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INVESTOR PRESENTATION AUGUST 2019 1 The Family Zone ecosystem is unique in providing a complete end-to-end solution for schools in terms of duty of care and educational outcomes, with the addition of community engagement and support. Yugon Chobanoff IT Director, John XXIII College Family Zone Cyber Safety Ltd (ASX: FZO) For personal use only

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Page 1: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

INVESTOR PRESENTATIONAUGUST 2019

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The Family Zone ecosystem is unique in providing a complete end-to-end solution for schools in terms of duty of care and educational outcomes, with the addition of community engagement and support.

Yugon ChobanoffIT Director, John XXIII College

Family Zone Cyber Safety Ltd(ASX: FZO)

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Page 2: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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DISCLAIMERStatements and material contained in this Presentation, particularly those regarding possible or assumed future performance or potential growth of the

Company, industry growth or other trend projections are, or may be, forward looking statements. Such statements relate to future events and expectations and, as such, involve known and unknown risks and uncertainties. The information contained in this presentation is for informational purposes only and does not constitute an offer to issue, or arrange to issue, securities or other financial products. The information contained in this presentation is not investment or financial product advice and is not intended to be used as the basis for making an investment decision. The presentation has been prepared without taking into account the investment objectives, financial situation or particular needs of any particular person. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this presentation. To the maximum extent permitted by law none of the Company, its directors, employees or agents, nor any other person accepts any liability, including, without limitation, any liability arising out of fault of negligence, for any loss arising from the use of the information contained in this presentation. In particular, no representation or warranty, express or implied is given as to the accuracy, completeness or correctness, likelihood of achievement or reasonableness or any forecasts, prospects or returns contained in this presentation nor is any obligation assumed to update such information. Such forecasts, prospects or returns are by their nature subject to significant uncertainties and contingencies. Before making an investment decision, you should consider, with or without the assistance of a financial adviser, whether an investment is appropriate in light of your particular investment needs, objectives and financial circumstances.

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Page 3: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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SOCIAL IMPACT

Keeping children safe, protecting their mental health

and supporting education.

PATENTED INNOVATION

Technical IP and innovative model aimed at creating cyber

safe communities.

$100B OPENMARKET

Estimated $100B untapped, global cyber safety markets in

education and consumer.

GLOBALLYSCALABLE

Rapid deployment into schools & telcos, accesses

parents for upsell.

FAST GROWING

SCHOOL FOOTPRINT

AT A GLANCE

FAST GROWING

RECURRING REVENUEFAST GROWING

PAYING SUBSCRIBERS

As at June 30, 2019

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Page 4: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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>600K USERS

>900SCHOOLS

10 TELCOS

8COUNTRIES

458 USA SCHOOLS

9 UK SCHOOLS

438 ANZ SCHOOLS

AT A GLANCE

As at July 31, 2019

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Page 5: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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Starts accessing the internet

Gets their first personal device

Views their first ‘adult’ content

Spends 4-6 hrs per day online

AGE 4 AGE 6 AGE 8 AGE 12 AGE 16AGE 10

Gets their first mobile phone

THE AVERAGE CHILD IN 2019

by the age of 16 almost all children are regularly exposed to

cyber bullying, pornography, sexting and gambling

THE PROBLEMF

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Page 6: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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THE PROBLEM

Internet related disorders are the

fastest growing mental health issues in history

In Asia, 26% of adolescents display symptoms of internet & gaming addiction.

Youth self esteem has fallen every year since 2012 - the launch of the smartphone.

Technology use is having a negative impact on: ⇨ Cognitive function ⇨ Mental health ⇨ Learning outcomes

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Page 7: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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87%

of teens have been exposed

CYBERBULLYING

6hrs

on social media & gaming per day

TIME ONLINE

75%

of teens get insufficient & disrupted sleep

POOR SLEEP

93%

of teen boys & 63% of girls access regularly

PORNOGRAPHY

THE PROBLEM

Parents are concerned however they’re

overwhelmed, outsmarted and time poor

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Page 8: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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Seniors

Juniors

Children

Kids

SOCIAL MEDIA USE AT SCHOOL

THE PROBLEM

Schools have a legal duty of care however

mobility is creating distractions and risks

30%

of students are being distracted at anytime

OFF TASK

35%

of students use VPNs to bypass school policy

OFF GRID

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Page 9: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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AT SCHOOL WHEN MOBILE AT HOME

Technology for school networks and classrooms

Technology to control all devices used by children

Technology to manage home networks and parental controls

THE SOLUTION

World first & Patented!

a common platform across all networks and all devices

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Page 10: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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COMMUNITY EXPERTS TELCOS & ODMS

Family Zone’s platform allows schools to run cyber safety

programs across the entire parent community

Family Zone Cyber Expert Program allows experts to build

consulting and education services around the platform

Family Zone’s Partner Program allows telcos and device

manufacturers to integrate cyber safety into their offerings

THE SOLUTION

A platform approach..

creates a collaborative ecosystem

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Page 11: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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Family Zone’s world-first ecosystem approach leverages schools, telcos and devices to

create this opportunity.

Estimated there is <4% take-up of parental controls globally.

