HYLETE, Inc.

Community built and driven fitness lifestyle brand

HYLETE, Inc.

Community built and driven fitness lifestyle brand

Solana Beach, CA
Fashion & Apparel
We are a fitness lifestyle brand, dedicated to the development of new ideas and the possibilities that come with thinking differently. As we build on a foundation of high-quality fitness apparel and gear, our energy is equally focused on inspiring and motivating our community.

$790,524

raised
1,041
Investors
$44.8M
Valuation
$1.00
Price per Share
$500.00
Min. Investment
Common
Shares Offered
Equity
Offering Type
$12M
Offering Max
Reg A+
Offering

$790,524

raised
1,041
Investors
$44.8M
Valuation
$1.00
Price per Share
$500.00
Min. Investment
Common
Shares Offered
Equity
Offering Type
$12M
Offering Max
Reg A+
Offering

Bonus Rewards

Get rewarded for investing more into HYLETE, Inc.

HYLETE Investor Account
- Get 50% off on all regular priced products - 10% off clearance locker items - free ground shipping on all orders within the continental U.S - Earn 1 HYLETE point for every $1 invested - exclusive offers
8
days
7
hours
36
mins
15
secs

Offering Circular | Selected Risks Related to this Offering HYLETE Edgar Page


For more information on HYLETE, download and review the Offering Circular. The Offering Circular should be reviewed before making an investment decision. View offering circular supplement (filed 04/28/2020).


Reasons to Invest

We have generated net revenues of over $50 million since 2012, including $12.6 million in 2019, producing a +70% Compound Annual Growth Rate (CAGR).

We have 300,000+ customers, of which include 30,000+ certified fitness experts that provide professional health and fitness content for HYLETE’s Expert Voice Blog, and 25,000+ military personnel and first responders.

We have gained more than 5,000 investors, of which, 85% are also loyal customers who have infused more than $10 million into the company.
Investors receive perks not offered to the rest of the HYLETE community, including 50% off apparel, free ground shipping within the contiguous U.S., exclusive offers, and 1 HYLETE point for every $1 invested.

It started with a pair of shorts


What started with one training short in 2012 has grown into an extensive line of men’s and women’s apparel, footwear, and gear. Building great product is not our only goal. We believe that our brand’s impact can and should live beyond the products we sell. As such, our energy is equally focused on inspiring the well-being of our community. A community we call the HYLETE nation.


We have evolved into a world-class brand that is built, backed, and driven by a passionate community. By removing the noise of traditional retail, our community's feedback goes directly into the development of new products and improving the overall HYLETE experience.

Our Mission and Vision

To design premium fitness apparel with the input of our passionate community and be a source of inspiration and motivation.

Our Core Values

  1. Create with passion - be innovative and focus on quality 
  2. Be active listeners - pay attention and respond with authenticity
  3. Help each other thrive - value other's contributions and invest in each other's growth

designed with our community in mind


High Performance, Innovative Gear

We help you find the ideal short for you! By taking the Find Your Perfect Short Quiz on HYLETE.com, you'll be matched with the best shorts for whatever activity you need them for. With 14 distinct styles to choose from, you're sure to find the short that performs as well as you do.

Top Rated Gear

We have received over 43,000 5-star reviews from our verified customers. 

Video

Verge II Short: Our most lightweight and breathable performance short. Flex-woven fabric with 4-way stretch, available in 4 different lengths.

Fuse Short: Smooth and breathable fabric that inspires confidence while you move. A fitted short, built to complement the results of your training.

Incline Short: Stretch woven fabric with added room in the hips and thighs which allows for high impact movement with no restrictions.

Video

Circuit II Cross-Training Shoe: You'll love the shoes that give you the option to choose between 3 distinct insoles. The circuit II shoe features updates from the original that include increased durability, breathability, and flexibility, based on the feedback from the HYLETE community.

Video

Iris Short: Our #1 selling product. Period. Built to move with you and includes a breathable liner that stays in place during your workouts.

Velos Short: The effortless scrunch waistband and lightweight fabric keep you feeling breezy from start to finish.

