Sparo

Purchase with a Purpose®

Sparo

Purchase with a Purpose®

Mclean, VA
Software & Services
Sparo provides an innovative and accessible solution for retailers everywhere to attract customers, build brand loyalty, and increase sales. With a seamless ecommerce platform, shoppers select the cause they care about for the merchant to donate a portion of the sale. Sparo is looking to revolutionize corporate social responsibility and empower the world to Purchase with a Purpose®. Sparo is currently pre-revenue.

$2,093

raised
3
Investors
$17.7M
Valuation
$8.06
Price per Share
$249.86
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

$2,093

raised
3
Investors
$17.7M
Valuation
$8.06
Price per Share
$249.86
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

Stack Owner's Bonus & Rewards!

Members get an extra 10% shares in addition to rewards below!

Rewards

Get rewarded for investing more into Sparo:

$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 | $500+
Invest $500+ and receive special crowdfunding investor swag & opportunities to participate in user and beta testing programs.
$1,000+
Investment
Tier 2 | $1,000+
Invest $1,000+ and receive special crowdfunding investor swag, a call out on the Sparo website/social media & a portrait drawn from a photograph by young artist Ava Z.
$5,000+
Investment
Tier 3 | $5,000+
Invest $5,000+ and we will promote the charity of your choice on our website & social media & invite you to live talks with the team behind the creation of low carbon AI & with the female inventors of the world's most Green batteries.
$10,000+
Investment
Tier 4 | $10,000+
Invest $10,000+ and we will create special early-bird priority access for your store to partner with the Sparo platform, & the option to participate in the Sparo beta program.
$20,000+
Investment
Tier 5 | $20,000+
Invest $20,000+ and we will offer an in-depth profile of your favorite charity, a custom fundraising campaign to Sparo contacts, social media posts, a press release, & outreach to journalists.
$50,000+
Investment
Tier 6 | $50,000+
Invest $50,000+ and receive 5% bonus shares, plus an invitation to join an elite Sparo investor community with meetups at events like NRF & ShopTalk to meet.
$100,000+
Investment
Tier 7 | $100,000+
Invest $100,000+ and receive 10% bonus shares, a podcast episode interview with Sparo’s CEO Rob Sobhani regarding your interest in Sparo & your philanthropic desires, a podcast episode about your preferred charity, & a lunch with Rob.
$250,000+
Investment
Tier 8 | $250,000+
Invest $250,000+ and we will invite you to join us to take a special tour of the Lucid Motors EV Plant in Arizona, & we will also partake in a trip to India to meet the great women of Sudara.
$500,000+
Investment
Tier 9 | $500,000+
Invest $500,000+ and we will invite you to participate in a private tour as we visit Azerbaijan & walk in the footsteps of Marco Polo - The Old Silk Road with special local guides & the opportunity to meet with surprise hosts.

Reasons to Invest

Sparo is a Microsoft for Startups company, and was highlighted as one of the only Microsoft Partners with a CSR focus, which played a critical role in the Microsoft Cloud for Retail product launch. Sparo is now publicly available in the Microsoft Application Store with an incentivized offer to the internal Microsoft sales teams as a Co-Sell opportunity.
Research shows that corporate giving and cause marketing still hold an undeniable weight in purchasing decisions. For younger generations, such as Millennials and Gen Z, it’s increasingly important that companies they patronize support values aligned with their own.*
Sparo has completed highly successful pilot programs with brands including Staples® and Citron; during the Staples® 20-day pilot program, an additional $2.5M in sales were generated through the Sparo plugin, while sales increased by 20% in the first month of partnership with Citron.

*Information provided by Cone Communications & 5W Public Relations (source, source)

Empowering shoppers to do good easily

Corporations can no longer sit quietly on their laurels. Customers expect them not only to speak up, but also to demonstrate their values with concrete actions.



Many merchants offer a donation option at checkout, however, the charity is predetermined and the customer foots the donation. Sparo is flipping the script, allowing the shopper to choose the cause they’d like the store to support with the merchant making the donation on the shopper’s behalf. This means that each shopper helps the cause that matters most to them—at no cost—whether that is saving forests or giving towards the medical costs of providing a dying child a new heart.


Sparo compiles the results of the donations as “Impact Stories” which companies can share with their customers, celebrating how donated funds—fueled by purchases—have made a difference. 



As one of the only Microsoft Partners with a CSR focus, Microsoft views Sparo as a critical player in enabling social impact into business flow. Sparo has already run several highly successful pilots with corporations such as Staples, which translated to millions in additional sales.


Sparo’s goal is to democratize corporate charitable giving so that donating to charity is accessible for everyone and beneficial to those in need. We believe it’s time that consumers are able to Purchase with a Purpose®, and ensure that the merchants they choose to shop with are supporting causes they care about.


Sparo is currently pre-revenue.

