X-CELERATING RETAIL AND CONSUMER GOODS INNOVATIONNew York/San FranciscoOverview Prospectus

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Mission + VisionOverviewEntrepreneursFounding Sponsors/PartnersEquity PartnersMember SponsorsThemesCurriculumApplicantsGetting Involved

Table o f Con ten ts

Our VisionTo be the preeminent place where innovation happens to solve the biggest challenges and unlock the next generation of opportunities, facing the retail and consumer goods industries.

Our MissionBring together an ecosystem of entrepreneurs, venture capitalists, and industry leaders to deliver positive business impact to the retail and consumer goods industries by accelerating ideation and innovation via emerging technologies, products and processes.

Mission + Vis ion0 1

O verview

WhatXRC Labs is an ” Innovat ion Accelerator” invest ing to drive rapid innovat ion in the reta il and consumer goods Industries, leveraging emerging technologiesregardless of startup size.

WhyXRC Labs focuses its investments on challenges and opportunit ies specific to reta il and consumer goods companies, insuring that these important industries and their re lated ecosystems stay current with, and benefit from, innovat ion with emerging technologies.

HowSimilar to other accelerator models, XRC will invest in entrepreneurs and startup companies to help them accelerate the development of their ideas/solut ions. Unlike other accelerators, XRC is stage-agnostic. Startups often have to be much larger than seed-stage companies to work with most retailers.A governance body made up of member companies will se lect the themes and part ic ipants, and operat ionalize the innovat ion experience.

WhoXRC Labs will play four main roles: 1. Entrepreneurs will

receive capita l investment and resources in exchange for equity

2. Founding Sponsors will invest capital and other resources in exchange for equity

3. Equity Partners will invest capital in exchange for equity

4. Member Sponsors will invest capital and other resources tooperat ionalize XRC in exchange for access and part ic ipation

WhenXRC Labs plans to conduct two ten week sessions annually. The init ia l sessionis scheduled to launch October 13, 2015. The operat ional startup and request for proposals will begin in July 2015.Innovat ion workspace will be in NYC.

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En trepren eu rs

Entrepreneurs provide:

InnovationEquity

Entrepreneurs receive:

Capital investmentFacilit iesMentorship/EducationAccess to investment communityAccess to potential customersBusiness services

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Fou n ding Sponsors

Provide:Organizat ionGovernanceVenture capitalOperat ing capita lMentors/Education/ExpertiseFacilit iesTechnology/EquipmentMarket ingPart ic ipant recruit ing/SelectionLegal servicesBusiness services

Receive:Industry leadership Branding/PRAccessPart ic ipation

Founding Sponsors/Par tners

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Founding Sponsors+Equity Capita lFunds+Strategic Equity Funds

Equity Par tners provide:Investment capital

Equity Par tners receive:Equity participation via XRC Venture Fund w/o managent feesEarly stage equity opportunitiesVisibility/access to future investment opportunitiesVisibility to industry challenges/opportunities

Equ ity Partn ers0 5

Mem ber Spon sorships0 6

Customer experiencePath-to-purchaseLoyaltySupply chain executionMobileSocialGeolocation

Omnichannel

Consumer insightsConsumer sentimentVisualization/DashboardsInternet of things (IOT)Consumer behaviorVideo analyticsOptimization

Data Science

3D Printing3D Manufacturing3D DesignCrowdsourcingPersonalizationResponsive Supply Chain

Product Development

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Fall 2015 Curriculum

Technical Hiring & Early CultureCustomer Acquisition MethodologiesProduct/Market FitCompany PR409a Valuation & CompensationRaising Your First RoundCloud ComputingInvestor Communication BasicsLegal PitfallsGood Accounting PracticesBanking & Venture DebtPitch Perfect

Be a Great BrandBe a Great Company Be a Great Reta i ler

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Overview & Underlying EconomicsBrand BuildingProduct Development PhasingLeveraging 3D PrintingTotal UX DesignAttracting Early CustomersIterating Your ProductGlobal Sourcing & LogisticsE-Commerce Best PracticesSelling to Retail Strategies

Direct Retail or B2B ModelRetail Economics & KPIsSelling to RetailOptimizing with Data AnalyticsRole of Visual MerchandisingMaster Merchandising & PlanningDistribution, Logistics & Replenishment ManagementRetail Business Modeling Omnichannel Path to Purchase

Fall 2015 Applicants (sample)

Retail TechnologiesInventory model prediction platformReal t ime consumer insights and prediction platformCommission based social taggingPerson to person messaging app for sales

FashionWater-repellent, stain-resistant fabrics Patented process for spider silk productionMilitary inspired apparel with combined with modern design and functionality.Classic clothing for the athlete by ensuring fit, not big and tallPatented reversible bikinisPremium men’s grooming brand

E-Commerce/AnalyticsDisruptive social commerce platform that aggregates and promotes within e-commerceNative e-commerce enablement

High end marketplace for buying and consigning designer productsCoupon to credit card linkable platformAI driven recommendation engine

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3D PrintingHeadphonesCaféToys

On-demand TechOn-demand clothing alterationsOn-demand workforce for retail

Fall 2015 Cohort Applicants

Thiel Fellow 2015, serial entrepreneur(previous company acquired at

age 19, invested by Richard Branson)

TechCrunch Disrupt winner with company valued at $10mn

Card Linked financial services platform Alum companies from Harvard I-Lab, eBay for Friends

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Design-focused company founded by Parsons graduates

Graduates of Wharton, Harvard, and Columbia

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Fou n ding Sponsors0 4

XRC Labs Timing / Calendar 2015-2016

X Oct 13 2015Cohort 1

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XRC Cohort Kickoff

Cohort 2

XRC Classes Commence

XRC Demo Day

Oct 14 2015

Jan 14 2016 June 16 2016

April 11, 2016

April 12, 2016

G ettin g I n vo lved

Equity Par tnership/Venture Fund

Pano AnthosManaging Director, XRC 508-641-6570pano@xrclabs.com

Member Sponsorships

Paul SchottmillerPartner, Kurt Salmon215-272-7656paul.schottmiller@kurtsalmon.compaul@xrclabs.com

Executive Sponsor

Al SambarManaging Director, Kurt Salmon609-841-8513al.sambar@kurtsalmon.com

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