The Funky Appliance Company
- Investment sought:
- Equity offered:
In Q4 of 2019, one of the world’s leaders in small domestic appliances business wanted to buy our business outright. They told us that the work which had gone into building our business was admirable and that there is no doubt that the designs created on all products have a true stand out. They wouldn’t meet our buy price, so we told them that we would be concentrating on growing our business in 2020.
We believe that we have an outstanding opportunity. We have received great interest in our business. A leading UK retailer would like to roll out all three of our products in 2020 and in order for this to happen, we need to raise the capital quickly to pay for the tooling and moulds for the new Funky Kettle and Funky Toaster.
We have received many enquiries from international businesses who are keen to represent us overseas. We are looking forward to progressing these discussions at the world’s largest consumer goods show, Ambiente 2020 in Frankfurt from the 7th to the 11th February.
The original insight and inspiration for the brand came in one of those eureka moments: we asked ourselves why all irons look and feel the same. We questioned why we couldn't find something more stylish on the market.
It struck us that a product with superior or comparative functionality and distinctive design, aligned with a strong brand personality could capture people’s attention and build market share. Having successfully launched the Funky Iron, we were keen to widen our product range as soon as possible. Lead investors, ex CEO’s of large appliance businesses and retail buyers encouraged us to strengthen our product offering as soon as possible and after 12 months of work on the new Funky Kettle and Funky Toaster, both products are ready to go into full development.
Substantial accomplishments to date
We have had three previous successful campaigns on Seedrs.
Two in 2017 and one in 2019.
Our debut product The Funky Iron received the status of “Good Housekeeping Institute Approved 2019”.
Two leading UK retailers are discussing rolling out our three new products to over 100 stores and online in 2020.
The world’s largest small domestic appliances business wanted to buy our business outright in Quarter 4 2019.
We have received significant international interest in our new product range and believe we can convert this interest at Ambiente 2020 in Frankfurt.
The In The Press page on our website https://www.funkyappliance.co/blogs/in-the-press will show how much press coverage we have achieved to date, and this is before the Funky Kettle and Funky Toaster have been introduced.
Having started trading in December 2018, we sold out of our Funky Iron in October 2019. Since then we have been working on a new and even better Funky Iron which will launch in the UK in Q2 2020. In 2020, we will sell via our website www.funkyappliance.co and dedicated Amazon and eBay stores. In addition to this, we expect to finalise arrangements with at least two large UK retailers which will see the new product range go into over 100 stores and online. We also expect to appoint international distributors in 2020.
Use of proceeds
This round is to specifically fund the tooling and moulds of the new Funky Kettle and Funky Toaster, including the certification of both of these products, so that we are able to bring them to market in a timely fashion. We estimate that the total cost of achieving this is £100,000. The breakdown of these costs can be seen on page 18 of the Pitchbook. As well as this private round on Seedrs, we plan to appoint a leading corporate finance company in London to help raise a target of £1m in investment in Q2 2020. After Seedrs fees are subtracted from this private round, the balance of capital will be used for working capital until such time as the larger investment round concludes.