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Pending CEO Actions

Pending CEO Actions

Context: Drop Srbija v2 Phases 0-4 complete. Phases 5-6 (NBS IPS integration + production deployment) blocked on CEO decisions.

Action 1: Incorporate ALAI Tech d.o.o.

Priority: P0 (blocks all other actions)
Timeline: 4-6 weeks
Cost: ~EUR 1,500 (incorporation fees + notary)
Decision: D9

Requirements

  • Registered address in Belgrade
    • Option 1: Office lease (RSD 30,000-50,000/month for small office)
    • Option 2: Virtual office (RSD 5,000-10,000/month)
    • Recommendation: Virtual office Year 1 (cheaper, compliant)
  • Serbian lawyer (srpski advokat) engagement
    • Role: Draft statute, handle APR registration, advise on NBS compliance
    • Cost: EUR 3,000-5,000 (incorporation + Year 1 support)
  • EUR 125,000 capital deposit
    • NBS PI license requirement (Year 2)
    • Can delay to Year 2 if agent model Year 1 (bank partner holds capital)
    • Recommendation: Deposit Year 2 (after proving market fit)
  • Statute (društveni ugovor) drafted
    • Serbian lawyer responsibility
    • Must include: Company name, capital, shares, directors, address
  • Registration with Serbian Business Registers Agency (APR)
    • Online portal: https://www.apr.gov.rs
    • Timeline: 5-7 business days
  • PIB (tax ID) registration
    • Automatic after APR registration
    • Used for invoicing, tax filings
  • Bank account opening (Serbian bank)
    • Raiffeisen or BPS (future partner)
    • Required for capital deposit, invoicing

Next Steps

  1. CEO engages Serbian lawyer (priority 1)
  2. Lawyer drafts statute + handles APR registration
  3. CEO chooses virtual office (priority 2)
  4. After APR registration: Open bank account
  5. After bank account: Proceed to Action 2 (bank partnership)

Estimated Total Cost (Year 1): EUR 4,500-6,500 (incorporation + lawyer + virtual office)

Action 2: Engage Bank Partner (Raiffeisen P1, BPS Fallback)

Priority: P1 (blocks Phase 5 NBS IPS integration)
Timeline: 3-6 months (negotiation + agent registration)
Cost: 0.3-0.5% per transaction (bank fee)
Decision: D1, D2

Target Banks

Priority 1: Raiffeisen Banka

Why:

  • Largest bank in Serbia (assets, market share)
  • Strong digital banking (proven fintech partnerships)
  • Active NBS IPS participant (high uptime)
  • English-speaking staff (easier negotiation)

Risks:

  • High partnership fees (may demand 0.5% vs 0.3%)
  • Slow decision-making (Austrian parent approval)
  • Exclusivity clause (no other bank partnerships)

Contact:

Fallback: Banka Poštanska Štedionica (BPS)

Why:

  • Telekom Srbija subsidiary (phone-to-IBAN synergy)
  • Digital transformation appetite (mobile app launched 2022)
  • Lower fees (smaller bank, more flexible)

Risks:

  • Less fintech experience (may need more hand-holding)
  • Smaller balance sheet (capacity risk)
  • Lower brand trust vs Raiffeisen

Contact:

Pitch Deck

Content: docs/pitch/serbian-bank-partnership-pitch.pdf (Finverge + BizDev to draft)

Slides:

  1. Problem: Remittance corridor (diaspora → Serbia) underserved
  2. Solution: Drop Srbija (phone-based NBS IPS payments)
  3. Market: 1.5M Serbian diaspora (EU + US), RSD 3.5B annual remittances
  4. Business Model: Bank earns 0.3-0.5% per transaction, Drop handles UX
  5. Why Agent Model: Faster time-to-market (2-3 months vs 9-14 months PI license)
  6. Ask: Agent registration (Article 24), NBS IPS gateway access, API credentials

Negotiation Terms

Term Drop Target Bank Target Compromise
Transaction Fee 0.3% 0.5% 0.4% (Year 1), 0.3% (Year 2+)
Minimum Volume None RSD 10M/month RSD 5M/month (6-month ramp)
Exclusivity No Yes (no other banks) No (Drop can add 2nd bank Year 2)
Settlement Time T+0 (instant) T+1 (next day) T+0 for 80%, T+1 for 20%
API SLA 99.5% uptime 95% uptime 99% uptime
Support 24/7 Business hours Business hours + on-call (weekends)

Next Steps

  1. CEO approves pitch deck (Finverge drafts, Alem reviews)
  2. John sends cold outreach email (BizDev template)
  3. Schedule intro call (Alem + bank BD manager)
  4. Negotiate terms (3-6 months)
  5. Sign agent agreement (Lexicon review)
  6. NBS agent registration (2-3 months)
  7. API credentials issued (bank IT team)
  8. Phase 5 integration begins

Estimated Timeline: 6-9 months (intro call → live integration)

Action 3: Register drop.rs Domain

Priority: P2 (blocks production deployment)
Timeline: 1 week
Cost: ~EUR 30/year
Decision: Part of Phase 4 infra

