Disrupting the $40 billion EdTech market with educational tech products and reaching girls through a unique verbal-emotive curriculum, robots and apps in math, coding and technology.
SmartGurlz™ is a brand new line of friendly coding robots and action dolls that engage girls ages 6 and up in Science, Technology, Engineering and Math (STEM). Connected via smartphone or tablet, this coding robot plunges girls into the heart of the action and allows for hours and hours of play, fun and learning.
Disrupting the $40 billion EdTech market with educational tech products while reaching girls through a unique verbal-emotive curriculum, robots and apps featuring math, coding and technology. SmartGurlz™ takes young ladies from zero to coding in 60 seconds!
Worldwide, there is a shortage of STEM professionals, and women are not engaging in STEM subjects. The gender gap begins early, with girls beginning to self-select away by age 11 due to a lack of confidence and interest.
The time is right for SmartGurlz™. Backed by research to show that in order to engage more young girls, we need to address their preferred learning styles and brain function, SmartGurlz™ is more than just a fast-growing company, we're a movement of loyal customers who believe that girls need more than just exposure. They want tailored products that excite, ignite and engage.
The company was launched under the premise that a one-size-fits-all educational industry was failing our young girls in math and science. Studies into the brain show that play patterns including stories, art, music, creativity and cooperation (instead of competition) are better suited to engage girls and young women.
SmartGurlz™ is a bridge between the two worlds of story-based play and technology.
ABC's Shark Tank (Daymond John): "SmartGurlz will change the future, I am in."
CNN: "SmartGurlz is a cool gadget that teases the future."
Forbes: "SmartGurlz....gives a verbal lesson in brain development in girls and boys, with the latter developing grey matter that thrives on spatial reasoning, and the former, excelling in verbal and social skills."
A software and hardware platform that connects verbal-emotive thinking with coding robots, taking girls from zero to coding in 60 seconds.
The Target Customer: Girls between the age of 5 and 12 years old.
The first product is an app-controlled, self-balancing scooter with action character and learning app, SugarCoded that has self-paced tutorials, ebooks, games and missions. The company will also launch a subscription model with additional apps, AR games and physical toys that are tailored to this audience and build on the first robotic purchase.
We also have original content in character books and our brand strategy will be building a licensing revenue based on our mission of girl empowerment.
In addition, SmartGurlz™ has been approached by Nickelodeon, Walmart and Warner Bros. to support existing content or brand franchises with coding products and apps.
The U.S. education market is estimated to be about $1.3 trillion dollars with K-12: ~$670 billion. Edtech companies have a total worth of more than $8 billion of this space and parents' spend is growing each year.
Recent changes in federal and state educational standards will require that children are proficient in computer science and other STEM-related curriculum, and moving forward both parents and schools will be pressed to find engaging solutions for young learners. Major companies such as Microsoft, Ford, Apple, Adobe and Uber are investing heavily in programs to encourage more girls and women into STEM. While girls are natural born scientists, statistics show that most girls lean away from STEM by age 11 and less than 7% of women graduate with STEM degrees. We believe this is due to teaching methods.
MGA Entertainment has a DIY STEM brand addressing pre-teen girls, however this offers no coding curriculum. Specifically on the coding robot category – Wonder Workshop, Sphero, Little Bits and Root Robotics are competitors but offer no products aimed at girls.
These products are either masculine or gender neutral, target a higher income audience with prices at $150+ and are currently not adequately addressing our target audience.
SmartGurlz™ has unique creative competencies in curriculum, growing influencer base and profitable niche market that many larger players have not entered. Patent, design patents, trademarks, IP security measures (trade secrets) and copyright applications have been filed to protect core technology.
SmartGurlz’ curriculum approach is evidence-based and has generated returns: we've been able to efficiently allocate resources from our first Angel raise ($.6M) toward marketing and bring our sales up from $106,000 in 2016 to $765,000 in 2017, calculating a compounded annual growth rate of 620%. Additionally, SmartGurlz™ continues to acquire customers, recently adding the Girl Scouts of America as new wholesale customer.
620% revenue growth 2016 - 2017May, 2016
Filed U.S. and international patents on designNovember, 2017
Aired on ABC's Shark Tank and received offer from Daymond JohnNovember, 2017
Distribution channels include Amazon, Walmart, and Learning ExpressFebruary, 2018
Partnered with Girl Scouts, BlackGirlsCode, Google, and moreApril, 2018
All products and IP are developed by SG and SG has signed a manufacturing agreement with LongShore in China, where production and quality approval system has been set up. Production capacity is more than 500,000 products a year. Products are purchased, MOQ 25.000 products, and shipped by sea to The Choon's Design (Rainbow Loom) warehouse in Detroit, from where distribution takes place to direct customers or larger online outlets such as Amazon and Walmart.com.
