TON Strategy Co current report, 04 February 2019

Business Context and Reporting Period

Company: Verb Technology Company, Inc. (Note: Request metadata listed "TON Strategy Co", but filing identifies "Verb Technology Company, Inc.")
Filing Type: Form 8-K (Current Report)
Date of Report: February 4, 2019
Reporting Period: Event-based report regarding a material definitive agreement entered into on February 4, 2019.

Key Financial Metrics

This filing is a Current Report (8-K) and does not contain audited financial statements, revenue figures, profit data, cash flow, margins, debt levels, or liquidity metrics. The filing text does not provide a clear value for these financial indicators.

Material Changes and Agreements

  • Material Definitive Agreement: Entered into a Partner Application Distribution Agreement with Salesforce.com, Inc. on February 4, 2019.
  • Term: Initial term of 3 years with automatic renewal for additional one-year periods.
  • Product Integration: Development of the "Verb SF Partner App," a deep integration of Verb's interactive video creation tool into the Salesforce platform.
  • Revenue Sharing: Recurring revenue from Salesforce users opting for the app will be split 85% to Verb and 15% to Salesforce on a monthly basis.
  • Development Status: Tech review passed on January 29, 2019. The app is currently undergoing the Salesforce Security Review process, which may take up to 8 weeks or more.

Guidance, Outlook, and Risks

  • Outlook: The company anticipates distributing the app after the successful completion of the Salesforce Security Review.
  • Communication Restrictions: While customers may be notified of the tech review approval, the company is prohibited from issuing a formal press release until the security review is complete.
  • Risks/Contingencies: Distribution of the app is contingent upon passing the Salesforce Security Review. The timeline for this review is uncertain (up to 8 weeks or more).
  • Emerging Growth Company: The registrant has elected to be classified as an emerging growth company.

Investor Verification Checklist

  • Verify the completion date of the Salesforce Security Review to confirm when the app can be officially distributed and marketed via press release.
  • Monitor future filings for actual revenue recognition resulting from the 85/15 revenue-sharing model.
  • Confirm the identity of the registrant (Verb Technology Company, Inc.) versus the metadata name provided in the request.
  • Review the terms of the engagement with Appiphony, LLC, regarding development costs and intellectual property ownership.