Breast pump start-up Naya shuts down after failing to raise money

Naya Health, the maker of a $1,000 breast pump that was supposed to be “revolutionary,” has shut its doorways after the corporate was unable to discover an investor or purchaser.

The start-up emailed its customers on Wednesday in regards to the choice and took down its web site. The e-mail was forwarded to CNBC.

“We are sorry to have stayed silent for so long,” wrote Janica and Jeff Alvarez, the corporate’s founders, who’re additionally married. “We have been working to find a way behind the scenes to either raise enough capital to face the increase in manufacturing costs or find the company a new home.”

Women’s well being firms have struggled to raise funding of late and have additionally confronted challenges with their provide chains. Naya had particular technical points with its merchandise, and customers had been dissatisfied with lackluster responses from customer support.

Several ladies beforehand advised CNBC that their pumps arrived with lacking elements, and others stated their machine stopped working after a number of weeks. Many turned to on-line boards and social media to complain after they did not hear again from the corporate.

Naya, which had raised about $5 million, was “unable to take it to the level we had aimed for, and our customer’s deserved,” the e-mail stated. The firm apologized for its lack of responsiveness and stated that customers who’ve requested refunds however not acquired them ought to contact their financial institution or bank card supplier.

Alvarez advised CNBC in 2017 that she was dwelling off minimal wage to get the corporate off the bottom and had booked greater than $1 million in gross sales. She described her mission as making a extra snug pump for ladies after breastfeeding her personal kids.

“I am still proud of what this company has achieved and the public conversation it has sparked about the need for companies to develop and improve upon the technology and tools available to help women live better and healthier lives,’ the email said. “My hope is that others can construct on this progress.”

Here’s the total e-mail:

To our clients,

It is with a heavy coronary heart that I share that Naya Health, Inc. will likely be shutting down right now.

We are sorry to have stayed silent for therefore lengthy. We have been working behind the scenes to both discover a manner to raise sufficient capital to face the rise in manufacturing prices or discover the corporate a brand new house the place our know-how may gain advantage from extra assets. During this course of, we had been unable to share Naya’s standing publically for authorized causes. Ultimately, it has turn out to be clear that the one plan of action for Naya Health is to shut its doorways.

The mission of Naya Health was to evolve know-how for ladies as a result of we consider they ladies deserve higher. Like many startups creating first technology merchandise from scratch, we labored onerous to get it proper. However, with restricted assets, had been unable to take it to the extent we had aimed for, and our clients deserved.

While the choice to shut down was robust, we knew we may now not serve our clients in the best way they deserve. Many of you whose orders we had been unable to fulfill have been refunded. If you haven’t acquired an order and are ready to your refund, we advise that you just contact your financial institution or bank card firm and request one.

I’m nonetheless happy with what this firm has achieved and the general public dialog it has sparked in regards to the want for firms to develop and enhance upon the know-how and instruments out there to assist ladies reside higher more healthy lives. My hope is that others can construct on this progress.

I would like to thank our traders, advisors, household, and mates for supporting Naya Health’s mission over the previous few years. But most of all I would like to thank our clients for taking a wager on us, telling your family and friends about us, and supporting us to the top. We wouldn’t have achieved what we did with out you.


Janica, Jeff and the Naya Health Family

Source link Christmas 2019

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