Requirements

  • RNIDS registration (Serbian ccTLD registry)
    • Online: https://www.rnids.rs
    • Requires: Serbian entity (ALAI Tech d.o.o. PIB)
    • Cannot register before ALAI Tech d.o.o. incorporation
  • DNS configuration
    • Azure DNS Zone (Terraform module ready)
    • CNAME: drop.rs → dropsrbija-backend.azurecontainerapps.io
    • A record: drop.rs → Azure Front Door IP

Next Steps

  1. After ALAI Tech d.o.o. incorporation: Register drop.rs via RNIDS
  2. Configure DNS in Azure (Terraform apply)
  3. Update frontend NEXT_PUBLIC_API_URL (staging → drop.rs)
  4. SSL cert via Caddy (automatic Let's Encrypt)

Blocker: ALAI Tech d.o.o. incorporation (Action 1)

Action 4: Provision Azure Subscription

Priority: P2 (blocks production deployment)
Timeline: 1 day (provisioning instant, budget approval TBD)
Cost: $108-128/month (production estimate)
Decision: Part of Phase 4 infra

Requirements

  • Azure Enterprise Agreement (EA) or Pay-As-You-Go
    • Recommendation: Pay-As-You-Go Year 1 (no commitment)
    • Upgrade to EA Year 2 (volume discount)
  • Subscription name: ALAI-DropSrbija-Production
  • Resource group: dropsrbija-prod
  • Budget alert: $150/month (20% buffer)
  • Cost breakdown:
    • Container Apps (backend + frontend): $45-60/month
    • PostgreSQL (Standard with HA): $30-40/month
    • Redis (Standard tier): $15-20/month
    • Azure Front Door (CDN + WAF): $10-15/month
    • Storage (backups): $5-8/month
    • Monitoring (Log Analytics): $3-5/month

Next Steps

  1. CEO approves $150/month budget
  2. John provisions Azure subscription (via Azure Portal)
  3. FlowForge runs Terraform (terraform apply → 47 resources)
  4. Verify infrastructure (health checks)

Estimated Timeline: 1 day (after budget approval)

Action 5: Engage Serbian Lawyer (Srpski Advokat)

Priority: P0 (blocks Action 1 incorporation)
Timeline: 1 week (engagement), 4-6 weeks (incorporation)
Cost: EUR 3,000-5,000 (incorporation + Year 1 support)
Decision: Part of D9

Scope of Work

Phase 1: Incorporation (EUR 1,500-2,000)

  • Draft statute (društveni ugovor)
  • APR registration (Serbian Business Registers Agency)
  • PIB registration (tax ID)
  • Bank account opening support

Phase 2: Ongoing Support (EUR 1,500-3,000/year)

  • NBS agent registration review (Article 24)
  • ZZPL compliance review (privacy policy, terms of service)
  • ZPNFTM compliance review (payment services)
  • Contract review (bank partnership, vendor agreements)
  • NBS PI license application (Year 2)

Candidate Law Firms

Firm Expertise Cost English Support
Karanovic & Partners Fintech, NBS licensing High (EUR 5,000+) Yes
BDK Advokati Corporate, banking Medium (EUR 3,000-4,000) Yes
JPM Janković Popović Mitić Fintech, tech startups High (EUR 4,000-5,000) Yes
AKMM Milić & Partners Corporate, mid-market Medium (EUR 2,500-3,500) Partial

Recommendation: BDK Advokati or AKMM (good balance of cost + expertise)

Next Steps

  1. CEO requests proposals (RFP to 3-4 firms)
  2. Compare quotes + expertise (Lexicon reviews)
  3. Select firm + sign engagement letter
  4. Lawyer begins incorporation (statute draft)

Estimated Timeline: 1 week (RFP → engagement), 4-6 weeks (incorporation)

Summary Table

Action Priority Timeline Cost Blocker
1. Incorporate ALAI Tech d.o.o. P0 4-6 weeks EUR 1,500 None (CEO decision)
2. Bank Partnership (Raiffeisen/BPS) P1 3-6 months 0.3-0.5% per tx Action 1
3. Register drop.rs P2 1 week EUR 30/year Action 1 (PIB required)
4. Azure Subscription P2 1 day $108-128/month None (CEO budget approval)
5. Serbian Lawyer P0 1 week + 4-6 weeks EUR 3,000-5,000 None (CEO decision)

Critical Path

CEO Engages Lawyer (Action 5)
    ↓
Lawyer Drafts Statute + APR Registration (Action 1)
    ↓ (4-6 weeks)
ALAI Tech d.o.o. Incorporated
    ↓
Register drop.rs Domain (Action 3)
    ↓ (parallel)
CEO Approves Azure Budget (Action 4)
    ↓
Provision Azure Subscription + Terraform Deploy
    ↓ (parallel)
Bank Partnership Negotiations (Action 2)
    ↓ (3-6 months)
NBS Agent Registration + API Credentials
    ↓
Phase 5: NBS IPS Integration
    ↓
Phase 6: Production Deployment

Estimated Total Timeline: 6-9 months (lawyer engagement → production live)

Next Action for CEO: Engage Serbian lawyer (Action 5) — unblocks incorporation (Action 1)

Point of Contact: John (ALAI Director) — will coordinate all actions after CEO approval

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