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S H A R I N G E C O N O M Y

Lviv Freelance Forum - Роман Хміль "Стратегія розвитку маленьких та середніх ІТ компаній"

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S H A R I N G E C O N O M Y

Sharing Economy Segments of the sharing economy

AGGREGATORS, MARKETPLACES, TECHNOLOGY PROVIDERS

CONSISTENT SERVICE EXPERIENCE

ON-DEMAND SERVICES

RISING MOBILE ADOPTION

BETTER RESOURCE UTILIZATION

INCREASED BUSINESS DUE TO WIDER MARKET REACH

INSURANCE AND SECURITY OF ASSETS

SUPPLY

Sharing economy ecosystemSharing economy providers (aggregators, marketplaces, technology providers)

DEMAND

Drivers

Benefits

Challenges

ImpactImpact and benefits of the sharing economy

Sharing Economy originated from American squats of 70s

The concept exploded in US & Europe during 2008 crisis

A billion dollar industryCouple of years after there were hundreds of new startups in the industry

COMMUNITY CLUSTERING SHARING

CQ’s statement of company’s business goals and philosophiesOur Mission

To let companies focus on what they know best, by taking care of office space, operations and sales - and warp them to the stars.

Millennials are redefining the workforceEmpowered by technology, the rising generation has new needs and behaviors

TECH ENABLEDENTREPRENURIAL SHARING

COMMUNITY SOCIAL RESPONSIBILITY INSPIRING

IT formation in Ukraine is surging, and projected to accelerate further upWe follow the booming IT cluster

IT workforce, ppl

2020

2015

2013

2011

NUMBER OF TOTAL IT WORKFORCE IN UKRAINE

0 40,000 80,000 120,000 160,000

100,000+ developers in IT/tech in 2015 90,000 in 2014 (+20% growth)

27,000 developers work for Top 25 employers

73,000+ developers work for companies <400 employees

27 years

Median age Gender ratio

86,5% 13,5%

47%LIVE IN KYIV

Average salary by city

Kyiv

Lviv

Kharkiv

Dnepropetrovsk

Odessa

$0 $550 $1,100 $1,650 $2,200

According to

12 disruptive innovations at the same timeWe take over and consolidate operations for the booming IT outsourcing industry in Ukraine

2We disrupt SALES of IT outsourcing companies with our unique shared Sales/Lead Generation Engine

We build a network of Sales Partners across US and EU markets, serving as a match-making platform between clients looking for an IT outsourcing partner in Ukraine and our Members (IT outsourcing companies and/or freelancers), helping our Members to grow their business and speed up our own growth • Members must serve clients we generate utilizing our “managed infrastructure” service

• Members can also bring their own clients and outsource operations to Creative Quarter

• this makes demand for office space fully predictable and drive utilization up to 90%+

We disrupt OPERATIONS of existing companies with our unique Managed Infrastructure / Legal Entity offering

We offer small and mid-size companies to outsource their operations to Creative Quarter and focus on their core business: sales, marketing and delivery • we take over and manage the operational infrastructure “turn key” as a service

• we achieve lower operational costs and flexibility through “sharing economy” taking over the “idle space” overheads with our flexible “pay per seat” model

• we provide a wide range of value added services on top from payroll, recruiting, HR, IT, event management, travel and concierge, to building and operating captive legal entity

FOCUSBy outsourcing operations, you can focus operational cash and CPU of the executive management on your core business, while we will take care of the rest at a lower cost v.s. your current overheads.

TOP INDUSTRYPROFESSIONALS

Each operational function is managed by top industry professionals, which are attracted by professional challenge and CQ’s scale & complexity and would not be available for hire otherwise.

COMPARABLE OR BETTER

We operate at scale, which allows us to deliver mature and robust services at optimized costs, comparable or better than those of largest IT companies operating on UA market.

HUGE IT PLATFORM

Being part of the huge IT platform (we expect 15 000+ IT professionals in CQ by 2020), you can join our virtual vertical clusters, unite sales and marketing efforts, as well as delivery capabilities with other Members and as a result successfully compete for the large clients against much bigger competitors.

UNIQUEPROPOSAL

In case you want to create your own company, but challenged by complexity of Ukrainian legislature and relations with authorities, we will guide you through with our unique build-operate-transfer proposal, which helps you to set up the entity in Ukraine, which would be transferred to you over time or even on Day 1.

Key advantages of outsourced operationsFlexible, scalable and mature infrastructure allows you to focus on core business

40% - 45% TOTAL SAVINGS PER DESK

Value proposition in space & servicesIn addition to substantial convenience and network value, CQ offers meaningful financial savings compared to the alternative

SERVICES COST COMPARISON VS. SCALE OF 100 PEOPLE

$522

$250

Creative Quarter Company <100 ppl

SAVINGS

Operational Services 52.1%

$368

$35Office Expenses (Supplies, Maintenance, Cleaning, Internet, Telephony)

$15 Administrative Expenses (Lease Administration, Office Management)$250

$53

$250

$44Up-Front Costs (Design, Construction, Furniture, Legal)

$221

Idle Space Expense (avg. 20%)

Membership Fee / Rent & Utilities Expense

Creative Quarter Standard Office Lease

Space Cost per Employee

SPACE COST COMPARISON VS. STANDARD OFFICE LEASE

SAVINGS32.1%

$465

$300

Creative Quarter Company <100 ppl

SAVINGS35.5%

Additional Services

Creating a new ecosystem for work

SPACE COMMUNITY SERVICES

SPACE

COMMUNITY

SERVICES

Beautiful, functional, collaborative, high-energy workspaces; kitchens, event halls, lounges; All the basics: wifi, coffee, printers, supplies; no up-front hassle or long-term contract, no idle space with “pay per seat” model.

