The fundraising saga continues, while premium products gain steam

Team,

Hope everyone is having a great LDW.  (Pro Tip for the golfers in our investor community: we are running a special where we are adding 3 Free Items to your first box + 25% off with code LD25 click here to claim it).

We are already in Q4, and this has historically been our busiest time of the year with the holidays and gift-giving season coming up.   So, with no further ado, here are our updates from August:

Fundraising Update:

• We're up to $160K in commitments on our crowdfunding campaign, but about $80K of that still needs to go through investor verification and the other $80K is in escrow.  
• We need to raise another $20K on our campaign to make our first rolling close, if you are already an investor, it's easy to increase your investment ahead of the close through your Republic profile.  If not, let me know what questions you still have before making your first investment in our promising startup!
• We are expecting an investment in our campaign from Upround Ventures in the coming weeks, and are in the diligence phase with a few larger-check size Angel Investors.
• We have officially refinanced our debt with Ampla, which was on a 3-4 month repayment schedule to a longer-term loan that allows us to pay back up to 18 month.  This move significantly improved our cash flow.
• We are in ongoing discussions with lenders for a larger debt-instrument for additional, non-dilutive growth financing.

Business Update:

• Subscriber count remains relatively steady, but Premium subscribers (our ~$100/box quarterly product) continues to gain steam. Our quarterly subscribers ($99 or $199 every 3 months) now make up nearly half of our ~2,000 active subscriber base. These subscribers tend to be stickier, and easier to service for us, so we think we are positioned for better overall growth as those products continue to grow.
• We have launched new quarterly products, in effort to offer more personalization: an apparel box, and a game improvement box.   These products are very early in their development cycle, but we plan to continue to invest in them, and expect they will ultimately lower our overall churn as customers who sign up for them are looking for something specific.
• We have lowered our ad spend as we continue to focus on organic growth channels like email and affiliate marketing, which are resulting in a more profitable customer acquisition cost.  It's a bit of a slower roll, but we think with our limited resources, our marketing dollars will be better-served closer to the holidays.

+ Tons on the horizon!  As always, reach out direct with any questions.

Best,

Drew Amato
CEO&Co-Founder, Mully Group Inc.