Gift of College

Let's end student loan debt

Gift of College

Let's end student loan debt

Calabasas, CA
Financial Services
Nearly every American is touched by the high cost of higher education and crushing weight of student loan debt that results from not planning ahead for these costs. The Gift of College crowdfunding platform streamlines the process for friends, family, and employers to conveniently make contributions toward 529 college savings and student loan accounts to break the devastating cycle of multi-generational educational debt. By connecting gift-givers and receivers through a suite of carefully designed solutions, including gift cards (online and retail), and through an at-work solution, the burden can be eased for millions of Americans.

$101,456

raised
79
Investors
$24M
Valuation
$5.00
Price per Share
$250.00
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

$101,456

raised
79
Investors
$24M
Valuation
$5.00
Price per Share
$250.00
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

Bonus Rewards

Get rewarded for investing more into Gift of College

$250+
Investment
StartEngine Owner’s Bonus
This offering is eligible for the StartEngine Owner’s 10% Bonus program. For details on this program, please see the Offering Summary section below.
$500+
Investment
Tier 1
Invest $500 and receive a $25 Gift of College Gift Card.
$1,000+
Investment
Tier 2
Invest $1,000 and receive a $75 Gift of College Gift Card.
$2,500+
Investment
Tier 3
Invest $2,500 and receive a $100 Gift of College Gift Card.
$5,000+
Investment
Tier 4
Invest $5,000 and receive a $100 Gift of College Gift Card and 5% bonus shares.
$10,000+
Investment
Tier 5
Invest $10,000 and receive a $100 Gift of College Gift Card and 10% bonus shares.

Reasons to Invest

We’ve already helped eliminate $15 million in student loan debt and boosted college savings account balances by $10 million
43 million Americans have student loan debt, 60M children lack a 529 account, and tens of millions of potential gift givers have loved ones in these situations
Gift of College is a profitable company supported by a passionate team with years of experience helping families prepare for the cost of higher education

The Gift of College Breakthrough

At Gift of College, we’ve cracked the code on substantially reducing student loan debt by helping Americans with both debt paydown and saving for college by empowering individuals and families to include extended family members, friends, and employers into their education funding strategies.

Our products and services reach millions of consumers through 3 main channels:

  1. Retail
  2. Online resources
  3. Workplaces

We help each person we touch (whether a gift-giver, a gift receiver, an employer, or an employee) take a bite out of existing and future student loan debt. 

The Problem


$1.6 trillion in student loan debt is crushing Americans

Let’s start with a general picture of the student loan landscape and the lack of awareness of one of the most impactful strategies to avoid this debt-- 529 college savings plans. The most recent data indicates:

The Solution


We are attacking student loan debt from all angles

1.  A Workplace Revolution:

We have integrated with ADP, the largest payroll provider in the United States, as well as with other payroll platforms, to offer employers impactful solutions that assist with:

  • Gift Cards: We enable employers to offer Gift of College gift cards for rewards and recognition programs, new hires, new babies, and other milestones to save for college and pay down student loan debt.

  • Payroll Deduction:  Employers leverage our platform to offer payroll deduction to 529 college savings and student loan accounts, and some are contributing set amounts or matching employee contributions.

It’s a win-win for employers and employees!

2.  From Wall Street to Walmart

 

Our retail distribution channels extend from Walmart.com to Target, from Save Mart to H-E-B, and to other popular retailers across every corner of the U.S.

3. Online Crowdfunding and Gift Card Sales

 

Through our easy-to-use crowdfunding platform and through our sale of electronic and physical gift cards, we make it easy and simple for an aunt, uncle, grandparent, and employer to contribute to a student loan or 529 account for any occasion, or just because.

4. Shopping Rewards Platform

 

Through our shopping rewards platform, we make sure that everyday spending can result in earning rewards to pay down student loan debt or save in a 529 plan.

The Market


Nearly everyone needs this!

Our addressable market is sizeable in both the employer and individual channels:


  • Our partnership with ADP, the largest payroll provider in the world provides access to 1 in every 6 employees in the U.S.

