Gravity — financial model & capital plan
This page summarises Gravity’s revenue model, unit economics, 5-year projections and the $1.0M capital plan ($100k pre-seed → $400k seed → $500k growth) built around an 18–21 month runway and realistic B2B conversion.
Four streams tied to concrete, measurable levers.
Revenue streams & pricing assumptions
| Stream | Monetisation | Pricing assumption | Comment |
|---|---|---|---|
| Commissions | % of GMV | 4% avg (3–5% band) | On launch, mission and data/integration contracts closed via Gravity. |
| PRO subscriptions | SaaS per seat | $130 / month ARPU | Blend of individual ($50–80) and team/enterprise ($200–500) plans. |
| Consulting & mission support | Project fee | $18–26k / project | Scope: mission architecture, RFQ prep, partner coordination. |
| Media & ecosystem | Fixed + rev share | $40–220k / year (growing) | Sponsorships, content integrations, events once audience scales. |
Key constraint: all pricing is benchmarked against existing launch/consulting/SaaS practices. No aggressive take-rates that would break provider economics.
Base scenario — revenue composition (Years 1–3)
| Year | GMV (deals) | Commission rev | PRO rev | Consulting rev | Media rev | Total rev |
|---|---|---|---|---|---|---|
| Y1 | $2.8M (7 deals) | $112k | $39k | $108k | $40k | $299k |
| Y2 | $8.1M (18 deals) | $324k | $140k | $368k | $110k | $942k |
| Y3 | $16.0M (32 deals) | $640k | $312k | $728k | $220k | $1.90M |
Assumptions: 4% average take rate on GMV, gradual ramp from 25 to 200 PRO seats, 6 → 28 consulting projects per year, media line scaling with brand and traffic.
Healthy LTV/CAC and high gross margins by design.
PRO subscription economics
Per-deal economics & gross margin
| Type | Example ticket | Gravity share | Gross margin | Contribution |
|---|---|---|---|---|
| Launch / mission deal | $400k GMV | 4% = $16k | ≈90% | ≈$14–15k gross profit per deal |
| Data / service deal | $120k GMV | 5% = $6k | ≈85% | ≈$5k gross profit per deal |
| Consulting project | $22k fee | Fixed | ≈55–60% | ≈$12–13k gross profit per project |
| PRO subscription | $1.56k / year | Recurring | ≈85% | ≈$1.3k gross profit per seat / year |
Blended gross margin across all streams in the base scenario grows from ≈65–70% in Year 1 to 75–80%+ as platform revenue outweighs consulting.
Scenario planning around realistic B2B ramp-up.
ARR scenarios (Conservative / Base / Upside)
| Year | Conservative | Base | Upside | Notes |
|---|---|---|---|---|
| Year 1 | $0.15M | $0.30M | $0.48M | MVP, first deals, early PRO users. |
| Year 2 | $0.40M | $0.95M | $1.80M | GTM scale, partner expansion, repeat clients. |
| Year 3 | $0.90M | $1.90M | $3.50M | Marketplace effects, mobile, deeper tooling. |
| Year 4 | $1.50M | $3.20M | $6.50M | More regions, higher GMV and PRO density. |
| Year 5 | $2.50M | $5.00M | $12.00M | Gravity as default digital entry point to space. |
Operational drivers behind the base case
| Year | # deals | GMV | Avg GMV / deal | PRO seats (end of year) | Consulting projects |
|---|---|---|---|---|---|
| Y1 | 7 | $2.8M | $400k | 25 | 6 |
| Y2 | 18 | $8.1M | $450k | 90 | 16 |
| Y3 | 32 | $16.0M | $500k | 200 | 28 |
These volumes sit within the GTM funnel: per region 150–200 target accounts → 40–60 conversations → 10–20 qualified opportunities → 3–6 pilots → 1–3 closed deals. Multiply by several priority regions over time and the base case is reachable without “unicorn curves”.
$500k seed plan → 18–21 months of focused execution.