Video

Nimbus Tight: A squat-proof legging and an elongated silhouette that will complement your hips and legs.

Urban Jogger: The perfect balance of breathability and warmth. Features a drawstring waistband, tapered contrast rib cuffs, and an internal fleece fabric.

Video

Era Sports Bra: Our most supportive bra, made for high-impact movements.

Altium Sports Bra: Wide x-back straps that provide support, comfort, and increased mobility without digging into your shoulders.

Community Backed


In addition to suggesting new products, and participating in frequent and extensive surveys, the HYLETE Nation engages through HYLETE Project to help chart the future of our brand.

HYLETE Gives back


Charity Support

HYLETE supports the GRACEDBYGRIT foundation by donating 1% of all sales of our women's apparel.


The GRACEDBYGRIT foundation's mission is to develop a new generation of leaders through programs focused on building grit with events, coaching, mentorship, and a collegiate athletics scholarship fund.

Service League

We are passionate about our military community and the first responders who train to ensure the safety of others. Because of this, we created the Service League, which provides these individuals apparel and gear at discounted pricing. 


NEW! Licensed Medical Professionals are now eligible for the Service League! 

Train Team

Over 30,000 certified personal trainers are part of our HYLETE Train Team and contribute their expert voices via the Community Blog. Members of the HYLETE Train Team receive special offers and Train Team pricing.

Morale Programs

Healthcare Morale Program: To help keep spirits up, we are connecting with frontline healthcare workers who are making sacrifices every day as they work around the clock to help fight COVID-19. While they provide us the strength and comfort we need in these difficult times, we hope that we can send them a small token of our appreciation with a HYLETE care package.


Military Morale Program: We care about our Military Community and are passionate about connecting with the men and women who train and maintain physical fitness to ensure our safety every day. To help boost the morale of deployed service members, our Military Morale Program outfits troops, companies, squadrons, and platoons in HYLETE apparel.

IN The media


AN OFFERING STATEMENT REGARDING THIS OFFERING HAS BEEN FILED WITH THE SEC. THE SEC HAS QUALIFIED THAT OFFERING STATEMENT, WHICH ONLY MEANS THAT THE COMPANY MAY MAKE SALES OF THE SECURITIES DESCRIBED BY THE OFFERING STATEMENT. IT DOES NOT MEAN THAT THE SEC HAS APPROVED, PASSED UPON THE MERITS OR PASSED UPON THE ACCURACY OR COMPLETENESS OF THE INFORMATION IN THE OFFERING STATEMENT. THE OFFERING CIRCULAR THAT IS PART OF THAT OFFERING STATEMENT CAN BE FOUND HERE


THE OFFERING MATERIALS MAY CONTAIN FORWARD-LOOKING STATEMENTS AND INFORMATION RELATING TO, AMONG OTHER THINGS, THE COMPANY, ITS BUSINESS PLAN AND STRATEGY, AND ITS INDUSTRY. THESE FORWARD-LOOKING STATEMENTS ARE BASED ON THE BELIEFS OF, ASSUMPTIONS MADE BY, AND INFORMATION CURRENTLY AVAILABLE TO THE COMPANY’S MANAGEMENT. WHEN USED IN THE OFFERING MATERIALS, THE WORDS “ESTIMATE,” “PROJECT,” “BELIEVE,” “ANTICIPATE,” “INTEND,” “EXPECT” AND SIMILAR EXPRESSIONS ARE INTENDED TO IDENTIFY FORWARD-LOOKING STATEMENTS, WHICH CONSTITUTE FORWARD-LOOKING STATEMENTS. THESE STATEMENTS REFLECT MANAGEMENT’S CURRENT VIEWS WITH RESPECT TO FUTURE EVENTS AND ARE SUBJECT TO RISKS AND UNCERTAINTIES THAT COULD CAUSE THE COMPANY’S ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN THE FORWARD-LOOKING STATEMENTS. INVESTORS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON THESE FORWARD-LOOKING STATEMENTS, WHICH SPEAK ONLY AS OF THE DATE ON WHICH THEY ARE MADE. THE COMPANY DOES NOT UNDERTAKE ANY OBLIGATION TO REVISE OR UPDATE THESE FORWARD-LOOKING STATEMENTS TO REFLECT EVENTS OR CIRCUMSTANCES AFTER SUCH DATE OR TO REFLECT THE OCCURRENCE OF UNANTICIPATED EVENTS.

