DAO Labs

Modern Approach to Ancient Wellness

DAO Labs

Modern Approach to Ancient Wellness

Minneapolis, MN
Biotechnology
DAO Labs is a Dietary Supplements and Lifestyle company that combines the ancient principles of Traditional Chinese Medicine with modern convenience. We provide solutions to wellness needs when western options fail.

$40,210

raised
36
Investors
$12.5M
Valuation
$2.83
Price per Share
$299.98
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

$40,210

raised
36
Investors
$12.5M
Valuation
$2.83
Price per Share
$299.98
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

Rewards

Get rewarded for investing more into DAO Labs:

$299+
Investment
StartEngine Owner’s Bonus
This offering is eligible for the StartEngine Owner’s 10% Bonus program. For details on this program, please see the Offering Summary section below.
$300+
Investment
Tier 1
Immunity Bundle (5 Days of Immunity Support) + One Week of Bounce Back Cold & Flu Formula
$750+
Investment
Tier 2
Immunity Bundle (5 Days of Immunity Support) + One Week of Bounce Back Cold & Flu Formula + DAO Labs Herbal Hydro Flask
$3,000+
Investment
Tier 4
Immunity Support Bundle + Bounce Back Cold & Flu Formula - One Week + DAO Labs Hydro Flask + DAO Labs Gua Sha Facial Stone Kit + Virtual Consultation + 15% Lifetime Product Discount
$5,000+
Investment
Tier 5
Immunity Support Bundle Bounce Back Cold & Flu Formula - One Week DAO Labs Hydro Flask DAO Labs Gua Sha Facial Stone Kit Virtual Consultation 20% Lifetime Product Discount 3% Bonus Shares
$10,000+
Investment
Tier 6
Immunity Support Bundle + Bounce Back Cold & Flu Formula - One Week + DAO Labs Hydro Flask + DAO Labs Gua Sha Facial Stone Kit + 25% Lifetime Product Discount + Annual call with CEO and Consultation with Dr. Eric Karchmer + 5% Bonus Shares
$15,000+
Investment
Tier 7
Immunity Support Bundle + Bounce Back Cold & Flu Formula - One Week + DAO Labs Hydro Flask + DAO Labs Gua Sha Facial Stone Kit + 40% Lifetime Product Discount + Annual call with CEO and Consultation with Dr. Eric Karchmer + 7% Bonus Shares
$25,000+
Investment
Tier 8
Immunity Support Bundle + Bounce Back Cold & Flu Formula - One Week + DAO Labs Hydro Flask + DAO Labs Gua Sha Facial Stone Kit + 40% Lifetime Product Discount + Annual call with CEO and Consultation with Dr. Eric Karchmer + 10% Bonus Shares

Reasons to Invest

Established portfolio of products, incredibly favorable consumer testimonials, growing customer base and a presence in multiple large, wellness categories.
Dedicated network of alternative healthcare providers, globally, with tremendous room to further scale.
The global market for botanicals and acupuncture is surging, with anticipated CAGR of 19.8% to $165 billion by 2027.

“We Deliver Wellness Through the Wisdom of Traditional Chinese Medicine and the Healing Powers of Our Innovative Products”

DAO Labs incorporates the 2,500 year old practice of Traditional Chinese Medicine into modern formats that allow our customers to live more active, fuller lives.  By focusing on the concept of internal “imbalance”, Traditional Chinese Medicine delivers natural wellness solutions by treating the underlying need, not just the symptoms.  It’s no wonder that the healing powers have stood the test of time, and are forecasted to become more in demand as the world re-opens, and consumers’ desire for health and their safety grows.

Overview


The New Way of Health - Solutions Born in Nature, Not in a Lab

While the practice of acupuncture and Chinese herbal medicine dates literally thousands of years, we had our first encounters with the power of Traditional Chinese Medicine nearly 25 years ago in the hospitals of Beijing, herbal clinics in Tibet, and the kitchens of Shanghai.  Since that time, we’ve literally and figuratively crossed bridges to bring a new “way” of life for those seeking alternative methods of health and healing.

It’s our personal experience with, knowledge of and passion for Traditional Chinese Medicine that has allowed us to create products and services that will bring balance, health and harmony into peoples’ lives.