✓ Incomplete / localised products

✓ Incompatibility with school needs

✓ Lack of interoperability

✓ Awareness only now taking hold

THE OPPORTUNITY

Parents controls is currently ~ $2.5B/a

$100B Untapped Global Opportunity

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Page 12: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

SUBSCRIPTION INCOME

SUBSCRIPTION INCOME

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THE BUSINESS MODEL

DIRECT & RETAILMarketing to parents through

direct and online channels.

SCHOOLSSign up for “Student Licenses” and

deploy in school networks.

TELCOS & ODMsAccess best practice cyber

safety offerings.

INSTALLATIONSSchools, Telcos and ODMs promote or preload Family Zone onto children’s

devices. Schools ensure off-network compliance.

PREMIUM PARENTAL CONTROLSParents upgrade to premium enforcement options. Services are paid by the parent or school.

Where applicable revenue is shared with the telco partners.

FREE INSIGHTS FOR PARENTSSchools, telcos & ODMS introduce Family Zone to parents.

Parents receive free reports, alerts, cyber safety expert advice and education.

CHANNELS

ACTIVATION

UPGRADE

ENGAGEMENT

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Page 13: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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SCHOOL SOLUTION

SCHOOL MANAGER

Manage student activity at network administration

MOBILE ZONE AGENTS

Manage off-net activity on personal & learning devices

CLASSROOMTOOLS

Transformed teaching with transparency & control

DEVICE MANAGER

Device & app management for school devices

Family Zone Education Solutions

Holistic approach for compliance & classrooms

Sold direct to private schools and with channel partners to public school districts. Charged as a Student License.

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Page 14: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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PREMIUM PARENTAL CONTROLS

Family Zone Insights

Free tool for parents

Usage reporting

Location tracking

Alerts for adult content

Alerts for unsafe apps

Cyber expert advice

You have an Alert for Jonno. Download Zone Manager to view.

Required by Schools and promoted by our Telco & ODM partners.

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Page 15: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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Filter Web Content

ScreenTime

Manage Social

Manage Streaming

Restrict Apps

Works with Schools

Manage Gaming

Disable Features

Reports & alerts

Safe Home WiFi

PREMIUM PARENTAL CONTROLS

Family Zone Premium Parental Controls

Controls for all networks & devices

Premium parental control service. $5.95/m for 3 children & devices. Direct sales and upgrades from Insights.

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Page 16: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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Successful ANZ Trials 438 Schools216 promoting Family Zone+40% parent take-up

Entered US late 2018Signed > $1M in 8 monthsSigned 6 major resellersLive in 50 districts458 Schools

USA Schools Market100,000 schools50M studentsClear product fitReseller modelLow cost to acquire

Proven products, now shifting to scale!

SCHOOLS ENGINE ROOMF

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Page 17: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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ACHIEVEMENTS

DIRECT & RETAIL SCHOOLS TELCOS & ODMs

9KPAYING ACCOUNTS

+40%PARENT TAKE-UP

72KPAYING ACCOUNTS

6US RESELLERS

+900CLIENTS

57KPAYING ACCOUNTS

482kLICENSED STUDENTS

+50US DISTRICTS

$630KFY 2019 REVENUE

$440KFY 2019 REVENUE

$3.4MFY 2019 REVENUE

10TELCOS

2RETAILERS

2ODMs

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Page 18: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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PARTNERS

Resellers & RetailersODMsTechnology

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Page 19: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

FAMILY ZONECORPORATE

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Page 20: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

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ORDINARY SHARES

MARKET CAP (@20c) *

TOP 20 SHAREHOLDERS

FOUNDERS & EXECUTIVES

200,627,835

$40M

53%

13%

CAPITAL STRUCTURE

11,774,99711,774,997

7,500,0001,000,000

32,049,998

Performance Shares$10m Rev’ by Aug 19^$20m Rev’ by Aug 20^$9.25m Rev’ from NZ^Various

5,888,4384,321,3405,335,0003,950,0001,033,5303,296,339

23,824,647

Options25c Exping (29 Aug 2019)33c Employee (19 Sep 2019)30c Employee (15 Dec 2019)30c-60c (expiring in 2020)75c-90c (expiring 2021)18c-25c (expiring 2022)

Notes* Calculated based on issued securities as at 31 July 2019. ^ Founder performance shares & rights have targets of $10m and $20 in annual revenue by 29 Aug 2019 and 29 Aug 2020 respectively. Remaining performance securities are subject to performance of the New Zealand operation and Linewize technology.

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Page 21: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

Tim LevyManaging Director

Ross YoungVP North America

Ben TriggerCTO

Crispin SwanExecutive Director

Sales

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Key Team Members

Founded by ex telco & tech executives.

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Page 22: (ASX: FZO) Family Zone Cyber Safety Ltd IT Director, John ... · engagement and support. Yugon Chobanoff Family Zone Cyber Safety Ltd IT Director, John XXIII College ... its directors,

CONTACT

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COMPANY

Investor Centrefamilyzone.com/au/investor

Automic Registry ServicesPhone: +61 8 9324 2099Email: [email protected]

Tim LevyManaging [email protected]+61 413 563 333

Investor RelationsTim DohrmannNWR [email protected]+61 468 420 846

Public RelationsTim AllertonCity Public [email protected]+61 412 715 707

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