Connecting companies and creators, idea owners and doers; small business online marketplace; demos, panels, happy hours and getaways; education, inspiration, connections.

Simple, seamless, flexible, affordable; unique “managed infrastructure” experience; empowered by lead generation engine, helping our members to grow their business; back-office services; education & training; fully-integrated digital app.

Building huge and active communityWe will hosts hundreds of events including product demos, member panels, guest speakers, happy hours and summer camps

MEMBER PANELSWORKSHOPS PRODUCT DEMOS

GUEST SPEAKERS HAPPY HOURS SUMMER CAMPS

Inside of beautiful & collaborative worldBeautiful, functional, collaborative, high-energy workspaces, kitchens, event halls and lounge-zones

MEETING ROOMSGLASS BOXES OPEN SPACE

KITCHENS EVENT HALLS LOUNGES

2019 LVIV

KHARKIV

KYIV

Going globalWith a growing community and established brand in key gateway markets, Creative Quarter will distance itself from competition

ODESSA

DNIPRO

Q1 2017

2021

2019

2018

6 COUNTRIES

POLAND, СZECHIA, SLOVAKIA2020

2021 ROMANIA, HUNGARY

Beyond physical membership

Discover members: find collaborators, your next partners or friends

SUPPORTIVE COMMUNITYFind collaborators, mentors and support via app or live events

CURATED SERVICESCurated, low-cost services driving productivity, wellness, efficiency & growth

Quick and easy conference room booking

SPACE WHEN YOU NEED ITAccess to conference rooms & desks as you need and where you need them

The CQ Everywhere membership will be offering leverages CQ’s established platform of space, community and services

1 2Mitigating potential risks of “shared space”We are committed to manage risks and potential concerns of our members proactively

Risk: IP rights theft / informational security Solution: •Proper NDAs and informational security awareness trainings of the personnel

Risk: Headhunting between Member companies Solution: •$3k-$5k “buy out” fee per person within single CQ Unit unless there is a mutual consent between Members’ management

Risk: Loosing the “my own office” perception Solution: •We do customize dedicated space which can be branded and designed according to your corporate identity

Product companiesOutsourcing companies

Risk: Authorities attention / attacks Solution: •Publicity and high ranking profile of the project •Proper lobbying through industrial associations •Legal support from the leading law firms in town

Risk: Information security in shared meeting rooms Solution: •Proper NDAs and information security awareness trainings of the personnel

And there is always free wineWine can bring people together for networking and solving business challenges. Plus it tastes great, especially when celebrating a win.

Office Facilities

High Speed Internet Access Control & CCTV Global Reception Desk* Meeting & Conference Rooms**

Community & Event Management

Private Phone Booths for calls

Onsite Community Managers

Lemonade, Home Cookies and Sandwiches

Best coffee in town & free wine Standup meeting areas Cleaning Services Weekly Events

Facilities management* Games & Arcades Professional Printing & Scanning

Spacious, Unique Common Areas

Included across all packages, except *

Operational Services

Initial setup & relocations IT - user support HR - People

ManagementProcurement -

purchasing & supplies

Payroll - PE accounting and tax reporting Dedicated Reception Legal support Travel & Concierge

HR - Event Management HR - Resourcing Mail box, postal services Dedicated Phone number

Available on individual basis or discounted packages

Value Added Services

Daily Hot Desk Sales & marketing Recruiting Corporate accounting & tax reporting

Meeting & Conference Rooms Business development HR - trainings & career

developmentFinancial compliance

audits

Corporate event halls Client account management

IT - systems administration & support

Delivery Management & Supervision

Additional printing allotments

Engineering & business process сonsulting

IT - hosting, information security etc

Building & operating captive legal entity

Provided on demand for additional charge, depends on variety factors

Office Facilities Operational Services Managed Legal Entity

C R E A T I V E Q U A R T E R U N I T 1

Creative Quarter Unit 1 located on Protasov Business Park, Protasov Yar St., 2 - right in the heart of Kyiv’s IT-ecosystem, that will be surrounded by cafes, restaurants and activity hubs, next to Sport Life fitness club.

Creative Quarter Unit 1Creative Quarter Unit 1 located on Protasov Business Park, Protasov Yar St., 2

CQ UNIT 1 - HEART OF KYIV’S IT-ECOSYSTEM

Leadership & vision

Ilia Kenigshtein Co-founder Chief Creative Officer

Roman Khmil Co-founder Chief Executive Officer

Adviser to the Lviv City Mayor for Innovation and Investment Issues.

Past experience: •Co-Founder of zahav.ru, pokupon.ua, Mapped in Ukraine. •3G in Ukraine integrator.

Chairman of the Board at NGO “My Road”; venture partner at Vostok Ventures

Past experience: •Co-Founder and Managing Director of GlobalLogic Ukraine. •COO of Ciklum Group. •Co-Founder of BrainBasket Foundation.