Introducing Reath
Q: Can you briefly introduce yourself and your startup?
A: I’m Emily Rogers, the founder of Reath, a software company dedicated to helping businesses develop sustainable packaging strategies and reduce plastic waste. With a background in operations and logistics, I delved into the intersection of data and efficiency in business, ultimately aiming to address the significant environmental impact of packaging waste.
Reath’s focus on sustainable packaging strategies directly tackles the prevalent issue of waste and environmental pollution. By guiding businesses away from single-use packaging through data-driven solutions, we contribute to combating climate change, particularly the pressing problem of ocean pollution. Our efforts align with the urgency of the current climate change crisis, emphasizing the significance of sustainable practices in today’s world.
Q: How did you come up with the idea?
A: I was a frustrated customer witnessing a contradiction in thoughtful ingredient sourcing and wasteful packaging. It perplexed me that sustainable products often came in non-recyclable or inefficiently recycled single-use plastic. Motivated by this disconnect, I secured UK government grant funding to investigate and interview manufacturers and retailers. Through interviews with over a hundred manufacturers and retailers, I discovered a common perception of single-use packaging as cheap and efficient. The looming 2025 packaging waste legislation added urgency for change. Recognizing a gap in knowledge on reusable alternatives, I realized charting a course for businesses would be valuable. It aligned with addressing climate change, as much of our waste ends up in the ocean, impacting the planet’s ability to combat temperature change.
Why Founders Factory?
Q: What motivated you to join Founders Factory?
A: Joining Founders Factory was all about tapping into their extensive network. We were drawn to the program based on conversations with companies that had previously participated, especially Bower Collective, which spoke highly of their experience. Interestingly, Bower Collective transitioned from a program reference to becoming one of our customers, which underscores the value of the connections made through Founders Factory.
However, the decisive factor for us was their partnership with Marks & Spencer. This relationship not only facilitated our introduction to our first corporate client but also played a critical role in helping us secure our initial round of substantial funding. The corporate network provided by Founders Factory was unparalleled, offering us immediate and impactful connections. This access was a game-changer for us, significantly contributing to our early success and growth. It’s clear that the unique opportunities for networking and collaboration within Founders Factory’s ecosystem set them apart and were key motivators for our involvement.
Founders Factory Application Process
Q: Can you describe the application process you went through?
A: The process involved several rounds of interviews with the Marks & Spencer team to ensure a good fit. It felt thorough, with two or three large group presentations aimed at the wider team, sparking a lot of engaging discussions. It felt like navigating through an investment committee, culminating in a final round with all the key decision-makers. This was a standout experience, offering a unique window into their thought processes based on the questions they asked and the feedback they provided. It was genuinely insightful to engage directly with them and understand their perspectives and considerations.
The support from the founders’ directory team was pivotal. They were constantly checking in, offering guidance on our presentations, and helping refine our strategies. Their involvement was instrumental in fine-tuning our approach. When Marks & Spencer gave the green light, it was a mix of relief and excitement. What followed was the formalities—paperwork and official sign-ups, with continued support from the team. The entire journey was not just about assessment but also about mutual learning and adaptation, making it a memorable and valuable experience.
Q: What set your company apart for acceptance into the program?
A: What really distinguished us was our unique offering—something no one else had at the time. Marks & Spencer was exploring how to integrate reusable packaging into their business model, and they lacked a partner who could manage this aspect as effectively as we could. Their commitment to incorporating reuse into their business strategy was not just about meeting regulatory tax demands; it was also about achieving their waste reduction goals. Our proposal was timely, fitting right into the emerging market for reusable packaging solutions, which was pretty much uncharted territory at that time.
Our uniqueness was crucial, especially in a market that was just beginning to take shape. Standing out in this relatively new and evolving landscape meant that we were able to offer Marks & Spencer something that no one else could—a pathway to meet their sustainability targets through innovative reuse strategies. Looking back, the landscape has significantly changed four years on, but at that moment, our pioneering stance and our ability to fill a specific need in their business model were key factors in our acceptance. It was about being at the right place at the right time with the right solution, daring to occupy a space where others hadn’t ventured yet.
Founders Factory Program Structure
Q: After you get accepted, how does the program look like?
A: The Founders Factory program tailored its support to our specific needs. While we were already advanced in certain areas, our lead from Founders Factory, who later became an angel investor, provided invaluable guidance. We had the flexibility to choose relevant modules, focusing on fundraising and exploring corporate partnerships. Despite not securing another partnership through Marks & Spencer or Founders Factory, the one-on-one connection with our lead proved most valuable for day-to-day insights, with fundraising support also playing a crucial role.
Q: Did you have access to mentors?
A: While I didn’t engage with mentors, our engineering lead participated in CTO meetups and received mentorship from the Founders Factory CTO. The program offered both hands-on mentorship and valuable meetups like founder circles, where peer mentorship thrived. Although I found it challenging to allocate time for such activities now, they were beneficial during our time with Founders Factory.
Q: Did you get any funding from the program?
A: We received a small cash amount and substantial in-kind support funding from Founders Factory. The equity ask, however, was substantial, especially considering the in-kind funding had a significant price tag. While the cash amount was about 30k, the in-kind funding exceeded 200k. We honestly felt the equity ask was heavy and didn’t align with the value we derived. It became a crucial part of our decision-making process, weighing the equity piece against the benefits of the corporate partnership. Ultimately, we chose to proceed and have found it to be a great partnership despite the challenges.
Achieving Milestones and Overcoming Challenges
Q: Can you recall a significant milestone that you achieved during the program?
A: We accomplished two major milestones with Founders Factory’s support: closing our pre-seed funding round and launching our first corporate pilot. These achievements marked pivotal moments in our startup journey.
Q: Did you face any challenges or come across something that you didn’t expect?
A: One notable challenge was the slower pace of Marks & Spencer, a realization they were self-aware of due to the nature of being a large company. Adapting to the corporate pace and navigating shifting priorities within such organizations posed a significant challenge. Staying relevant amid changing winds, influenced by budgets, costs, or other factors, was a constant effort.
Current Status and Future Goals of Reath
Q: What is the status of the company now, and what are your upcoming milestones?
A: After closing our seed round last year, our focus is on refining our value proposition. While we have a strong product-user fit, the market is still evolving with impending legislation changes. Our goal is to support companies through the transition of changing legislation, determining the additional value our product can offer. We are assessing whether to deepen our current services or develop new ones to aid this transition. Future fundraising is on the horizon as we tackle the significant problem of sustainable packaging.
Q: In terms of growth and channels, have you experimented with any?
A: We have experimented with LinkedIn, though there is room for improvement. Currently, word of mouth and organic search play key roles in connecting with people. Exploring and refining our approach to channels, especially on LinkedIn, is a priority on our growth roadmap.
Final Advice to Future Applicants
Q: Do you have any final advice to give to founders who are thinking of applying to Founders Factory?
A: My advice would be not to hesitate in asking for what you need from the Founders Factory team. They have a talented group of individuals, and if you don’t immediately find what’s helpful, don’t hesitate to explore and push for assistance. The collective expertise within Founders Factory is vast, and with some persistence, you’re likely to tap into valuable insights and support.