Offering Circular | Selected Risks Related to this Offering | Sugarfina Corporation's SEC Edgar Page

For more information on Sugarfina Corporation download and review the Offering Circular. The Offering Circular should be reviewed before making an investment decision.

At Sugarfina, we make everyday moments a little sweeter. We've partnered with artisan candy makers around the world to bring sweets that inspire the eyes and excite the palate.

Our core values of luxury, playfulness, and innovation allow us to appeal to our coveted customer demographic of fashionable, influential women.

Historically the market for candy and confections has been made up of brands like M&Ms and Sour Patch Kids, which focus on targeting children as end-users. However, sophisticated adults love candy too and few confections brands speak directly to them. 

We offer artisan confections for the fashion-forward female.

Each of our price points delivers on our promise of Attainable Luxury, Playfulness, and Innovation.

Our products are not only a delicious treat, but a sight to behold, thanks to our in-house innovation and creative teams, partnerships with artisanal candy makers and brands from around the world, and commitment to the highest quality.

According to MarketWatch, analysts predict that the global market for confections will reach $214B by 2026, up from $190B. 

Our target demographic of fashionable, influential women have been a major part of our brand’s rapid growth via social media. Over 75% of our shoppers are women.

Since we acquired Sugarfina in November 2019, we have leveraged the long-term growth potential of the brand by expanding distribution across our four sales channels as well as launching three new innovation platforms.

We have implemented a go-to-market strategy that has dramatically optimized our inventory management, shipping, and supply chain processes while improving our gross margins and cash management.

We recently received the 2020 Wine Award from Cosmopolitan ® Magazine for Best Rose Candy and have been featured in Vogue ®, Martha Stewart Wedding ®, and LIVE with Kelly and Ryan.

Our line of confections is a comprehensive blend of everything ranging from gummies to cordials, cocktail candies, and chocolate bars.

One of our signature offerings is the Candy Bento Box ®, which boasts a curated assortment of our Candy Cubes ®. This patented packaging system allows for total customization in-store and online thanks to the “Design Your Own Bento Box ®” feature.

We sell both directly to consumers and to wholesale retailers like specialty grocers, online gifting platforms, and specialty gift shops.

We have diversified our business model to capture new distribution opportunities while broadening our reach. Our omnichannel approach takes in revenue from five main sources:

Retail boutiques make up approximately 18.3% of our sales coming from 21 retail locations in North America.

Ecommerce represents over 34.5% of our sales and is our highest growth channel.

Wholesale provides 36.3% of our sales through over 2000 prestige wholesalers including accounts like Nordstrom ®, Bloomingdales ®, Paper Source ®, and high-end specialty grocers around the US and Canada.

Custom Corporate Gifting sales make up 7.4%, through over 1300 corporate and event clients.

International sales make up the remaining 3.6%, with a presence in Hong Kong, Australia, and Mexico.

*Omnichannel %sales as of August 2020

We are a leader in the luxury candy and premium gummy space. 

Thanks to our IP portfolio, this position is largely defensible, and as we continue to build our brand through increased marketing and branding campaigns — including our iconic packaging — we believe our market share is likely to increase.

In addition to expanding our ever-growing list of products— we just launched collections inspired by Gelato, Cookie, and Tea— we are continuously expanding distribution.

Our plans include adding four new retail stores in Southern California, expanding onto Amazon ® USA and Rakuten ® Japan, growing our specialty grocery store locations, and relaunching our Loyalty Program to help bolster our customer loyalty and gain new clients. We are also exploring wholesale expansion into the UK, Europe, Southeast Asia, and the Middle East.

We are investing in digital marketing as well, to continue scaling our higher margin and higher growth eCommerce business.

Our buzz-worthy co-branded collaborations continue to surprise and delight our customers with new ways to think about candy with exciting new partners coming in 2021.

We are a dedicated and forward-thinking team focused on building the future of the candy market.

After acquiring Sugarfina we have focused on placing experienced executives and leaders in charge of their given specialties and have empowered them to thrive in their roles, which has resulted in a unique culture of innovation and collaboration. The Sugarfina leadership team has a combined 100+ years of experience in consumer businesses and building aspirational consumer brands. 

We have already proven through our efforts to appeal to our target audience of sophisticated, influential, and fashion-forward women, that we have an ideal product-market fit.

We believe our stellar reputation among these key audiences positions our brand to grow sustainably and rapidly in the next few years.

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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.

YOU SHOULD READ THE OFFERING CIRCULAR BEFORE MAKING ANY INVESTMENT.

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. 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.