The Problem


Consumers expect more from corporations

Corporate giving is out of date. There is a growing demand among consumers for greater demonstrations of social responsibility from corporations, and despite rapid digital advances, approaches to corporate giving have barely changed.


Large corporations and small businesses donate to charity regularly, but rarely ever take into consideration the causes their shoppers care about. Consumers (especially millennials and younger) say they want to contribute to companies that share their values. They also can easily see when a business is not genuine in its social, environmental and other practices. And when the business does want to align with customer values, there has been no clear way for companies to know which charities their customers want to support as an expression of these values. Additionally, many companies still don’t know how to get involved in the first place, while shoppers who are keen to support critical causes lack the resources to do so on their own. 


Pressing global issues are in desperate need of support and are shining a brighter light on public desire to support critical causes than ever before. We believe there’s an untapped opportunity for companies to make a meaningful difference while building stronger brand loyalty with their shoppers.


The Solution


Build brand loyalty by supporting the causes customers care about

At Sparo, we’re looking to overhaul and upgrade the outdated landscape of corporate giving by making charitable donations more streamlined, customized, and accessible. In doing so, our service will provide a powerful triple bottom line. Companies boost their ESG (Enterprise for Social Good scorecard rating) and reputation while supporting meaningful causes, acquire new customers, build stronger brand loyalty, and increase sales and profit—all while becoming more user-friendly.



We believe shoppers are more likely to return knowing that a portion of their purchases—at no cost to them—will go to a cause that matters to them. Seeing that impact is valuable, which is why Sparo compiles the outcomes from the charities donated to, providing companies with “Impact Stories” which they can share with their customers to celebrate exactly how their purchase made a difference. Functionality for Sparo's "Impact Stories" is planned to become available in late June 2022.


With the meteoric rise in eCommerce, now is an excellent time to introduce online shoppers to the Sparo eCommerce platform, which integrates seamlessly into any eCommerce website.


*Functionality for Sparo's "Impact Stories" is planned to become available in late June 2022.


When a customer is browsing products, they’ll see the option to designate a percentage of their sale to a charity—at no cost to them—and can then choose from hundreds of vetted nonprofits via a searchable directory. The retailer chooses the percentage of each sale for donation, and how it’s being funded (e.g. marketing budget, ESG funds, etc). All purchases are eligible for donation, and both donations and fees are tax deductible.


Sparo also allows merchants to customize the platform so that it matches their site, and they can also decide where to activate the “donate” option in the shopping or checkout journey. Plus, we’ll assist clients in featuring key charities in the midst of a national or global crises.

The Market


An untapped niche within a burgeoning market space

Sparo has found a unique niche and USP within a rapidly growing industry. The global Corporate Social Responsibility (CSR) Software Market was valued at over $673M in 2020 and is projected to reach USD $1.3B by 2027, at a CAGR of 8.34% from 2021 to 2027 (source).


(source)


Demand for sustainable corporate giving initiatives from big brands is reaching new highs, with Gen Z and Millennial shoppers in particular holding brands accountable for their actions, impact, and values. As these younger generations gain greater economic power and social influence, corporations must pay attention and respond with more than surface-level statements. Brands must provide authentic connections with consumers and back up their words with meaningful actions. (sourcesource)


(sourcesource)


Our initial core audience will be enterprise businesses, whose accounts will drive enough revenue for these charitable efforts to be justified in our early stages. Later on, Sparo plans to develop a business model designed for smaller organizations, where for a monthly fee and a portion of proceeds, they can also take advantage of a toolkit to assist with marketing.

Our Traction


Successful pilot programs driving millions in additional sales

Sparo has experienced enthusiastic uptake and outstanding results in a short period of time. We’ve already completed pilot programs with brands including Staples® and Citron, and we’re now publicly available in the Microsoft Application Store with an incentivized offer to the internal Microsoft sales teams as a Co-Sell opportunity. Sparo was selected as one of the only Microsoft for Startups companies to represent the program at the 2022 National Retail Federation conference (sourcesource).



In our case study with Citron, an L.A.-based retailer, sales increased by 20% in the first month of partnership. In October 2021, we were selected by the Government of Curacao to be the CSR partner for their online shopping portal. In the same month, we launched Vote4Good® with the Sparo WordPress platform as a demonstration of the alignment of charitable gaming and democratized philanthropy.


We’re actively talking with a number of big brands in addition to potential investors. Sparo is planning to put the funds raised from our StartEngine offering towards hiring and business development, legal, technology and operations, sales, and marketing.

Why Invest


An opportunity to make a life-changing impact, right at checkout

Sparo’s service aligns with today’s customers who are looking for corporations to share their values and demonstrate care and responsibility beyond their bottom line. 


By democratizing corporate social giving and supporting personally meaningful causes with every purchase, Sparo is looking to bring companies and shoppers together.



