Funding Feeding Frenzy – Part 3
VERBATIM by Loop Lonagan – Investor and man about town,
as told to John Jonelis
Mink’s a real sharp VC and he tells me we’re gonna have some fun with a consumer product he knows all about ‘cause he saw it at BNC Venture Capital last night. This one serves a good purpose, he says, and looks like a winner. I sit back and enjoy myself ‘cause I know I’ll get all the detail I need from Mink’s notes.
And this one ends up takin’ 3rd place fer da whole event! Summa the best inventions is the simple ones, and hey—how come YOU ain’t the first one to think of it?
EDITOR’S NOTE – Kumfy Tailz won 3rd Place for the entire FFF event.
This is a new slant on properly outfitting yer dog in harsh weather. So whaddaya think this thing can do? It keeps the animal’s core temperature in a good range. The core o’ the dog is what counts—that’s the findings of two years of veterinary science.
- Too cold outside? It keeps Fido warm.
- Too hot outside? It air conditions yer pooch.
- And don’t worry about Rover rippin it up. It uses their own proprietary non-toxic UltraGel pack.
Gail Sanders-Luckman is the driving force behind this one. She’s a serial entrepreneur and this is her 4th venture. No gaps in the management team neither. Gail gives a solid presentation and I decide I gotta get me one o’ them things fer my dog fer Christmas.
I ask her where they’s sold and she gives me her display model, gratis! Here it is on Clamps, my 85-pound Bull Terrier.
I tell Clamps how good he looks in it and he wags his tail and stands proud. It snaps on fast and easy. Takes maybe 10 seconds to warm up in the microwave. Notice he ain’t wearin’ no collar. The Kumfy Tailz comes complete with a dog-sled style hitch to hook yer leash.
They also make a coat with the same technology. But Clamps seems happy with the deep core-warming he gets from the harness. You should see this big guy plowin’ thru snow, actin’ like it’s a day in spring! Don’t even wanna come in outa the cold. That’s way different than how he usually acts when he gets his feet wet. And I know he’s gonna love the cold pack in the summer heat. And if yer like me and don’t read instructions, check this out:
Kumfy Tailz is priced with the ordinary harnesses—from $35 to $55 depending on model, but get this—they’re squeezin’ out 73% margins. The dog harness and apparel niche is two billion dollars strong ‘cause people spend more on their pets than anything else. The pet wellness space is exploding. They got products on the drawing board for horses even. Why stop there?
Comfy Tailz markets their stuff through social media but customers really find out about it through their vets. It’s already available on Amazon, Petsmart (1100 locations), Tractor Supply (1400 locations), and Global Pet. As you can imagine, there’s lotsa interest in Canada and the company’s ready to defend their patents on an international basis. Already $75K in sales last year and expectin’ $3M in six months. $35M in 5 years with EBITDA of 12-15%
They already raised seed money and only want another $250K which buys 10% of the company. They’re willing to offer a number of complex financing structures. I like complicated deals.
So what’s the verdict? It’s unanimous. Every one o’ these judges holds up a sign bearing the coveted big-block letters—FUNDABLE—along with alotta oohs and ahs and plenty of outright enthusiasm. That hardly ever happens at FFF—especially for a non-tech offering.
Almost forgot to mention these guys. This is an all-star panel that’ll be familiar to you. Ron Kirschner and Konstantine Kostov of Heartland Angels. Will Goldstein, another angel investor. David Beazley of Synergy Financial along with Les Teichner of Strategic Processing. Mike Moyer from Lake Shark Ventures. Bob Davidson from NASA, Chuck Corush, Craig Bradley, Bob Davidson and Christopher Ziobehr round it out with Glenn Gottfried, who fer my money’s probably the sharpest knife in the drawer.
This time, David Culver alternates judges throughout the day so the guys don’t get tired and cranky like I told ya about in Part 1 of this series. And the Chopin Theater turns out to be a terrific venue—a whole lot better than the old place. I hope they hold it here again. .
Funding Feeding Frenzy
BNC Venture Capital
The Chopin Theater
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.Copyright © 2012 John Jonelis – All Rights Reserved