The Munich-based startup agrilution is developing a refrigerator-sized greenhouse called "plantCube." Since our portrait Almost exactly 12 months have passed. We spoke with founder and managing director Maximilian Lössl and got an update.
About a year ago, we profiled you on munich-startup.de. What's been happening with you since then?
A lot has happened: We've developed more prototypes, the team has grown – we now have eight full-time employees and two interns – and we've expanded our office space. Tengelmann Ventures and Kraut Capital have also joined us. And we're currently preparing the product launch for the German-speaking region in early 2017. These are the key highlights.
Last year, we spoke with your Chief Operating Officer, Manuel Ott. He no longer works for you. How did that come about?
At the beginning of the year, we had to part ways with him. At the time, we were going through financial difficulties, and his expertise in operations, marketing, and sales wasn't an optimal fit in the company's early stages. Initially, we needed people in software and hardware development. But today, we're all friends.
Last year, you announced that you wanted to launch the plantCube in 2016. You started selling the first plantCubes yesterday. So, are you right on track?
Exactly, although a lot of things have been postponed this year. However, we managed to sell the first products to early adopters in Munich in 2016.
How is your market launch going in detail now?
Initially, pre-orders will be processed in three phases: We'll begin shipping in the Munich area at the beginning of next year. Our early adopters across Germany will receive their devices in October. International deliveries will begin in 2018.
What role do the seed mats that your future customers purchase from you play for you? Is your business model based on continuous sales, like razor blades or printer cartridges?
On the one hand, the seed mats allow us to consistently guarantee our customers high quality, successful results, and a specific yield. This also ensures that the plants we cultivate ourselves grow at a specific rate and have high vitamin and mineral values. The seed mats allow us to monitor, optimize, and test our customers' results.
On the other hand, this recurring revenue model also allows us to build a sustainable business model. We can then calculate when we can offer the device at a lower price in the future.
“We are planning a larger financing round for next year”
And you can also supply the seed mats continuously immediately after the equipment has been delivered?
Yes, of course. Customers also receive a basic set of seed mats with the device.
You mentioned the investment from Tengelmann Ventures and Kraut Capital. Can you give us some figures?
We're not disclosing the amount publicly. However, I can say that it was a small Series A round. We're planning a larger financing round for next year.
Did you specifically choose these two investors?
We have been in discussions with many potential investors and have found the best Fit We also discussed several business angels, but ultimately decided against them. Tengelmann Ventures' philosophy fits perfectly with ours and it also has the necessary capital backing. Gemüsering, or Kraut Capital, is very well connected in the field and has a lot of knowledge about the industry. They already supply all major supermarkets and restaurants with products that we can grow in our device. Both investors complement us very well.
“If everything goes as planned, plantCubes will soon be available for purchase everywhere.”
What happens to the money you raise?
The majority of the money went into product development. We also hired three additional team members, expanded our office, and built a workshop. We're currently in the process of expanding a laboratory so we can conduct plant testing in-house.
What can you say about the partnership with Osram?
Osram has developed special LEDs with us and has already built an initial small series, which we are currently testing. We expect to continue working together in the future when it comes to industrialization, scaling, and perhaps other topics.
What are your plans for the next 12 months?
Our goal is to complete a successful open beta round in Germany. We then plan to prepare for internationalization by the middle to end of next year, with the aim of expanding into additional European markets in 2018. We will further expand our team in the areas of software, customer service, and sales. A few more developers will also be joining us.
I'm particularly looking forward to the next round of financing: If everything goes as planned, plantCubes will soon be available for purchase everywhere in German-speaking countries.
We wish you all the best and thank you for the interview!