  • 89% of employers do not offer 529 benefits and 96% of employers offer no student loan benefits yet over 43 million have outstanding student loans (Source)

  • 60 million children do not have 529 accounts, and among the 14 million children lucky enough to have 529 accounts, many still require additional contributions to make higher education economically feasible —the average 529 account balance only covers a fraction of the total cost of a degree (Source)



Our Traction


We are already making a huge impact … and we are only getting started

Our traction to date has been strong, and with the addition of the employer channel, is getting even stronger.

 

  • As of August 2020, we have seen 20,000+ crowdfunding platform users helping pay down over $15 million in student loans and save over $10 million in college savings accounts

  • We have generated more than $1.2 million in revenue in 2019, doubling since 2016. As a Software as a Service business, we have little to no ongoing costs. Our 2019 COGS were zero and 2019 expenses were $1,068,290.

  • Launched an integrated solution with the world’s largest payroll provider from whom one in six employees receives their paychecks

  • Nearly 25% of 529 state plans have found it valuable to use our brand, technologies, and gift cards to promote their 529 plans. 

And…we are just getting started!

What We Do


We eradicate student loan debt by increasing awareness and accessibility of 529 plans to avoid future debt and help those who have debt pay it down

 We do this by:

 

  • Providing the tools for users to alleviate their debt through the support of others
  • Giving those who want to save both the financial awareness and path to do so with 529 college savings and 529 ABLE plans
  • Giving loved ones the ability to easily lend a hand through direct contributions via our crowdfunding platform or through gift card purchases in retail or online
  • Our platform raises awareness of 529 plans and improves employee recruiting, retention, and engagement by encouraging employers to assist their employees in student loan contributions and savings

According to ISS Market Intelligence, employees who save for college through payroll deduction save 75% more than those who save for college through automatic contributions from their checking or savings accounts.

The Business Model


A Diverse Revenue Generation Model

Our multifaceted revenue model allows us to access both B2B and B2C markets, diversifying our business while maximizing reach and savings opportunities for our users.


  • Employers: Employers using our payroll deduction and optional employer match platform pay us $4.50 per month for each participating employee, or can buy gift cards in bulk and pay $3.50 per gift card on top of the face value

  • Retail: We receive revenue in the form of co-branding fees which vary based on retailer and number of store locations, as well as $12.50 from the 529 plan or its program manager for each new account funded with a co-branded card

  • Promotional Uses:  529 plan sponsors and other entities buy promotional-use gift cards from us in bulk and pay us a $4 fee on top of the face value

  • Our Platform: Gift Card Sales and Direct Contributions at GiftofCollege.com: Fees range from $3.95-$5.95 for gift cards and 5% (up to a maximum of $15) for online contributions

  • Licensing of Gift of College Crowdfunding Technology:  Other stakeholders provide us with additional revenue streams through SaaS licensing fees for custom integrations 


How We Are Different


Multi-faceted Approach

Our “Secret Sauce” is:

  1. We help users on the saving AND re-paying sides

  2. Our core focus is on raising awareness for the use of 529 plans

  3. We are subject matter experts who understand the cost and value of higher education, are product agnostic, and are not selling student loan refinancing or other services

  4. Our platform and gift cards work with 529A (ABLE) plans, which creates a large additional audience -- 8 million individuals with disabilities

  5. We are donating a percentage of our revenue to support disability organizations and children’s savings account programs that utilize 529 plans to uplift their constituents

The Vision


Expanding Our Employer Network and Bolstering Our Retail Offerings

Our core vision is to continue our current momentum helping Americans avoid student loan debt.  We will do this by:

  • Continuing to scale our At-Work solutions via distribution through more payroll partners and by expanding on our existing ADP relationship. Employers of every size in every part of the country should be offering one or more of our solutions

  • Advocating for federal tax legislation to support employers’ involvement in seeding and contributing to 529 plans

OUR LEADERSHIP


The Gift of College leadership team shares a common passion and vision for a future where higher education can be pursued by all Americans without a lifetime of crushing student loan debt to follow

It was the individual vision of Founder and CEO, Wayne Weber, that created Gift of College. It is Wayne’s ability to inspire and attract extremely talented peers to join the team that has subsequently helped him to lock arms with others to grow the company.  

 

A key hire, Patricia Roberts, Chief Operating Officer, brings to the team over 20 years of experience in helping tens of thousands of families prepare for the cost of higher education through her leadership in nearly every aspect of the 529 college savings arena.

