INVEST IN KNIGHTSCOPE

$8.00 per share

Accredited Investors only (USA). Securities transactions processed by WealthForge Securities, LLC. Member FINRA | SIPC

You must be an accredited investor to invest in this offering. For individual investors, an accredited investor is one who has demonstrated an annual income of $200,000 or a combined annual income of $300,000 with a spouse, for the last two years with an expectation of earning the same or higher income in the current year. A person is also considered an accredited investor if he or she has a net worth exceeding $1 million, either individually or jointly with a spouse, not inclusive of the primary residence value.  Prior accredited investor verifications that are more than 3 months old will require re-verification for compliance purposes. International investors please contact us at invest@knightscope.com with the amount in $USD you are considering. Purchased securities are currently not tradeable.  An investor may not realize a return on the investment and could lose the entire investment amount. The Company is subject to a variety of competitive, execution, market acceptance and technology risks, including without limitation those outlined in the offering documents. 

WHY KNIGHTSCOPE?

• The security industry is a $500+ billion market with little innovation [1]

• For small and large enterprises nationwide, security is a recurring need

• Knightscope security robots have significant field experience with over 500,000 operating hours across 15 states and 4 times zones running fully autonomously 24/7

• Unique path to real-world commercialization of autonomous technology providing pure play investment exposure to self-driving technology

• Strong existing and growing client base, including malls, logistics facilities, manufacturing plants, property managers, corporate campuses, residences, hospitals, stadiums, airports, casinos and warehouses

• Machine-as-a-Service strategy targets an effective, profitable business model with high recurring revenues at scale with both a hardware and software components

• Team has deep and relevant experience in technology, automotive, law enforcement, security, and the military

[1] Source: BofA Merrill Lynch Global Research

OFFERING TERMS

Raise: Up to $50,000,000

Offering Price: $8.00 per share

Offering Type: 506(c)

Share Class: Series S Preferred Stock

PRIOR FINANCINGS

• Over $40 million in equity financing since inception in April 2013

• Over 5,500 investors including 4 major corporations

• Historical Share Price

  • $0.3317 Seed Round

  • $0.8932 Series A

  • $2.0401 Series B

  • $3.0000 Series m, m-1, m-2

  • $3.5000 Series m-3

  • $8.0000 Series S (pending)

TARGET MARKETS

Knightscope presently holds contracts in 15 states across 4 time zones running 24/7 - fully autonomous. Client experiences in:

• malls

• corporate campuses

• hospitals

• warehouses

• airports

• stadiums

• casinos

• residential

Future opportunities include schools, power plants, auto dealerships, lodging, farms, ranches and government facilities

TECHNOLOGY

• Large fully autonomous security robots provide effective physical deterrence as well as force multiplier effect

• Browser-based user interface may be utilized anywhere for review of live data, video, audio and anomalies

• Provides security teams unprecedented situational awareness and forensics

• Four (4) patents granted thus far and will continue to develop potentially valuable IP in autonomous technology, artificial intelligence and predictive analytics

MACHINE-AS-A-SERVICE (MaaS) BUSINESS MODEL [2]

• Our contracts can generate up to $96K per annum [2]

• Manufacturing costs of security robot itself recovered in year one [3]

• $250K estimated profit per robot over targeted life of 5 Years [4]

• About 30% of customers pre-pay full year contract

• Recurring revenue for a recurring need

[2] Assumes K5 machine under contract for 5 years at $96K per annum

[3] Assumes $60K bill-of-material cost

[4] Assumes $34,000 per annum support/maintenance/service costs; assumes long-term durability target of 5 years versus current depreciation period of 3 - 4 years

PRICING

• K1 Stationary: starting at $4,500 per month running triple shift 24/7

• K3 Indoors: starting at $6,500 per month running triple shift 24/7

• K5 Outdoors: starting at $6,500 per month running triple shift 24/7

• Additional optional feature packages include Ultra HD Video Package ($300), Parking Monitor Package ($400 per month), Interactions Package ($500 per month) and After Hours Package ($600 per month)

• Effective hourly price ranges of approximately $6 - $12 per hour depending on type of machine and options selected

EXPERIENCED MANAGEMENT

William Santana Li, Chairman and Chief Executive Officer

• Seasoned entrepreneur, intrapreneur and former corporate executive at Ford Motor Company

• Founder and COO of GreenLeaf, which became the world's 2nd largest automotive recycler (now part of NASDAQ: LKQ)

• BSEE from Carnegie Mellon University and MBA from University of Detroit Mercy

Stacy Dean Stephens, Executive Vice President and Chief Client Officer

• Former Dallas-area law enforcement officer and seasoned entrepreneur

• Government Technology magazine’s Top 25 Doers, Dreamers & Drivers for commitment to advancing law enforcement technology

Mercedes Soria, Executive Vice President and Chief Intelligence Officer

• Winner of GHC 17 Leadership ABIE Award for Women in Technology and Silicon Valley Business Journal’s 2017 Woman of Influence Award

• Former Deloitte software engineer and leader with 15+ years of experience in enterprise, artificial intelligence and machine learning

Aaron Lehnhardt, Executive Vice President and Chief Design Officer

• 20+ years in two- and three-dimensional product and industrial design

• Digital design expert including modeling and Virtual Reality (VR)

• Former Ford Motor Company senior designer and Alias 3D instructor at the College for Creative Studies

Marina Hardof, Executive Vice President and Chief Financial Officer

• 15+ years of financial leadership and corporate management in both public and private enterprise.

