Investors and Yalla!Market: Q&A

Yalla!Market has already held a mutual Pitch Day with Afford.Capital - and we decided to collect popular questions from our investors, adding answers from the Yalla!Market team.

By getting acquainted with these questions beforehand, you will better understand the project, Therefore, during the Pitch Day meeting with Leo Dovbenko, CEO of Yalla!Market, you will be able to focus on the essence and dive deeper.

How does investing via DAO work?

For investments in a specific project, we create a sub-DAO — a separate structure within our main DAO. By investing, you transfer cryptocurrency to this certain sub-DAO. The amount of LP tokens corresponding to the investment is credited to the Afford.Capital’s DAO until the end of the investment round.

Immediately after the collection closes, your LPs are sent to your wallet from which you made the investment. LP tokens mean your share within a particular project or startup. You personally won’t receive the shares directly, since the transaction is syndicated by the DAO. The share price will be determined by Yalla!Market once the current round is closed.

How will buyers claim their shares?

The shares are legally registered with the syndicator (Sergei). A fiduciary agreement is subject to be signed with Sergei. This agreement basically says that he holds the shares in your favor and you receive the financial result from their sale and/or dividends on them (minus the syndicator's commission which is also stated in the agreement).

You own shares indirectly, however, de facto you get all the financial benefits while owning them.

How much is a share worth?

The share price is subject to be determined at the time of the conversion of all Safe Notes from the current and previous investment rounds - this event is expected to occur in Q4 2022. The share price is likely to be less than $1. The share price is a calculated value, so it will not affect the percentage of shares/financial interest that each DAO investor owns now. This means that it will not affect your future earnings in any way.

What is the business plan of Yalla!Market? What are the forecasts and plans for business development? What are they based on?

Yalla!Market's business plan stands as follows: to achieve the best economy in the region per delivered order (due to an increase in the average bill and trade margin, which is achieved through a unique product range, dynamic pricing, and high efficiency in the use of couriers through work in hyperlocal 15-minute zones). The next step is to scale up the business by opening new locations in:

  • Dubai
  • Abu Dhabi
  • Saudi Arabia
  • Other countries of the GCC (Gulf Cooperation Council).

The goal is to open 500 dark stores in total by 2026 and create a profitable business with a revenue of $1bln. After that, the plan is to hold an IPO via one of the local exchanges (Dubai, Abu Dhabi, or Riyadh).

The plans are based on:

a) forecasts for the development of the fast delivery market in the Middle East (17% annual growth over the next 10 years will create a market worth $50bln by 2030)

b) fast delivery market repeating the growth dynamics in Turkey, Russia, and other geographies (where the integration rate of fast delivery services has spiked from 2% to 30-40% or even more in large cities within just 3-4 years)

c) low cost of labor (an hour of a courier's work costs 5-6 times less than in developed markets such as the USA and Europe).

⏰ We remind you that Pitch Day with Yalla!Market will take place on October 21, at 19:00 Dubai time (GMT +4).

We are looking forward to seeing you!