The Funky Iron Company
- Investment sought:
- Equity offered:
We are shaking up the electric steam iron market by creating a brand with style, attitude, and individuality through product design, innovation, functionality, and customer experience.
Our Funky Iron performed really strongly on test and met the rigorous standards of the Good Housekeeping Institute and is now a “Good Housekeeping Institute 2019 Approved” product. We are already selling successfully (6.75% conversion rate) on Amazon having only launched at the end of November 2018. We also sell via our own website www.thefunkyironcompany.com
One of the UK's biggest distributors wanted to partner with us from the off, but we have delayed this as we want to control the launch of our product. We have received a lot of international interest.
We are very excited about the future, we aim to apply the exact same approach with the Funky Iron design to other small domestic appliances, but only once the business is profitable and successful.
The insight and inspiration for the brand came in one of those eureka moments: we asked ourselves why all irons look and feel the same despite there being so much good design available in the household goods category. We questioned why there wasn’t something more stylish on the market, when nowadays ‘design’ in all aspects of the home and other consumables plays such a large part.
We researched the market and discovered the category was highly fragmented – there is a good number of known brands (Tefal, Philips, Rowenta, Russell Hobbs, Breville, Braun, Bosch, Morphy Richards and JML), that there was high product penetration and a sensible product replacement cycle (typically every 3 years).
It struck us that a product with superior or comparative functionality and distinctive design, aligned with a strong brand personality and product offer, we could capture people’s attention and build a strong market share.
Substantial accomplishments to date
In January 2017 our Round 1 on Seedrs overfunded to 138%. In November 2017, our Round 2 overfunded to 127%. Joe has been to China 5 times in 2 years to meet the production team and oversee the phases of product development - including the first manufacturing run. In total, the Funky Iron went through several phases of prototyping, and at each stage, Joe, Sadie and the Management Team assessed the product. The timeline saw many parts of the Funky Iron upgraded. The product received full CB certification in September 2018.
In December 2018, we sent one to the testing team at The Good Housekeeping Institute. The Funky Iron performed really strongly on test and met the rigorous standards of the Good Housekeeping Institute and is now a “Good Housekeeping Institute 2019 Approved” product.
LSM Global, the Amazon agency who manage our Amazon sales, have quoted that our first two months of growth have been one of the most impressive they’ve seen for a brand new, single SKU product and business.
After 6 weeks on Amazon, the product had got to number 22 best seller in the list of all irons and was number 22 again on 5th February 2019. The Funky Iron was an “Amazon’s Choice” product and online conversion rates have reached 6.75%. Over 95% reviews on our website are 5 Star. On Amazon, we have a 4.6 out of 5 stars rating.
Having started trading at the end of November 2018, we are already generating revenue and have several hundred customers in the first 8 weeks. Our Funky Irons retail for £69.99 and are available from our website and our dedicated store on Amazon. We plan to widen the sales channels significantly as the year progresses to include other online channels (ebay), major high street retailers, television shopping channels and international retailers and/or distributors.
We have already turned down the offer of distribution from one of the UK’s biggest distributors and this week (18th January 19) we have had two further approaches from UK distributors. We have a meeting on 12th February 19 with Ideal World TV, who approached us to discuss featuring on their show.
Use of proceeds
Funds will be used for PR, Marketing and Advertising, both Digital and In Store POS as well as ad hoc exhibitions (circa 20%). The money will also be used to fund new stock orders and the internationalisation of the product (circa 30%). With organic growth without this investment the repeat order lead time would be much longer - so this investment accelerates the progress of the company.
The proceeds will also fund range diversification into other ironing products to increase the credibility of “The Funky Iron Company” (circa 20%). This Round 3 will fund the day to day operational costs of the business until the business is profitable (circa 30%). In summary, this funding round will allow us to take advantage of the opportunity we have created and make The Funky Iron Company famous in the Small Domestic Appliance market.
Please note, the company currently has an outstanding loan worth £25,000 and a directors loan worth £16,984.44. These loans will not be repaid from funds raised on Seedrs.