MOBILE SPORTS BETTING BUSINESS PLAN
I. Executive Summary
Company Description
PeerPlay — named to reflect direct peer-to-peer wagering and social play — launched in 2026 as a U.S.-based, mobile-first entrant in the regulated sports betting sector. We operate a technology platform that connects bettors directly, letting users set odds and create custom wagers. Headquartered in San Francisco, the company runs a lean, scalable engineering and operations team to deliver a marketplace built on transparency, social engagement, and user empowerment. One-liner: we make betting social, transparent, and user-led.
The platform offers mobile app matchmaking, odds-creation tools, escrowed settlement, and community features that differentiate us from traditional sportsbooks. Core activities: platform development, compliance and payments integration, user acquisition, and community moderation. Target market: mobile-native U.S. adults 21–45 who value peer interaction over house odds. Short-term goals: launch MVP in Q4 2026, reach 50,000 users and $10M gross merchandise value in year one. Long-term goals: obtain approvals in 10 states by 2030, scale to 1M users and $200M annual GMV. One-liner: scale a regulated, social P2P betting marketplace from MVP to national leader.
Problem
Bettors face restricted returns, opaque lines, and no true peer-to-peer market. Traditional mobile sportsbooks set odds with a built-in margin (vig), producing one-sided lines, low engagement, and hidden price discovery.
Key unmet needs: reduced returns from high vig; low individual betting caps; concealed line-setting; limited social interaction; and lack of transparent price discovery. There is no widely adopted peer-to-peer alternative that delivers fair market pricing and social wagering for everyday bettors.
Launched in 2026, the company is a U.S.-based peer-to-peer mobile sports betting marketplace, headquartered in a major U.S. tech hub, built on transparency, social engagement, and user empowerment to address this gap.
Solution
The market problem is clear: centralized bookmakers extract the vig, impose rigid odds, limit winning users, and deliver low transparency and little social interaction. Our solution is a mobile peer-to-peer marketplace where sports fans create custom bets, set and accept odds, and wager directly with each other, removing the traditional bookmaker and restoring fairness and transparency.
Fans make and take bets directly, socially, and securely—no bookmaker required.
Mission Statement
Our mission is to democratize the sports betting experience by putting the power of the oddsmaker into the hands of fans, creating a transparent, social, and valuable wagering marketplace in the United States. We commit to fair, community-driven competition where innovation and clear information replace hidden house edges. We design every product and policy to protect customers, reward skill, and grow a trusted peer-to-peer betting ecosystem.
Key Success Factors
Critical operational and financial milestones that must be met to reach profitability and sustain marketplace liquidity.
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Hit 5-month breakeven in May 2026 to validate unit economics and cash plans.
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Maintain a liquid marketplace with balanced buyer-seller activity and low friction.
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Reduce Buyer CAC from $50 to $35 by 2030 to secure long-term profitability.
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Fund full regulatory oversight with a Compliance Officer at $110,000/year to ensure strict compliance.
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Grow High Roller segment and reach 15.0% Content Creator seller mix by 2030 to expand high-margin volume.
Financial Summary
Strong early profitability: Year 1 EBITDA $3,267,000 scaling to $96,460,000 by Year 5.
Ratio |
2026 |
2027 |
2028 |
Projected Revenue |
|
|
|
Projected EBITDA |
$3,267,000 |
$19,024,000 |
$43,496,000 |
Expected ROI |
IRR 0.21; ROE 249.34 |
IRR 0.21; ROE 249.34 |
IRR 0.21; ROE 249.34 |
Financial requirement: initial capital expenditure $955,000 and a funding gap to cover minimum cash of $462,000 (negative cash in May‑2026); payback 10 months and breakeven May‑26.
Outlook: high capital efficiency with rapid breakeven and strong multi‑year EBITDA growth.
Funding Requirements
The seed round of $6,932,000 funds startup and Year 1 costs and supports projected Year 1 EBITDA of $3,267,000, breakeven in May 2026 (month 5), a 10‑month payback, IRR 0.21, and ROE 249.34.
Categories |
Amount, USD |
Product Development (Platform initial) |
$500,000 |
Core Server Infrastructure |
$150,000 |
Security, Backup & Audit |
$80,000 |
Office Setup & Furnishings |
$40,000 |
Legal Entity, IP & Licensing |
$125,000 |
Branding & UI/UX Design |
$60,000 |
Marketing (Year 1) |
$4,500,000 |
Staffing / Year 1 wages |
$855,000 |
Working capital |
$462,000 |
Total funding required |
$6,932,000 |