Thread by @modestproposal1

Porch is going public via a SPAC, and I was intrigued. Vertical software to the home services industry sounds great.

But this is one of the most deceptive presentations I've ever seen, and the SEC should absolutely take a look.

This slide is insane:
"Recurring" vs "Reoccurring"

With the punchline out of the way, let's look at the whole presentation.

"Vertical software platform for the home". Sounds great!

Hmm, the first sign something may be up.

"Vertical Software Platform Reoccurring B2B2c Transaction Revenue"

Do you like SAAS? Do you like Marketplace? What if both!

"The companies pay either typical SAAS fees or by enrolling in Porch's innovative Customer Access pricing model"

Translation: they give away their software in exchange for customer data that they sell

This is another slide that should absolutely get SEC attention

Annual Net Revenue Retention: 134%*

* "calculated with inspectors who pay for the software by providing access to their customers"

They take a SAAS metric and apply it to customers who literally do not pay them

"Companies provide Porch uniquely vast access to homebuyers"

Porch trades free software, for access to homebuyers, who are unaware that they are going to have their data sold on

Porch is Vertical Software company that has 11% of their revenue coming from software

23% of their revenue comes from "Reoccurring and Non-Reoccurring Transaction Fees"

So, anyway, Porch does not appear to be a vertical software company addressing the homeservices industry. It looks like a deceptive lead gen company selling personal information from unaware homebuyers to Service Providers

sec.gov/Archives/edgar…