From our Sleep Series formulas that have transformed our customers’ sleep, to our Immunity Support formula that kept people safe and healthy throughout 2020, we’ve embraced the power of traditional Chinese Medicine to deliver wellness solutions, but in formats and ways that have previously prevented this global practice from exploding in the West.


We also believe in the need to be strong global citizens, which is why we support WildAid, a non-profit that advocates against the poaching of exotic animals for commercial purposes.  Our belief is that healing begins in nature, and we strive to support that belief every step of our journey.

The Problem


Despite its Global Popularity, Traditional Chinese Medicine is Still Underrepresented to the Western Market

Traditional Chinese Medicine is considered a highly effective preventive medicine practice throughout many parts of the world, but it remains challenging and intimidating for many Western consumers to embrace and understand.  Consequently, the powerful healing powers are largely inaccessible to this market. 

The Solution


Our Innovative Product Offerings & Ease of Ordering Make Traditional Chinese Medicine Accessible & Digestible

At DAO Labs, it is our mission to make Traditional Chinese Medicine as accessible, approachable and as simple as possible.  We’ve created a direct-to-consumer platform that allows us to reach customers globally, and built a network of alternative healthcare practitioners who carry our formulas and support our outreach, vision and message.

Perks


The Market


The Dietary Supplement Market is Surging Since COVID, and Consumer Interest in Traditional Chinese Medicine Has Never Been Higher

As Dietary Supplements, DAO Labs formulas are part of a large, growing and dynamic category.  The total US sales of Vitamins, Minerals and Supplements was forecast at $25.9 billion in 2019, with expected growth to $32.1 billion by 2024 according to October 2019 Mintel analysis.

In a post-COVID world, sales of supplements are expected to surpass $150 billion, with a record 9.5% growth in part due to the global health pandemic (source).

Looking at a different metric, the global market for “Botanicals and Acupuncture” is forecast to grow dramatically over the coming years, and is expected to reach $165.11 billion by 2027 from $38.94 billion in 2019, representing a CAGR of 19.76%.  This is fueled by the consumer base for complementary medicine, where the “benefits and philosophies associated with it” is propelling some of the growth.  The report specifically notes that “Herbal medicine, naturopathy and homeopathy are the three most adopted complementary therapies”. (Source)

According to a 2019 study by MindBody (source), “Acupuncture is one of the top integrative health services people are interested in trying.  The service is most popular across all age groups and genders with the exception of 18-25 year old women, where it came in second behind massage services”.


From a positioning perspective, we consider the term “Acupuncture” as a halo for all aspects of Traditional Chinese Medicine, from needling to herbs, moxibustion to Chinese dietary therapy.  Through both our Telehealth/Virtual Consultations service, and our current product offerings, we speak to these needs in a consumer forward way. 

Finally, when looking at just a few of the categories our products are in, the near term growth outlook is extremely favorable, driven by trends captured in the above data, along with behavioral changes as a consequence of the on-going pandemic.

Our Traction


We Have a Fast Growing Customer Base, Target an Underserved Market, and Offer Products People Love

Since our launch in 2017, we’ve both created, cultivated and engaged a highly active consumer base, while simultaneously building a growing community of over 500 alternative health practitioners who are currently trained and selling our formulas in over 5 counties.

In addition, we are one of the first herbal supplement companies to create a user interface and related fulfillment capabilities to allow customers to customize and personalize their orders, a major opportunity in the Vitamins, Mineral and Supplements category (according to Mintel).

We also launched two very relevant and timely solutions for the changes in consumer needs and behavioral shifts in 2020.

What We Do


We Help Our Customers Set a New Path for Health... And We’re There Every Step of the Journey

We deliver wellness through the wisdom of Traditional Chinese Medicine and the healing powers of our innovative products.  We accomplish this in the following ways:

  • Through the development of Dietary Supplements that embrace the 2,500 year legacy of Chinese herbal medicine that transform our customers’ health and wellness goals.

  • Through one-on-one support with our Telehealth/Virtual Consultation offering, allowing our customers to work directly with an acupuncturist to achieve their wellness objectives.

  • Through rigorous testing.  Our herbs are initially tested in Asia and then re-tested in the U.S.  Every herb runs through a minimum of 10 different tests before being certified safe for consumption and for purity.


