HoldOn Bags is raising funds on Wefunder at a valuation of $15 million. While the company has gained some recognition, the valuation is a bit high for its current stage. HoldOn Bags has $858 thousand in revenue for the most recent fiscal year, which translates to a revenue multiple of around 17x. This multiple is average compared to other companies in the consumer products industry raising online but is inflated compared to the industry. Additionally, HoldOn Bags has not yet reached profitability, raising concerns about its revenue growth's sustainability.

Investors should consider the valuation and growth potential of HoldOn Bags before making an investment decision. While the company has shown promise and has been featured in reputable publications, its current valuation may not fully align with its financial performance and market position.

The US garbage bags market, in which HoldOn Bags operates, is estimated to be worth $2.8 billion and is growing at a compound annual growth rate of 7.98%. It is a mature market with several established players offering compostable options, including Unni, Hippo Sak, Primode, Green Earth, and larger competitors like Glad. However, there is a growing demand for more sustainable alternatives to traditional plastic garbage bags.

Several key market trends are driving this shift. Firstly, there is growing awareness of plastic waste's environmental impact, leading to increased interest in compostable alternatives. Secondly, as consumers become more eco-conscious, they actively seek out compostable trash bags to reduce their carbon footprint. Lastly, many businesses and organizations are adopting sustainable practices and may choose to use compostable trash bags as part of their efforts to reduce environmental impact. However, there is also a perceived quality issue in the market. Some users may perceive compostable bags as less durable or less effective at containing waste than traditional plastic bags.

Overall, the market for compostable garbage bags is expected to grow as consumers and businesses increasingly seek sustainable alternatives to traditional plastic bags. HoldOn Bags, focusing on creating high-quality, compostable bags, is well-positioned to take advantage of this trend.

HoldOn Bags is led by its founder and CEO, Livio Bisterzo. Bisterzo has significant industry experience, with a focus on sustainable consumer products. Before starting HoldOn Bags, he founded Green Park Brands, the parent company of HoldOn that developed and marketed healthier snack brands. Green Park Brands succeeded with its client HIPPEAS, a line of organic chickpea puffs that gained popularity and secured distribution in major retailers. Bisterzo has demonstrated his ability to create and scale consumer brands successfully.

The HoldOn Bags team is small but dedicated. The company has a team of five members with backgrounds in operations and marketing at large consumer goods firms. For example, Esther Hong, the Director of Operations, worked with Toms and Samsung in operations and supply chain management. Skills that will be crucial as HoldOn scales.

With Bisterzo's experience building successful consumer brands and the team's dedication, HoldOn Bags is well-positioned to capitalize on the growing demand for sustainable and eco-friendly products in the household goods market.

HoldOn Bags offers a sustainable alternative to traditional plastic garbage bags. The company focuses on creating plant-based, non-toxic, and 100% compostable trash and kitchen bags that are both convenient and environmentally friendly. 

HoldOn Bags has gained recognition for its innovative approach and has been awarded Fast Company's 2023 Innovation by Design Awards in the Materials category. This recognition highlights the company's commitment to creating high-quality products that are also environmentally conscious.

HoldOn Bags faces plenty of competition from other sustainable brands, including Unni, Hippo Sak, Primode, and Green Earth. Most of the competing brands have solid reviews and are priced competitively. It may be hard for HoldOn to stand out long term, especially since the market does not have a high barrier to entry.

HoldOn Bags has achieved impressive recognition and revenue growth in a short period. The company has gained significant traction and has been recognized for its innovative approach in the materials category, winning Fast Company's 2023 Innovation by Design Awards. HoldOn Bags has also garnered attention from notable publications such as Forbes, Vice, Buzzfeed, CNN Underscored, Domino, Real Simple, R29, Variety, and The Skimm. These accolades demonstrate the company's strong brand presence and industry recognition.

