Marathon Laundry Machines Pitch

12
Glenn Reid, CEO [email protected] (650) 898-7343

Transcript of Marathon Laundry Machines Pitch

Page 1: Marathon Laundry Machines Pitch

Glenn Reid, CEO [email protected] (650) 898-7343

Page 2: Marathon Laundry Machines Pitch

New Era of Self-Washing Clothes

Washes & Dries Internet + Cloud Smart Automation

Disruptive technology that’s 70 years overdue.

Washes and dries your clothes in

one machine - quickly & efficiently.

State-of-the-art mobile and cloud solutions for tracking and managing

not just the laundry, but the availability of machines, history of use, energy consumption, and true

data-driven management.

Silicon Valley learning algorithms/AI deliver real value

in a thoughtful, energy-efficient, connected appliance.

Your average washing machine has technology inside it that dates from oh, around the 1980's or so. Marathon Laundry Machines are a bit like the cars that Tesla Motors has developed — not just smart and thoughtful, but with real computers, full-time internet connectivity, and a team of award-winning software engineers coming up with great ideas.

Page 3: Marathon Laundry Machines Pitch

$6B Dryers $2.5B Millennial Target Market 8% spike in buying by new homeowners and new families - age 31

$8B Washers

$14B Market

Page 4: Marathon Laundry Machines Pitch

“The Tesla of Appliances…”

OEM Washer Silicon Valley Magic Awesome

We start with existing technology, retrofit, do a brain transplant, add a touch screen and Wifi. It’s straightforward to manufacture, easy parts availability and high-tech predictive maintenance. Our retrofit strategy minimizes cost, maximizes flexibility and software.

-Wired Magazine

Page 5: Marathon Laundry Machines Pitch

Forecasts

$48M in Revenue by year end 2017

DataforChartsUnitShipments

2016 2017 20182016F 2017F 2018F BigBox 0 18,700 166,700

NetRevenues 113,905$ 21,001,980$ 159,751,810$ LocalRetailer - 485 600GrossProfit (27,615) 3,880,808 27,604,620 Direct - 2,300 3,000GrossMargin% -24% 18% 17% Pre-Orders 100 - -

TotalOpex 686,521 2,774,499 7,660,272OperatingIncome (714,136) 1,106,309 19,944,348 GrossRevenueOperatingMargin% -627% 5% 12% 2016 2017 2018

BigBox -$ 18,312,910$ 163,249,310$LocalRetailer -$ 576,738$ 713,490$ Direct -$ 3,217,700$ 4,197,000$

Pre-Orders 119,900$ -$ -$ 12/31/16F 12/31/17F 12/31/18F

Cash 39,496$ 2,076,780$ 13,000,856$Inventory 106,250 243,750 243,750TotalAssets 247,203 13,601,871 42,162,178TotalCurrentLiabilities 156,103 8,121,462 16,737,421TotalDebtInclSharesholderNotes 717,000 - -CumCapitalRaised 973,000 5,256,000 5,256,000

2016F 2017F 2018FUnitShipments 100 21,485 170,300CumulativeUnitsShipped 100 21,585 191,885AvgSellingPrice 1,199$ 1,029$ 987$ AvgGPperUnit (276)$ 181$ 162$

TotalHeadcount* 8 27 43*Excludingcontractassemblylabor

SummaryIncomeStatement

SummaryBalanceSheet

KeyStats

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

2016 2017 2018

GrossProductRevenue

Pre-Orders Direct LocalRetailer BigBox

020,00040,00060,00080,000100,000120,000140,000160,000180,000

2016 2017 2018

UnitShipments

Pre-Orders Direct LocalRetailer BigBox

DataforChartsUnitShipments

2016 2017 20182016F 2017F 2018F BigBox 0 18,700 166,700

NetRevenues 113,905$ 21,001,980$ 159,751,810$ LocalRetailer - 485 600GrossProfit (27,615) 3,880,808 27,604,620 Direct - 2,300 3,000GrossMargin% -24% 18% 17% Pre-Orders 100 - -

TotalOpex 686,521 2,774,499 7,660,272OperatingIncome (714,136) 1,106,309 19,944,348 GrossRevenueOperatingMargin% -627% 5% 12% 2016 2017 2018

BigBox -$ 18,312,910$ 163,249,310$LocalRetailer -$ 576,738$ 713,490$ Direct -$ 3,217,700$ 4,197,000$

