# Lyric Financial Model

Lyric designs boutique "Creative Suites" - short-stay living spaces - combining purposeful interior design with technology for creative, connected travelers.

- Canonical: https://finamodel.com/startups/lyric
- Excel download: https://finamodel.com/startup-models/lyric.xlsx
- Category: Hardware/Deep-tech
- Model type: Unit-economics / DTC
- Funding round: Series B
- Funding: $160M
- Founded: 2019

- Customer: B2C

## About the company

Lyric creates boutique Creative Suites for short-stay travellers, combining hospitality design with technology. Unlike a pure accommodation marketplace, it operates or controls inventory, so the quality of each property and the economics of furnishing, occupancy, and local operations directly affect margin.

The model is therefore a property-operating business. Revenue depends on units available, occupancy, ADR, and stay length, while costs include leases or property arrangements, cleaning, maintenance, local staffing, distribution, and overhead. City-level ramp and unit density are important because fragmented inventory weakens operating leverage.

Model units by market, openings, occupancy, ADR, length of stay, and ancillary revenue. Include property costs, cleaning, maintenance, furnishing, distribution commissions, local teams, and overhead. Market ramp, occupancy, price, property margin, unit density, expansion pace, and fixed-cost leverage should drive scenarios.

## What's included

- 5-year monthly revenue build with stage-appropriate growth assumptions
- Full P&L, headcount plan, and operating-expense schedule
- Cash-flow statement, runway, and burn-rate tracking
- Valuation via exit multiple with a DCF cross-check
- Returns analysis with MOIC and IRR
- Unit economics including CAC, LTV, payback, and cohort retention

## Product & value proposition

Lyric's "Creative Suites™" are branded short-stay accommodations positioned as an alternative to generic hotels. The offering centres on three pillars - Bold, Human, Delightful - expressed through interior design, materials, technology, and local community programming. Mission: "Lyric designs Spaces & Technology for a more creative and connected world." Value prop: personalisation, purposeful design, and local discovery for business/creative travellers who want to feel at home everywhere.

**Note:** This deck is a **Design Ethos / Brand Deck**, not a fundraising or investor pitch. It contains zero financial slides - no revenue, no market sizing, no unit economics, no traction metrics, no funding ask, no team slide. All financial model inputs below are assumptions.

## Team & funding ask / use of funds

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## Recommended financial model

- **Archetype + why:** Hospitality / short-term rental (STR) unit-economics P&L, building up from a property-level model to a portfolio model. Lyric operates individual suite clusters; the right model is a **per-property RevPAR / occupancy P&L** rolled up across a portfolio of locations, with a management-fee layer if asset-light. If the business leases the apartments itself, a full 3-statement model with lease liabilities (IFRS 16 / ASC 842 style) is appropriate. Given the brand-only nature of this deck, start with a simplified operator P&L (not a full 3-statement) until lease structure is confirmed.

- **Forecast horizon & granularity:** 5-year annual model (Years 1–5), with Year 1 monthly for cash-flow planning. - standard for early-stage hospitality operators.

- **Key drivers & assumptions:**
  - Number of properties (locations): start with 1 at model open; ramp
  - Suites per property: ~10–30 units, typical boutique operator range
  - Average Daily Rate (ADR): $150–$250/night, premium urban STR
  - Occupancy rate: 65–75% stabilised; lower in ramp months
  - RevPAR = ADR × Occupancy: derived
  - Revenue per suite per year = RevPAR × 365: derived
  - Property lease / fixed cost per suite: must be sourced; key swing variable
  - Cleaning / variable cost per occupied night: ~15–20% of ADR
  - Technology / platform cost per suite per month: $50–$100
  - Corporate overhead (design, brand, ops): fixed cost layer
  - Gross margin per property: 30–45% at stabilisation, before corporate overhead
  - New property ramp time to stabilised occupancy: 3–6 months

- **Scenarios (Base / Bull / Bear - which variables flex):**
  - **Bear:** Low ADR ($150), occupancy 55%, slow unit count growth, high lease cost
  - **Base:** ADR $200, occupancy 70%, moderate portfolio expansion
  - **Bull:** Premium ADR ($250+), 80% occupancy, faster property rollout, management-fee model keeps capex low

- **Required sheets / outputs:**
  1. Assumptions - all drivers in one place, scenario toggle
  2. Property-Level P&L - per-unit revenue, variable costs, contribution margin
  3. Portfolio Roll-Up - sum across locations by year
  4. Corporate P&L - overhead, EBITDA, net income
  5. Cash Flow - operating CF, capex for fit-outs, lease deposits
  6. Balance Sheet (if full 3-statement needed)
  7. KPI Dashboard - ADR, RevPAR, occupancy %, portfolio size, EBITDA per suite

## Frequently asked questions

### Is the Lyric financial model free?

Yes. The Lyric model is a free Excel download with live formulas.

### Can I change the assumptions?

Yes. The workbook is editable and its live formulas recalculate when assumptions change.