• Former CFO of Cloudmark, Inc. a messaging security company (acquired by Proofpoint, Inc.); various financial roles at Unwired Planet, Inc. (f.k.a. Openwave Systems, Inc.), which was acquired by a private equity firm.

• Nine years with Ernst & Young and Deloitte serving clients in the technology industry. Licensed CPA in California.

FREQUENTLY ASKED QUESTIONS

Q. What are the steps to investing in this offering?

A. After clicking the green invest button at the top of this page then it is 4 simple steps:

1. Review Offering Documents: Offering documents are provided for you to make an informed investment decision.

2. Provide your investment information: First, let us know how much you'd like to invest, then provide information to verify your identity and accreditation status.

3. Provide your funding information: Funds may be transferred via ACH (Electronic Debit), Wire, or IRA (Individual Retirement Account). For direct debit, have your bank routing and account numbers handy. For IRA funding, have your self-directed IRA account information available.

4. Check your email and sign documents: After providing us with the information we need, we'll send you some important documents to complete your investment.

Q. Do I need to be an accredited investor to invest in this offering?

A. Yes. For individual investors, an accredited investor is one who has demonstrated an annual income of $200,000 or a combined annual income of $300,000 with a spouse, for the last two years with an expectation of earning the same or higher income in the current year. A person is also considered an accredited investor if he or she has a net worth exceeding $1 million, either individually or jointly with a spouse, not inclusive of the primary residence value.  Prior accredited investor verifications that are more than 3 months old will require re-verification for compliance purposes.

Q. Can I invest through my IRA?

A. Yes. If you choose to invest through your IRA, the names on all of the investment paperwork must reflect that account. As such, most IRA providers will title the account something along the lines of “XYZ IRA fbo (investor name)”. All documents must be titled appropriately for the investment to be approved.  

Q. How do I accept my shares?

A. After you complete all of the necessary steps to invest in Knightscope, you will receive an email from Carta, our SEC-registered Transfer Agent. When you receive your email, you will be prompted to accept your shares.

Q.  Is Knightscope a public company, and where can I find out more information about the Company?

A. No, Knightscope is a private company and its stock is not freely tradable.  The Company does file certain periodic reports with the SEC under Regulation A of the Securities Act of 1933, which are available on the EDGAR website and which provide additional information about the Company, including its financial statements.  These filings may be found here. 

Have another question?  Ask it below!

Q&A with the CEO

THE Q&A SECTION INCLUDES FORWARD-LOOKING STATEMENTS, BASED ON THE COMPANY’S CURRENT EXPECTATIONS AND PROJECTIONS ABOUT FUTURE EVENTS. ACTUAL RESULTS COULD DIFFER MATERIALLY FROM THOSE DISCUSSED IN, OR IMPLIED BY, THESE FORWARD-LOOKING STATEMENTS. FORWARD-LOOKING STATEMENTS ARE IDENTIFIED BY WORDS SUCH AS “BELIEVE,” “EXPECT,” “INTEND,” “PLAN,” “WILL,” “MAY,” “SEEK,” “TARGET,” “ESTIMATE,” “CONTINUE” AND OTHER SIMILAR EXPRESSIONS. IN ADDITION, ANY STATEMENTS THAT REFER TO EXPECTATIONS, PROJECTIONS OR OTHER CHARACTERIZATIONS OF FUTURE EVENTS OR CIRCUMSTANCES ARE FORWARD-LOOKING STATEMENTS. ALTHOUGH THE COMPANY BELIEVES THAT THE EXPECTATIONS REFLECTED IN THE FORWARD-LOOKING STATEMENTS ARE REASONABLE, THE COMPANY CANNOT GUARANTEE FUTURE RESULTS, LEVELS OF ACTIVITY, PERFORMANCE OR ACHIEVEMENTS. THE COMPANY HAS NO OBLIGATION TO UPDATE OR RELEASE THE RESULTS OF ANY REVISIONS TO THESE FORWARD-LOOKING STATEMENTS TO REFLECT ANY FUTURE EVENTS OR CIRCUMSTANCES.  

LEGAL DISCLAIMER

Knightscope and its website are operated by Knightscope, Inc. (“Knightscope” or “Company”).  Securities transactions requiring intermediaries are offered by WealthForge Securities, LLC, a registered broker/dealer and member FINRA/SIPC.  Knightscope and WealthForge Securities, LLC are not affiliated. Knightscope’s Series S Preferred Stock offering is intended only for accredited investors.

Knightscope does not make investment recommendations, and no communication through this website or in any other medium should be construed as such. Investment opportunities posted on this website are "private placements" of securities that are not publicly traded, are subject to holding period requirements, and are intended for investors who do not need a liquid investment. Investors must be able to afford the loss of their entire investment.

Any financial projections or returns shown on the website are illustrative examples only, and there can be no assurance that any valuations provided are accurate or in agreement with market or industry valuations. Any investment information contained herein has been secured from sources Knightscope believes are reliable, but we make no representations or warranties as to the accuracy of such information and accept no liability therefor. Offers to sell, or the solicitations of offers to buy, any security can only be made through official offering documents that contain important information about risks, fees and expenses. You should conduct their own due diligence, not rely on the financial assumptions or estimates displayed on this website, and are encouraged to consult with a financial advisor, attorney, accountant, and any other professional that can help you to understand and assess the risks associated with any investment opportunity.