Invest in RYSE

The Smart Home company behind RYSE SmartShades & AXIS Gear

RYSE is the IoT company behind the RYSE SmartShades, a device that automates window shades already installed in consumers’ homes. It’s an affordable, patent-protected product that enhances occupant comfort and energy efficiency. RYSE has already shipped more than 25,000 of its first-generation devices and is now launching its second generation SmartShades, which will be faster, stronger, quieter, and integrated with Google Home, Amazon Alexa, and Apple Siri.

Reasons To Invest

1. 1OpportunityOnly 8% of residential window coverings are motorized, which translates to a $27 billion opportunity in just the residential market
2. 2DemandWith more than $4 million in revenue to date and over $175K in pre-orders for its second generation device, we have established a clear demand for RYSE SmartShades
3. 3TractionRYSE has strong, defensible intellectual property (4 issued patents and 3 pending) as well as established B2B partners that we believe will pave the way to our being the market leader in retrofit shade-automation

THE PROBLEM

Before RYSE, a gaping hole in the smart window covering market

No Retrofits. RYSE was born when founder Trung Pham was in the process of designing his downtown Toronto apartment. Since he didn’t have the budget for smart shades, he opted for window coverings manually operated with beaded chains. The following summer, when the excessive heat caused him to regret his purchase, he learned that once window shades are installed, they can never be automated –  that they must be replaced with brand new motorized shades. After some Googling for a retrofit solution and discovering none, he had his “Eureka” moment.

Not Affordable. People open and close their window shades many times daily – to let in natural light, for privacy, to control their home’s temperature, or to simply look outside. Yet for those that want an automated solution, there are few options. Motorized smart shades are expensive; brands like Lutron, QMotion, or Somfy cost upwards of $1,000 per window.   

Wasted Energy. Residential and commercial buildings are responsible for roughly 40% of all energy use in the U.S. 30% of energy consumed in buildings is wasted; half of this energy is lost through windows. Windows are also responsible for more solar heat gain than any other building surface.

This all amounts to a $35 billion problem annually.

THE SOLUTION

Raising the bar for automated shade solutions

RYSE is the only retrofit/after-market device designed to motorize window shades that are manually operated with a corded loop or beaded chain. With the simple installation of a small add-on, manual shades become automated and motorized.

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“RYSE SmartShades can be controlled by smartphone, by voice, or set to a schedule. However, the real power is in the way they can also be automated based on motion sensors, weather conditions, and other user preferences.”

Trung Pham ‧ Founder / CEO

RYSE SmartShades retail for $149, making it a small fraction of the cost of motorized window shades in the market. This retrofit technology allows consumers to keep their existing shades and opens the window of possibility for home/business owners who were previously priced out of the smart shade market.

Dramatically Reduce Energy Usage

In addition to benefiting consumers’ lives, RYSE can play a big part in bettering the environment by reducing energy use. By automating window shades, buildings can passively cool and reduce HVAC loads by 20%, as well as harvest natural daylight to reduce artificial indoor lighting by 70%, while providing greater thermal comfort.

• Passively cool and reduce HVAC loads by 20%
• Harvest natural daylight to reduce artificial indoor lighting by 70%
• Greater thermal comfort

THE MARKET

An opportunity potentially worth billions across commercial and residential

The market for smart window shades is forecasted to grow from a market of only $3.2 million in 2016, to over 1 billion by 2025 with a compound annual growth rate is expected to be 89.9% from 2016 to 2025. That said, smart shades comprise just 8% of the total window covering market.

RYSE’s market opportunity includes the remaining 92% of non-motorized window coverings, which translates to 550 million windows in the residential market. One third of these windows are compatible with RYSE SmartShades, which translates to a $27 billion residential market opportunity. And we have plans in place to develop products that will serve the remaining two-thirds of the market.

Additionally, about 780,000 commercial buildings have ‘Building Automation Systems’ (BAS) with 220,000 having lighting automation. These technologically advanced properties are prime targets for the RYSE system.

Finally, there are over 5 million hotel rooms across 54,000 hotel locations North America that RYSE SmartShades could be implemented at.

OUR TRACTION

More than 25,000 devices already shipped, a CDN $3.8 million cleantech grant, and more

RYSE launched in 2015 and has since established a solid supply chain network and built a strong portfolio of patents (3 issued and 3 pending). RYSE has since shipped over 25,000 devices since 2017, totaling over $4 million in online sales.

Motorized Product Of The Year

In 2017, our first generation devise, AXIS Gear, received the Mark of Excellence Award for Motorized Product of the Year from the Consumer Technology Association, presented at CES.

