PLUS BRAND KICKS OFF 2023 GROWTH WITH 10 MILLION DOLLAR NON-EQUITY ROYALTY UNIT CAPITAL OFFERING

JANUARY 16, 2023 – Plus Brand Industries is pleased to announce the launch of a 10 million dollar non-equity royalty unit capital offering to facilitate the rapidly growing distribution requirements of its popular Agua Plus alkaline water featuring All-Scratch!™ technology. Demand for the product amongst DSD distributors and retailers has begun to rapidly outpace even the expectations of the Company, which has bootstrapped its operations since inception, creating a large list of beverage distributors excited to offer the product in their respective markets. The Company’s offering has been registered as of January 12, 2023 through the Rule 506(c) JOBS Act filing with the SEC.

Royalty financing is a unique financial instrument providing a non-equity claim to a percentage of all gross revenue received by the Company, paid in first position before any expenses related to the revenue. Royalty unit holders receive a meaningful return on capital without having to be concerned with initial profitability of the Company during the rapid growth period; all the while, also not being subject to the ebbs and flows of market sentiment and current stock market concerns that come with owning shares in publicly traded companies. The offering provides a unique investment and retirement dollar alternative to diversify and generate investment cash-flow with a high growth company in the booming functional beverage market segment. 

“It’s a genuine win-win.” said Plus Brand Founder and CEO Chad Willis. “For the Company, access is provided to the capital required to take advantage of all the expansion opportunities we have been able to cultivate; accelerating the pace at which we can continue to onboard all of the distributors and retailers in our queue, while continuing to maintain complete ownership and control over the business. Likewise, royalty unit holders are able to put dollars directly to work with existing demand that has already been generated and is waiting to be exploited. As a result, unit holders have the opportunity to earn a strong return and generate quarterly cash-flow at a time when public markets are suffering major losses and filled with uncertainty.”

The prevalence of bottle confusion, a situation whereby identical products being consumed by multiple users creates confusion surrounding which product belongs to whom, is ultimately the catalyst for the overwhelming demand for Agua Plus and the All-Scratch!™ technology solution. In the U.S. non-alcoholic beverage industry alone, annual revenues are approximately $225 billion (zippia.com) which translates to the simple fact that bottle confusion is a daily problem everywhere. Plus Brand’s proprietary All-Scratch! technology allows customers to simply scratch their name, initials, a picture or identifying marks of any kind directly onto a bottle of Agua Plus in order to eliminate the problem. Also unique to the technology is its ability to resist the typical conditions in which a beverage finds itself exposed: ice, water, sun, heat, condensation and mild rubbing. 

When combined with great looking packaging that offers excellent retail point-of-sale display capabilities built right into the beautiful boxes, an attractive and competitive price point and iconic red cap, the pH9+ alkaline water with added vitamins, minerals and electrolytes definitely creates a value-driven offering all on its own. However, combined with the exclusive All-Scratch!™ technology, Agua Plus turns the product into a 1-2 punch that retailers and customers can’t ignore. 

From the manufacturing and fulfillment side, Plus Brand has already laid the necessary groundwork to scale production and logistics as needed to facilitate the growing demand. A warehouse network with hubs that service all major U.S. markets and co-packers well equipped to ramp up weekly production exponentially set the Company up on a great footing. Capital from the royalty units is being utilized directly towards the onboarding and success of a long line of pending distributors and retailers. Line items such as increased upfront inventory production ahead of revolving cash flow, necessary product samples for in-store and in-market displays, community product activations, general market awareness and targeted digital campaigns are just a few of the primary areas Plus Brand is focusing on in order to onboard, equip and support all new distribution partners. 

Co-Founder and COO Adam Gauer had the following to say: “The simple one word answer to where the funds are being directed, as a key component of launching each new distributor, is MARKETING. Marketing, marketing, marketing! Newly formed engagements with leading national marketing and advertising agencies will allow us to scale the brand, product and technology messaging so that the public in every market in which we partner with distribution becomes aware of how Agua Plus and All-Scratch!™ technology solve bottle confusion. Whether on the streets, in the stores or across primary media outlets and platforms, we aren’t simply crossing our fingers and hoping these great distributors will be successful introducing Agua Plus. We are proactively jumping out in front to ensure that they are. That, in our opinion, is the recipe for a long, healthy, mutually beneficial relationship with each and every one.”

If you are a broker or an accredited investor who would like to request an opportunity to participate in the royalty unit offering, please visit RoyaltyOffer.PlusBrand.com or email royalty@plusbrand.com. Additional information and full access to the PPM can be obtained through registration within the fully customized and transparent investor portal.