Investor Presentation of Solution Based Training Strategy
Investor Presentation
1. security as a service
Investor presentation
Bridging the GAP Between Cloud Service & Managed Security Providers
Presented by Moses Mendoza ( Founder)
www.wolfesec.com
2. Confidential Information
The presenter is providing this confidential information regarding Wolfe Technologies & Consulting Corporation (“WTC” or
the “Company”). Interested parties will be provided an opportunity to meet with management and conduct such additional,
reasonable investigation as is necessary and appropriate for the purpose contemplated herein.
This Information Memorandum is the property of WTC and is to be considered strictly confidential. It contains information
intended only for the person to whom it is transmitted. With receipt of this information, recipient acknowledges and agrees that
i) in the event recipient does not wish to pursue any proposed business relationship with WTC Corporation, this document will
be returned to the address listed above or destroyed as soon as possible, ii) the recipient will not copy, fax, reproduce, divulge,
or distribute this confidential plan, in whole or in part, without the express written consent to WTC, iii) all of the information
herein will be treated as confidential material with no less care than that afforded to your own company’s confidential material.
This document does not constitute an offer to sell, or a solicitation of an offer to purchase securities.
For more information please contact: Optima Law Group
I n v e s t o r p r e s e n t at i o n
security as a service
3. table
of
Contents
Company Overview 01
Executive staff 02
Key Facts 03
Time Line 04
Core Offering 05
Traction 06
Market Value 07
Revenue Model 09
Growth Plan 10
Phase 1 11
Phase 2 12
Phase 3 13
Financial | Past Performance 14
Projections Projections 15
15
Use of Proceeds 16
Acquistion Strategy 17
Take Aways 18
Exit Strategy 19
4. Company
overview
Wolfe has been established as a Next
Generation Secure Cloud Service Provider
(CSP). The traditional business model with
CSPs is based on silos while relying on
Managed Security Service Provider (MSSP)
community for in-depth security. MSSPs
rarely own enterprise grade IaaS and rely
on “boxes” or proprietary apps to offer
“security services” with limited security
services. Based on the huge knowledge
and cultural difference between the two
layers, it forces enterprises of all sizes to have
multiple vendors, SLAs, and a conveluted
coordinated approach to security.
Wolfe being security breed from inception
decided to take a holistic view of the
global network and deliver a security and
compliance solution and wrap it around
the infrastructure, in order to offer a
comprehensive suite of managed security
and infrastructure services that matches the
business drivers of the client. This disruptive
approach to the industry has allowed us to
extend and adapt our offerings to multiple
verticals in a flexible and strategic manner
without fear of compromising performance.
By giving enterprises the platform they need
to understand, optimize, and consolidate
their IT, we help enterprises to build a secure,
fast, fluid and dynamic IT architecture
that aligns with the business needs of the
organization.
There is a great need for end-to-end security
and infrastructure. By Wolfe addressing
all service categories of Security as a
Service(SECaaS) outlined by the Cloud
Secruity Alliance, utilizing best in class
technology, proprietary applications, and
an ITIL-based workflow process; Wolfe is
able to offer one of the most comprehensive
Secure Infrastructure as a Service offerings
in the industry.
1
Business Name:
WOLFE TECHNOLOGIES &
CONSULTING LLC
Business Address:
2911 TURTLE CREEK BLVD, STE 300,
DALLAS, TX 75219
Phone: 210-705-9958
Fax: 844-WOLFESEC
Projected Annual Sales 2014:
$1.1M
Total number of Employees:
7 FT, 25 Sub-C
Primary Line of Business:
Cloud Computing
5. Executive
Staff
2
Founder & CEO
Moses Mendoza
20 years of industry experience in various security
roles at key US Federal Intel Agencies. Drives the
strategic direction of Wolfe. Led complex cloud
and security programs; and managed multiple Fed
Contracts in excess of $1B.
Director of Finanace
Judy Wolfe
35 years operating experience across various
industries. Responsible for financial direction of
Wolfe to include corporate portfolio management
and capital allocation. Founder and CFO of Above
All Produce and AAP Investment Group
Co-Founder & CTO
Aaron Torres
20 years security engineer and architect for the
largest names in the security industry. The creator
and driver of taking true “cloud security” to the
marketplace.
CO / CBDO
Chuck Smith
20 years of technology services experience to Wolfe.
Chuck was the founder of Horizon Data Center
Solutions (rebranded Vazata) a data center and
cloud services company.
6. key
facts
Highlights
• The first to bridge IaaS and MSSP gap
• Launched brand in 2009
• Steady growth and traction since
inception
• Industry Leading Executive Team
• Bootstrapped
• Laid foundation and market tested
• Goal: 80/20 of ARR
• Average Contract Length is 24 Months
• Reside In Two Tier III Data Centers
• Add POPs in NOVA, CO/LV, IN/MI
Competitive Advantage
• Revolutionize MSSP/IaaS divide by
bridging gap
• Proprietary Next-Gen Cloud Security
Solutions (CS2™)
• End-to-end security, not simply
monitoring boxes.
• Proprietary security portal for Public &
Private.
• Actionable Intelligent Reports with
remediation.
