## How Community Brands cut document verification from 2 weeks to <2 days and saved 30% YOY Session moderated by: Dan Dubiner, CTO ScaleHub Kendra Foss, Community Brands scalehub ! --- ## Agenda 1. Introduction to Community Brands 2. Our Pain Points 3. Our Solution for SSS 4. The Major Results 5. SSS Financial Aid vs. TADS Financial Aid 6. What’s Next for Community Brands? --- ! ## Intro to Community Brands --- ## Kendra Foss • Product Manager for Financial Aid products • 12 years of experience in Education Software • Joined CB in August of 2018 • Focused on market expansion and continued revenue growth • Enjoys all of the seasons (even the long winters) in Saint Paul, Minnesota with her husband and 2 fantastic kids --- ## Helping passionate people and purpose-driven organizations achieve more for their communities --- ## Solutions for Schools Enrollment and student management, billing, family engagement, tuition, and payments ! ## Solutions for Nonprofits Donor management, fundraising, mobile auctions, fund accounting, and events ! ## Solutions for Associations Membership, learning management, career centers, fundraising, and event management ! ## Solutions for Churches Church operations, tithing and financial management, communications ! --- ## Solutions for Schools BRANDS **1M+** STUDENTS ENROLLED ! ## 4,000 SCHOOLS SERVED IN THE UNITED STATES ! **160+** YEARS EXPERIENCE AMONG OUR BRANDS ! ! --- ! ! ! ! Individual Schools with **aid $$** available to families they know ## Current Strength in Private K-12 Financial Aid --- ## K12 Financial Aid Business Cycle 1. School notifies family of their aid package 2. Schools have money to distribute 3. Families apply for aid - Online application - Documents Uploaded 4. Schools review the application and documents to identify need --- ## Primary Objectives of our FA Solutions 1. Understand the family financials 2. Verify the application with documentation 3. Tell schools how much money the family needs --- ## Community Brand’s Pain Points A comparison in managing the same business through two systems --- ## SSS Pain Points • Accuracy dipped below **70%** • **10-12 business days** for a document type and its year to be verified • Tax documents opened in full – **exposing sensitive PII** ## TADS FA Pain Points • **3 business days** for a document type and its year to be verified • Up to **6 weeks** for full application verification • Tax documents opened in full – **exposing sensitive PII** --- ## Our Solution for SSS --- ## ScaleHub Services ! --- | Filing Status | Check only one box. | | | | | | | --- | --- | --- | --- | --- | --- | --- | | Exemptions | 1 | Single | | | | | | Exemptions | 2 | Married filing jointly (even if only one had income) | | | | | | Exemptions | 3 | Married filing separately. Enter spouse's SSN above and full name here. | | | | | | Exemptions | 4 | Head of household with qualifying persons. See instructions if the qualifying person is a child but not your dependent, enter this child's name here. | | | | | | Exemptions | 5 | Qualifying widow(s) with dependent child | | | | | | Exemptions | 6a | Yourself. If someone can claim you as a dependent, do not check box 6a. | | | | | | Exemptions | b | Spouse | | | | | | Income | c | Dependent(s): (1) First name WILLIAM SEMMA WILLIAMS (2) Dependent's name 11122333 SOMA 12342123 DANGER (3) Dependent's name to you 86/9484 order age 17 qualifying for child credit (see instructions) | | | | | | Income | d | Total number of exemptions claimed | | | | | | Income | 7 | Wages, salaries, tips, etc. Attach Form(s) W-2 | | | | | | Income | 8e | Taxable interest. Attach Schedule B if required | | | | | | Income | b | Tax-exempt interest. Do not include on line 8e | | | | | | Income | 9e | Ordinary dividends. Attach Schedule B if required | | | | | | Income | b | Qualified dividends | | | | | | Income | 10 | Taxable refunds, credits, or offsets of state and local income taxes | | | | | | Income | Adjusted Gross Income | 11 | Alimony received | | | | | 12 | Adjusted Gross Income | Business income or (loss). Attach Schedule C or C-EZ | | | | | | 13 | Adjusted Gross Income | Capital gain or (loss). Attach Schedule D if required. If not required, check here | | | | | | 14 | Adjusted Gross Income | Other gains or (loss). Attach Form 4767 | | | | | | 15a | Adjusted Gross Income | IRA distributions 15a b Taxable amount | | | | | | 16e | Adjusted Gross Income | Pensions and annuities 16e b Taxable amount | | | | | | 17 | Adjusted Gross Income | Rental real estate, royalties, partnerships, S corporations, trusts, etc., Attach Schedule E | | | | | | 18 | Adjusted Gross Income | Farm income or (loss). Attach Schedule F | | | | | | 19 | Adjusted Gross Income | Unemployment compensation | | | | | | 20a | Adjusted Gross Income | Social security benefits 20a b Taxable amount | | | | | | Adjusted Gross Income | 21 | Other income. List type and amount | | | | | | Adjusted Gross Income | 22 | Combine amounts in the far right column for lines 7 through 21. This is your total income | | | | | | Adjusted Gross Income | 23 | | | | | | | Adjusted Gross Income | 24 | Certain business expenses of reserves, performing arts, and fee-based government officials. Attach Form 2106 or 2106-E2 | | | | | | Adjusted Gross Income | 25 | Health savings account deduction. Attach Form 8899 | | | | | | Adjusted Gross Income | 26 | Moving expenses. Attach Form 3903 | | | | | | Adjusted Gross Income | 27 | Deductible part of self-employment tax. Attach Schedule 5E | | | | | | Adjusted Gross Income | 28 | Self-employed SEP, SIMPLE, and qualified plans | | | | | | Adjusted Gross Income | 29 | Self-employed health insurance deduction | | | | | | Adjusted Gross Income | 30 | Penalty on early withdrawal of savings | | | | | | Adjusted Gross Income | 31e | Alimony paid b Recipient's SSN 31e | | | | | | Adjusted Gross Income | 32e | IRA deduction | | | | | | Adjusted Gross Income | 33e | Student loan interest deduction | | | | | | Adjusted Gross Income | 34e | Tuition and fees. Attach Form 8917 | | | | | | Adjusted Gross Income | 35 | Domestic production activities deduction. Attach Form 8903 | | | | | | Adjusted Gross Income | 36 | Add lines 23 through 35 | | | | | | Adjusted Gross Income | 37 | Subtract line 36 from line 22. This is your adjusted gross income | | | | | | Adjusted Gross Income | | | | | | | | Adjusted Gross Income | | | | | | | | Adjusted Gross Income | | | | | | | --- ## Double or triple keying of each snippet guarantees 99% accuracy --- ## The Major Results --- ## The ScaleHub services have fundamentally changed SSS. No one in our market can come close to our speed and accuracy for document verification – not even TADS FA. --- ## The Benefits • 30% YoY savings in operating costs • Support volume decreased • Schools able to identify aid $$ for their families with confidence in a matter of days --- # SSS Financial Aid vs. TADS Financial Aid ## A comparison in document processing --- # Volume and Speed Comparison **Documents Submitted Q1 2020 Days in Verification** 80 35 0.00 0 70 30 0.00 0 60 25 0.00 0 50 20 0.00 0 40 15 0.00 0 30 10 0.00 0 20 50 .000 10 0 0 January February March January February March SSS TADS SSS TADS © 2020 Community Brands HoldCo, LLC. All rights reserved. --- ## Volume and Speed Comparison 35 0.00 0 80 291.000 70 30 0.00 0 67 60 25 0.00 0 232.000 56 50 20 0.00 0 45 40 15 0.00 0 133.000 117.000 30 111.000 100.000 10 0.00 0 20 50 .000 10 0 0 January February March SSS Volume TADS Volume SSS Days TADS Days © 2020 Community Brands HoldCo, LLC. All rights reserved. --- ## SSS Pain Points • **10-12 business days** for a document type and its year to be verified • Accuracy dipped below **70%** • Tax documents opened in full – **exposing sensitive PII** --- • **Less than 2 business days** to verify all documents • Accuracy at **99%** • PII **data secure** and never fully exposed --- ## What’s Next for Community Brands? --- ## TADS FA moving to the SSS Platform • 90 Pilot Schools onboarded this fall • One platform for supporting both businesses expected to save CB thousands in COGS • Verification services from ScaleHub was the catalyst for this investment --- # Thank you.