We’ve already seen the life-changing impact Sparo can achieve, and from here, there’s a whole world of possibilities for expanding that impact, including a mobile app, Sparo credit card, sweepstakes, and point-of-sale donations at brick-and-mortar stores slated to be accomplished by Q4 2022.


This is an opportunity to support a fast-growing startup that’s creating incredible good in the world. We hope that you agree, and join us on this journey.

In the Press

Microsoft Customer Story Blog

Corporate social responsibility for retail: A new spending habit

The Daily Record

Potomac’s Sparo selected as CSR partner of Rockville’s NeuroCytonix

Fintech, Retail & Materials EXPO

CEO Rob Sobhani discussing how Sparo and its merchant plugin builds loyalty and increases sales.

Offering Summary


Company

:

Sparo.IO Corporation

Corporate Address

:

1102 Shipman lane, Mclean, VA 22101-2137

Offering Minimum

:

$9,994.40

Offering Maximum

:

$1,069,997.24

Minimum Investment Amount

(per investor)

:

$249.86











Terms


Offering Type

:

Equity

Security Name

:

Class B non-voting stock

Minimum Number of Shares Offered

:

1,240

Maximum Number of Shares Offered

:

132,754

Price per Share

:

$8.06

Pre-Money Valuation

:

$17,693,000.00











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

Investment Incentives and Bonuses*

Time-Based Investment Incentives

Friends and Family Early Birds

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

Super Early Bird

Invest within the first week and receive 10% bonus shares.

Early Bird

Invest within the first two weeks and receive 5% bonus shares.

Amount-Based Investment Incentives

Tier 1 | $500+

Invest $500+ and receive special crowdfunding investor swag & opportunities to participate in user and beta testing programs.

Tier 2 | $1,000+

Invest $1,000+ and receive special crowdfunding investor swag, a call out on the Sparo website/social media & a portrait drawn from a photograph by young artist Ava Z.

Tier 3 | $5,000+

Invest $5,000+ and we will promote the charity of your choice on our website & social media & invite you to live talks with the team behind the creation of low carbon AI & with the female inventors of the world's most Green batteries. 

Tier 4 | $10,000+

Invest $10,000+ and we will create special early-bird priority access for your store to partner with the Sparo platform, & the option to participate in the Sparo beta program.

Tier 5 | $20,000+

Invest $20,000+ and we will offer an in-depth profile of your favorite charity, a custom fundraising campaign to Sparo contacts, social media posts, a press release, & outreach to journalists.

Tier 6 | $50,000+

Invest $50,000+ and receive 5% bonus shares, plus an invitation to join an elite Sparo investor community with meetups at events like NRF & ShopTalk to meet.

Tier 7 | $100,000+

Invest $100,000+ and receive 10% bonus shares, a podcast episode interview with Sparo’s CEO Rob Sobhani regarding your interest in Sparo & your philanthropic desires, a podcast episode about your preferred charity, & a lunch with Rob.

Tier 8 | $250,000+

Invest $250,000+ and we will invite you to join us to take a special tour of the Lucid Motors EV Plant in Arizona, & we will also partake in a trip to India to meet the great women of Sudara.

Tier 9 | $500,000+

Invest $500,000+ and we will invite you to participate in a private tour as we visit Azerbaijan & walk in the footsteps of Marco Polo - The Old Silk Road with special local guides & the opportunity to meet with surprise hosts. 

*All perks occur when the offering is completed.

The 10% StartEngine Owners' Bonus

Sparo.IO Corporation 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 B Common Stock at $8.06 / share, you will receive 110 Class B Common Stock shares, meaning you'll own 110 shares for $806. 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 investor's 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 canceled or fail.

Investors will receive the highest single bonus they are eligible for among the bonuses based on the amount invested and time of offering elapsed (if any). Eligible investors will also receive the Owner’s Bonus in addition to the aforementioned bonus.

Insider Investment Notice

Officers, directors, executives, and existing owners with a controlling stake in the Company (or their immediate family members) may make investments in this offering. Any such investments will be included in the raised amount reflected on the campaign page.

The Company will not incur any irregular use of proceeds.


Show More
Most recent fiscal year-end:
Prior fiscal year-end:
Total Assets
$837,332.00 USD
$373,682.00 USD
Cash And Cash Equivalents
$294,761.00 USD
$4,913.00 USD
Accounts Receivable
$0.00 USD
$0.00 USD
Short Term Debt
$2,960,719.00 USD
$2,104,921.00 USD
Long Term Debt
$120,737.00 USD
$250,000.00 USD
Revenues And Sales
$0.00 USD
$0.00 USD
Costs Of Goods Sold
$0.00 USD
$0.00 USD
Taxes Paid
$0.00 USD
$0.00 USD
Net Income
-$262,884.00 USD
-$144,948.00 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.


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