Use of Funds
Updated: 2026-07-22, aligned to Rōvn master canon generation 8 (effective 2026-07-21). Status: Pre-launch. Zero paying customers and zero signed pilots as verified facts. Contracted revenue today is zero. Terms: Raise terms stay silent until counsel confirms the offering exemption. No cap or valuation is published here.
1. Financing sequence (plan of record)
The plan is milestone-based, not calendar-based.
- YC, if accepted, provides the standard $500,000 bridge through the batch and proof-building window. The YC Fall 2026 application was submitted on 2026-07-10; the remaining dependency is YC review, not submission.
- Lean through that window. Phase 0 burn is roughly $58K per month: three founders at ramen salaries plus a fractional CCCO, with vendor and cloud lines a rounding error against payroll. $500K buys roughly 8 to 9 months and reaches Demo Day with room.
- The fuller early team runs roughly $143K per month and is unlocked only by the post-Demo-Day round. Every hire is milestone-gated, never calendar-gated.
- The intended real round is a post-Demo-Day seed, currently modeled at roughly $5M, sized against actual proof, burn, and the NCQA-CVO certification path (an 18-to-24-month clock, started in Phase 0 precisely because it cannot be compressed later).
- If YC says no, the company raises an independent lean pre-seed against the same milestones.
- Amount, valuation, exemption, and final terms remain CEO, board, and counsel decisions.
2. What the capital funds
- Production trust and security.
- One repeatable paying pilot motion.
- Source and integration activation.
- Worker, Readiness, and Operator product depth.
- Implementation automation.
- Credentialing delegation and certification paths.
- Network density in a chosen segment.
- The data and evaluation program for specialist models.
3. The six checkable provables
The batch and pre-seed window exists to prove six things, each checkable yes or no:
- Close the P0 mint-bypass in production.
- Sign one delegation-capable partner.
- Land the founding CCCO.
- Land the first paying Readiness customer, with density rising in that cluster.
- Start the CVO clock from real pilot verifications.
- Hit the worker-liveness targets on the first deposited roster: at least 40 percent of deposited Passports claimed, and at least 25 percent of claimed Passports active in the trailing 90 days.
4. Hiring order (every seat milestone-gated)
| Seat | Gate that unlocks it |
|---|---|
| Founding CCCO (Chief Credentialing and Compliance Officer) | Fractional, equity-heavy advisor now; converts to founding executive as the post-Demo-Day round clears. Owns NCQA-CVO work, delegation, survey prep, and the compliance story. This seat is not sequenceable behind anything. |
| Implementation and customer-success lead | The first pilot signature. Turns one facility into repeatable onboarding and governed operations. |
| AI and agent engineer (under the CTO) | An operated-data backlog exists to train and evaluate against. |
| Trust, compliance, and security owner | Before any agent-initiated external contact ships; until then the COO and CCCO cover it. |
| A second closer | So the whole company is not one person. |
| Product-minded engineers and source operations | As milestones and money allow. |
| Data and ML specialists | When the specialist-model dataset and evaluation program are real. |
5. Spend discipline
People dominate the burn in both phases. Vendor, cloud, AI, and SaaS lines stay small against payroll, and primary-source fees pass through at cost. The capital is not spent on offices, generic brand agencies, conference sponsorships without pipeline, payroll or EOR builds, or features outside the proof path. The company earns each stage of the expansion sequence before marketing the next one.
6. What changed on this page
An earlier version of this page described a seed round opening on a specific November 2026 calendar with a dated Demo Day close. The current plan of record is the milestone sequence above: bridge first, proof second, and a post-Demo-Day seed sized against what is actually proven. Dollar-level allocations are finalized with the board against actual burn and traction at close.