• CISO friendly, complete situational
awareness
• Single POC for Cloud & Security
Services
• Integrated Partner; extension of IT
Department
3
7. history
time line
1
Founded Fortinet
Partnership
Expansion Expansion
Period Period
Security
Contract
Virtual
Services
S-laaS
Launch
Entered
Federal Markets
09 10 11 12 13 14
Period Period
Databank
Partnership
4
Awarded
DIR/ TIPS
Contracts
8. core
offering
Security
as a Service
services
Wolfe SIEM
Services
WolfeSec
& AWS
Consulting &
Pro Services
S-laaSTM
Comprehensive suite
within the Wolfe
Secure data centers
and network (On
WolfeSecNet) and on
clients’ premise
(Off WolfeSecNet).
Secure-Infrastrcutre
as a Service
Where Wolfe wraps
our unique security
architecture around
the Infrastructure,
offering clients a fully
secure end to end
environment.
Our Cloud SIEM
provides a
comprehensive,
unified way to
monitor, manage IT
Risk, Compliance, and
optimize customer IT
services
Wolfe’s partnership
with AWS allows
Wolfe’s SECaaS & SIEM
Services to leverage
AWS clientele and
provide a fully secure
cloud environment
Wolfe’s offering of
highly experienced
subject matter
experts to fill in
those gaps
5
9. traction
Wolfe Traction Across Key
SLED 60%
Energy (Oil Gas Power) 20%
Telco 15%
Entertainment 02%
Logistics/ Retail 02%
Federal 01%
6
10. market
Value
Researcher IHS Technology expects spending
on cloud infrastructure and services to hit
$174.2 billion in 2014, up 20 percent from
$145.2 billion last year.
It expects this growth rate to continue with
enterprise spending on cloud to soar to
$235.1 billion by 2017. That would be triple
the amount spent on cloud ($78.2 billion in
2011.)
According to Gartner Research, cloud
computing will be one of the most
transformational technologies in the next
five years. Cloud computing is expected
to become main-stream in two to five years.
In addition, according to Network World,
“cost-savings, compliance, and offloading
busy-work” are three major reasons why an
increasing number of enterprises are turning
to managed security services providers.
Through the cloud, this provides an added
revenue stream by allowing customers to
enlist in things like network monitoring,
continuous compliance, and security
reporting analysis.
Why Invest in the Company:
Wolfe has spent the last 5 years watching the
trends, analyzing the markets, and building
comprehensive flexible cloud offerings
that make infrastructure and security
consumable as a service together through
1 Provider, 1 SLA, 1 True Secure Cloud. This
unique opportunity for investors is backed
by a solid team of proven, dedicated, and
innovative professionals who have a strong
vision for the cloud future. Wolfe’s offerings
open up a new market segment that lends
itself to multiple revenue streams, on or
off WolfeNet. Virtualization, Cloud, SIEM,
and Log Management are more complex.
Requirements to centrally collect, analyze
and maintain, and enhance efficiencies
in security, forensics, compliance, and
operations continue to grow exponentially.
Multiple acquisition opportunities by
industry players such as AWS, Data Bank,
Rackspace,CSC, Raytheon, Tripwire, Magesry,
or Fortinet.
7
11. market
Value
According to a Gartner market analysis report on cloud services over 2012-2016,
cloud infrastructure as a service (IaaS) spending will exceed $72 billion, with a
compound annual growth rate (CAGR) of 42 percent
Frost & Sullivan predicts that the market for Managed Security Service Providers
(MSSP) will grow from $6.66 billion in 2011, to $15.63 billion by 2016, driven by
the increasing complexity of security threats.