RYSE has raised over $3.5 million in angel and VC funding, including from Shawn Doughtery (co-founder of Mophie, acquired for $100 million) and Anthony Lacavera (founder of Wind Mobile, acquired for $1.2 billion). RYSE has graduated from prestigious accelerators including OCAD’s Imagination Catalyst, NEXT Founders, Canadian Technology Accelerator, and the Digital Media Zone.

Partnerships & Pilot Programs

In 2019, RYSE partnered with The Avery, a 56-story residential tower in San Francisco, to deploy their first generation SmartShades across 90 units in the building.

RYSE is currently in a pilot with the Annex Hotel, QuadReal ($44 billion commercial real estate developer), and Eureka Hub (co-working space).

Pitches & Grants

In 2018, RYSE successfully pitched its first-generation SmartShade, AXIS Gear, on Dragons Den® (the Canadian Shark Tank). 

And in 2020, RYSE also secured a $3.8 million CAD cleantech grant from Sustainable Development Technology Canada to develop and launch a pilot project in three commercial buildings.

Also in 2020, RYSE launched its second-generation Smart Shades on Kickstarter, with over $175,000 in pre-orders. Our second generation product is designed to be more compact, faster, stronger, quieter, and integrated with Google Home, Amazon Alexa, and Apple HomeKit.

THE BUSINESS MODEL

We provide the Smart Shades the support needed to stay on top of the game

We sell hardware for RYSE SmartShades at a reasonable cost that still allows for high-profit margin. Our current line of products have the following retail prices and COGS:

Hardware Revenues

• RYSE Smart Shades: $149 (COGS: $50)
• BatteryPack: $49 (COGS: $20)
• SmartBridge (integrates SmartShades with Google Home, Amazon Alexa, or Apple HomeKit): $49 (COGS: $30)

Service & Software Revenues ($50/year/device)

• Extended warranty 
• Battery replacement plans, including servicing
• Custom software integrations (i.e. Slack)
• BAS integration fees
• Weather-based automation & energy efficiency
• Premium support 

WHAT WE DO

The first retrofit smart shade device with the patents to prove it

As the first retrofit device in the smart window covering market, we compete with traditional automated solutions by installing on homeowners’ existing shades and smart home systems. It is by far a more affordable option and customers can make their money back in energy savings after just three years.

The RYSE Smart Shades are very easy to install and lifts any window shade, regardless of size and weight. You’ll be able to calibrate RYSE to your window size, by setting the top and bottom positions.

And with the RYSE SmartBridge, you can create groups or rooms of SmartShade to control and automate all at once. You can also schedule your shades to open/close and integrate the system with Google Home, Amazon Alexa, or Apple HomeKit (native integration and fully certified).

Because we are the inventor and pioneer of this after-market device, we have gone to great lengths to protect our technology. We have a strong portfolio of patents, including three issued patents and three patents pending.

Through Amazon’s Neutral Patent Evaluation Program, any copycats are taken down within one week of reporting a violation and we’ve been successful in removing a handful of copycats.

THE VISION

We plan to own the smart shades space

A majority of our sales to-date have been Direct to Consumer. Given the huge potential market for this product, we will be expanding our sales efforts to commercial properties, as well as ramping up our network of third-party retailers.

Our product pipeline over the next five years will see us build out retrofit shading solutions for every type of window covering in the market, cementing our position as the undisputed leader in the retrofit shading industry and vastly expanding our client base.

Our vision is to own the smart shades space. We want RYSE to be synonymous with smart shades— just like what Nest is to the thermostat, Ring is to the doorbell, or Dyson is to the vacuum.

OUR LEADERSHIP

We’ve launched a successful Smart Shades device before, and we’re on track to do it again

Since 2015, we have grown our team to 18 full-time employees, who have experience in robotics, wearables, manufacturing, industrial design, finance and even rocket science!

Our leadership team has extensive experience in the startup world, having created and launched various products and services ranging from Bluetooth wearables to web platforms.

Our executive team has already launched the first-generation product in 2017, and is now poised to bring the second generation version to market in spring 2021. Five years of engineering, design, and manufacturing experience have culminated in an even better product than before.

WHY INVEST

An investment in the future of automation and energy efficiency

The automation of existing window shades is an enormous opportunity to generate energy savings for the entire spectrum of residential and commercial properties.

With new laws and regulations and the Green New Deal’s potential goal of having all new buildings be net-zero in carbon emissions by 2030 and older buildings retrofitted for net-zero emissions by 2050, RYSE Smart Shades has the potential to be a ubiquitous product seen everywhere.

As we continue to grow, we believe that more and more consumers and commercial entities will put their utmost faith in this affordable and sustainable solution.