Rowheels, Inc.

Rowheels, Inc. (“Rowheels or “Company”) mission is to revolutionize global access to the best rehabilitation products by reinventing the distribution channel in an industry segment experiencing exponential growth due to the aging population.

How it all began — We created the world's first therapeutic wheelchair. Say goodbye to aches and pains.

Rowheels successfully developed, tested, patented and manufactured the world’s first therapeutic wheelchair technology that greatly reduces the pains and aches normally associated with 70% users of traditional push wheelchairs.

A pleasant surprise

Instead of relying upon the traditional and cost-intensive dealer channel, Rowheels has further developed a unique and efficient online marketplace that now sells its own proprietary products and that of the entire rehabilitation industry.

The online platform is designed and custom-built for the rehab industry, first of its kind, offers great benefits to both the sellers and buyers to get the best deals. Top manufacturers from the industry have quickly embraced this platform and Rowheels is positioning itself to control the distribution space.

The opportunity

Rowheels with Rehabpulse is a potentially high growth business and with the future vision to build a seamless platform that will manage patient prescription and allow automated billing of the insurance claim, first time ever in the industry with potential $100mn revenue growth in just 3 years.

This is somewhat a repeat to what Pillpack did in the pharmacy industry, eventually acquired by Amazon in 2018 just under $1bn. 

The team

Mishra, a world-class medical tech CEO leads the Company in executing a disruptive market-changing strategy. Gaurav has combined past experience as President of the largest global player in this industry and led a turnaround as CEO of a leading medical insurance billing company. This is a unique investment opportunity within the healthcare segment already pursued by Google, Amazon, and Apple as they aim to redefine the healthcare space.

The problem

The durable medical equipment industry has yet to embrace the digital retail revolution, big players are forced to keep established dealer relationships and sales force, the small players don’t have enough financial strength and relationships to penetrate the dealer network. Rowheels faced a similar challenge initially while trying to penetrate with its product through the traditional dealer channel and ultimately successful by pursuing it through direct online sales. The few online marketplaces that exist today in the industry charge unrealistic commissions to vendors, lack customer service, have a manual process with lengthy lead times to register or make any changes. 

The solution — RehabPulse

Rowheels developed its own e-commerce store and focused on direct selling to end-users. The strategy helped to quickly spread Rowheels product awareness and even getting noticed by giants like Walmart that selected Rowheels to sell its products on Walmart.com. The early sales success also showed the path of how this model can be enhanced to empower the entire Rehab world. This led to the development of Rehabpulse.com, a leading online platform that has been quickly endorsed by both big and small players to sell their product on this marketplace, without impacting their existing sales channel and maintaining attractive gross margin.

Market Size

With the growth in the ageing population, there is an ever-increasing need for multiple mobility products to sustain independent living. Just in US, by 2030, when all boomers will be older than 65, older Americans will make up 21 percent of the population. There is a growing cost burden on medicare and the self-pay market is growing at a fast rate. The global rehabilitation devices market size was valued at USD 10.5 billion in 2016and is expected to grow at a CAGR of 6.0% from 2017 to total of $16.78 billion in 2025. In 2017, a total $12bn worth of medical equipment and supplies were purchased. The total estimated global revenue from healthcare products brought through e-commerce by 2025 is $463BN, Reference the full report: https://www.reportlinker.com/p05171123

Market Opportunity and Revenue Potential

Rehabpulse.com aims to redefine the future of rehab medical product distribution by reinventing the user experience and empowering the vendors. We believe it has the potential to quickly grow at a scale becoming the Amazon of the rehabilitation world. With just a handful of small players offering an online marketplace in the industry, none with uniqueness and advanced features presented by RehabPulse, we believe we are poised to become a major platform in a short time. In the next phase, the Company plans to develop and automate insurance claim processing online, which could have revenue potential exceeding $100mn in 3 years (similar to the Pillpack story in the pharmacy industry).  These projections cannot be guaranteed. 

Rowheels' core technology is in the wheelsets that can be fitted on most of the major wheelchairs manufacturers. Rowheels recently closed strategic partnership deals with two major manual wheelchair manufacturers to source a fully customized wheelchair frame that is pre-fitted to its proprietary wheelsets and ordered through Rowheels online. The ultimate goal of Rowheels wheelsets business is to offer it as an OEM product to other wheelchair manufacturers. This would be the fastest and most economical path to enable quick spread of Rowheels technology.

Competitive Advantage/IP/Barriers to Entry

There is no direct or similar product/solution like Rowheels patented technology that addresses the significant medical problems faced by users of push motion wheelchairs.

Rehabpulse is a unique and first-ever global technology platform offering several advantages for both vendors and buyers.  We believe we enable the best price and deals possible on only a few other platforms that currently exist. Currently for vendors to sell on the existing platforms involves a lengthy manual process, the vendor gives away 40% margin compared to just a 20% charge from Rehabpulse. Offers several unique features such as online vendor registration similar to Amazon, Vendor dashboard, reports, Vendor manages its own shop including pricing, marketing campaigns, Easy upload of products, photos and videos, Rehab TV showing rehab dedicated content, fully customizable option for Rehab products, and dedicated customer service staff with technical expertise. The future incorporation of insurance claim online will be first-ever and huge development also lowering the total cost of healthcare on these devices.

Rowheels is now at an inflection point, seeking to raise the remaining $1-2mm (between this Regulation Crowdfunding campaign and other sources of capital) and execute one of the most disruption plans that will redefine the distribution space in the industry. 

Potential Exit

Although we cannot guarantee it, we hope for an acquisition by an online healthcare Business/ Amazon/Google/large private equity player or large industry player wanting access to the online distribution channel.