Invest in LumenCache

$400b lighting industry game-changer focused on builders to solve adoption. Costs accelerate demand

EARLY BIRD TERMS: $1,975,400 LEFT

$24,600

reserved of a $660,000 goal
INVESTMENT TERMS
Revenue Share Loan
15% of revenue 2.0X payback multiple
Early Bird Bonus:

Bespoke inventory supply for purchase up to the amount invested.

$500, $1K, $10K, $25K, $100K

Highlights

1
Gross margin hardware over 65%. 70% after scale-up and additional factory automation.
2
Demand growing quickly due to ideal product-market fit and rising material cost (heavy Copper wire).
3
Organic growth alone predicts 28mo to complete 2.0x return at 15% gross revenue paid quarterly
4
Uniquely in the center of built environment tech trends: Batteries, Solar, LEDs, Automation, IoT.

Our Team

It almost feels like Derek was genetically engineered for this. Everything in his history was a stepping stone of learning needed to produce amazing product-market fit of the products.

LumenCache: Ready to Change the Game

Our world runs on electrical power, but the way we use that power to light our buildings hasn’t changed significantly for more than a century. LumenCache seeks to change that, and to tap a $400 billion market in the process.

We spoke with hundreds of commercial builders while refining our designs, and the result is the most exciting concept in lighting technology since alternating current. The next step is to bring it to construction projects across the globe. 

We know that builders are ready for LumenCache, because they’ve told us. Now we need the scale required to serve an already hungry market. By helping us reach that scale, investors can benefit from a unique opportunity with tremendous potential upside. 

"I’m really excited by the potential of LumenCache’s ReNetA system and wish it had been available when I was building my home. Smart homes have so much potential to save us money and energy, but they’re overly complex. The central module adding smarts to every light and switch is so much smarter than having to install individual smart switches around the house."  -- Matt Ferrell, Undecided with Matt Ferrell

Introducing ReNetA

Twelve years ago, building construction was costly, resource-intensive, and environmentally irresponsible. LED lighting was not required by law. Smart home technology was stuck in the same over-hyped, low-adoption rut it still resides in today, and copper wire was abundant.

Times have changed, and we’re ready to help the building industry meet new challenges with ReNetA, a plug-and-play modular DC lighting and connectivity solution. Now everyone from DIY homeowners to the largest production builders can install lighting systems quickly, easily, and efficiently while delivering future-proof smart-home capacity.

LumenCache’s safety features are built into the platform and its modules, removing an enormous burden of responsibility from installers. The National Fire Protection Association agrees, and is adopting our approach into the National Electric Code’s emerging Fault Managed Power standards. ReNetA allows these and any other newly published standards to be snapped in as new modules, just one way that LumenCache helps future-proof building construction.

By meeting builders and DIYers on their own terms, we are uniquely positioned to seize a rapid growth opportunity to reward investors who see the same promise we do. This raise event will enable LumenCache to meet the needs of a huge potential market, estimated at $200–$400 billion annually.

The Problem

Builders are experiencing "sticker shock" from their Electrical Subcontractors due to the high cost of heavy Copper wire required for AC lighting. This is opening the door to new solutions, with ReNetA providing the most ideal product-market fit to their needs.

Our Solution

The modular design allows any Class 2 wiring, supporting both UTP (Cat5) wires with RJ45 jacks or standard 2 to 4 conductor wires with levered wire connectors.

Market Size

The Total Addressable Market for LumenCache exceeds $400 billion. We are currently targeting a Serviceable Obtainable Market (SOM) of $50 million. Our Serviceable Addressable Market (SAM) of $500 million will come into play when we have fortified our supply chain. 

LumenCache solves crucial problems in the $200 billion market for residential and commercial lighting.

We estimate that the growing market for smart applications over our platform represents another $200 billion per year.

Competition

Our competitors in the DC lighting space adhere to a variety of standards and employ a variety of proprietary voltages and communication protocols. ReNetA uniquely allows any voltage and protocol standard per wire, so we can adapt to any standard. With our backplane ensuring compatibility among differently programmed ReNetA modules, the LumenCache platform is remarkably future proof. 

