NOVATO, Calif. (BRAIN) — Veer, which offers a belt-drive drivetrain that can be retrofitted onto standard bikes, is launching an equity crowdfunding campaign. The company, which launched in 2018, said it will use proceeds from the campaign to boost production and finalize the development of a new multi-speed belt drive.
The campaign could raise as much as $1.07 million; so far it has raised over $14,500 from 15 investors. The offering values the company at $7.54 million.
Veer's founder and CEO is Sean Hacking, who has a degree in Biomolecular Engineering and Bioinformatics and experience in automation and robotics in the biotech industry. Its Chief Operating Officer is Kelly Burr, an industry consultant who was VP of Operations at Marin Bikes for many years.
According to the campaign's Offering Memorandum, Hacking Labs, the company behind the Veer drivetrain, has received about $700,000 in investment since its founding. It had revenues of $107,000 in 2020, up from $34,000 in 2019.
First-quarter 2021 revenues are about $31,000. In a Q&A section of the Start Engine campaign page, Hacking said the first-quarter revenue was not indicative of expected total 2021 revenue due to pending B2B deals. Hacking said the company's 2021 revenue goal is $400,000 and the 2022 goal is $2 million.
Veer's belt-drive can be split and spliced back together with stainless steel pins, allowing aftermarket installation on frames with closed rear triangles. The design, which uses a pulley tensioner, is said to be easy to install in OE factories and compatible with full-suspension frames. Veer sees opportunities on bikes, e-bikes, electric motorcycles, and other light electric vehicles.
Hacking said Veer's product can play a role in the movement away from fossil-fueled transportation.
"Just adding more gas-powered cars isn't going to cut it anymore. We need better ways to get around and stay healthy. That's why we're so excited to be making sustainable living easier with our current e-bike products, and soon to broaden access with our latest tech for all kinds of new light electric vehicles."
More information: The campaign on Start Engine.
