Lustro Comments

Discuss this Deal with other Investors

Teeccino

The #1 best-selling and most-loved coffee alternative

Print
Claim My Business
Security Type
Common Stock
Categories
Retail, Consumer Goods & Products, Food & Bev, Healthcare & Medical, Other, Food & Beverage, Health & Fitness
Min Investment
$250
Location
Oxnard, CA
Expected Close Date
April 29, 2024
Target Raise
$250.00K-$1.23M
No. Investors
412
Security Price
$3.09
Valuation
$33,948,000
Website
teeccino.com
Number of Employees
40
Cash
$485,269
Revenue
$13,048,331
Short Term Debt
$1,137,981
Cost of Goods
$4,671,243
Long Term Debt
$3,611,715
Net Income
$28,632

Company Description

Teeccino is an herbal coffee and tea brand. It is the gateway beverage to a healthier, caffeine-free life—with all the satisfaction and authenticity that coffee and tea drinkers crave. The company packs its chicory and other ingredients under the Worldwide Botanicals brand in order to gain more sales on Amazon.

Teeccino is a delicious blend of organic herbs like chicory, carob, dandelion, and ramón seeds plus fruits and nuts that are roasted and ground to brew like coffee or steep like tea. All the products contain the highest quality ingredients without any artificial flavors, preservatives, chemicals, or stimulants like caffeine and sugar. A cup of Teeccino brims with many health benefits including natural energy from nutrients, heart-healthy potassium, and prebiotic inulin. Teeccino's all-purpose grind can be brewed in any kind of coffee maker and its tea bags are convenient, easy to use, and preferred by tea customers. It comes in 40+ blends that meet the desires of both coffee and tea drinkers for a wide variety of flavors, different lifestyle requirements, and functional effects. Teeccino has 5 blend collections: Maya Blends, Mediterranean Blends, Dandelion Blends, Mushroom Adaptogen Blends and Prebiotic SuperBoost. The products are priced between $12-$20. The products lie at the interaction of 4 major markets, including the coffee market ($450B), functional beverages market ($118B), tea market ($220B), and organic food and beverage market ($227B). The competition is high with various niche players in each market segment and category. Its products compete with all coffee and tea products of much larger and substantially better-financed competitors, including the products of numerous nationally and internationally known producers such as the Starbucks Coffee Company, Celestial Seasonings, Four Sigmatics, Traditional Medicinal, Mud/Wtr, and others. There are many smaller competitors as well. The company has 4 distribution channels - grocery, D2C, e-commerce, and global distribution in 6 countries (launch in UK & EU under progress).

The products have 20k+ reviews and 5-star ratings on Amazon and the company’s own website. It was rated the #1 coffee alternative brand on Amazon with $13M trailing twelve months of revenue. To date, 100+ million cups have been served & 10+ million packages have been sold. Distributors include 4,000 major retailers, including Whole Foods, Sprouts & Wegmans. The product outperforms Amazon competitors with 46% better ROAS & 40% higher repeat purchase rate. In addition, over 12% of Teeccino Amazon customers purchase 10 or more times per year. For the period ended December 31, 2021, the Company had revenue of $11.5M compared to December 31, 2020 revenue of $9.2M. Its gross margin was 60.3% in fiscal year 2021, compared to 60.29% in 2020. In Q1 2023, the company had revenue of $3.8M, up 13% YoY without any additional advertising spend. The gross profit was more than 50%.

Key Deal Facts

🏆 #1 coffee alternative brand with $13M trailing twelve months revenue ☕ 100+ million cups served & 10+ million packages sold 🚀 4,000 major retailers, including Whole Foods, Sprouts & Wegmans 💫 43% share of the coffee alternative category in speciality grocery 📣 Featured in Rolling Stone, Men’s Health, Forbes, Goop & Martha Stewart 🥇 Outperforms Amazon competitors - 46% better ROAS & 40% higher repeat purchase rate ⭐ Founded by award-winning beverage designer for Yogi Tea & The Republic of Tea 💸 We believe we're on clear strategic path to $75M+ in 2027, taking on $670B coffee & tea market

Use of Proceeds

The proceeds will to used for product innovation, brand marketing, and sales expansion.

Management Team / Advisory Board Bios

The company has a strong management team.

Caroline MacDougall, Founder, Creator & CEO
Caroline began her career studying, growing, and importing herbs. As Vice President of Celestial Seasonings, Caroline developed supplier partnerships and imported herbs across 6 continents when she was in her early 20s. She has designed award-winning herbal beverage lines for top tea companies including Yogi Tea, The Republic of Tea, and Organic India. She is a serial entrepreneur & herbal product innovator and has sourced thousands of herbs globally. She is also a Co-founder of a tech company that IPO’ed. Currently, she works full-time with Teeccino. 

Galen MacDougall, Vice President of Sales
Galen is a lifelong health enthusiast & sales whiz. He has expanded the Teeccino sales team to a network of 150+ sales brokers nationwide, growing sales from $2.5M to $13M. He has served Teeccino to customers at over 500 retailers throughout North America. He has done his BA from UCLA.

Jerry Isenberg, CFO & Chairman of the Board
Jerry is an entertainment sector entrepreneur. He is also the former COO of Hearst Entertainment Productions. He has founded & exited 2 production companies. Jerry was a former board member at Kayne Anderson MLP Energy Funds and the former Head of Worldwide Production for ABC Movie of the Week. He has completed his MBA from Harvard.

Chris Linzey, National Sales Manager
Chris is a grocery industry veteran. He has 35+ years experience in retail, distribution & manufacturing. He has led the sales team at Tree of Life, driving $400M in annual sales. Notably, he has also doubled revenue from $15M to $30M at Avalon and Alba before their sale to Hain.

Dar Ringling, Controller
Dar is a seasoned CFO/Controller at high-growth manufacturers and large NPOs. He is the former Controller of Bragg Live Food Products and prepared Bragg for a $400M Equity Sale. He is a Certified Management Accountant (CMA), Certified Financial Manager (CFM), and MBA.
 

Valuation Notes

The company has valued itself at $34M pre-money for early bird investors after which it will come up to $40M pre-money. The company is slightly overvalued based on current revenue expectations and traction.

Amount Raised : $538,035
Reveal the Score by Voting
_
Additional ratings from other users are needed to determine a viable CrowdScore for this deal.
The "CrowdScore" for this deal is determined by user ratings and other factors using our proprietary algorithm.
The overall viability and scalability of the business concept as well as the ability to drive the concept to profitability over time.
Business Idea
The progress made thus far in demonstrating that the business has viability, a customer base or other business traction.
Business Traction
The experience of the management team in running, scaling and/or exiting a business that required similar skills to execute the business plan.
Management Team
The value of the company compared to similar companies raising money from investors.
Valuation

Security Description

Common stock is a security that represents ownership in a corporation.

Research Reports

No reports have been submitted

Become a Reporter

0 Comments