CHECKUP 6 MONTHS AFTER OUR KICKSTARTER CAMPAIGN

So then, what have we been up to since our unbelievable Kickstarter success at the end of 2016? The start-up experience is very exciting, but also very demanding. Not much time, a small budget and lots of things to do! We might have created watches, but we haven’t yet found a way of controlling time.

The cornerstone of our project is transparency and sharing the adventure with you, and we want to do so at least once or twice each month. Now that production is running smoothly, we’ve finished the packaging (to be revealed in the next chapter) and the logistics are “almost” optimized, we will be able to return to a “normal” rate of communication.

PHASE 2 SCHEDULE AND OBJECTIVES

See the schedule of phase 2

WHERE ARE WE AT WITH PRODUCTION?

Production is moving forward at a significant pace and we will be receiving the first watches in August. We are running a little behind schedule, because we wanted everything to be perfect so we have been adjusting lots of little details. The prototypes were already magnificent, but the production pieces are going to be incredible.

One of the main modifications was shortening the lugs in order to reduce the space between the case and the strap.

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And here are a few images of production.

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2ND BATCH PREORDERS NOW OPEN

The initial batch of 1000 watches was snapped up in only 30 days during our campaign. A few months ago, we opened a second batch which will be delivered between September and November. Of the 600 additional watches, already only 200 remain. If you haven’t already done so, you can preorder your model here. The following batch will be delivered in February 2018. We hope to move on to just-in-time production by April 2018.

WHY ARE WE WORKING WITH BATCHES FOR PREORDERS?

As you may know, one of the big challenges for start-ups is properly managing their cash-flow. Of course the 543,000 CHF raised on Kickstarter allowed us to launch the production of the first 1000 watches preordered during the Kickstarter campaign, but the problem is that you also have to organize additional stock for subsequent orders, knowing that the production time is anywhere between 4 and 6 months.

HERE ARE A FEW FIGURES

It’s more complicated than that, but it gives you a nice overview.

PRODUCTION OF THE INITIAL
KICKSTARTER BATCH

Amount raised on Kickstarter: +543’000 CHF
Commissions 5% Kickstarter and 3.5% credit card: -45’000 CHF
Manufacturing the initial batch of 1000 watches: -250’000 CHF
Shipping, storage, assembly costs and taxes: -40’000 CHF
REMAINING TOTAL 208’000 CHF

2ND BATCH PRODUCTION
JANUARY-JUNE 2017

400 watches already pre-sold (ex-Tax estimate): +280’000 CHF
Manufacturing 600 watches (deposit 30%): -45’000 CHF
Salaries, office rentals, external services, misc: -150’000 CHF
Communications, acquisition costs: -20’000 CHF
3.5% credit card and PayPal commissions: -10’000 CHF
Shipping, storage and assembly costs: -15’000 CHF
REMAINING TOTAL END OF JUNE 2017: 247’000 CHF

MAKING THE RIGHT DEVELOPMENT CHOICE

SOLUTION 1 / SELF-FINANCING

Continuing with self-financing by selling batches by preorder. Development is done step-by-step by using the profits made on the watches sold to finance subsequent stock.
ADVANTAGES: Total freedom and control.
DISADVANTAGES: Slow progress and long delivery periods.

SOLUTION 2 / INVESTORS

Finding one or two “big” investors, which would allow us to finance a more significant just-in-time stock, employ additional human resources and invest in advertising.
ADVANTAGES: Quick progress, the chance to choose partners who bring experience and a network as well as financing.
DISADVANTAGES: We are held accountable, a danger if the investors are interested in short-term profit, potential loss of the freedom to develop the brand as we wish.

SOLUTION 3 / CROWDINVESTING

You already know about crowdfunding: financial support entitles one to rewards, often the product in question before the public and at a preferential price. The same principle applies to crowdinvesting, in which financial support allows one to acquire shares in the company or, for the loan variant, to be repaid in the form of interest.
ADVANTAGES: A simple system allowing us to raise funds relatively quickly by relying on the support of the community.
DISADVANTAGES: There can be hundreds of investors with different profiles and interest, which might be hard to manage.

SO WHAT DO YOU THINK?

NEXT CHAPTER, JAN 16: PROJECT X41 - UPDATE

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Filter comments:
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English (12)
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    • Kevin
      Kevin says:

      Bonjour Paul,

      Nous avons les prix sur la page collection de notre site et vous pouvez lire tout le processus de développement sur nos chapitres. bien à vous

  1. tbird63 says:

    Salut à tous
    Découverte de la marque ce jour par hasard dans une bannière d’un site internet , curieux et amateur de montre je regarde ça de plus prêt en rentrant .
    Séduit par la démarche et l’originalité de CODE41 et le design du garde temps bref je n’ai pas pu résister (je n’ai pas essayé beaucoup non plus ) .
    Maintenant il faut attendre …..
    Super projet ,bonne continuation et plein de nouvelles créations
    Olivier

  2. Bertrand SEEWALD says:

    Ca y est je viens de passer commande et fait maintenant parti de l’aventure , encore bravo pour tout ce que vous faite c’est vraiment ultra pro et avec cette pointe d’humour c’est super .
    Maintenant je suis pressé de la recevoir et je n’arrête plus de regarder les photos et lire votre site !!!

  3. f.fleury@bluewin.ch says:

    Intéressant de vous découvrir ma question qui preside celle des valeurs dans les economies des marchés
    Il parrait incensé de produire un objet a valeur temps et materiel
    Il est nécessaire de dérouter ce concept pour faire jouer placement et bénéfice vous en etes où dans cette direction ?

  4. herve.royet@gmail.com says:

    Bonjour,

    Question ??? Ou est la montre que je vous ai commandé le 24/11/2016 ?
    Une livraison en Juillet 2017 était prévue mais je ne vois toujours rien venir !

    Coridlament,

    Herve Royet

    1x ANOMALY-01 – STEEL – SILVER DIAL » Perforated brown calf leather | cuir de veau brun perforé
    1x BUCKLE | BOUCLE – deployment buckle | boucle déployante

    • Kevin
      CODE41 Team says:

      Bonjour Herve,

      Pour les délais de livraison nous avons fait une update sur Kickstarter:
      Nous avons fait beaucoup d’aller et retour ces dernières semaines avec nos fournisseurs pour régler quelques problèmes mineurs et améliorer chaque détail car nous voulons vous offrir des pièces parfaites.

      Soyez sûrs que nous mettons tout en œuvre pour vous fournir des pièces avec une qualité exceptionnelle, c’est pourquoi je vous demande un peu de patience. Nous sommes tellement excités à l’idée de recevoir ces premières pièces que nous sommes les premiers à souffrir de cette attente, mais on y est presque ?

      Pour les pièces acier et PVD, il est prévu que nous recevions une première série de 3-400 pièces en début août (livraison début-septembre ) et le reste en fin août (livraison mi-septembre). Pour les pièces carbones, nous sommes proches du délai puisque il est prévu de les recevoir fin septembre pour une livraison mi-octobre.

      Bien à vous

  5. Thomas says:

    Bravo pour l’animation du site et les news. Quant au choix du financement le crowfunding me semble la solution la plus rapide pour récolter du cash et la moins contraignante pour la liberté de développer la marque dans l’esprit qui est le vôtre. Surtout que vous avez un socle solide de membre ☺☺