Desired Deal Structure

Challenge

Over the past ten-plus years we have trained a small population of people from around the world in our work, and they are in various life and career stages. This training is not easily replicable. As such we must relocate (partly for security and IP defense), and pay people across a spectrum. They are not replaceable easily. On average our work is the equivalent of a four year stem degree, though certain people have grasped it in less time. In order to secure these people we must have the runway (money) to justify their participation.

Objective

To secure the trained personnel, protect our intellectual property, and deliver the first four volumes of the Runcible Corpus—the computability layer for language reasoning that transforms probabilistic AI into decidable, auditable, and warrantable intelligence.


1. The Challenge

Over the past decade, we have trained a small, globally distributed group of specialists in the Runcible Method—integrating Natural Law, operational epistemology, Socratic dataset construction, and truth-constrained curation.
Each participant represents the equivalent of a four-year STEM education in this discipline. Their training cannot be rapidly reproduced, and their replacement cost is prohibitively high.

To preserve this human capital and maintain continuity of production, we must:

  • Relocate key personnel to a secure, consolidated jurisdiction (for IP protection and operational security).
  • Provide three years of runway to ensure full output of the first four corpus volumes.
  • Fund remaining technical hires and infrastructure to deliver those volumes on schedule.

This is not a “grow-as-you-go” operation. It is a knowledge protection and production mandate—locking the only trained operators capable of constructing truth-constrained, testifiable training data for AI reasoning.


2. Capital and Assets Contributed

Direct and indirect founder capitalization to date:

ContributionEstimated ValueDescription
Cash (Friends & Family SAFEs)$2MEarly liquidity and operational runway
Loan from B. Werrell$110KBridge for infrastructure and relocation
Runcible Application Platform (“Oversing”)$10MEngineering replacement value of the platform and stack
Curt Doolittle — Foregone Income$6MPersonal capital burn across R&D and content production
Volunteer & Pro Bono Labor$1.0–1.2M29,952 hours over eight years across six specialists

Total Contributed Value:$19M

These assets constitute the full research phase: the software, the methodology, the training system, and the corpus architecture.
The raise funds operationalization—not discovery.


3. Valuation Ladder

Comparable AI infrastructure and data-layer companies—those with novel dataset or training approaches—have raised at $30–100M pre-money valuations.
Runcible justifies the upper end of that range because it creates computability for language reasoning, the missing layer required for AI alignment and decidability.

Valuation Framework

  • Floor (Financial / Generalist VCs): $50–75M pre-money
    Reflects standard AI infrastructure comparables and provides entry flexibility for non-strategic investors.
  • Target (Specialist / AI Infrastructure Funds): $75–100M pre-money
    Recognizes the corpus and training method as a defensible and compounding asset—non-scrapable, non-cloneable, and non-autogenerable.
  • Strategic Premium (Hyperscalers & Integrators): $100M+ pre-money
    Justified by the structural alignment and decidability bottleneck Runcible uniquely solves. For strategic acquirers, this is the missing computability layer required for governed reasoning.

This ladder preserves flexibility across investor profiles without conceding strategic value.
Runcible is to reasoning what ImageNet was to vision— the bridge from simulation to computation.


4. Funding Structure

Two funding paths provide flexibility depending on investor preference for risk distribution or operator certainty.

Path A — Milestone-Structured Series A (Risk-Reduced)

  • Initial Close: $20M upfront
    Enables relocation, IP protection, and retention of 20 senior staff. Funds delivery of Volume 2.
  • Milestone Tranche (~4 months): $10–15M
    Triggered by completion and validation of Volume 2 as proof-of-value—operational training data capable of being test-run by hyperscalers.
  • Step-Up Round (18 months): $30–50M at $150–200M valuation
    Triggered by completion of four volumes, establishing recurring corpus-curation operations.

Use Case: Institutional investors seeking staged deployment with verifiable progress checkpoints.


Path B — Full-Runway Series A (Operator Certainty)

  • Series A Raise: $25–30M upfront
    Provides three-year runway for 20 senior staff and full operational overhead. CategoryAllocationNotesPersonnel (20 × $250K + 40% OH)≈ $21MCore staff, training, and administrationInfra + Compute + Ops≈ $6MFacilities, legal, travel, cloud, and hardwareContingency & Scalability≈ $3MBuffer for relocation and regulatory cost varianceTotal$27–30MThree-year runway

Use Case: Strategics or AI infrastructure funds prioritizing speed, certainty, and jurisdictional security.


5. Milestones and Deliverables

TimeframeMilestoneOutcome
Month 4Volume 2 Corpus DeliveredProof-of-Value Dataset: test-run by hyperscalers
Month 12Volume 3 CompletedDemonstrates scalability of method
Month 18Volume 4 CompletedFull pipeline for governed reasoning data
Year 3Continuous Corpus ExpansionTransition to ongoing revenue: certification, fine-tuning, and truth-corpus access

6. Capital Utilization Thesis

The first $20–30M functions as both insurance and ignition:

  • Insurance: Secures and protects irreplaceable IP and human capital.
  • Ignition: Funds the production of a corpus that enables governed, decidable AI.

Subsequent capital (post-milestone) amplifies market capture and domain expansion rather than speculative research.


7. Long-Term Positioning

Runcible establishes the truth, reciprocity, and liability layer for artificial intelligence.

Our moat is not a model, but a method—one that cannot be scraped, simulated, or imitated without the trained operators who built it.

Every new corpus volume compounds value. Every new domain integrated into that corpus expands computability and revenue.

The result: a defensible, recurring, and auditable foundation for truth-constrained AI across law, medicine, defense, finance, and governance.


Summary

  • Raise: $25–30M Series A (3-year runway; optional tranche structure).
  • Valuation: $75–100M pre (floor $50–75M; strategic $100M+).
  • Milestones: Volume 2 in 4 months; Volume 4 in 18 months.
  • Moat: Corpus + Method = Non-replicable computability layer.
  • Outcome: Decidable, auditable, and warrantable AI intelligence.