In the wise words of Beth Comstock, business executive and former vice chair of GE, "Marketing's job is never done. It's ...
Note: This deal is being conducted pursuant to the SEC's temporary relief rules, and therefore has provided self-certified financials instead of reviewed financial statements in compliance with Reg CF Rule 201(bb).
* Click here for important information regarding Financial Projections which are not guaranteed.
Problem
Packaging orders are STILL recorded on a CLIPBOARD
- Warehouses run out of boxes = millions lost in customer churn
- Size constraints jack up freight, shipping and carbon footprint
- Can't forecast or automate packaging orders without picking up the phone
Solution
Arka connects to any Warehouse (WMS) for maximum traceability
- Never run out of packaging
- Calculates optimal package to SKU ratio
- Auto-replenish packaging
Product
Design and order packaging in just a few clicks
- Packaging APl integrated right into your store, like on Shopify.
- Eco-friendly and made in the USA.
- Ships internationally.
- Order as few as 10, arrives 10 days.
Traction
$1.5M GMV last year
Aiming for $6M in 2022*
Our forecasting includes both Digital and Non-Digital GMV.
We have some exciting things in the pipeline.
*Click here for important information regarding Financial Projections which are not guaranteed.
Customers
Trusted by 2000+ brands nationwide
Customers appreciate our tech! ✨✨✨
Business model
Auto-replenish billions of boxes for third-party logistics companies (3PLs)
SaaS Consumption Model
- We make $5K/yr per seat + 15% off packages sold
- Average Third-Party Logistics company (3PL) does $25M/year in packaging * 15% = $3.75M ARR with 20K to choose from
We’d be at $100M ARR with just 50 3PL sign ups!
- Current Gross Profit Margin of up to 85%
- Current Average Annual LTV of $1200 for DTC Merchants
- Expected Average Annual LTV of $1800 in 2022 for DTC Merchants
- Each 3PL is worth 500X as a one-to-many play
Market
One of the biggest
industries out there
For every $11 spent on product,
merchants spend $1 on packaging.
3PLs are expected to grow 8% to $212 Billion in 2022. Ecommerce Retail is expected to reach $1.3 Trillion by 2025. ***
Growth of Ecommerce Retail will fuel greater demand for 3PLs and for packaging, which will create the perfect conditions for Arka to cement its role in supply chain for all ecommerce packaging.
There's a TON of money in packaging, especially at the warehouse level.
They lose customers when packaging isn't accounted for properly resulting in millions lost per year for each individual customer.
We make sure they never run out again with what we've built-
A Packaging API connects to any WMS:
- 20,000 3Pls in the states to go after
- Each 3PL ships $25M on average worth of product
- Top 3Pls do closer to $700M at 15% CAGR
- Each 3PL has a $500/customer avg cost across hundreds to thousands of customers per warehouse
***Market Research Firm, IBISWorld
Competition
We have an API. They don't.
Uline
- No WMS connection.
- Still sends catalogs.
- Unbranded packaging only.
- Zero sustainable options.
Lumi
- No WMS connection.
- No packaging algorithm.
- Agency model.
Vision
Voyage to get every 3rd Party Logistics Company (3PL)
How we get there
- Get us to $6M GMV for A round to raise $10M at $40M+ Val
- 10 Additional 3PLs by EOY
- Timeline Q3 2023
- ROAS is 8X, fuel on the fire 🔥 🔥 🔥
- Increase Ad spend across all customer acquisition channels
- SEO/SEM is optimized
- Key hires to achieve next milestones
- 2 Sales hires end of Q4 2022
- CTO and 3 Devs beginning of Q1 2023
- Ops lead end of Q1 2023
* Click here for important information regarding Financial Projections which are not guaranteed.
Impact
Sustainability drives capitalism
PwC found that 43% of consumers expect businesses to integrate sustainability in its operations to care for the environment.
Funding
$750k raised to date
Montage Ventures, VTF Zappos Fund, Rivet Ventures, Steve Huffman, AL Syndicate (Rob Ness), Stanford's Fund plus Angels at: Vistaprint, Shipwire, HP and 500 Startups.
Current ask:
Founders
Phillip Akhzar 
Founder & CEO
- Industrial Manufacturing Engineer, Supply Chain Expert.
- Developed network of packaging manufacturers selling millions of packages per day.
- YC Alum / Cal Poly Alum