Pre-Orders 119,900$ -$ -$ 12/31/16F 12/31/17F 12/31/18F

Cash 39,496$ 2,076,780$ 13,000,856$Inventory 106,250 243,750 243,750TotalAssets 247,203 13,601,871 42,162,178TotalCurrentLiabilities 156,103 8,121,462 16,737,421TotalDebtInclSharesholderNotes 717,000 - -CumCapitalRaised 973,000 5,256,000 5,256,000

2016F 2017F 2018FUnitShipments 100 21,485 170,300CumulativeUnitsShipped 100 21,585 191,885AvgSellingPrice 1,199$ 1,029$ 987$ AvgGPperUnit (276)$ 181$ 162$

TotalHeadcount* 8 27 43*Excludingcontractassemblylabor

SummaryIncomeStatement

SummaryBalanceSheet

KeyStats

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

2016 2017 2018

GrossProductRevenue

Pre-Orders Direct LocalRetailer BigBox

020,00040,00060,00080,000100,000120,000140,000160,000180,000

2016 2017 2018

UnitShipments

Pre-Orders Direct LocalRetailer BigBox

Page 6: Marathon Laundry Machines Pitch

Financials

Break-even cash flow Q1 2017

DataforChartsUnitShipments

2016 2017 20182016F 2017F 2018F BigBox 0 18,700 166,700

NetRevenues 113,905$ 21,001,980$ 159,751,810$ LocalRetailer - 485 600GrossProfit (27,615) 3,880,808 27,604,620 Direct - 2,300 3,000GrossMargin% -24% 18% 17% Pre-Orders 100 - -

TotalOpex 686,521 2,774,499 7,660,272OperatingIncome (714,136) 1,106,309 19,944,348 GrossRevenueOperatingMargin% -627% 5% 12% 2016 2017 2018

BigBox -$ 18,312,910$ 163,249,310$LocalRetailer -$ 576,738$ 713,490$ Direct -$ 3,217,700$ 4,197,000$

Pre-Orders 119,900$ -$ -$ 12/31/16F 12/31/17F 12/31/18F

Cash 39,496$ 2,076,780$ 13,000,856$Inventory 106,250 243,750 243,750TotalAssets 247,203 13,601,871 42,162,178TotalCurrentLiabilities 156,103 8,121,462 16,737,421TotalDebtInclSharesholderNotes 717,000 - -CumCapitalRaised 973,000 5,256,000 5,256,000

2016F 2017F 2018FUnitShipments 100 21,485 170,300CumulativeUnitsShipped 100 21,585 191,885AvgSellingPrice 1,199$ 1,029$ 987$ AvgGPperUnit (276)$ 181$ 162$

TotalHeadcount* 8 27 43*Excludingcontractassemblylabor

SummaryIncomeStatement

SummaryBalanceSheet

KeyStats

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

2016 2017 2018

GrossProductRevenue

Pre-Orders Direct LocalRetailer BigBox

020,00040,00060,00080,000100,000120,000140,000160,000180,000

2016 2017 2018

UnitShipments

Pre-Orders Direct LocalRetailer BigBox

DataforChartsUnitShipments

2016 2017 20182016F 2017F 2018F BigBox 0 18,700 166,700

NetRevenues 113,905$ 21,001,980$ 159,751,810$ LocalRetailer - 485 600GrossProfit (27,615) 3,880,808 27,604,620 Direct - 2,300 3,000GrossMargin% -24% 18% 17% Pre-Orders 100 - -

TotalOpex 686,521 2,774,499 7,660,272OperatingIncome (714,136) 1,106,309 19,944,348 GrossRevenueOperatingMargin% -627% 5% 12% 2016 2017 2018

BigBox -$ 18,312,910$ 163,249,310$LocalRetailer -$ 576,738$ 713,490$ Direct -$ 3,217,700$ 4,197,000$

Pre-Orders 119,900$ -$ -$ 12/31/16F 12/31/17F 12/31/18F

Cash 39,496$ 2,076,780$ 13,000,856$Inventory 106,250 243,750 243,750TotalAssets 247,203 13,601,871 42,162,178TotalCurrentLiabilities 156,103 8,121,462 16,737,421TotalDebtInclSharesholderNotes 717,000 - -CumCapitalRaised 973,000 5,256,000 5,256,000

2016F 2017F 2018FUnitShipments 100 21,485 170,300CumulativeUnitsShipped 100 21,585 191,885AvgSellingPrice 1,199$ 1,029$ 987$ AvgGPperUnit (276)$ 181$ 162$