Use of funds — $500k seed plan
| Category | Share | Amount | Notes |
|---|---|---|---|
| Product & engineering | 40% | $200k | RFQ engine, catalog DB, matching logic, dashboards, security, QA. |
| Team (core salaries) | 30% | $150k | CTO (partial), 2 senior engineers, product, BD lead, media lead, ops. |
| GTM & partnerships | 10% | $50k | BD travel, conferences, CRM, pilot acquisition costs. |
| Media & branding | 6% | $30k | Gravity Media content, PR, SEO, events/webinars. |
| Legal & compliance | 4% | $20k | Entity structure, contracts, IP and data agreements. |
| Infrastructure & cloud | 5% | $25k | Hosting, monitoring, security and tooling. |
| Reserve / buffer | 5% | $25k | Runway buffer and opportunistic spending. |
At full $500k deployed, pure-burn runway (no revenue) is ~18–20 months. With revenue from Year 1, effective runway extends further without raising earlier.
Burn profile & hiring cadence (illustrative)
| Phase | Months | Key hires | Gross burn / month | Net burn (base) |
|---|---|---|---|---|
| P0 — Post pre-seed | 0–6 | Founder team + 1 engineer (contract), editor (part-time) | $18–20k | $15–18k (early revenue from consulting) |
| P1 — Seed ramp | 6–12 | + 1–2 engineers, BD lead, media lead | $25–28k | $18–22k (commissions + PRO + consulting) |
| P2 — Platform scale | 12–21 | + product, ops, regional BD (as needed) | $30–35k | $20–24k (growing recurring revenue) |
Net burn assumes base-case revenue trajectory. In conservative scenarios, hiring pace is slowed to keep runway > 18 months; upside allows bringing some hires forward.
Three steps to $1.0M raised with controlled dilution.
Rounds & use — high level
| Round | Size | Main purpose | Key milestones |
|---|---|---|---|
| Pre-seed | $100k | MVP & first partners | RFQ engine live, 3–5 partners, 2–4 pilots, first revenue. |
| Seed | $400k | 18–21m runway | Full platform for launches + contractors + data, 6–10 deals/yr, 40–70 PRO seats. |
| Growth | $500k | Marketplace & apps | Mobile apps, payments, higher GMV, regional scaling, ARR $1.9–3.5M. |
If an investor prefers, pre-seed and seed can be combined into a single $500k seed round, keeping the same milestone logic and use-of-funds structure.
Illustrative valuation & ownership (founder-friendly)
| Round | Amount | Pre-money | Post-money | New investor % | Cumulative dilution |
|---|---|---|---|---|---|
| Pre-seed | $0.10M | $2.5M | $2.6M | ≈3.8% | ≈3.8% |
| Seed | $0.40M | $4.0M | $4.4M | ≈9.1% | ≈12.6% |
| Growth | $0.50M | $12.0M | $12.5M | ≈4.0% | ≈16.0% |
Directional 5-year outcome: at $5M ARR (base) and 3–8× revenue multiples, this implies $15–40M valuation. At $12M ARR (upside), $36–96M. Gravity’s current raises are intentionally priced to leave room for future institutional capital.
18-month and 5-year quantitative targets.
18-month KPIs (seed horizon · base case)
| Metric | Target range | Comment |
|---|---|---|
| Active partners | 8–15 | Launch providers, manufacturers, integrators, data vendors. |
| RFQs per year | 12–24 | Structured and validated; not raw leads. |
| Closed deals per year | 6–10 | Including launches, missions and data/consulting projects. |
| GMV per year | $5–10M | At 4–5% take rate this underpins the revenue targets. |
| PRO paying seats | 40–70 | Combination of enterprise and individual accounts. |
| ARR (run-rate) | $0.3–0.8M | Across commissions, PRO, consulting and media. |
5-year KPI direction (base scenario)
| Year | GMV | # deals | PRO seats | ARR | Key milestone |
|---|---|---|---|---|---|
| Y1 | $2.8M | 7 | 25 | $0.30M | MVP monetisation, first case studies. |
| Y2 | $8.1M | 18 | 90 | $0.95M | Platform adoption, multiple regions. |
| Y3 | $16.0M | 32 | 200 | $1.90M | Gravity as working operating layer. |
| Y4 | $28–35M | 50–60 | 350–450 | $3.20M | Marketplace & mobile fully live. |
| Y5 | $45–60M | 70–90 | 600–800 | $5.00M | Gravity as default digital entry point to space. |
These KPIs are designed to be trackable in quarterly reporting to investors and to align fundraising tempo with real traction — not with hype cycles.