Own the Platform.First In.Best Terms.

Hybrid structure: 1.50x liquidation preference + 5.0% profit participation. Protected downside with uncapped upside.

From Hobby to Asset Class

$50B+

U.S. Short-Term Rental Market

The era of the "Airbnb host" is ending. Guests now demand hotel-grade consistency. Regulations require legal sophistication. Algorithms reward scale.

The market is professionalizing rapidly, leaving small operators behind.

Hostaway
$365M

General Atlantic — Largest STR tech investment ever. Valued at $1B (Unicorn).

AvantStay
$500M

Saluda Grade — Executing "Quiet Acquisitions" of regional managers nationwide.

Awayday
~16x EBITDA

Ares Management — 11,500+ units. Massive multiple for scaled platform assets.

"There is a league of short-term rental operators quietly reducing competition through consolidation... Most M&A conversations happen behind closed doors."

— Skift, January 2024

The Fragmentation Trap

Thousands of operators are stuck in the "Missing Middle" — too big to be lifestyle businesses, too small for institutional capital.

< 50 Units

The Hobbyist

  • • Low overhead
  • • Lifestyle income
  • • No enterprise value

Status: Safe but Small

50 - 200 Units

The Death Zone

  • • Complexity explodes
  • • Margins compress
  • • Founders burn out
  • • Too small for PE, too big to manage alone

Status: STUCK

500+ Units

The Platform

  • • Scaled systems
  • • 12x+ Multiples
  • • Institutional Demand

Status: The Goal

"Over 100 units, the wheels start falling off the bus... it's incredibly time consuming and difficult."

— Jon Oksenholt, Meredith Lodging

FRDM Collective

The First Institutional Platform Built By Operators, For Operators. Aggregating the Fragmented Middle into a Market-Leading Platform.

Proprietary Sourcing

We don't hunt for deals; we build them. Sourcing exclusively from the STR Secrets ecosystem of 600+ vetted operators.

Aligned Incentives

Operators roll equity into the HoldCo, aligning their wealth with the platform's exit. We turn competitors into partners.

Institutional Scale

Centralized operations, revenue management, and tech stack drive immediate margin expansion and multiple arbitrage.

The STR Secrets Feeder System

"We don't hunt for deals. We build them."

1

Attract

#1 Industry Podcast & Brand. We own the attention of the most serious operators in the space.

2

Train & Systematize

Our coaching creates the most systematic operators in the industry. They escape the "Death Zone" using our proven playbook.

3

Acquire

We acquire partners we've already trained and vetted. No integration risk — they already run on our OS.

Zero Integration Risk

STR Secrets creates world-class operators. Now we're taking them institutional.

Elite Coaching

Our coaching program creates the most systematic operators in the industry. They've already escaped the "Death Zone."

Proven Operating System

Standardized SOPs, tech stack, and financial controls. Operators join already running on our playbook.

Zero Integration Risk

Unlike traditional PE, we don't need to "fix" broken businesses. We aggregate operators who are already optimized.

Why Seed in FRDM?

3.58x

Target MOIC

On $5.0M investment

~35%

Target IRR

Over 4-year hold period

1st

Position in Waterfall

1.50x preference before anyone else

Hybrid: Preference + Participation

Seed investors get the best of both worlds: downside protection through a liquidation preference, plus upside participation in the profit pool.

1.50x Liquidation Preference

  • First money out at exit — before Series A, operators, and management
  • Target 1.50x return on investment ($7.5M on $5.0M)*
  • Downside protection in underperformance scenarios

5.0% Profit Participation

  • 5.0% of the profit pool (after preference) — uncapped upside
  • Participation kicks in after your 1.50x preference is paid
  • Aligned with portfolio success — you win when operators win

Target Returns Breakdown

Based on target portfolio exit of $216.0M enterprise value.

ComponentAmountNotes
Investment$5.0MSeed capital
1.50x Liquidation Preference$7.5MFirst out
5.0% Profit Participation$10.4MOf remaining pool
Total Return$17.9M3.58x MOIC

Investment

$5.0M

Total Return

$17.9M

MOIC

3.58x

Exit Multiple Sensitivity

See how different exit multiples affect returns across the waterfall. Our target is 12x, but we model scenarios from 9x to 14x.

Select Exit Multiple to Analyze

12x Exit Scenario

Enterprise Value

$216.0M

Seed Return

$17.9M

3.58x MOIC

Management Carry

25%

Straight line, no fees

Operator Pool

$148.6M

75% of profit pool

Target Scenario: At 12x, all target tier payouts are fully funded with a healthy Performance Bonus Pool.

Exit MultipleEnterprise ValueSeed MOICOperator PoolStatus
9x$162.0M3.04x$110.1M
10x$180.0M3.23x$122.9M
11x$198.0M3.40x$135.7M
12x(Target)$216.0M3.58x$148.6M
13x$234.0M3.77x$161.4M
14x$252.0M3.94x$174.2M

*All scenarios assume $18.0M net portfolio EBITDA at exit. Actual results will vary based on portfolio performance.

Conservative Assumptions. Asymmetric Upside.

Target Case

Exit Multiple12x+
Investor MOIC3.0x+
StatusBase Plan

Conservative Case

Exit Multiple10x
Investor MOIC2.5x
StatusDownside Protection

Hold Period

4 Years

Liquidation Preference

1.50x Floor

Organic Growth

12% YoY

Philosophy

Under-Promise

Fueling the Engine

$5.0M

Seed Round

HoldCo Operations

Building the central infrastructure: Executive leadership, legal, finance, and the proprietary tech stack.

Cash Acquisitions

Capital to execute "Buyout" path deals for retiring operators and strategic assets.

Working Capital

Integration costs, rebranding, and growth initiatives to scale acquired units immediately.

Join the Founding Circle

$5.0M

Class A1 Preferred Equity

Security

Pari-passu with Rollover

Preference

1.50x

Participation

5.0%

Target Return

3x - 4x+ MOIC

Minimum Investment

$100,000

Phase 1: Exclusive to STR Secrets Community

Questions for Seed Investors

Let's Build This Together

The First Institutional Platform for Operators. Request the full investor deck with detailed financials, operator pipeline, and legal structure.

Secure Your Allocation

Isaac Oswalt

[email protected]

www.frdmcollective.com

Important Disclaimer: *Target returns are illustrative and assume portfolio exit at 12x or higher. Past performance is not indicative of future results. The projections and scenarios presented are based on assumptions that may not materialize. Actual results may vary significantly based on portfolio performance, market conditions, and other factors. Nothing in this presentation constitutes a guarantee of returns. All target multiples and payouts are illustrative and subject to actual portfolio performance. If exit proceeds are insufficient to pay all target amounts, payouts may be reduced pro-rata. This is not an offer to sell securities. Securities may only be offered through a private placement memorandum.