TotalHeadcount* 8 27 43*Excludingcontractassemblylabor

SummaryIncomeStatement

SummaryBalanceSheet

KeyStats

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

2016 2017 2018

GrossProductRevenue

Pre-Orders Direct LocalRetailer BigBox

020,00040,00060,00080,000100,000120,000140,000160,000180,000

2016 2017 2018

UnitShipments

Pre-Orders Direct LocalRetailer BigBox

DataforChartsUnitShipments

2016 2017 20182016F 2017F 2018F BigBox 0 18,700 166,700

NetRevenues 113,905$ 21,001,980$ 159,751,810$ LocalRetailer - 485 600GrossProfit (27,615) 3,880,808 27,604,620 Direct - 2,300 3,000GrossMargin% -24% 18% 17% Pre-Orders 100 - -

TotalOpex 686,521 2,774,499 7,660,272OperatingIncome (714,136) 1,106,309 19,944,348 GrossRevenueOperatingMargin% -627% 5% 12% 2016 2017 2018

BigBox -$ 18,312,910$ 163,249,310$LocalRetailer -$ 576,738$ 713,490$ Direct -$ 3,217,700$ 4,197,000$

Pre-Orders 119,900$ -$ -$ 12/31/16F 12/31/17F 12/31/18F

Cash 39,496$ 2,076,780$ 13,000,856$Inventory 106,250 243,750 243,750TotalAssets 247,203 13,601,871 42,162,178TotalCurrentLiabilities 156,103 8,121,462 16,737,421TotalDebtInclSharesholderNotes 717,000 - -CumCapitalRaised 973,000 5,256,000 5,256,000

2016F 2017F 2018FUnitShipments 100 21,485 170,300CumulativeUnitsShipped 100 21,585 191,885AvgSellingPrice 1,199$ 1,029$ 987$ AvgGPperUnit (276)$ 181$ 162$

TotalHeadcount* 8 27 43*Excludingcontractassemblylabor

SummaryIncomeStatement

SummaryBalanceSheet

KeyStats

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

2016 2017 2018

GrossProductRevenue

Pre-Orders Direct LocalRetailer BigBox

020,00040,00060,00080,000100,000120,000140,000160,000180,000

2016 2017 2018

UnitShipments

Pre-Orders Direct LocalRetailer BigBox

Page 7: Marathon Laundry Machines Pitch

Leadership

Derek Blazensky Board Member

26 years of venture capital

experience, founding partner of Cardinal Venture Capital

and managed venture investments for Adobe Ventures.

Sina Tamaddon Investor / Advisor

Senior Vice President,

Applications, joined Apple in September 1997. Mr.

Tamaddon has also served as special advisor to the CEO.

Glenn Reid CEO

Apple (iMovie, iPhoto),

startup with successful 21x exit, and software and

mechanical engineering expertise.

Kim Lakin VP Marketing, Bus Dev

Partnered with some of the nation's most well-known

brands and led cross-functional teams including

Marketing, Brand Management, Design and

Purchasing.

Page 8: Marathon Laundry Machines Pitch

Alison Polkinhorne Customer Support

Serial start-up player with 30+

years of experience in high tech at Sun Microsystems (1983), Ardent Computer,

NVidia, Vitoria and DigiSight (2016).

Team

Giovanna Baffico Design Director

A gifted visual thinker with a

background in fashion design, color theory, textiles, and everything related to the clothing we wash in our

machines.

Steve Dussé VP Engineering

An MIT-educated electrical

engineer with a career in engineering management at

Logitech, aerospace, RSA security, and everything in

between.

Page 9: Marathon Laundry Machines Pitch

Milestones

●  Marathon Laundry Machine wins Digital Trends Top Tech Award / Home Appliance CES 2016 ●  3 patents pending

●  Surpassed $200,000 in pre-orders from customers in 28 states.

●  Signed distribution deal with Sears Holdings, in negotiation with Lowes, Home Depot and

regional distributors. ●  Inked manufacturing agreement with major appliance manufacturer.

●  First to market for collecting consumer data in the appliance space

Page 10: Marathon Laundry Machines Pitch

Press We are getting a lot of attention. We love it.

Page 11: Marathon Laundry Machines Pitch

Raising $1M

Seed (Equity)

at a $1M pre-money valuation

Use of Funds

●  Ship Product, fulfill preorders ●  Talent acquisition for support and growth team ●  Secure patents ●  $48.7M revenue (48k machines) by end of 2017 ●  14,976,000 loads of laundry done!

$1,000,000

Page 12: Marathon Laundry Machines Pitch

Glenn Reid, CEO [email protected] (650) 898-7343