Dr. Kristine Sickels, Chief Marketing Officer, is a marketing academic with a 20+ year career in consumer marketing.   

 

Rob Creaser, Chief Financial and Chief Compliance Officer, is an extremely experienced start-up and fintech compliance officer who has the depth of knowledge needed to create and support compliant products and services in highly regulated arenas.  For the past two years, Rob has worked for StartEngine Primary LLC, a registered broker-dealer, and FINRA/SIPC member. He currently is the Chief Compliance Officer of StartEngine Primary LLC. Regulation Crowdfunding (Reg CF) is a separately regulated business and is not part of StartEngine Primary LLC’s operations. StartEngine Primary LLC is a wholly owned subsidiary of StartEngine Crowdfunding Inc., which is also the parent company of StartEngine Capital LLC, the funding portal conducting this Regulation Crowdfunding Offering. StartEngine Primary LLC and StartEngine Capital LLC are sister companies. 

 

Jaime Casap, Strategic Advisor, was Google’s Chief Education Evangelist for over 14 years.  

Why Invest


Take a chunk out of student loan debt

The student loan crisis is one of the defining economic issues of our time, and as it continues to balloon it will only have a greater impact on the rest of the economy, and the financial lives of tens of millions of people.

This is an unprecedented opportunity to join a rewarding mission that happens to be profitable. It’s a chance to do well by doing good.

In the Press

Good Housekeeping

10 Best Gift Cards for When You Just Can't Decide

Forbes

Employers Boost Use Of Digital Tools To Stamp Out Student Debt

Inc.

Want to Pay Off Your (Crushing) Student Loan Debt in 2020?

MarketWatch

You can now give a student loan payment as a Christmas gift

Inc.

Looking for a Great Gift for a Millennial or Gen Z-er? This One Is Instant, Brilliant and Lifelong

CNBC

6 Gifts that actually pay off even after the holidays are over

Student Loan Hero

Gift of College’ Review: Ways to Boost Your Student Loan Payment

The New York Times

It’s Almost ‘529 Day’, and States Say Don’t Forget This College Savings Gift

MarketWatch

What to Buy the Parents In Your Life Who Are Saving and Paying For College

CNN

Pay It Forward: Creative Holiday Gifts Can Go Toward Education

Forbes

The Best Financial Holiday Gift For Your Child’s Education Planning

The Today Show

Student debt woes: What to do before your kid applies to college

CNBC

3 Ways To Get Other People To Pay Off Your Student Loans

ABC News

ABC7 News talks with Wayne Weber, CEO, Gift of College

Fox Business

Giving the gift of financial well-being at the holidays

Offering Summary


Company

:

Gift of College, Inc.

Corporate Address

:

24005 Ventura Boulevard, Calabasas, CA 91302

Offering Minimum

:

$10,000.00

Offering Maximum

:

$1,070,000.00

Minimum Investment Amount

(per investor)

:

$250.00











Terms


Offering Type

:

Equity

Security Name

:

Class A Common Voting

Minimum Number of Shares Offered

:

2,000

Maximum Number of Shares Offered

:

214,000

Price per Share

:

$5.00

Pre-Money Valuation

:

$24,000,000.00











Voting Rights of Securities Sold in this Offering

Voting Proxy.  Each Subscriber shall appoint the Chief Executive Officer of the Company (the “CEO”), or his or her successor, as the Subscriber’s true and lawful proxy and attorney, with the power to act alone and with full power of substitution, to, consistent with this instrument and on behalf of the Subscriber, (i) vote all Securities, (ii) give and receive notices and communications, (iii) execute any instrument or document that the CEO determines is necessary or appropriate in the exercise of its authority under this instrument, and (iv) take all actions necessary or appropriate in the judgment of the CEO for the accomplishment of the foregoing. The proxy and power granted by the Subscriber pursuant to this Section are coupled with an interest. Such proxy and power will be irrevocable. The proxy and power, so long as the Subscriber is an individual, will survive the death, incompetency and disability of the Subscriber and, so long as the Subscriber is an entity, will survive the merger or reorganization of the Subscriber or any other entity holding the Securities. However, the Proxy will terminate upon the closing of a firm-commitment underwritten public offering pursuant to an effective registration statement under the Securities Act of 1933 covering the offer and sale of Common Stock or the effectiveness of a registration statement under the Securities Exchange Act of 1934 covering the Common Stock.

