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Incubator Case Study

Posted on 02. Apr, 2012 by in Entrepreneurship

In 2010 a group of former NCAA Football players saw an opportunity.

These athletes realized that in the history of football footwear, cleats had never been designed for specific positions on the field. Despite the different positions and needs of players on the field, everyone still wore the same replacement cleats.

When you think about it, at the snap of the ball a wide receiver running a streak requires a cohesive mesh of speed and agility to beat a cornerback. A defensive tackle fighting for every inch of space requires explosive power and balanced footwork. A tight end that is both a blocker and a receiver needs all of these elements to be the best at his position.

A little research showed that replaceable cleats had not seen any innovation in over 80 years. So Position Tech was born.

 

The Before: (What the company had when we met them)

  • A proven product with market traction
  • Patented innovation
  • A passionate team of founders willing to out-work anyone
  • Traction! Proven sales at the grass roots and national retailer level
  • A successful friends and family funding round

What they needed:

  • Guidance on how to take their company from a local phenomenon to a nationally recognized brand
  • A scalable business model that wouldn’t break as the company grew
  • Access to growth capital (they figured they needed around $500k)
  • Help figuring out the roles, responsibilities and operating plan for the four founders – especially given their diverse BOSI Profiles
  • Confidence that their company was going to be a big brand someday

What we did:

We invited the PositionTech founders into the BOSI Accelerator. From legal and accounting to business model and investor deck we tore the company down to its most functional parts and infused healthy growth DNA in.

We helped them rebuild their financial model. We helped them design their investor deck. We helped them identify pitfalls in their current investor structure – and why their capital structure needed to be restructured to attract new capital. We also helped them establish exactly how much money they needed to raise – and why. We took them through pitch training and invited potential investors in to hear their pitch.

After the intensive 2-days of intervention, we decided to invite this company into our 18-month incubator program. Andy Parker from our team went to work in the role of advisor and business catalyst- helping install growth systems and processes in the business.

The Results:

  1. The company started receiving offers for investment and is well on its way to raising $1,500,000 in growth capital
  2. The company walked into one of the top sporting goods retailers and with confidence asked for a larger order. The retailer took them from 20 to over 225 stores nationwide
  3. The company’s business model was redesigned for scalable growth
  4. The partners went from running the company by committee to a robust management structure where decisions and execution were scalable
  5. The company is on pace to do 10x the revenue of 2011 and have a handsome exit within a few years

We love working with driven founders who are coachable. The Position Tech founders fit that mold beautifully. We can’t wait to guide them to their big acquisition.

You can check out this rockin company at http://www.Position-Tech.com

 

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