Updates

Coming Soon: HYLETE Webinar with StartEngine

3 days ago

Join us for our very first webinar hosted by StartEngine. Tune in to see the leadership team of HYLETE discuss why this is an exciting opportunity to invest, and also answer community questions.

Join us at 11:00 am PDT on Thursday, October 22. Register below to ensure a virtual seat at the event.

Register Now

If you have any questions you'd like answered during the webinar, please submit them when you register.

We look forward to seeing you there!


This Regulation A+ offering is made through StartEngine Primary, LLC. This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

Our First Women's Shoe 100% Funded in HYLETE Project

11 days ago

Since the launch of the men's Circuit Cross-Training Shoe in 2018, our community has been asking for a women's shoe that parallels in performance.  With the support of the HYLETE nation, we are now making that a reality. 

The women's CIrcuit II Cross-Training shoe is made for indoor and outdoor training. This shoe is ideal for weightlifting, HIIT, cross-training, and any movements that require stability. Engineered for a female athlete's center of gravity to optimize performance, and features 3 interchangeable insoles for stability while lifting, extra cushion for high impact activities, and versatility while cross-training. This shoe features an open, non-tapered toe box, breathable knit upper fabric, and a Vibram sole for supreme stability and traction. 

We first put the women's Circuit II Cross-Training shoe in HYLETE Project, where if you back it, we build it. We are thrilled to report that all 3 colorways of the shoe have been 100% funded, and we will be building all 3 for the HYLETE community.

To get your own pair of the women's Circuit II Cross-Training shoe, click here.


HYLETE Expert's Voice Blog

14 days ago

HYLETE started the Expert's Voice blog as a community-built space for industry experts to share their knowledge and experience with the entire HYLETE community. The goal of the blog is to educate and inspire. To accomplish this goal, we share videos and written articles from the perspective of experts who offer their take on fitness, nutrition, and overall wellness. We also feature spotlight stories from members of the community who we recognize as having an inspirational message to share.

What makes it stand out?

By sharing valuable educational and inspirational content created by the community itself, we are able to prove how much our community means to us. Beyond offering premium performance apparel and gear, we are showing the community that we care about their well-being, and hope to motivate and inspire their health and fitness journeys. It also helps us to tell our community story when working with brand partners and third parties who want to know what we mean when we say we are a community built and driven brand.

Who contributes?

Certified trainers, nutritionists, and physicians from within the HYLETE community all over the country and beyond contribute to the Expert's Voice blog. Community spotlights feature professional athletes, certified trainers, active military and veterans, and other inspiring members in the HYLETE community.

How do we collect content?

Content is collected by HYLETE's in-house team that builds relationships with content contributors and communicates directly with each contributor to facilitate distribution to the HYLETE blog. New contributors may join via word of mouth or through our online application. The HYLETE team handpicks which content to feature with the criteria of it being educational and/or inspirational.


To view the HYLETE Expert's Voice Blog, click here.

New on HYLETE Project: Men's Circuit II Echo Shoe

18 days ago

The HYLETE Circuit II Echo Shoe is engineered with high shock absorption and energy return so you feel added power in every stride. This breathable, lightweight shoe is ideal for your cardio and high impact activities, with is mesh upper for increased breathability and durability, and 5 flex points for maximum flexibility.

The Circuit II Echo Shoe is now in HYLETE Project, where if you back it, we build it. There are currently 5 different colorways available in Project. Fund your favorite color to make it a reality. 

To fund the Circuit II Echo shoe, click here.