Finally, we educate about the benefits of living a “Traditional Chinese Medicine Lifestyle” through our online publication, The Way, that assembles articles written by acupuncturists globally on topics ranging from basic key concepts of Chinese medicine, to lifestyle articles such as why professional athletes rely on acupuncture for enhanced performance. 

The Business Model


Direct to Consumer, Direct to Practitioner: Wellness Delivered to Your Doorstep

We sell our products both directly to consumers (“DTC”), as well as directly to qualified alternative healthcare providers (“B2B”), primarily in the Acupuncture and Doctors of Chinese Medicine fields.  Both DTC and B2B transactions occur on our large online platform, with all orders shipped directly to our customers’ doorsteps. 

We control the experience every step of the way, allowing us to offer solutions that are easy to order and understand - while controlling costs.      


Our products are available individually, in bundles, and via subscription options to our DTC customers.  We also just launched the ability to create customized formula assortments with some of our formulas, and will be extending this to the full line later this year.

We also offer a Telehealth offering through our Virtual Consultation platform, connecting customers with a licensed acupuncturist. 


For our professional accounts, we have a wholesale pricing program with supporting marketing materials that are used with their patients and clients.  All wholesale orders are drop-shipped directly to the account (we do not utilize third party distributors). 

How We Are Different


We are Transforming Health by Making Traditional Chinese Medicine Accessible

Not only is DAO Labs led by world-renowned experts in Traditional Chinese Medicine, but we are leading the way in innovation, supply chain and sourcing transparency as we bring this powerful practice to more people.

This can be a complex way to health, but it’s powerful - DAO Labs is simplifying this wellness practice and in so doing, making Traditional Chinese Medicine more approachable to western consumers seeking alternative paths to their wellness goals.

We set ourselves apart from others by our approachable packaging, a focus on making Chinese herbs simple, and quickly adapting to modern consumer needs such as product variety, order personalization and innovation.  

To our practitioner partners and wholesale accounts, our products and marketing materials are more approachable than other available options, making DAO Labs an attractive option for their clinics, patients and clients.  We also give them “affiliate” sales tools that provide an additional revenue stream to their practice.

The Vision


The Leading Traditional Chinese Medicine Brand for Western Consumers

In our young history, we quickly learned that we’ve tapped into something much larger - DAO Labs is creating a new way of life for those who embrace our products.

Our vision is simple: 

  • Expand our customer base to make DAO Labs a part of all of our target consumers’ lives - helping them achieve their health goals.

  • Expand and continue diversifying our product offerings to create customized health and wellness solutions.

  • Expand our tele-health initiative to bring more people into the world of Traditional Chinese Medicine and connect them with our practitioner partners across the world. 

OUR LEADERSHIP


Renowned Chinese Medicine Doctors, Consumer Experience and a Culinary Artist

Our team is comprised of people who live our company’s values of expertise, authenticity, innovation and purity.  The passion we share for Traditional Chinese Medicine drives our commitment to execute our vision, whether through Dr. Karchmer’s interaction with his patients, or Chef Travis Metzger’s application of Chinese Dietary Therapy in the foods he eats.  For the DAO Labs team members, it’s a lifestyle.  

Why Invest


Join Us On an Exciting Journey to Bring this New Way of Wellness to the West…. and To You

Demand for Traditional Chinese Medicine has never been more in demand in the west - and that’s just to the people who know it exists.  Led by a world class team of Traditional Chinese Medicine practitioners and consumer product executives, we’re unlocking natural solutions in large wellness categories that are rapidly growing in light of the global pandemic, shifts in consumer preferences and their broader medical needs.  


In addition, our focus on innovation, category disruption and Telehealth to bring more people in, is creating an eco-system that allows us to rapidly scale - while making peoples’ lives healthier in the process.  


In Chinese, the word “DAO” translates to “path” or “journey”.  We invite you to join us on this powerful path to wellness.

Offering Summary


Company

:

DAO Labs, Inc.

Corporate Address

:

807 Broadway St NE, Minneapolis, MN 55413

Offering Minimum

:

$9,998.39

Offering Maximum

:

$1,069,997.53

Minimum Investment Amount

(per investor)

:

$299.98











Terms


Offering Type

:

Equity

Security Name

:

Class B Common Stock

Minimum Number of Shares Offered

:

3,533

Maximum Number of Shares Offered

:

378,091

Price per Share

:

$2.83

Pre-Money Valuation

:

$12,499,210.06











*Maximum Number of Shares Offered subject to adjustment for bonus shares. See Bonus info below.