The company has achieved a revenue run rate of $3 million, indicating solid sales performance. HoldOn Bags has also demonstrated healthy margins of around 60%. The company has secured distribution partnerships with major retailers such as Target and Amazon, further expanding its reach and customer base. Leadership also reports plans to expand into Kroger's this month.

Finally, HoldOn Bags has a solid financial position with $691,448 in cash and cash equivalents. The company has previously raised $2,210,000 in funding, indicating investor confidence in its business model and growth potential. The past fiscal year is the only revenue on the books at $858,131, making it too early to determine if growth is sustainable. That said, expansion into more brick-and-mortar retailers will likely drive sales up.

HoldOn Bags operates in a competitive market, with well-known competitors such as Glad, Unni, Hippo Sak, Primode, and Green Earth. While HoldOn Bags offers plant-based, non-toxic, and 100% compostable trash and kitchen bags, it may face challenges in gaining market share and establishing a solid brand presence against these established competitors.

Another risk to consider is the relatively low market entry barriers. As more companies enter the sustainable household goods space, HoldOn Bags may face increased competition, impacting its market share and profitability.

Financially, HoldOn Bags has a negative net income, indicating it has not yet achieved profitability. This raises concerns about the company's ability to generate sustainable revenue and achieve long-term financial stability. The company's burn rate is relatively high compared to its revenue, which may require continued fundraising to support operations.

HoldOn Bag's focus on creating plastic-free, non-toxic, and 100% compostable trash and kitchen bags addresses the growing consumer demand for eco-friendly household alternatives. The company has achieved significant recognition and media coverage, with features in prominent publications such as Buzzfeed, Forbes, Domino, and Real Simple. This exposure generates brand awareness and serves as a testament to the quality and innovation of HoldOn Bags' products. The positive reception from consumers is reflected in the company's $3 million revenue run rate, signaling strong market demand for sustainable household goods.

By offering plant-based bags that are as durable and convenient as traditional plastic bags, the company appeals to environmentally conscious consumers who want to make sustainable choices without sacrificing functionality. With solid revenue from the most recent fiscal year at $858,131 and a gross margin of 60%, HoldOn Bags demonstrates the potential for sustainable financial performance. As the company continues to expand into Kroger's in addition to its Target and Amazon offerings, it is well-positioned to capture a significant share of the US Garbage Bags market.

HoldOn Bags operates in a competitive market alongside well-established brands like Glad, Unni, Hippo Sak, Primode, and Green Earth. These competitors have already established their presence and captured a significant US garbage bag market share. With low barriers to entry, it will be challenging for HoldOn Bags to differentiate itself and continually gain market share in an already small market. 

HoldOn Bags also reported a net loss of $1.3 million, indicating that the company has not yet achieved profitability. This raises questions about the company's financial sustainability and ability to generate consistent positive cash flows.

HoldOn Bags is a sustainable household goods company offering plant-based, non-toxic, and 100% compostable trash and kitchen bags. The company's products are designed to provide consumers with an eco-friendly alternative to traditional plastic bags without sacrificing convenience or durability. With a current revenue run rate of $3 million and 60% gross margins, HoldOn Bags demonstrates strong potential.

The company operates in a growing market driven by increasing environmental concerns and consumer demand for sustainable products. However, the US Garbage Bag market is relatively small, at $2.8 billion, and is already riddled with competitors. 

Despite these challenges, HoldOn Bags has achieved some recognition and traction. It won Fast Company's 2023 Innovation by Design Awards in the Materials category and has been featured in prominent publications such as Forbes, Vice, Buzzfeed, and CNN Underscored. The company's products are available on major platforms like Amazon and Target, further extending its market reach.

On the downside, HoldOn Bags' financial performance shows a net loss in the most recent fiscal year-end, indicating a need for improved operational efficiency. The company's monthly burn rate suggests a significant cash outflow that could impact its financial stability. 

In summary, while HoldOn Bags plays to consumer demand, investors should consider the company's financial performance and the competition the company faces in an already small market.