TapRm on Republic | Should You Invest?

TapRm on Republic | Should You Invest?

Company Overview

TapRm is a new-age beer distribution platform based in New York City that helps supercharge the growth and consumer awareness for innovative brands. In addition to reaching the top bars, restaurants, and supermarkets in the NYC region, TapRm delivers to tens of thousands of consumers across the state through their e-commerce platform, a first for a beer distributor in the United States. By combining that with brand website integration, data sharing, and digital marketing and sales tools, TapRm frees brands to focus on growth.

The company currently sells products to beer drinkers on the direct-to-consumer market in New York state and offices, bars, restaurants, and supermarkets in the greater New York City region. It is looking to expand nationally.

Invest in TapRm
Republic is a startup investing platform where you can invest as little as $10 in impactful startups

TapRm Business Structure

  • Form: Corporation
  • Jurisdiction of Incorporation/Organization: Delaware
  • Date of organization: March 21, 2017

The Deal Terms

  • Security: Crowd SAFE
  • Valuation Cap: $22,000,000
  • Discount Rate: 0%
  • Min. Offering Amount: $25,000
  • Max. Offering Amount: $5,000,000
  • Min. Investment: $100
Will I Invest in TapRm? Subscribe to the Angel Notes Newsletter to find out!

Competition

Many incumbent beer wholesalers exist, but none have taken advantage of the direct-to-consumer and e-commerce benefits of lower overhead, digital brand building, consumer loyalty, and retaining consumer data and trend analytics. While the incumbent beer wholesalers service a large base of bars, restaurants, and supermarkets in a traditional distribution model, they have neglected the use of technology, data, and consumers at home. The company employs unique licenses never previously utilized in this form. The major incumbent wholesalers in New York include Union Beer Distribution, Manhattan Beer Distribution, and Remarkable Liquids.

How will TapRm Use The Funds Raised On Republic?

TapRm's Use Of Republic Campaign's Funds
Source
  • Intermediary Fee This fee will be paid directly to the intermediary for assisting in conducting this Offering.
  • Sales and Marketing The amount will be used both to support brands launching on our platform and the TapRm brand through social paid media, influencers, public relations, and other digital marketing efforts. This amount will also go to support the sales to bars, restaurants, and supermarkets through the use of sales people and digital marketing.
  • Personnel Expenses This amount will be for full-time headcount to support our digital marketing, enterprise sales, general overhead, and development of product.
  • Warehouse Lease This amount will be used to lease a location to store our products and do our fulfillment.
  • Capital Expenditures This amount will be used to purchase a truck for deliveries as well as some warehouse equipment.
Will I Invest in TapRm? Subscribe to the Angel Notes Newsletter to find out!

The Team

Jason Sherman: Jason is currently focusing on managing and scaling his first independent venture, TapRm, an e-commerce based platform acting as a launch vehicle for the next generation of culture and story-led beer brands. TapRm's omni-channel platform builds beer, cider, and hard seltzer brands by combining traditional beer distribution with direct-to-consumer e-commerce and digital marketing for the first time in the United States With over 6 years of experience successfully driving investment, acquisitions, and corporate strategy for a versatile range of companies from Fortune 100s to early-stage startups, his expertise is inventing new, more powerful and profitable ways to launch game-changing customer-focused ideas.

Felipe Heiderich: Business lawyer with significant experience in Mergers & Acquisitions, Venture Capital Investments, Joint Ventures, Co-Developments and Collaborations, and Strategic Licensing and Distribution Transactions.

Maxwell Bastien: Investment professional at Three Leaf Ventures, a venture-stage fund focused on leveraging wireless communication technology to transform the conventional healthcare model, and the Broe Group, a Denver-based real estate firm.

Employees TapRm currently employs 21 employees.

Debt

TapRm On Republic: The Company's Debt
Source

In 2017 the Company issued $50,000 of a secured note payable accruing interest at 15% per annum. Additionally, in 2018 the Company drew $200,448 from their secured line of credit (see below) accruing interest at 15% per annum. In 2019 an additional $100,000 funding from the secured loan was received, which was received from related parties Aaron and Jason Sherman. The loans are all linked to 100% of the Company’s accounts receivables and secondarily by its inventory of case goods.

The notes are due two years from the dates (varies) of issue with the option to extend repayment two additional years. The Company has notes totaling $350,448 as of December 31, 2019, with a total of $67,233 of total accrued interest. The 2017 loan/line of credit of $50,000 is held by shareholder, Bryan Dunmire. The 2018 line of credit of $350,000 was issued to the Company by brothers Aaron Sherman and Jason Sherman. Aaron Sherman is a shareholder in the Company and Jason Sherman is founder, shareholder, and CEO of the Company

The Financials

TapRm's Financials
Source
Will I Invest in TapRm? Subscribe to the Angel Notes Newsletter to find out!
Great! Next, complete checkout for full access to Angel Notes.
Welcome back! You've successfully signed in.
You've successfully subscribed to Angel Notes.
Success! Your account is fully activated, you now have access to all content.
Success! Your billing info has been updated.
Your billing was not updated.