Early Bird

Friends and Family Early Birds

Invest within the first 48 hours and receive additional 10% Bonus Shares.

Super Early Bird Bonus

Invest within the first week and receive additional 5% Bonus Shares.

Early Bird Bonus

Invest within the first two weeks and receive an additional 2% Bonus Shares.

Investment Incentives and Bonuses*

Tier 1: $300+

  • Immunity Bundle (5 Days of Immunity Support)
  • One Week of Bounce Back Cold & Flu Formula

Tier 2: $750+

  • Immunity Bundle (5 Days of Immunity Support)
  • One Week of Bounce Back Cold & Flu Formula
  • DAO Labs Herbal Hydro Flask

Tier 3: $1,500+

  • Immunity Support Bundle
  • Bounce Back Cold & Flu Formula - One Week
  • DAO Labs Hydro Flask
  • DAO Labs Gua Sha Facial Stone Kit
  • 10% Lifetime Product Discount

Tier 4: $3,000+

  • Immunity Support Bundle
  • Bounce Back Cold & Flu Formula - One Week
  • DAO Labs Hydro Flask
  • DAO Labs Gua Sha Facial Stone Kit
  • Virtual Consultation
  • 15% Lifetime Product Discount

Tier 5: $5,000+

  • Immunity Support Bundle
  • Bounce Back Cold & Flu Formula - One Week
  • DAO Labs Hydro Flask
  • DAO Labs Gua Sha Facial Stone Kit
  • Virtual Consultation
  • 20% Lifetime Product Discount
  • 3% Bonus Shares

Tier 6: $10,000+

  • Immunity Support Bundle
  • Bounce Back Cold & Flu Formula - One Week
  • DAO Labs Hydro Flask
  • DAO Labs Gua Sha Facial Stone Kit
  • 25% Lifetime Product Discount
  • Annual call with CEO and Consultation with Dr. Eric Karchmer
  • 5% Bonus Shares

Tier 7: $15,000+

  • Immunity Support Bundle
  • Bounce Back Cold & Flu Formula - One Week
  • DAO Labs Hydro Flask
  • DAO Labs Gua Sha Facial Stone Kit
  • 40% Lifetime Product Discount
  • Annual call with CEO and Consultation with Dr. Eric Karchmer
  • 7% Bonus Shares

Tier 8: $25,000+

  • Immunity Support Bundle
  • Bounce Back Cold & Flu Formula - One Week
  • DAO Labs Hydro Flask
  • DAO Labs Gua Sha Facial Stone Kit
  • 40% Lifetime Product Discount
  • Annual call with CEO and Consultation with Dr. Eric Karchmer
  • 10% Bonus Shares

*All perks occur when the offering is completed.

The 10% StartEngine Owners' Bonus

Dao Labs, Inc. will offer 10% additional bonus shares for all investments that are committed by investors that are eligible for the StartEngine Crowdfunding Inc. OWNer's bonus.

This means eligible StartEngine shareholders will receive a 10% bonus for any shares they purchase in this offering. For example, if you buy 100 shares of Common Stock at $2.83 / share, you will receive 110 shares of Common Stock, meaning you'll own 110 shares for $283. Fractional shares will not be distributed and share bonuses will be determined by rounding down to the nearest whole share.

This 10% Bonus is only valid during the investors' eligibility period. Investors eligible for this bonus will also have priority if they are on a waitlist to invest and the company surpasses its maximum funding goal. They will have the first opportunity to invest should room in the offering become available if prior investments are canceled or fail.

Investors will only receive a single bonus, which will be the highest bonus rate they are eligible for.

Irregular Use of Proceeds

The Company might incur Irregular Use of Proceeds that may include but are not limited to the following over $10,000: Vendor payments. Salary payments made to one’s self, a friend or relative.

