We develop technically advanced, patent pending insulated tents for both the recreational and E&P markets
- Tralee, Ireland
Categories: Travel, Leisure & Sport Mixed Digital/Non-Digital Mixed B2B/B2C
- Social Media
- Company number
- 553249 (Ireland)
- Incorporation date
- 26 Nov 2014
- Investment sought:
- Equity offered:
We are Crua Outdoors - Join our 736 existing Seedrs shareholders on this exciting journey.
Crua is a product design and development company, specialising the design of unique (patent pending) equipment for the recreational and industrial (Oil and Gas) markets.
We already successfully sell products into both sectors in the following ways:
1. Recreational Market:
Unique insulated tents and hammocks for the Outdoor Recreation industry. We sell ‘Direct to Consumer’ via our website and carefully selected third party retailers, such as Amazon, Outnorth and Moosejaw – among others. We have also built our own proprietary ‘Augment Reality’ and ‘Build Your Own’ technology.
2. Oil and Gas Industry
Blast resistant fabric structures for the Oil and Gas Industry. Our ‘Crua Haven’ is a pioneering safety-first shelter which keeps workers safe in the Blast Zone, and increases site productivity.
We believe traditional tents and industrial fabric structures are not fit for purpose. As outdoors enthusiasts, we wanted a tent to be a home-like, comfortable environment that regulated heat, sound and light. In a moment of freezing clarity, we realized that we were going to have to build it ourselves.
At Crua Outdoors & Crua Industrial (trading names of Thermo Tents Ltd.) we have turned the whole 'outdoors living' experience on its head, by developing what we understand to be the world's very first thermally and acoustically insulated tent or camping system, through the use of our (patent-pending) multi-layer design and new technology.
Over the last 12 months, we have also developed, built and delivered a number of 'blast resistant' and insulated tents for the Oil and Gas industry.
Crua develops its own bespoke marketing tools (based around 'Augmented Reality' and 'Build Your Own') to help us sell direct to consumer. Our sales strategy is based on proven eCommerce principles.
Recreational Market – Market 1
Crua has evolved from 'The Crowd'. Community is at the core of everything we do. Having completed nine successful crowdfunding campaigns, we want to expand our community much further. We have progressed from product development through sales growth and market expansion. Now we want your help to leverage new opportunities and to help us realise the enormous potential of both the outdoor recreational and E&P markets. We have proven the demand, and now we're planning to scale rapidly.
We are creating what we believe is the world’s best thermally insulated tents, hammocks and fabric structures to allow people to remove boundaries for their camping adventures. We do this by creating comfortable tents for all seasons, for any terrain, and for any type of camping user - from novice to advanced.
Most of us love being outdoors. But one of the main concerns that people have about enjoying the outdoors is the lack of a good night's sleep. Once temperatures drop or rise outside, conventional tents do the same and become very uncomfortable. Also, when camping in a busy campsite or noisy area, one can find it hard to sleep due to the constant racket. And dreams of the romantic getaway or the great family camping adventure remain just that, dreams. Until now.
Our customers love our tents – just check the feedback:
We have a growing global ambassador network, which helps with persuasion marketing. These ambassadors are typically customers that become fans. And word of mouth is the most effective form of marketing.
And we have only scratched the surface, so we're preparing to scale right now.
Industrial Market – Market 2 -- Industrial Blast Proof Shelters
Having worked with partners in Oil and Gas industry we have identified significant gaps in the design and development of safe & comfortable fabric buildings - in Oil and Gas for instance. We've solved the problem by developing the Blast Proof Crua Haven. And we've already sold these to Blue Chip E&P customers in the USA and Saudi Arabia. Timing is perfect as the E&P market is just starting to set itself up for substantial growth.
We have literally just begun. By capitalising the business now, it means that we can take advantage of the enormous opportunity that has presented itself.
Substantial accomplishments to date
✓ Nearly trebling revenues in 2018 vs 2017.
✓ Posting c. $1.5 million revenues in 2018.
✓ 10,000+ customers in over 50 countries.
✓ March '19 website sales up 2.11 times on March '18.
✓ Now a member of American Petroleum Institute committee which is responsible for Blast Tent design.
