Carabiner and hook clip together. 2019 revenue was more than $2 million with unit sales growing by 18% from 2018 – aggregating over 440,000 units sold since 2018 (unaudited.) Wants to build a lifestyle company on top of the platform of the initial product.
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The 6 Calacanis Characteristics (91 161 18)
|1. A startup that is based in SV||No: Seattle, WA|
|2. Has at least 2 founders||No: One founder.|
|3. Has product in the market||Yes|
|4. 6 months of continuous user growth or 6 months of revenue.||Yes, 2018 revenue was 1.9MM and 2019 revenue was 2.02M|
|5. Notable investors?||No: though the investors do seem to be active sports investors.|
|6. Post-funding, will have 18 months of runway||Yes: 2019 burn was $329k, raised $1.667M, so 5.06 years of runway.|
The 7 Thiel Questions (ETMPDDS)
- The Engineering question:
- Good: better than the next best product.
- The Timing question:
- Fine: not bad not phenomenal.
- The monopoly question:
- Bad: Feel that this is is a nice-to-have product, not solving an urgent need.
- The people question:
- Good Though Thin: Team is good but thin, only two full-time.
- The distribution question:
- Fine: Needs to partner with retailers and also distribute via e-commerce.
- The durability question:
- Good: Fine product business.
- *What is the hopeful secret?:
- Not a venture product, not much secret.
What has to go right for the startup to return money on investment:
- Investment will return money.
What the Risks Are
- Not a venture backable business so lowers IRR
Muhan’s Bonus Notes
Investment came in from SeedInvest’s Auto Invest,
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