Gary Evans

Paymency A Founder CEO




1. Define the problem your venture is solving and what differentiates your company.
Merchant payment card expense is most retailers’ second largest operating expense behind labor.

Recent victories in the courts and in Washington have freed merchants to charge or modify procedures to recoup or reduce network costs

The Durbin amendment to Dodd-Frank increased costs for many PIN debit transaction, which caused networks to increase cost materially for transaction under $10. Other than requiring cash payments merchants have no alternative to reduce costs.

Unlike competitors, instead of using the cell phone on top of existing networks, Paymency cell phone pay is creating a new Internet based network.

Paymency can save most merchants between 50% and 75% of current cost of transactions

Lowering merchant transaction costs plus the gifts, rewards and analytics that are included in Paymency will help a merchant grow their business

Paymency is a cell phone payment network that is built to banking standards, is easy to use and our merchant distribution to consumers is unique. Our knowledge of Internet banking and bank regulations will facilitate a more efficient process design

2. Articulate what motivates you to devote the next X years of your life to this company and problem.

Build wealth for partners, investors and myself.

Merchant payments are one of the largest and most profitable financial markets. The current network Oligopoly is built on outdated technology and distribution systems. It will be fun to change the dynamics.

I have been focused on increasing bank efficiency for 25 years. The merchant payment business is the next step. Technology and banking process changes makes this lower cost solution possible today.

I believe that this is a very sound payment business model that will flourish with current technology and the cloud and we will change the payment industry.

3. Identify your competitors - both startups and big companies that might move in to your space.

DWOLLA is a start up that is focusing on costs and is proving the viability of a low cost Internet network. Dwolla focuses on marketing direct to consumers, we focus on marketing to merchants. One day we should be able to share networks like Master Card and Visa.

LevelUp is a startup with a focus on the cell phone rewards marketing – Network Centric high cost

PayPal – higher cost good history – Network Centric high cost

Goggle Wallet – higher cost - Network Centric high cost

Square - Dongle Reader and now a bar code - uses networks

Venmo - text based – P2P – going through an upgrade

The large firms and banks could compete but their cost structure and imbedded fees are hard to give up. New Start-ups are probably our biggest competition

4. Do your homework on investors and determine your short list of firms you'll pitch to, why them?

Banks would be a partner and investor – we consider Paymency to be the next step in Internet Banking

First Internet Bank of Indiana

Bank of Internet USA

NCino New Bank Processing System – part of Live Oak Bank

Angel Groups and VC with an interest in finance, payments or retail

Mark Suster, Venture Capitalist, Angel investor

GRP Partners, has more >25% of our total investments in the financial services sector, one of only a handful nationwide to do so. 3 of our partners have invested in financial services for more than 10 years

A16Z Marc Andreessen and Ben Horowitz – very large VC that does small investments

UCSD Rady Venture Fund – new fund, proximity is a positive


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