Executive Summary Sena Gul “What if my subletter trashes my room, kills my plants, or runs away without paying rent?” These are questions that run through thousands of Berkeley students’ minds’ as they prepare to leave behind their apartments for the summer or during breaks. The current subletting scene around numerous college campuses, including Berkeley, is not only uncomfortable for students but also extremely dangerous. Founded in 2022 by four Haas students, our app Savy introduces safety and fun to subletting through ID verification and preference incorporation. There are hot new singles (rooms) in your area, and Savy can help you get connected quickly and safely. PRODUCT Savy prioritizes our three core values for customers: 1. Safety, 2. Convenience, and 3. Specificity. Savy has two user interfaces: sublessor and sublessee. As a sublessor, the very first step is to upload a personal ID and proof of residence to ensure security. After specifying general information about the residence and providing photos of the residence, the sublessor can then specify preferences such as age or gender for their future sublessee. On the other hand, to ensure safety for both parties the sublessee is also required to upload personal ID and proof of income. The sublessee then inputs property preference information in addition to completing a profile page with personal information such as age, gender, and more. Utilizing the personal information and preferences that both the sublessor and sublessee added to their account, Savy will present sublessees with the optimal matches for their new housing in Berkeley. From there, sublessees can message the matches they are interested in to form a direct connection to the sublessor with ease and convenience. When a match is made, if both parties agree, they can seal the deal through the security deposit payment system that Savy provides. BUSINESS MODEL Once a verified sublessor and sublessee match on the Savy platform, the sublessee pays ½ of their first month’s rent in advance, which is held in escrow by Savy as a security deposit. Once the sublessee moves in, the held money is disbursed, and the sublessee makes payments as usual. Savy charges 5% of the listed rent as a fee split evenly between the sublessor and sublessee. MARKET Our target market is composed of students in Berkeley between the ages of 18 and 25 who are digital media power users and frequently on the Berkeley campus. Our current efforts in appealing to our target market have been through social media advertisements and campus flyering. With the initial promising feedback, we plan to expand our marketing horizons to college campuses outside of Berkeley. Savy is pre-revenue but is gaining meaningful traction with customers. The total annual addressable market is $203 million. Based on our business model, Savy projects that it will be able to capture at least 10% of this market over the next 5 years. COMPETITION & DIFFERENTIATION Subleasing alternatives customers have access to are Facebook, Apartments.com, Berkeley OCH, and Casa Blanca. As the current market caters to renters and buyers, there is not one specific platform that prioritizes safe subleasing efficiently. While certain platforms offer a formal process there is a lack of specificity in catering to both sublessor and sublessee needs in security and preference. In comparison to the alternative housing platforms, Savy’s competitive advantage lies in the fact that it is affordable, interactive, and formal all while prioritizing safety and security. FUNDING & FINACIAL PROJECTIONS Savy is seeking $120,000 in exchange for 20% of the company. The investment will go towards software development and hiring a maintenance engineer, which will enable us to make the app more user-friendly and kickstart our path to financing our own maintenance and expansion. By generating meaningful revenue in a relatively short period of time, our 20% stakeholder investors will reap a 300% return on investment within 5 years. The premise of Savy caters to solving subleasing problems students face on many other campuses outside of Berkeley, serving as a potential point of expansion within the 5 years of projected growth. Our ultimate goal is an exit within 6 years through an acquisition by an existing real estate service firm. Savy will serve as a valuable asset in expanded functionality and security for the real estate industry. Investing in Savy is investing in a dedicated team with three simple goals for subleasing: prioritizing safety, upholding convenience, and providing specificity. Join us to change the game of subleasing.