One of the largest lighting brands recently launched a DC lighting product based on 57VDC power distribution standard.  Their awareness campaigns are helping Building Codes Inspectors become more familiar with DC power distribution.  This is yet another fixture standard that can easily be adapted to using the ReNetA function cards.

As the only company offering this kind of flexibility and universality, we see a field of potential partners and no direct competitors. 

Our Unique Market Position

ReNetA interacts with the power grid, improving system stability and reliability.

Growth Phase

We expect to begin generating ROI in 28 to 30 months based on organic sales growth within the US alone. Our proof-of-concept product, LibRE, enjoyed worldwide success, giving us valuable global inroads as we bring ReNetA to market.

Housing starts in May 2023 climbed to 1.631 million units, and we believe that our goal of 15% adoption is entirely feasible.  Per Unit revenue from production homes is between $1200-$3000, while custom home per Unit revenue is between $2500-$5000.

We seek to raise $3 million through this event; any amount raised beyond that level will fund marketing activities, factory automation, and installer education programs, all of which may reduce the time to ROI. 

Design For Manufacturing and Assembly

We designed the entire ReNetA product line to be produced efficiently and accurately without compromising on quality or safety. We even developed multiple designs of key components and will submit design variants for UL and FCC certification. This allows us to quickly move production to new facilities if needed.  Since we own our own test jigs and tooling equipment, we can just as quickly develop local manufacturing capacity.

Proven Manufacturing Capacity to Support Large Volume Builders

When it came time to begin manufacturing products at scale, LumenCache’s founder and CEO Derek Cowburn sought the help of experts in rapid scaling. He applied and was accepted into the world’s largest hardware accelerator and moved to Shenzhen, hoping to bring that manufacturing experience to the USA.  He learned how LumenCache’s products are made right on the shop floor where they were manufactured. And he worked with production staff to tweak the manufacturing process until the products could be produced in high quantities at a healthy margin, without sacrificing accuracy or overall quality.

“Presently, we have capacity to deliver over 200,000 common fixtures every month with our top 3 fixture factory partners.  They have assembly factories in 3 countries which further reduces supply and schedule risk.”  - Derek Cowburn, LumenCache CEO

These product and factory optimizations also allow on-shoring of key manufacturing and assembly steps in the U.S., avoiding rejection from large US government efficiency programs with Made in America requirements.  After proving market traction as a result of this investment round, we will apply to the US Loan Program Office within the US Department of Energy, who has already shown significant interest in LumenCache as we have actively participated in US DoE programs since 2016. The LPO funding would be used to build U.S. factories and expand domestic production for North America.

Go To Market

Our go-to-market strategy focuses on production home builders, the same large and focused market whose input helped guide the development of ReNetA. Builders require high volume production, low prices, and low skilled-labor requirements. They also suffer from the high cost of copper wire, and from supply chain instability. ReNetA delivers on every one of those counts.

Better yet, more than 3,000 people in the building industry have joined our mailing lists in advance of the first ReNetA field trials, scheduled for Q4 2023. In the meantime, investors are invited to place advance orders for LumenCache products, up to the amount invested, with our guarantee that we will have those items in stock at a specified date.

To train customers on the use of ReNetA, we will partner with ON3.ai, which has extensive audience with several top builders.

Traditional lighting products allow builders to install basic switches and lights, then Custom Installation sales channels provide after-construction upgrades or builders will sometimes upsell upgrades.  LumenCache will offer a second brand, named Epoch, with an exclusive sales channel, for custom home builders.  While ReNetA and Epoch are highly interchangeable hardware modules, the software and capacity of each provides sufficient differentiation to justify the higher Price of Epoch.  Due to the LumenCache technology, Epoch will strive to deliver upscale market quality at better cost to the dealer channel than incumbent AC products with similar features.

While multiple brands will eventually satisfy every global market, we will start with ReNetA, with its razor-focus market and lowest cost of customer acquisition to fuel growth.

The core research has been conducted for the Ascend product brand which allows it to reach a highly attractive price for emerging markets.  Proteus is a highly environmentally hardened product for industrial process controls, military applications, and is literally a “moonshot product” with applications for Moon or Mars bases. 