The total SIEM market to grow from $2.57 billion in 2014 to $4.54 billion in 2019
at a CAGR of 12.0% during the forecast period
IaaS
MSSP
SEIM
8
12. REvenue
model
45% 30% 10% 10% 04% 01%
Security
as a
Service
S-IaaS SIEM
Services
Consulting
/ PS
Channel
Partners
Hardware
9
13. Growth
plan
WOLFE TECHNOLOGIES & CONSULTING 3 Phase Growth Plan
Along its three-phase time-line, Wolfe Technologies & Consulting intends to hit a
number of operational benchmarks critical to the success of the
Phase I - (Next 12 - 24 Months)
• Transition the Team & Build Core Business Base
Phase II - (24 - 48 months)
• Leverage the Brand
Phase III - (48 - 84 Months)
• Dominate market
10
14. Phase 1
Key Milestones Strategic Focus Operations and Organization Revenues Margins
1. Fully Engage Team • Secure Key sales hires • Sales Force/CRM – target market sales
force
• $2 – 5M within 2 years • $1M – 2.5M
2. Achieve profitability of Core • Secure service delivery hires • WUSA™ & WCSP™ Technology backroom • $2-3M within 1 year
3. TOLAN & Mid-Atlantic Footprint • Transition Executive team • 8A certification
4. Secure R&D resources • Build Core base • Service disabled
5. Establish federal footprint • Expand Reachability • HUB certification
6. Launch / Integrate WCSP™ • Invoke Marketing Strategies • GSA/First Source (Federal)
7. Beta 1 WUSA™ • Key SLED contracts • Strong governance board
8. Establish Intl footprint • Upgrade Data Center • Accounting management & QA/QC
• Expand Federal Space • RFP quality
• Secure IP patents
• Secure R&D team
• Alliance partnership for IP
• Proof of Core value in target markets
Transition the Team & Build Core Business Base
(Next 12 - 24 Months)
11
15. Phase 2
Key Milestones Strategic Focus Operations and Organization Revenues Margins
• Rollout IP • Build industry presence (demand base) • Expanded partnerships • $10 - 15M • $5 - $8M
• Series B • IP inside core customer base • S&E by industry verticals (strong sales)
• Acquisition Targets • Obtain Funding • Account management
• Dominate TOLAN targets • Leverage Acquisition • Strategic office presence
• Substantial footprint Mid-
Atlantic
• Optimize Core sales and delivery • Training/knowledge transfer
• Steady Intl footprint • Expand Reachability • Mentoring and growth
• Add 2-3 POPS • Leverage certs and relationships in Fed space
• Steady growth Federal • Open 2-3 new verticals
• Open New Target Markets
(Southwest),(Mid-West),(East)
• Market events and Trade Shows
• IP Version 2
Leverage the Brand
(24 - 48 months)
12
16. Phase 3
Key Milestones Strategic Focus Operations and Organization Revenues Margins
• Broaden IP marketplace • Rollout v2 of IP • Support alliance/channel partners • $21 - $41M • $11 - $21M
• Substantial Intl footprint • “Test” acquisition market • User input on development
• Dominate 3-5 industry verticals • Monetize mature business lines • Sale to industry silos
• Expand Reachability • Enhance IP for v3
• Monetization options for IP
• Entertain early acquisition
• IP v3 development
Dominate market
(48 - 84 Months)
13
19. use of
proceeds
Wolfe is seeking $4-7mm to fund expansion of the business,
and to recapitalize past investors.
Wolfe Investment Allocation of Funds Annual Monthly
Technology Equipment 450,000.00 37,500.00
Marketing 480,000.00 40,000.00
Operations 550,000.00 45,833.33
R&D 430,000.00 35,833.33
Personnel/Payroll 1,700,000.00 141,666.67
G&A 613,000.00 51,083.33
Travel Expenses 225,000.00 18,750.00
Contingency 250,000.00 20,833.33
Return on Capital
• For each new POP, Wolfe expects to generate ~$5mm in revenue, and 25-30%
EBITDA., upon full utilization
• Based on analysis, upon achieving $41M in revenue in year 5, Company expects
to conservatively exit at a revenue multiple of 4-8x, for total value of $164 -
328mm
16
20. Acquistion
strategy
Target regional players with flat revenue to drive attractive
pricing, and limit upfront cash as part of transaction
Future Acquisition Opportunities include:
• Target 1: SIEM/Log Mgmt Software provider, $3-5mm in
revenue
• Target 2: Dedicated and Cloud hosting provider; $3-5mm
in revenue
• Target 3: Co-location and hosting provider; $3-5mm in
revenue
Acquisition to expand offering, upsell existing co-location
clients, and become a turn-key provider.
• Acquisition allows for immediate cross-selling capabilities
• Creates a higher recurring revenue base and “sticky” customers
• Adds annual recurring revenue, clients, EBITDA
• High - touch customer service
• Wolfe Integrated Development Enhancements
Acquisition of small-mid-sized VAR or hosting/managed services
operation allows immediate conversion of 35%-43% of client
base to Wolfe Secure Cloud Services, as clients require higher
levels of managed service
01
02
03
04
17
21. take
aways
Virtualization and Cloud are ever more complex and the requirement for
organizations to centrally collect, analyze and maintain or enhance efficiencies
in security, forensics, compliance, and operations continues to grow exponentially
SIEMs and Log Management go hand it hand. More logs are being collected from
a multitude of different devices/sources and programs while SIEMS make it easier
to centrally collect and analyze the data/logs which makes their value increase. But
CISOs don’t have the time, money, and expertise to manage and comb through
the multitude of logs and reports given by MSSPs and Cloud Providers
By Wolfe wrapping the security around the infrastructure it opens up a new market
segment that allows for greater flexibility to integrate managed and security
services where infrastructure is deployed, on or off WolfeNet.
Wolfe addresses the issue of how organizations can get value from all these separate
solutions that have multiple vendors and SLAs and inefficient coordination to
security in a cost effective manner.
Wolfe has spent the last 5 years watching the trends, analyzing the markets, and
building comprehensive flexible Cloud offerings that does make infrastructure
and security consumable as a service together through 1 Provider, 1 SLA, 1 True
Secure Cloud or wherever infrastructure is deployed.”
18
22. exit
Strategy
Exit Plan:
Acquisition Years 5-7
Likely Acquirer:
Cloud Service Provider,
Telco, Defense Contractor,
MSSP, SIEM Provider, and Data
Center.
Provider, Telco, Service Defense Cloud ContraProviders
security as a service
ctor, Data SIEM Centers, SP’S, MS}
19