Unique Attributes:

  • New 8mm drop insole designed for running and higher impact activities
  • EVA midsole that is lightweight and ideal for more overall flexibility
  • 5 flex-point outsole for increased bendability while training
  • Vented tongue for added comfort



HYLETE Mid-Year Financial Report is Now Available

21 days ago

Our mid-year financial report, Form 1-SA, is now available on our SEC page, as well as at HYLETE.com/financials.

Thank you for your continued support!


This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

Our Largest Raise Since Opening Day!

25 days ago

Thank you to our new investors who helped us achieve our best fundraising day since we opened our raise. In 24 hours, from September 22 to September 23, we raised over $25,000 from 35 investors. We hope to keep this momentum going as we continue our raise.

Thank you to all of our HYLETE investors who have helped us to get to this point. We hope to welcome many more investors to our community in the future.

Thank you for your continued support!


This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

Get These Investor Perks Before They're Gone

about 1 month ago

Complete the investment workflow before midnight on November 1, 2020, to receive the best investor perks we have to offer.

These investor perks will be ending for those who invest after November 1:

  • 50% off on all regular priced apparel, footwear, and gear
  • 10% off clearance
  • Free ground shipping on all orders within the contiguous U.S.

When you invest, you will receive an investor account on HYLETE.com. You will receive the perks for the lifetime of the investor account program.*

Don't wait! Invest now.


This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

*HYLETE reserves the right to adjust pricing for investors in the future which may result in more or less percentage discounts to retail value being applicable.

New to HYLETE Pre-Order: The Fuse Pant

about 1 month ago

HYLETE’s new Fuse Pant is now available for pre-order and will ship in October! Seeing the love our community has for the Fuse Short (800+ Five Star Reviews), we decided to design a pant with the same features. This new pant will have the same breathable 4-way stretch fabric and slim fit as the short that inspired it. Similar to other HYLETE pants, the Fuse will be available in different inseam lengths to offer a perfect fit for every body type. 

As a direct to consumer, e-commerce brand, Q4 and holiday sales are incredibly important to HYLETE’s success. Part of our strategy for maximizing sales during this critical time has always been releasing new product and this year is no different. Keep an eye out for dozens of new styles and colors for both men and women dropping before Black Friday.

Fall 2020 pre-orders are available here.


How HYLETE Points Work

about 1 month ago

Investors receive 1 HYLETE point for every $1 invested.

20 points = $1 off your order, which means a minimum investment of $500 will earn you $25 off your next order.

There are multiple ways to earn HYLETE points, including 1 point earned for every $1 you spend on HYLETE.com


See your points in action

Verge II shorts $74

Investor Price $37

Minimum investment points (500) $12


Invest to get your points and save even more on HYLETE gear.


This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

Case Study: How HYLETE Converts Their Passionate Community into Loyal Customers

about 2 months ago

"Fewer brands take community as seriously as HYLETE." Pixlee

As a community-driven brand, HYLETE prioritizes community engagement to maintain a happy customer base. Pixlee's tools allow HYLETE to connect with customers all over the world and respond to their images to encourage positive brand interactions.

Through working with Pixlee, we were able to:

  • Increase conversions 30%
  • Increase time on site by 68%
  • Increase return visitors by 154%


See the full case study here

HYLETE Welcomes Kate Nowlan to the Board of Directors

about 2 months ago

HYLETE is pleased to welcome Kate Nowlan to its Board of Directors. Kate co-founded GRACEDBYGRIT, which was purchased by HYLETE in 2018, and served as HYLETE's VP of Strategic Initiatives until April 2020. Kate also serves on the Board of Directors of the GRACEDBYGRIT foundation and San Diego Sport Innovators. She brings with her extensive experience in the fitness apparel industry.

"HYLETE’s vision is promising and aspirational," said Kate Nowlan. "The HYLETE team and Board of Directors are talented and moving the company in the right direction. I am proud to help the team solidify HYLETE's future."

HYLETE's Interim CEO, Jim Caccavo stated, "We are grateful to have Kate on our Board. We are confident she will provide valued perspective and insight as we continue to execute our strategic initiatives."

Community Built and Driven - Video Premiere

2 months ago

Check out the new HYLETE brand video on our campaign page featuring our community.

