Lupo.ai – Financials Overview

Building a successful business isn’t just about vision—it’s also about a sustainable financial model.

In fact,the IRS expects that if you start a business, you intend to make money at it. If you don’t, your business might be a hobby and you won’t be able to deduct expenses.

Sidenote: The IRS is the tax collection in the US, for those of my international connections.

At Lupo.ai, we’ve carefully designed our financial plan to ensure long-term growth, profitability, and scalability while factoring in the fact that we have not received funding.

We are 100% bootstrapped, which to be totally transparent, it is really really…did I say really hard?

Revenue Model Our primary revenue streams are two, first as an agency and second as a subscription-based SaaS platform.

  1. Lupo.ai Agency As agency, basically what we do is professional services. Just like a development shop, you tell us your objectives and show us what you have. Then we work together and based on scope, delivery time, and budget determine the next steps.

We treat it each training project in the same way as a software project.

And oh boy we delivery.

Being an agency is especially important at this stage in our company for two reasons. First of all, because we did not receive any funding. We are totally bootstrapped. We need cash to build software and get to our customers. This is important, because it is how we build.

But the second important part is that I designed Lupo based mostly on how Pluralsight, Cloudera, and in part Microsot create their training content, which is where I’ve done most of my work.

By being an agency, I get additional insight into how other companies build their training. This feedback is critical to enhance Lupo’s capabilities, which comes into play in the second part of our revenue model.

  1. Subscription-based Platform We offer subscription plans, which creates recurring revenue from tiered pricing plans, ensuring predictable and scalable income. We offer pay-As-You-Go through Microsoft (as we are a partner and listed in the Azure marketplace) for flexible pricing for users with occasional needs, providing an additional revenue layer.

Additionally, we offer monthly plans through our portal, or if you are an enterprise customer you can acquire our subscription through SHI.com.

We anticipate strong year-over-year growth, driven by:

  • Increasing demand for AI-driven training solutions.
  • Expansion into global markets with multilingual capabilities.
  • Upselling to existing customers as they scale their training programs.

Key Projections: Year 1: Focus on customer acquisition and platform adoption Year 2-3: Rapid scaling with global enterprise customers, aiming for 3x to 5x ARR growth.

Cost Structure Our lean approach minimizes operational costs while prioritizing scalability.

Why It’s a Winning Formula Lupo.ai’s financial model balances growth and sustainability, leveraging predictable revenue streams and a scalable cost structure. With strong unit economics and a clear path to profitability, we’re building not just a platform, but a lasting business that can make education accessible for everyone.