Show More
Most recent fiscal year-end:
Prior fiscal year-end:
Total Assets
$77,374.00 USD
$80,299.00 USD
Cash And Cash Equivalents
$15,540.00 USD
$22,699.00 USD
Accounts Receivable
$0.00 USD
$0.00 USD
Short Term Debt
$330,812.00 USD
$98,586.00 USD
Long Term Debt
$431,242.00 USD
$494,307.00 USD
Revenues And Sales
$339,994.00 USD
$187,784.00 USD
Costs Of Goods Sold
$127,500.00 USD
$100,922.00 USD
Taxes Paid
$0.00 USD
$0.00 USD
Net Income
-$172,085.00 USD
-$374,392.00 USD

Risks

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.


Updates

Formulas that Change Lives, Starting with Sleep

13 days ago

We publish all of our reviews and testimonials which are nothing if not supportive of the benefits of our formulas.  We offer two sleep formulas depending on the type of non-sleeper you are.  All of our formulas touch different Dietary Supplement consumer categories, with sleep supplement sales estimated to be $1.4 bn in 2020.  But more relevantly, how are you sleeping, and does 2 AM stress keep you awake?  Listen to one testimonial from one of our customers.

Watch Now

 

Important Industry Updates: Chinese Herbs and Covid 19 Study

28 days ago

The heritage of Traditional Chinese Medicine dates 2,500 years, but the relevancy and application remains incredibly relevant today.  The University of California at San Diego just launched a study to evaluate mushrooms and Chinese herbal medicine to potentially treat COVID-19.  

Learn more about this important and relevant development.


Learn More




Fundraising at a Time When We Can Make a Difference

about 1 month ago


The timing of our Reg CF Campaign comes at a time when our formulas are needed, right now - in particular, our newest herbal pills, Bounce Back and Breathe Clear, which we sprinted to bring to market in late 2020 and which remain as important and relevant now.  Learn more about our offering and why the addressable opportunity, both from an investment perspective and from a relevancy standpoint is so meaningful and exciting.

Learn More



Distribution Through Our Global Network

about 2 months ago

In addition to our direct-to-consumer sales model, our formulas are distributed through a global network of alternative healthcare providers, primarily Acupuncturists.  All of our Practitioner Partners have access to a proprietary website with sales and training information, unique promotional opportunities, and tools to help bridge the relationship with their clients to DAO Labs.  Is there an Acupuncturist in your world who should be introduced to DAO Labs?  Email us at hello@mydaolabs.com and we'll get samples in the mail.



A Solution As We Head Back to School

about 2 months ago

As school years kicks off and the global health situation remains, we're promoting the formula that was our number one seller last year - Immunity Support.  We've taken this 750 year blend that has been through pandemics before, and, like all of our formulas, offered an approachable twist.  With the global herbal botanical market growing at a nearly 20% CAGR, we're excited at the solutions that both DAO  and this category possess.  

Learn More



Get to Know Us

about 2 months ago

One of the exciting aspects of Traditional Chinese Herbal Medicine is that it can treat so many different things.  Many of our formulas are in different health and wellness Dietary Supplement categories that are both large and growing.  Learn more about them, and experience if they’d be a fit for you.

LEARN MORE


A Proprietary Formula Designed for Colds and Fevers

about 2 months ago

We launched Bounce Back in late 2020 and it’s a formula we recommend for colds, fevers, chills and more.  But the story of its development is very personal.  

LEARN MORE


DAO | Start Engine Graphics 07.293.jpg

Making Traditional Chinese Medicine Relevant & Approachable

2 months ago

Part of our brand’s promise it to make Traditional Chinese Medicine approachable.  One of the ways we do this is through aggressive content marketing, collaborating with our global community of Acupuncturists to explain “how all of this works”.   With the Olympics in full swing, learn how this ancient practice can help you the athlete in all of us. 

LEARN MORE

A Solution as Summer Colds & More Tick Higher

2 months ago

As the country faces an uptick in summer colds and more, just as summer travel peaks and as we prepare to head back to school (and the workplace), DAO Labs Immunity Support is very much on our minds again.  Read why our customers loved this formula so much throughout the past 15 months, and why we recommend it for your wellness toolkit. 

LEARN MORE

DAO Labs Co-Founder Awarded Fulbright Scholarship to Study Chinese Medicine

2 months ago

Underscoring our commitment to authentic and a nod to the growing acceptance of this wellness modality, DAO Labs Chief Doctor of Traditional Chinese Medicine was awarded a Fulbright Scholarship to to study the application of Traditional Chinese Medicine to treat emerging diseases and illnesses - particularly in children.  

LEARN MORE


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