will generate revenue for our business:

• Loans and credit: Our main product is loans and credit which are offered to individuals and businesses. We offer a full range of loan products to meet the diverse needs of our customers.
• Deposits: We also generate revenue from deposits made by our customers. These deposits are held in our bank and invested in a variety of instruments including government bonds, blue chip stocks and mutual funds.
• Banking Services: We offer several other banking services such as money transfers, bill payments, ATM services, and credit and debit card processing. These services generate a steady stream of revenue and are an essential part of our business strategy.

Our business model emphasizes the importance of building lasting relationships with our customers. By focusing on their needs, we have been able to develop a strong reputation in the market and build a solid customer base. This, combined with our diverse revenue streams, has helped us maintain a stable and profitable business over the years.

Competition

Our main competitors in the commercial banking market are Bank of America, Wells Fargo and JPMorgan Chase. These banks have a large customer base and an established reputation, which makes it difficult for new players to enter the market. However, we have identified areas where our bank can excel and differentiate us from our competitors.

Currently, these banks provide a wide range of services to their customers. They offer standard checking and savings accounts, loans, credit cards, and investment services. Although they may have a wide range of services, these banks often struggle to provide customized solutions to their customers. They have standardized services and limit opportunities for bespoke products that could benefit specific customer segments.

Unlike our competitors, our bank has a strong focus on understanding our customers’ needs. We plan to provide personalized and flexible financial solutions to meet the unique needs of each client. By doing so, we will differentiate ourselves from our competitors and retain customers who are looking for more tailored solutions.

Our USPS includes a focus on personalized solutions, competitive interest rates, and a streamlined application process. We believe that reducing the amount of paperwork and simplifying the application process will help us attract new customers and provide a better experience for our existing customers. We will also focus on investing in the latest technologies to provide our customers with a seamless digital experience.

We anticipate that our major competitors will steal from our customers in various ways. Bank of America and Wells Fargo could provide more comprehensive services to larger companies with more complex financial needs, while JPMorgan Chase may have a better reputation in the high individual market. We will need to focus on building a strong reputation in our target customer segments and continue to adapt our services to meet their evolving needs.

In summary, although our competitors are established players in the market, we believe that our focus on personalized solutions, competitive interest rates and streamlined application process will help us compete and better meet the unique needs of our clients.

Founding team

Our founding team consists of experienced entrepreneurs with a combination of 20 years of banking industry experience.

• John Smith: John is our CEO with over 10 years of banking experience. He holds an MBA from Harvard Business School and has a proven track record of initiating and driving business ventures. John’s background in banking and management makes him an invaluable asset to our team.
• Mary Johnson: Mary is our Chief Financial Officer with over 5 years experience in corporate finance. She holds a master’s degree in finance from the University of Chicago and previously worked with high-level investment banks. His financial insights and expertise will help us make well-informed business decisions.
• David Lee: David is our Chief Technology Officer with over 5 years of experience developing and implementing innovative technology solutions in the banking industry. He holds a bachelor’s degree in computer science from MIT and previously worked with a leading fintech company. His expertise in software development and database management will enable us to create a seamless and secure banking experience for our clients.

Our goal is to revolutionize the banking industry by combining traditional banking services with the latest technologies to deliver a better customer experience.

We believe our team has the right mix of skills and expertise to make this venture a huge success. However, we recognize that there may be skills that we lack, which is why we are willing to hire additional talent to fill in the gaps in our team.

Ultimately, we believe we are the right people for the challenge because of our shared passion for innovation and our commitment to delivering exceptional value to our customers and shareholders.

Traction

Our team has made significant progress in creating our confectionery shop, showcasing the creativity of local artisans in our community.

We started by forming partnerships with over 20 local artisans in just three months, showcasing their desserts and chocolates to the public. This has helped us create a unique product mix, providing customers with a wide range of delicious, high-quality pastries, chocolates and other treats. We have received positive feedback from customers on the quality of our products, which strongly indicates that there is a demand for locally made artisan chocolates and pastries in the market.

Additionally, our pre-launch event garnered over 500 RSVPs, demonstrating a significant level of interest in our business. We have also received a lot of positive media attention from various food blogs, social media influencers and local publications.

One of our most important milestones was achieving positive cash flow, along with stable sales and a growing customer base. We also have a high customer retention rate, with many of our customers becoming regulars and referring friends and family to our store.

To continue our growth trajectory, we constantly measure our key metrics, such as customer acquisition cost, customer lifetime value, and churn. We also conduct regular surveys with our customers to gauge their satisfaction and identify areas where we can improve. By focusing on these critical drivers of growth, we are confident that we can continue to build on our momentum and achieve even greater success in the future.

• Positive cash flow
• Stable sales and growing customer base
• High customer retention rate and positive customer feedback
• Positive media attention

Fund raising

Our startup needs 0,000 seed funding to bring our innovative product to market. Our product is currently in development and winding down, and we need additional funding to bring it to beta and launch it to our target audience.

Our funds will be used for several purposes. Most of it will be spent on product development costs, which involve finalizing the testing phase and building the beta. This includes hiring additional developers and designers to ensure product features are built to the highest standard.

Another significant portion of the funds will be allocated to marketing and awareness efforts. This will include developing brand messaging, building our social media presence and engaging potential investors and customers.

We will also deploy the funds to expand our team with experienced professionals in customer service, operations, and sales/marketing to gain competitive advantage and achieve sustainable growth.

If our fundraising goal is reached, we will be able to complete the project and launch the beta on time. We will be able to acquire our first customers, establish partnerships with other companies and start generating revenue. With initial revenue, we plan to update the product with new features and improve key metrics.

In summary, our fundraising goal is to raise 0,000 to complete product development, launch the product, hire a team, and implement our marketing efforts. We will deliver an exceptional product that provides our target audience with the benefits they are looking for, and we are excited to be on this journey with our investors.