*Maximum Number of Shares Offered subject to adjustment for bonus shares. See Bonus info below.

Investment Incentives and Bonuses*

Time-Based:

Friends and Family Early Birds

Invest within the first 48 hours and receive an additional 15% bonus shares.

Super Early Bird Bonus

Invest in the first 7 days and receive an additional 10% bonus shares.

Early Bird Bonus

Invest in the first 14 days and receive an additional 5% bonus shares.

Amount-Based:

$500 | Tier 1

Invest $500 and receive a $25 Gift of College Gift Card.

$1,000 | Tier 2

Invest $1,000 and receive a $75 Gift of College Gift Card.

$2,500 | Tier 3

Invest $2,500 and receive a $100 Gift of College Gift Card.

$5,000 | Tier 4

Invest $5,000 and receive a $100 Gift of College Gift Card and 5% bonus shares.

$10,000 | Tier 5

Invest $10,000 and receive a $100 Gift of College Gift Card and 10% bonus shares.

*All perks occur when the offering is completed.

The 10% Bonus for StartEngine Shareholders

Gift of College, Inc. will offer 10% additional bonus shares for all investments that are committed by investors that are eligible for the StartEngine Crowdfunding Inc. OWNer's bonus.

This means eligible StartEngine shareholders will receive a 10% bonus for any shares they purchase in this offering. For example, if you buy 100 shares of Class A Common Stock at $5.00 / share, you will receive 110 shares of Class A Common Stock, meaning you'll own 110 shares for $500. Fractional shares will not be distributed and share bonuses will be determined by rounding down to the nearest whole share.

This 10% Bonus is only valid during the investors eligibility period. Investors eligible for this bonus will also have priority if they are on a waitlist to invest and the company surpasses its maximum funding goal. They will have the first opportunity to invest should room in the offering become available if prior investments are cancelled or fail.

Investors will only receive a single bonus, which will be the highest bonus rate they are eligible for.

Irregular Use of Proceeds

We will not incur any irregular use of proceeds.

Show More
Most recent fiscal year-end:
Prior fiscal year-end:
Total Assets
$757,820.00 USD
$509,513.00 USD
Cash And Cash Equivalents
$639,099.00 USD
$467,115.00 USD
Accounts Receivable
$28,992.00 USD
$28,587.00 USD
Short Term Debt
$858,497.00 USD
$677,160.00 USD
Long Term Debt
$143,344.00 USD
$147,929.00 USD
Revenues And Sales
$1,197,709.00 USD
$1,054,718.00 USD
Costs Of Goods Sold
$0.00 USD
$0.00 USD
Taxes Paid
$0.00 USD
$0.00 USD
Net Income
$71,554.00 USD
$115,554.00 USD

Risks

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.


Updates

Press Release: Online 529 Education Gifting Programs Fulfill Families’ Ecommerce Needs for the Holidays

4 hours ago

This holiday season 529 Education Gifting Programs like GiftofCollege.com are meeting the needs of families and friends looking to ecommerce channels for holiday gifts from the comfort of their homes. Having grown in availability and popularity over the last several years, online gifting tools, crowdfunding platforms, and e-gift cards make higher education savings as convenient as online shopping for material gifts, according to members of the *College Savings Foundation.


We are proud to be featured by the College Savings Foundation: 

http://www.prweb.com/releases/online_529_education_gifting_programs_fulfill_families_ecommerce_needs_for_the_holidays_college_savings_foundation_says/prweb17554824.htm 


*The College Savings Foundation (CSF) is a Washington, D.C.- based not-for-profit organization helping American families achieve their education savings goals.

Partner Spotlight: Innovetive Petcare

6 days ago

Innovetive Petcare, a veterinary management company of 21 animal practices across six states gives its employees a sense of security towards their education.  Launching last March, every new mother and father employed by Innovetive Petcare receives a Gift of College gift card with an initial contribution to start their own 529 college savings plan.