Builder-Centered, Globally Proven

How do we flip the low 5% adoption of Smarthome products to 95% instead?

ReNetA is based on proven LumenCache technology.

Himalayan hamlet. Our favorite customer photo.

Cancun smart bus stops. Solar powered, beautifully lit, and even equipped with USB chargers.

LEED Platinum home in Montana. 

Custom homes. 

California homes, Title 24-compliant:

Two wellness centers in Ohio.

Five 5-story apartment buildings, 1400 hallway lights.

 Wellness center.

First install in ZhuHai China.

G-Pod America. Many ADU and modular builders are eagerly awaiting ReNetA to make their assembly process faster and more cost-effective.

Traction of ReNetA’s forebears, the Legacy and LibRE proofs of concept.

ReNetA builds on a legacy of success by filling in some crucial gaps.

Start with any low voltage enclosure, with one AC outlet.

Add the PowerPlane. Snaps in and does not require a special enclosure.

Plug in the AC/DC power supply. One is enough for a typical home, but two or more can be used for redundancy and extra capacity.

Snap in the Power Distribution Module (PDM). No tools required. Snap the blue LED driver cards into the PDM slots.

Connect the tipped and tested Cat 5 wires. These plug into the light fixtures and switches in a variety of topologies. See https://reneta.lighting and click on Learn to see how easy it is to learn the system’s design.

A modular gateway provides connectivity via 4G/5G, ethernet, fiber…and whatever comes next.

Expand the system by adding more PDMs. The LumenCache platform recognizes devices as they are connected to the system and automatically reconfigures itself. A far easier and more reliable approach than wireless device pairing.

Looking even farther into the future, our Epoch brand will add custom enclosures and higher power capacity.

Next, we solved the fixture diversity and compatibility issue.

Fixture Partner Program

Nearly all LEDs operate in the Class 2 voltage range, which ensures that they are all compatible with the same AC-to-DC driver.

LumenCache has partnered with Lotus LED Lights, a top manufacturer of LED fixtures, to leverage their 4,000+SKUs and distribution channels. Lotus will add the ReNetA Smart Interface Block (SIB) to their product catalog near the end of 2023, when the SIBs are in bulk production. Another major manufacturer, Upshine, will provide similar exposure to markets in the UK and across the EU and Asia. By partnering with LumenCache, their fixtures will be available in the system design tools, dramatically reducing quoting, sales, and ordering time.

Twelve Years of Innovation

LumenCache built its first prototype in the space of three months back in 2011, and dealers were installing systems by 2012. The proof-of-concept LibRE system was designed to support the market’s move to LED lighting with a modular design concept built around Class 2 DC transforms, and it was hugely successful. LibRE’s L and L2 series have an installation base of more than $1.8 million in in locations ranging from the Himalayas to Kuwait and Cancun.

LibRE’s success revealed an opportunity to change the way power is distributed and used within buildings. By converting high-voltage AC to low-voltage DC at electrical panels, bypassing the need for fixture-level DC transforms, we could deliver energy more reliably, more safely, and with a 25%¬¬–40% improvement in lighting efficiency. 

The patented LumenCache platform meets the market where it currently stands. Deployment is easy for anyone who can install a standard light switch, and the same Cat 5 cables we use to power lighting fixtures allow builders to add smart-home functionality whenever it suits their customers.

Use of Proceeds

By focusing on key milestones for organic growth, a comprehensive minimum spend plan has also been prepared.

Recruiting and Staffing

As we enter a phase of rapid growth, we plan to hire our first COO by mid-2024. Stable cashflow from sales will help us build a strong candidate pool, and you can, too. Please refer potential candidates to our Current Opportunities page.

Environmental Impact

Efficiency is the "first fuel," and a combination of passive house design and ReNetA’s revolutionary approach to power delivery can reduce energy consumption by 50–80%. 


A Comprehensive Solution

Summary

LumenCache enables a limitless range of new and creative applications while solving a host of long-standing problems.

I invite you to help usher in the future of building, get a solid return on your investment, and help make our world a better, safer, healthier, and happier place.

Thank You!


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Overview