Lambs on Republic 2022
People are exposed to a wide variety of potentially harmful factors every day: ultraviolet (UV) radiation that comes from the sun, electromagnetic field (EMF) radiation that comes from Wi-Fi and Bluetooth, and bacteria that comes from just about everywhere. Regular clothing provides limited protection from it all. This is a problem because UV radiation can cause skin cancer, one of the most common cancers in the US.
Lambs (also known as Faraday Labs) is an apparel company that has developed silver-infused, patent-pending clothing that provides protection against UV radiation, EMF radiation, and bacteria. Lambs also holds more than 10 patents for its apparel designs, branding, and technology. We reached out to co-founder and CEO Arthur Menard Calenge to learn about the inspiration behind the company and how Lambs compares to athletic wear.
Note: This interview was conducted over phone and email. It has been lightly edited for clarity and length.
In your own words, how would you describe Lambs?
Lambs is a health and wellness startup that is revolutionizing how clothing can support our health with a high-tech fabric that helps your body recover from stress and perform better.
Lambs created everyday clothing with a proprietary fabric technology that blocks UV and EMF radiation (cellphone, Wi-Fi, etc.), and promotes athletic recovery.
Pre-studies and hundreds of Lambs customers show that wearing Lambs regularly for two weeks leads to measurable improvement in resting heart rate, heart rate variability, and sleep scores using trackers such as Oura, WHOOP, or Apple Watch.
What inspired you to take the leap and start this company?
For the past 15 years, I have been passionate about health and wellness. After a master’s degree in engineering and biology, I realized that there was a gap in the market. While a lot of products were aiming at improving our health from the inside (supplements, organic food, etc.), no clothing out there was designed to block external stressors such as wireless radiation and to help our body perform better from the outside. That’s what prompted me to start Lambs and help people be healthier just by upgrading their closet.
Who is on your team and how did you come together?
We have gathered a complementary leadership and advisory team that I’m extremely proud of. Our board of advisors and directors includes:
- Brett Conrad, former president of lululemon.
- Dave Asprey, founder of Bulletproof Coffee and “New York Times” bestselling author.
- Mike Jones, former CEO of MySpace and investor in some of the top direct-to-consumer (DTC) brands of the world.
Our leadership team includes:
- Thomas Calichiama, COO. Thomas brings years of experience in marketing as well as a passion for brand building.
- Gerrit Rindermann, head of engineering. Gerrit is a skilled engineer who combines both hardware and software expertise. We worked together in the past.
- Jang Lee, fractional CFO. Jang has 20 years of experience in the finance world in both venture and fashion companies. He helped raise more than $250 million in his career.
- Nik Sharma, fractional vice president of growth. Nik is known as “Mr. DTC” for helping many of today’s top DTC brands reach the top of the charts.
These are just a few of the people who are working hard on turning Lambs into a global brand. You can find the rest of our team on our Republic page.
How is Lambs transforming the outdoor clothing industry?
We are revolutionizing clothing by making it a part of your health and wellness routine. Clothing used to be about keeping us warm. With athleisure, it became about making us more comfortable every day. With Lambs, it’s all about making you healthier every day.
What does the competitive landscape look like, and how do you differentiate?
Lambs is healthier than the “athletic” apparel brands, more comfortable than conventional clothing, and has a truly genuine mission with a wide appeal.
Our main competition are athleisure brands who target health-conscious individuals, such as lululemon ($40 billion market cap) or Vuori ($4 billion valuation). Our value proposition centered around health and wellness makes us a much more appealing option for this type of customer. Our return rate is about 7x lower than these brands, which highlights how superior Lambs’ product-market fit is. Our positioning and intellectual property provide a strong and protected competitive advantage in the apparel market.
Are you on the track to achieving $15 million in revenue in 2022?
We are on track. We have a lot of long-term projects that are coming to fruition toward the end of this year and the beginning of 2023, which makes this an incredibly exciting second part of the year!
How do you intend to use the money you raise this round to scale the business?
We plan on using the funds in four different areas that will help us grow faster to $100 million in revenues:
- Accelerate new product development and bring out five new highly anticipated products. This alone should increase revenues by 75%.
- Invest in high-growth marketing channels and double down on profitable acquisition and inventory to grow faster.
- Conduct additional scientific studies, specifically with athletes. This will help cement our value proposition and brand awareness.
- Distribute fun, educational content to our audience to support our customers’ health and wellness goals.
What do you want potential investors to know about you and/or your company?
I believe that three things make us different from a lot of companies:
- We are a team extremely passionate about our mission. We all care deeply about helping people live a healthier, longer, and more fun life.
- We have always been extremely mindful of creating a sustainable company, both from a financial and an environmental perspective. We spent the first few years of the company building a healthy business model, and we’re now accelerating while keeping a positive margin profile to lower risk for our investors.
- The market opportunity is huge. If we continue to hit our objectives and milestones, Lambs will grow into a multi-billion dollar business in the next few years.
As you think about the business 5-10 years down the road, what do you see exit opportunities looking like? Have you set any future goals for the company?
Looking at comparable companies that have built strong brands in the clothing category, we can expect to go public (IPO) at a 10x to 20x multiple on revenues once we get to nine figures in revenues. Our goal is to hit $100 million in revenues in the next three years, which will put us in a great position to either go public at a $1 billion or more valuation or to get strategically acquired. This would provide an amazing return to all of our investors and shareholders.
We look forward to seeing where Arthur and his team take the company. Lambs is currently raising on Republic.
About: Yasmin Sharbaf
Yasmin is passionate about the intersection of business, art, and science. Prior to KingsCrowd, Yasmin worked on a cryptocurrency investing research project for Wellesley College Investment Office where she assessed the risks and rewards for university endowment investment into cryptocurrency. She has also previously worked in a neuroscience lab studying language and memory of songbirds. Yasmin’s dream is to make investing and financial education accessible to everyone. In her free time, Yasmin enjoys going on adventures, learning new languages, and exploring different cultures. Yasmin studied Neuroscience and Studio Art at Wellesley College.