✓ 1 product launch completed in 2019 with 3 more scheduled.
✓ Brand new distribution agreements in place.
✓ Partnerships Built:
• Klarna payments – to enable multi stage payments.
• Blue Forest - Japanese distribution.
• Oru Kayak and Yeti Coolers – Aggregated marketing partners to create brilliant campaigns leveraging the customer base of others.
• Moosejaw/Walmart/Amazon/Cabela's – Approved for listing on some of the best and most well known US retail sites.
• Distribution in ANZ market now in place.
✓ Crua industrial was born March 2018.
• 4 insulated & 'blast resistant' shelters sold and delivered to 'Blue Chip' customers from Oil and Gas.
• Being considered for a $4.9m contract with Bechtel Corp in 2019.
✓ Superb service ratings. 'Excellent' (9.4/10) rating on Trust Pilot.
✓ Now a Management team with significant and demonstrable track records in relevant disciplines assembled, including eCommerce and NPIs.
✓ Developed bespoke Augmented Reality technology in-house, specifically for our eCommerce.
✓ Complete website redesign in Q1 2019.
✓ Products tested and validated by the Federal Bureau of Investigation in the USA.
✓ Enterprise Ireland High Potential Start-Up.
✓ Voted among 100 Hot Start Ups by Sunday Business Post.
✓ Nine successful crowdfunding campaigns, including five successful product launches.
As we are a product based company, our profits come from sales of Crua products, primarily across North America, The UK, Europe, and beyond. Our products are currently manufactured by third parties, although we have brought some prototyping in-house.
We attain a minimum of 50% gross margin across the business as we know we need this to maintain a sustainable and growing business. As our sales become more omni-channel we will adjust pricing to ensure a minimum of 50% is achieved.
Recreational: We sell both B2C (online) and B2B (through strategically chosen retailer such as Cabela’s and Outnorth).
Industrial: We sell B2B, either to end user or facilities supplier.
Military: We plan to sell B2B through Aspetto Inc, a registered US Military supplier.
As sales volumes increase, we anticipate that margins will further increase by nearly 10%, once process efficiencies are achieved, however it is important that quality and unique design remains the main objective through the short-term. This is critical to our customer acquisition strategy.
Use of proceeds
At least one critical hire - we will hire a Full-Time Product Design Engineer.
Increased marketing efforts in line with growth strategy (including ambassador program, content creation etc.)
Increase of 'Omni-Channel' sales partners and integrations.
Increased digital advertising activity.
Building of further collaborations suitable partners within both markets.
Assistance with stock order for 2019/2020.
Four New Product Introductions – broaden the range and increase up-sell / cross sell opportunities.
New Blast Tent development in line with requests.
On-going development of both websites, including further Augmented Reality additions and 'Build Your Own' technology.
Continued IP protection.
Continued website development.
Last year we turned down a significant investment offer from a large VC fund, because they wanted preferences over our Seedrs investors. Crua has evolved from 'The Crowd'. Our community is the core of everything we do.
We regularly engage with our 736 Seedrs investors and our 10,000+ customers. They are our community. Our colleagues and friends. The heart and soul of what we do. And we’re sticking with you, because you have gotten the company to where it is.
This is your chance to join our community and to benefit from being a part owner in Crua. We’ve very big plans, and we’re just getting warmed up. Very, very exciting times lie ahead.
Outstanding Convertible Investments
Investors should note that the company has an outstanding investment that may convert to equity (and dilute existing shareholders):
ENTERPRISE IRELAND CONVERTIBLE PREFERENCE SHARES
Enterprise Ireland have invested €250,000 in the form of Cumulative Convertible Redeemable Preference shares. These shares carry the following rights:
• A cumulative and preferential dividend equal to 3% of the investment per year. The dividend will only be paid if the shares are redeemed or on a return of capital to shareholders of the company, without conversion of the shares to ordinary equity.
• The preference shares are convertible into ordinary equity if the Company raises €250,000 or more from a VC or other institutional investor within 5 years. They will then convert at the same price as the qualifying investment, subject to a discount ranging from 15% to 55% depending on the time at which the qualifying investment takes place.