ALGORITHMIC TRADING SYSTEM BUSINESS PLAN

I. Executive Summary

Company Description

PraxisQuant, named for the fusion of practical execution (praxis) and quantitative analysis, is headquartered in Chicago, Illinois, a major U.S. financial hub. We operate in the financial technology (fintech) sector, delivering a cloud-based, no-code automated trading platform for retail traders. Our core product lets users build, backtest, and deploy systematic strategies without programming skills, and it links directly to leading U.S. brokers for 24/7 execution and institutional-grade analytics. We remove emotional bias from trading with data-first automation.

We sell tiered SaaS subscriptions plus usage-based execution fees and run continuous platform development, cloud operations, broker integrations, and customer success. Competitive edges include a true no-code strategy builder, sub-minute execution, and prebuilt analytics templates used by retail quants. Target customers are self-directed U.S. retail traders aged 25–55 who trade systematically or want to scale rules-based strategies. Short-term goals: reach 10,000 users and $3M ARR within 24 months. Long-term goals: 100,000 users, global broker coverage, and position as the leading retail systematic-trading platform within five years. One clear aim: democratize institutional-grade algorithmic trading for retail investors.

Problem

Active U.S. retail traders cannot reliably capture global market opportunities because they lack 24/7 monitoring, leading to missed overnight setups and lost alpha.

Emotional, discretionary trading causes inconsistent returns and capital drawdowns, while most institutional-grade automation and analytics require programming in Python or C++, excluding non-coders.

There is no widely accessible, no-code, affordable platform that combines end-to-end backtesting, institutional analytics, and direct broker execution to remove emotional bias and enable rapid strategy iteration.

Solution

Retail investors and day traders face emotional bias, limited hours, and a shortage of accessible automation, so we provide a cloud-based, no-code platform that lets users build, backtest, and run rule-based trading strategies across U.S. stocks and forex. The system connects to U.S. broker APIs, runs 24/7 on secure cloud infrastructure, and integrates historical data for objective evaluation.

It enforces user-defined mathematical rules and risk limits, enabling continuous, bias-free execution of multi-asset strategies with built-in backtesting and brokerage connectivity—turning trading ideas into live, risk-managed automation.

Mission Statement

We democratize institutional-grade trading technology for retail investors. We provide the most intuitive, no-code automation tools to enable systematic, data-driven trading that removes emotional bias and helps users reach their financial goals. We commit to continuous fintech innovation and customer-focused product development, and we aim to be the leading platform for automated retail trading in the United States by 2030.

Key Success Factors

Focus on measurable operational and commercial targets that secure growth, margin, and platform reliability.

• Reduce CAC from $150 to $120 via efficient digital marketing.
• Raise Trial-to-Paid conversion to 23% by 2030 to sustain revenue growth.
• Scale Institutional Alpha to 18% of sales mix for high-margin revenue.
• Ensure 24/7 uptime and low latency to retain sophisticated traders and funds.
• Achieve breakeven by May 2027 to secure financial sustainability.

Financial Summary

Brief: Financials show break-even in May-27, a 29-month investor payback, and an IRR of 8% with a maintained minimum cash reserve of $600,000.

Financial requirements: maintain a $600,000 minimum cash reserve (target month: May-27); investors can expect an IRR of 8%, a Return on Equity of 11.07%, and a 29-month payback period.

Outlook: the business reaches breakeven May-27 and scales to $6,032,000 EBITDA by 2030.

Funding Requirements

The company seeks $1.2M to launch, protect runway, and hire key talent while targeting $6,032,000 EBITDA by 2030, an 8% IRR, a 29‑month investor payback, and a conservative $600,000 cash reserve; revenue is driven by Pro Strategist ($199/mo) and Institutional Alpha ($999/mo) subscriptions.