# Commercial model

Fundamental to any successful project and value enterprise must be a sound commercial model. We recognise a distinct lack of projects with commercial acumen and plans to generate revenue across the Web3 landscape. This being said, we appreciate that new commercial models are emerging and we must not pigeonhole projects into traditional revenue-generating frameworks. **Growth DAO aims to lead this area of DAO development, working on innovative tokenomic models and new ways of becoming profitable at scale**.

Harnessing the value creation from startups is central to the Growth DAO commercial model. A sustainable revenue stream will be captured from work created through the platform. As startups deploy a growth team through Growth DAO, 20% of the value will be allocated to community development and increasing the value of GRWTH. Additionally, Growth DAO will take equity and token positions in the most promising startups in the ecosystem. Investors will receive 80% of the startup exit returns and Growth DAO will access 20% of the profits and use this to increase the value GRWTH. The service profits will generate a reliable increase in GRWTH value and the startup exit will generate the outsized value increases. With key stakeholders earning the GRWTH token, we’ve uniquely aligned incentives across an entire ecosystem.​

![Growth DAO value creation flywheel](/files/uefZBtbLnNC4cAhPSpex)

The beauty of the Growth DAO commercial model is its scalability. **Standardising economic incentives around the future value of GRWTH creates alignment within the ecosystem, encouraging all parties to drive growth.** Thus creating a flywheel effect. Token rewards are distributed by the treasury for success referrals, for startups, experts and investors. This will allow more startup ideas to get funding, more members to work within the growth team, more startups to learn from and more advice shared. The simplicity of the business model means many more members can be onboarded and rapidly contribute to the growth. With this exponential growth model, Growth DAO will become the new global ecosystem for startup development.


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