This document summarizes PelotonU, an organization that helps working students complete college through competency-based education with coaching and deadlines. It notes that only 16% of part-time students graduate and most students are non-traditional. PelotonU blends competency-based education with in-person support to help its students, who have an average age of 29 and income of $26,000, graduate debt-free. The organization currently has 45 students and expects 85% will graduate. It provides details on unit economics, forecasts growing enrollment to 505 students by 2020 with over 100 graduates, and is raising $300,000 to become self-sustaining while avoiding $3 million in student loan debt for

1. PelotonUProviding working students a
pathway to college graduation

2. MEET DESIREE
Mom, Front Desk Supervisor at La Quinta
Pursuing a BA in Management; Future small business owner

3. FOLKS WHO NEED A DEGREE
AREN’T GETTING ONE
Just 16% of part-time students
in Austin graduate.

4. THAT’S BECAUSE COLLEGE WASN’T
BUILT FOR TODAY’S STUDENT.
71% of students are “non-traditional”

5. LUCKILY, THERE’S COMPETENCY-
BASED EDUCATION (CBE).
It’s college for working adults. There’s just one problem...

6. …GRADUATION RATES
AREN’T MUCH BETTER.

7. We’re PelotonU!We blend competency-based education with in-person
support so working students graduate from college debt-free.
THAT’S WHERE WE COME IN...

8. SPECIFICALLY, WE OFFER
THREE THINGS.
Space Coaching Deadlines

9. AND IT’S WORKING
85% of our students are on track to graduate.

10. CURRENT SNAPSHOT
45 Students
Up 100% from last year
Average Age: 29
From 18 to 55
$26,000 Avg. Income
$22,000 median annual income
8 Referral Partners
Source of 62% of our students

11. HERE’S THE COOL PART:
WE EARN $2,500 PER STUDENT

12. UNIT ECONOMICS
Revenue
Revenue Per Student $2,500
Variable Costs / Student (1)
Culture $60
College Coach Cost / Student $816
Total VC $876
Contribu>on to FPC $1,624
Fixed Costs
Rent $26,364
ExecuBve Director $32,655
Director of Student Recruitment $48,983
Director of College CompleBon $48,983
Other OpEx $16,036
Total Fixed Cost / Yr $173,020
Breakeven # of Students 107
UNIT ECONOMICS

13. 2016 2017 2018 2019 2020
Enrollment
Standard Cohort Size (primary driver) 30
Students End Of Yr 53 131 227 286 314
New Students Enrolled During Period 55 90 120 120 120
Profit and Loss
Revenue $31 $123 $315 $507 $645
Variable Expenses $93 $151 $225 $266 $318
Contribution ($62) ($28) $89 $241 $327
Student Support 75 81 93 93 94
Recruitment 53 58 63 63 63
Other Operating Expense 41 50 59 60 63
Total Fixed Expenses $169 $189 $215 $217 $220
Profit ($232) ($217) ($126) $24 $107
Capital Requirements
Break-Even Month (On an LTM Basis) Jul-19
Capital Raise Needed To Reach Sustainability $343
Outcomes
Cumulative Stats
Students Enrolled 55 145 265 385 505
Graduated w/ Assc. – 4 11 22 34
Graduated w/ Bach. – 1 16 50 114
Cumulative Scholarship $ Provided $297
Cash Investment Per Graduate through 2020 $2.3
FORECAST

14. THAT’S WHY WE’RE
RAISING $300,000
By 2019, we’ll break even.

15. THROUGH 2020
505
Students
With another 120 per
year thereafter
114 Bachelor’s
Degrees
And 34 Associate’s
Degrees
$297,000 in
Scholarships
And almost $3 million in avoided
student loan debt
$57 million
in new wages
That’s $25,000 per
year per graduate

16. LONG TERM, WE’LL GROW
A NETWORK OF PATHWAYS.
McAllen / San Antonio / & More

17. WILL YOU JOIN US
AND CONTRIBUTE?
Contact Hudson@pelotonu.org

18. DESIGNED BY TRIP CARROLL,
CREATIVE DIRECTOR AT EMBASSY
Embassy is a proud supporter of Peloton U’s team and students