“Innovetive Petcare wanted to partner with Gift of College to blaze the trail for other employers in the veterinary industry and create a movement to alleviate the student loan epidemic and lessen the emotional, professional, and financial stressors faced by veterinarians,” said Malia Rivera, Vice President of Innovetive Petcare. “By partnering with Gift of College, Innovetive Petcare employees can create automatic payroll deductions, they can easily pay down their student loans and contribute to their 529 college savings account.”




Notice of Material Change in Offering

7 days ago

[The following is an automated notice from the StartEngine team].

Hello! Recently, a change was made to the Gift of College offering. Here's an excerpt describing the specifics of the change:


Gift of College removed Dan Schatt as board member


When live offerings undergo changes like these on StartEngine, the SEC requires that certain investments be reconfirmed. If your investment requires reconfirmation, you will be contacted by StartEngine via email with further instructions.

Buy Gift Cards AND Pay Down Your Student Loans

13 days ago

Have you explored our new app, Cashback for College? 


Shop with Cashback for College and receive cashback to save or pay for college when you purchase gift cards at popular merchants like Walmart, CVS, Home Depot, Bed Bath & Beyond, Sephora, Foot Locker, and many more.


Earnings can be directed into any 529 college savings plan, student loan or 529 ABLE account via GiftofCollege.com.


“Our mission is to help families take control of their financial futures by making it easy to contribute to a college savings plan account or pay down student debt,” said Wayne Weber, CEO and founder, Gift of College. “Finding small and simple savings solutions that are already a part of everyday life can add up in a big way. When it comes to saving for college, every dollar counts.”


Available for both iOS and Android.

https://apps.apple.com/us/app/cashback-for-college/id1474130975

https://play.google.com/store/apps/details?id=com.riseapps.cardcash.giftofcollege&hl=en_US



Gift of College Helps Families Just Like the Limas

19 days ago

Gift of College believes everyone deserves an education and a future without student loan debt and that families don’t need to go it alone.  Since 2008 Gift of College has helped thousands of individuals just like you save millions for advanced education and pay down their student loan debt faster.  We are inspired by stories of how Gift of College has helped individuals and families plan for a better future.  


MEET THE LIMAS --- a family of 5 who started using Gift of College in 2014 when their first two children were little.  They’ve consistently received contributions from their family as gifts for holidays and other special occasions.  When planning birthday and other celebrations, they always remember to include the shareable GiftofCollege.com profile link in invitations.  Every year the kids receive almost $500 college savings contributions each from friends and extended family.


Gift of College is honored to help families just like the Limas, but they aren’t the only ones.  Each one of you has a story of determination to create a future without student loan debt.  It’s inspiring.


Hear what the Limas have to say about Gift of College:


Thank you for reviewing our company and for your questions. 




Forbes writes the best Christmas gift for children is the Gift of College!

22 days ago

Forbes featured us in a wonderful article this week --- What’s the Best Christmas Gift for Children and Their Parents – the Gift of College!

Did you know that contributions to a child’s 529 college savings plan will increase the likelihood that they will enroll in and graduate from college. It will also expand college choice and reduce debt at graduation.  

We won’t stop until we’ve eliminated the student loan crisis.  

Thank you for believing in our mission and to help us keep the momentum going, we encourage you to share our raise page with your network, friends, and family.  

https://www.startengine.com/gift-of-college 

Thank you,

-Wayne

COO launches her book Route 529: A Parent's Guide to Saving for College

about 1 month ago

Determined to continue to raise awareness of 529 plans to help families plan for the future and avoid student loan debt, Chief Operating Officer, Patricia Roberts, launched her book, Route 529: A Parent's Guide to Saving for College and Career Training with 529 Plans, on Amazon. With just over a week on the market, it's been ranked the #1 new release in 8 different categories relating to parenting, tax, money management, crowdfunding and education -- and it's getting great reviews. 


Gift of College Gift Cards Featured by Good Housekeeping

about 1 month ago

Hi Everyone, 

Thank you to all of our supporters who helped our campaign gain great momentum these first few days!   We invite all of our investors to stay involved with our progress and also share this opportunity with others who might be interested. 

In case you missed it --- the folks at GoodHousekeeping.com gave us their seal of approval by naming our Gift of College Gift Card one of the 10 Best Gift Cards.

 


 

 

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