Our major activities will be focused on increasing market share with awareness marketing. We have a contest, a viral video, several educational/marketing videos for social media planned. This year, we will launch a new male character as well as accessories. In addition, we are really excited about a new subscription model we are planning that includes a monthly SmartGurlz pouch with new activities, maps and learning exercises. In addition, Walmart has requested 2 new custom-made retail products for 2019.
We are really interested in making a line of wearable products, headbands, codeable bracelets, codable clothing for girls/kids. We’ve just launched our curriculum programme - launching at the ISTE conference in June it will be linked to the core curriculum of US coding standards. We are also super excited that Apple Retail stores are talking to us about a potential deal.
We will probably be acquired by either a toy, robotics, or education company. Several have already shown interest.
The reviewing CPA has included a “going concern” note in the reviewed financials. The Company has incurred losses from inception of $853,964 which, among other factors, raises substantial doubt about the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent upon management's plans to raise additional capital from the issuance of debt or the sale of stock, its ability to commence profitable sales of its flagship product, and its ability to generate positive operational cash flow. The accompanying financial statements do not include any adjustments that might be required should the Company be unable to continue as a going concern.
We have not prepared any audited financial statements. Therefore, you have no audited financial information regarding the Company’s capitalization or assets or liabilities on which to make your investment decision. If you feel the information provided is insufficient, you should not invest in the Company.
The Company was originally formed as a foreign company, operating overseas and headquartered in Denmark, which may pose unknown risks. To the extent the Company continues operations overseas, it is subject to foreign laws and regulations regarding privacy, data protection, and other matters. Foreign data protection, privacy, and other laws and regulations are often more restrictive than those in the United States. These foreign laws and regulations are evolving and can be subject to significant change. In addition, the application and interpretation of these laws and regulations are often uncertain.
Cyclical and seasonal fluctuations in the economy and in traditional retail shopping may have an effect on our business. Both cyclical and seasonal fluctuations in traditional retail seasonality may affect our business. These seasonal trends may cause fluctuations in our quarterly results, including fluctuations in revenues.
The Company’s cash position is relatively weak. The Company currently has only $33,127 in cash balances as of December 31, 2017. The Company could be harmed if it is unable to meet its cash demands, and the Company may not be able to continue operations if they are not able to raise additional funds.
The Company may be unable to maintain, promote, and grow its brand through marketing and communications strategies. It may prove difficult for the Company to dramatically increase the number of customers that it serves or to establish itself as a well-known brand in the competitive recruitment space. Additionally, the product may be in a market where customers will not have brand loyalty.
The Company has indicated that it has engaged in certain transactions with related persons. Please see the section of this Memorandum entitled "Transactions with Related Persons and Conflicts of Interest" for further details.
The Company has a manufacturing contract with a company that manufactures the product in China. There is the potential that the company could experience manufacturing difficulties and have trouble shipping on time as a result. If the Company uses a single or limited number of suppliers, they may be at risk of shortage, price increases, changes, delay, or discontinuation of key components, which could disrupt and adversely affect its business.
The development and commercialization of our products and services are highly competitive. We face competition with respect to any products and services that we may seek to develop or commercialize in the future. Our competitors include major companies worldwide. Many of our competitors have significantly greater financial, technical and human resources than we have and superior expertise in research and development and marketing approved services and thus may be better equipped than us to develop and commercialize services. These competitors also compete with us in recruiting and retaining qualified personnel and acquiring technologies. Smaller or early stage companies may also prove to be significant competitors, particularly through collaborative arrangements with large and established companies. Accordingly, our competitors may commercialize products more rapidly or effectively than we are able to, which would adversely affect our competitive position, the likelihood that our services will achieve initial market acceptance and our ability to generate meaningful additional revenues from our products and services.
The Company’s success depends on the experience and skill of the board of directors, its executive officers and key employees. In particular, the Company is dependent on Sharmi Albrechtsen and Jesper Nissen. There can be no assurance that they will continue to be employed by the Company for a particular period of time. The loss of our key employees or any member of the board of directors or executive officer could harm the Company’s business, financial condition, cash flow and results of operations.
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Your shares are not easily transferable. You should not plan on being able to readily transfer and/or resell your security. Currently there is no market or liquidity for these shares and the company does not have any plans to list these shares on an exchange or other secondary market. At some point the company may choose to do so, but until then you should plan to hold your investment for a significant period of time before a “liquidation event” occurs. A “liquidation event” is when the company either lists their shares on an exchange, is acquired, or goes bankrupt.
The Company may not pay dividends for the foreseeable future. Unless otherwise specified in the offering documents and subject to state law, you are not entitled to receive any dividends on your interest in the Company. Accordingly, any potential investor who anticipates the need for current dividends or income from an investment should not purchase any of the securities offered on the Site.
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