Investment Opportunity and Valuation Summary
Growth and Market Strategy
Our goal for the first year is to reach 3,000 kg in sales, a conservative target achievable primarily through SEO and Affiliate Promotions. However, we plan to implement a multi-channel strategy to boost brand exposure and establish True North Kratom as a leading name in Canada’s emerging kratom market. Our efforts will focus on:
1
SEO Optimization: Targeted keywords such as "Kratom," "Kratom Canada," and "Buy Kratom" to capture Canadian search traffic.
2
Promotions and Affiliate Marketing: Strategic partnerships to expand our reach and engage customers through trusted affiliates.
3
PPC Campaigns and Influencer Collaborations: Paid search, social media ads, and collaborations to drive targeted traffic.
Following the site’s launch, 50% of profits will be reinvested into growth initiatives, including paid advertising, SEO consulting, free samples, and potential influencer partnerships. The Canadian kratom market remains largely untapped, and we believe it is in its early discovery phase. By positioning ourselves at the forefront, we aim to capture a significant share of this expanding market, which we anticipate could result in millions of dollars in annual revenue. For context, capturing even 2.5% of the estimated Canadian market could mean as many as 65,000 customers.
Material Costs per KG
1
Total Cost per KG:
$73.50 CAD
2
Minimum Sale Price per KG:
$179.99 CAD
3
Net ROI per KG Sold:
$106.49 CAD
Product & Market Growth Potential
1
Year 1
Revenue: $539,970 CAD (based on a conservative target of 3,000 kg sold)
Return on Investment: 25% ROI
2
Year 3
10% stake return: $17,550 based on minimal growth estimates.
Return on Investment: 114% ROI
3
Year 5
10% stake: $91,875 Profit Per Year
Based on minimal growth estimates. Dividends Raise Between 33%-40%
Founder's Commitment and Contribution
Financial Investment
$65,000 CAD - Founders Personal Investment
Existing Development
$22,410 CAD - 90 Days Sweat Equity
Development & Operational Contribution
$56,700 CAD - 1st Year Additional
Why Invest in True North Kratom..?
1
Early Mover Advantage
Investing early in True North Kratom gives you a chance to capitalize on significant upside potential before mainstream adoption explodes.
2
Profit-Heavy Years Ahead
Our marketing strategy is designed to build momentum and achieve market saturation quickly. After that, your investment will benefit from the profit-heavy years ahead.
3
Exceptional ROI
Early investors stand to see a remarkable return on investment. Based on conservative estimates, a 10% stake could yield a profit of $91,875 / Year in just five years.
Be at the forefront of a market explosion!
- Existing competition is extremely limited thus capturing 2.5% of the Canadian market or more is an achievable goal. That could be as high as 65,000 customers and kg's sold per year!
- With dividends potentially reaching 33%-40%, this is an opportunity to build wealth and share in the success of a rapidly growing industry.
- Investors could expect returns as high as $9,000 per share by Year 5, should the projected market share and saturation levels be achieved.
Use of Funds
Our budget for Year One is designed to propel True North Kratom’s growth while maintaining operational agility. By prioritizing marketing and promotion, we aim to capture market share quickly and build brand recognition. Investments in inventory and packaging ensure that we meet demand with top-quality products, and our strategic reserve funds will be allocated towards seasonal events.
This well-balanced approach ensures every dollar works towards establishing True North as a leading name in the Canadian kratom industry, poised for rapid expansion and sustainable growth.
Key Investment Highlights:
- Early Market Leadership
- Rapidly growing market with minimal competition
- Premium positioning with proprietary infused products
- Direct supplier relationships for quality and margins
- Proven Business Model
- $106.49 CAD net profit per kg sold
- Conservative Year 1 target: 3,000 kg ($539,970 revenue)
- 144.88% gross margins with scaling potential
- Strong Return Potential
- Projected 114% ROI by Year 3
- Dividend potential of up to $9,000 per share by Year 4-5
- Exit opportunities through market consolidation
- Risk Mitigation
- Established supplier network
- Experienced management team
- Legal compliance focus
- Low overhead business model
Limited Time Opportunity: We are currently accepting select strategic investors in this pre-launch round. Early investors gain ground floor entry before rapid scaling phase.
Current Valuation: Cost-to-Recreate
Initial Investments
Founders Total Cash Investment: $65,511.85
Includes current and future commitments.
Current Sweat Equity
Sweat Equity: $22,410
Representing 90 Days (equivalent to 4.5 months of full-time work.)
Further Expansion
Further Development Commitment: 42 Weeks
Brand Development & Operations
Total Sweat Equity: $81,000
Total Sweat Equity: $81,000
Share Valuation:
Cash Investment + Sweaty Equity ÷ Total Retained Shares = Pre-Launch Valuation
$65,511 Total Cash Investment
+ $81,000 Total Sweat Equity Investment
= $146,511 Founders Total Investments
$146,511 (Founders Investment) ÷ 40% Retained Ownership = $3,662 Per 1 % Equity Share
Pre-launch Valuation: $366,277 CAD
How We Arrived at Our Pre-Launch Valuation..
Our pre-launch valuation is based on a transparent and fair calculation of both the financial and personal investments made in True North Kratom. We’ve taken into account the total cash invested to date, our financial commitment for the next 10 months, and the sweat equity contributed so far.
To determine the valuation, we combined all these values and divided by the 40% ownership equity the founders will retain in the company.
At $3,662 per 1% equity share, this is the cost of the founders ownership based on our investments. However, we are offering shares to investors at a favorable rate of $3,500 per 1% equity share, presenting an attractive opportunity to get in early at a discounted price.
Investment Opportunity:
$3500 Per 1% Equity Share!
True North Kratom offers a rare and timely opportunity to enter Canada’s untapped kratom market. With minimal competition and an innovative product line, we are uniquely positioned to capture a significant share of this emerging industry. As pioneers in the Canadian kratom space, we have a clear advantage, backed by strong market momentum already seen in the U.S., where the kratom market has grown exponentially.
Our focus on infused kratom products further sets us apart from the competition, allowing us to attract both experienced existing customers and new entrants, eager for superior quality and product innovation. By investing now, you are securing your place ahead of mass market adoption, which means capturing early market penetration and reaping the substantial growth that follows.
Investors who join us at this early stage stand to benefit from high returns. With conservative growth estimates, even a small percentage of market share could translate into millions of dollars in revenue. Your investment today could see dividends rise to $9,000 per share within a few years, as we scale back our marketing spend after saturation and capturing loyal, recurring customers.
In a rapidly expanding industry with vast untapped potential, True North Kratom is primed for explosive growth. Early investors will be strategically positioned to see strong returns on investment and be part of a once-in-a-lifetime opportunity to lead Canada’s kratom market.
Discover True North Kratom
Explore Our Website
- Dive into the world of kratom with our comprehensive website, designed to be your ultimate resource.
A Passion for Kratom
- We're passionate about sharing our knowledge and helping customers make informed decisions about kratom.
Your One-Stop Shop
- Find everything you need from our product catalog to our educational resources.