Over $500K Raised!

3 months ago

We have now raised over $500,000 from over 670 investors in this current Reg A offering. Thank you to our investors who have supported us in this offering and gotten us to this milestone!



This Reg A+ offering is made available through StartEngine Primary, LLC. This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

Flash Financial Update

3 months ago

We are happy to report our Flash Financial Update for the period ended June 30, 2020, below. We have now welcomed over 5,300 community members as investors in HYLETE. 

Key Highlights*:

  • Trailing 12 Month Revenue of $12.1M vs $12.3M in the same period a year earlier
  •  June 2020 net revenues of $960K vs $851K for June 2019, representing a 12.8% increase Year over Year
  • Gross margin of 55% in June 2020 vs 52% in June 2019
  • Gross margins increased 13 percentage points from January 2020 to June 2020
  • Current equity raise is now over $490K
  • 31% increase in new customer orders from Q1 to Q2 2020
  • 93% increase in newsletter subscribers from Q1 to Q2
  • Female customers as a percent of all new customers up from 38% in Q1 to 46% in Q2 2020


*Financial information is based on our unaudited operating data and is subject to change once we prepare our financial statements and our accountant completes an audit of those statements.

A Letter from HYLETE's Interim CEO

4 months ago

Dear Shareholders and Loyal Community Members,

By way of introduction, my name is Jim Caccavo. I am a significant shareholder and member of the Board of Directors of HYLETE and have now taken the role of Interim CEO. This is my first letter to our community since stepping into this role. I look forward to what is ahead, and I am honored to provide support and leadership to this great company as we transition into this next phase. 

I made my first investment in the company in 2013 and joined the Board of Directors shortly after that. I have made several additional investments in HYLETE since that initial investment. I am dedicated to the success of HYLETE and would like to share with you our strategic plan, along with our clear and concise mission.

Since 2012, I have seen HYLETE grow from a scrappy startup with a passionate following to a more mature company with a dedicated and talented team. A team that I believe has created the foundation for future success. As we move forward, we continue to push towards our goals to increase revenue and expand our customer base, reach break-even in Q4 of 2020 and profitability in 2021, and drive increased enterprise value. Our strategy to achieve these goals lies in our core competencies of innovating and creating great products, our direct-to-consumer e-commerce model, automation and analytics, and fostering a culture of continuous improvement focused on scalable and sustainable growth.   

One such way we are working towards achieving profitability is by moving our fulfillment center to Tecate, Mexico. This move allows us to avoid expensive tariffs on imports without affecting our supply chain. Because of this move, our gross profit margins are up 30%, and we will save an estimated $1.5 million in the next 18 months. This is a massive step in our growth trajectory and a unique competitive advantage we now have as a company. We are also working to streamline our pricing, do fewer promotions, and update our shipping policies. 

Our mission at HYLETE is to be a source of inspiration and motivation by designing premium fitness apparel with the input of our passionate community. We aim always to be innovative with a focus on quality. We are active listeners in our community and pay attention to our customers' needs while responding with authenticity. We help each other thrive and value other's contributions and invest in each other's growth. We are truly a brand that is built and driven by our community. 

I want to thank HYLETE's Co-Founders, Ron Wilson, and Matt Paulson, for their vision and leadership over the past eight years. Under their guidance, the team has built a solid foundation of which you are an essential cornerstone. I will continue to work with the HYLETE team to create executable strategic plans, meet our objectives, and strive to create long-term value for our investors and community members. We will continue to update you on the ongoing developments and progress of the company. We will always strive to be collaborative and transparent in these efforts. 

We are excited to accomplish the goals mentioned above together with you. We genuinely appreciate your support and trust in us during the current fundraising round and each preceding financing. We take our duties to our investors and community members with the utmost seriousness. We would not be where we are today without the loyal support from our entire community. We are enthusiastic about our future, and we look forward to continuing to serve our community. The future for HYLETE is bright, and there has never been a better time to join us on this journey.

 

Sincerely, 

Jim Caccavo

Interim Chief Executive Officer


This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment.

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