application

Ryan Frew

Founder [email protected]

YounGlobe, LLC PO Box #748

Hudson, OH 44236

X‐Lab Competition Registration Step 1: Personal Information First Name: Ryan Last Name: Frew Primary Phone: 330.573.2845 Email Address: [email protected] Confirm Email Address: [email protected] Website: www.younglobe.com Address: 6967 St. Regis Blvd Hudson, OH 44236 Step 2: Business Information Name of Business: YounGlobe, LLC Type of Business: For‐profit Social Enterprise Where/How did you hear about the X‐Lab competition? As a Xavier student, I joined the Entrepreneurship Club and was informed of X‐Lab by Alex Burkhart. How would you like us to contact you? Email Step 3: Questions The following questions will help you think about the business and the eventual plan you will write. Answer each question with one or two sentences. Please be specific. Describe the idea for the product and/or service in one paragraph. What is the specific problem/need that your business idea solves? YounGlobe cannot adequately be described as a product or as a service. In fact, it is both of these things; but mostly, it is a need. The industry of international volunteerism is growing rapidly. In the year 2000, there were a reported 500,000 volunteer tourists. Eleven years later, the number has emerged to more than 1.6 million. To accommodate this new market, there has been a veritable explosion in the amount of volunteer experience providers, and these experiences are becoming globally accessible over the Internet. Choosing one of these hundreds of providers is an overwhelming process. They all promise a life‐changing experience and guarantee innumerable opportunities on every continent. The cost, not including flights and insurance, typically ranges from $3,000 to $10,000. And yet finding comprehensive unbiased information on these programs is nearly impossible. That’s where we come in. YounGlobe, LLC is an expert, independent, for‐profit organization

Ryan Frew



Hudson, OH 44236

whose primary goal is to create a fair and safe marketplace for international volunteers and to empower our users to make informed decisions and discover opportunity. Consumers lack a reliable source of information they can depend on to help distinguish ethical from unethical and good programs from bad ones. YounGlobe aims to fill this vacuum with a broad range of impartial consumer information. Five years from now, YounGlobe will be the most recognizable name in the industry of international volunteerism. We will achieve this by providing a necessary service and adapting to our audience’s needs. By July of 2016, the website will detail more than 250 international volunteer programs. By that time we will have surpassed 200,000 unique visitors annually. In dollar amounts, how much do you estimate the venture can grow and by when (years)? Please explain your assumptions and calculations. Using conservative numbers, developed with assistance from the President of Canal Holdings, and an executive from PNC, YounGlobe is projected to break even during its second year of operation. Our startup expenses are estimated at $65,000. This number includes $48,000 for web design and $17,000 for tangibles and contingencies. The break‐even point is then made possible by minimal COGS coupled with low SG&A expenses estimated around $3,315 per month through the first two years. Most of our expenses are dedicated to SEO, insurance, travel, and hosting costs. Instead of depending on volatile advertising sales, we plan to use new inventive methods to create sales with our users, as well as promising and consistent affiliate sales For example, after helping a user choose a program and destination, YounGlobe will offer airfare, insurance, travel guides, and a host of other products and services, which are sold on our website, but are operated by other companies. These kinds of sales will make up roughly 20% of YounGlobe revenue in the first two years and become a decreasingly important revenue source over time. Another 20% of revenue will be driven by fees for travel organizations seeking membership benefits, which I can detail at a later time. The majority of our revenue (60%) will be driven by YounGlobe users. These online sales include a cutting edge ICOE program, gap counselors, and concierge services. I am confident in these revenue streams because I would have used all of them throughout my own travels. YounGlobe will likely lose slightly more than $10,000 in the first year, before turning around and posting a $25,000 profit in the second year. This is possible through a very efficient average gross margin of 61% in the first twelve months, and 82% for the second fiscal year. These estimations are quite average in comparison to other web‐based companies. YounGlobe will be positioned to maintain a positive cash flow with angel funding of $90,500. Associated with (1) developing your business idea, (2) providing resources for education and training, (3) developing your business plan and launch plan, (4) connecting you with potential investors, (5) help with launching and growing your business, what assistance

Ryan Frew



Hudson, OH 44236

would you like from the Sedler Family Center for Entrepreneurship and Innovation? If you were selected as a Xavier Launch‐A‐Business Candidate would you be available for consultation throughout the competition process, either in person or through technological means (yes, or no)? When I first came up with the idea for YounGlobe, I simply envisioned a non‐profit service that would aggregate all of the international volunteer programs in the world and allow visitors to rate and review their experiences. The need for such a service had been recently demonstrated to me by my experiences in Argentina. However, as I’ve shared my ideas with more people involved in the industry, YounGlobe’s potential array of offerings has continued to grow. From X‐LAB, I am hoping to find assistance narrowing down these ideas and developing a more efficient and profitable business plan than my current version. Additionally, as a sophomore at Xavier, I am seeking to accelerate my knowledge from a business standpoint in order to properly run the business. It is my goal to ultimately procure funding through the network of angel investors associated with the Sedler Family Center for Entrepreneurship and Innovation and get YounGlobe off the ground. If selected as a Xavier Launch‐A‐Business candidate, I would be available for consultation throughout the entire process in person. Thank you for your time and the opportunity to apply.