Final Reflection 30A

It might sound a little vain, but I really enjoyed the secret sauce assignment (16) where I had to interview the people who are closest to me and compare how I describe myself to how they describe me. I'm very proud and amazed at how they described me. They had a much more positive light with their comments than my own, but we were all correct I think. I'm also proud of the very first hypothesis test assignment, because I was able to learn about how some people out there run their finances- and it was even worse than I thought.

I have always seen myself as an entrepreneur without an idea. I'm still one of those, but know I know how I could develop and mold one if I got one.

I recommend that students in this class go all out and get into the assignments (treat this class as their venture, because it basically becomes that) and don't be shy to interview people, or to be ignored by people you try to contact. To foster the mindset, watch the dang lectures! They're entertaining!

^das me, jumping out of a plane to show them not to be scared. (also lol my arms)

Venture Concept #2 - Edubanking (2.0)

OpportunityI. Many online banking websites provide minimal information explaining the banking tools that the bank offers, basic definitions, concepts, and budgeting tools. I've also talked with several people who are frustrated that they can't talk to a real person when they call their bank's number. People these days get wrapped up in credit card debt, the wrong student loans, and various other loans that they don't understand. It can be hard knowing who's financial advice to heed when googling various financial terms. 
II. Banks are facing very low Marginal Propensities to Save (the amount that people save out of every additional dollar of income). Although disposable incomes got a boost from the recent tax break, American's MPS is still only 2-10 cents of every dollar. Every single bank and credit union in the US is facing these low savings rates, which is the money that they are able to loan out and make a profit on (as well as helping growing businesses).

Innovation
I will be selling memberships to my website filled with unbiased topical information. Customers access my website through their bank's website. I will work closely with the initial bank partner (I'll start with my hometown bank that I have a 12 year relationship with) to cover all the information pertinent to what the bank offers, and also common topics such as mortgaging, car loans, student loans, investment types (portfolio analysis) and budgeting. I will offer primarily podcasts, or video lectures similar to Khan Academy. I will also provide links to reliable external sources of information, before I am able to create all the content myself.
The bank has the option to subsidize membership fees for their customers to increase enrollment. There will be small monthly fees of $10 to individuals if they are unsubsidized. No contracts will be implemented.

Venture Concept
My venture meets the needs of those individuals to have a difficult time understanding complex financial tools and options. I will be the credible third party source that their hometown bank has endorsed. For the bank, I will be educating their customers. This education will increase awareness of all that the bank offers, which will contribute to more financially involved customers. The goal will be to help individuals help themselves, and make sure they understand how to make choices best suited for their situation. The competitors are not going to banks directly, and this service will strive to fully integrate itself to the needs of the local bank and local patrons.

My Secret Sauce
The unfair advantage that I have in this first stage of the startup is the long-running relationship I have with my bank as a customer for the last 12 years. I know many people within the bank, and they will be able to help me arrange meetings, know who to talk to, and increase my credibility. This social capital is invaluable, and once I have found success as a partner with them, I will have a success story that can be told (pitched) and replicated elsewhere. This will add MAJORLY to my credibility.

Moving Forward
Once I have proven my venture a success with my hometown branch, I will have the credibility and momentum to open up my services for memberships with other banks. I hope to grow to offer services with 3 banks within the first 5 years.

Living Life
After those 5 years of running a business with a track record of educating and helping individuals AND their banks, I hope to be able to sell off the business to a company with more resources. I will invest the money elsewhere and settle into a different lifestyle without so much travel or podcast recording. 

Feedback Summary
They didn't really give any feedback that suggested changes, but they mentioned what they liked- such as, my opportunity is good, they like that I will start focusing on one customer group in the beginning, educating the public is a needed thing, and that it was a good idea to have low memberships with a bank-subsidized option.

Changes Made
I changed the scale or speed at which I plan to be able to expand my idea to other banks. I want to initially focus on my first customer for a few years before expanding the service to partner with more businesses. Since I plan to sell relatively quickly, I will be trying to make a lot of waves (advertising via PR) with just a few initial customers and adding just a few more employees to help me meet everyone's needs. I added a note about my credibility, and cleared up some explanations in the opportunity and innovation sections.