"Revolutionary" Shoe Biz Seeking Money
Unless you've picked up a box of Wheaties or browsed a Sky Mall lately, you may not have heard of Spira Footwear. It may be time to pay attention-its managers are attempting to position the company to "revolutionize the shoe world" with its WaveSpring technology. That is, "if we don't screw this up," said CEO and co-founder Andy Krafsur. Designed by a former aerospace engineer, the technology has been endorsed by Dick and Rick Hoyt and has even raised controversy over whether it was legal to wear in races like the Boston Marathon, given claims that it gives wearers an unfair advantage. The El Paso, Texas-based company has been slowly and steadily growing since it began in 2000. It's raised $8 million from angel investors to date and is seeking an additional $5 million from institutionalIt's raised $8 million from angel investors to date and is seeking an additional $5 million from institutional investors as it expands the use of its technology into work boots, military footwear and other types of shoes. The company had $6.4 million in revenue last year and expects $7 to $7.5 million this year. Spira's initial gross margins are 55%, which is higher than the industry average of 35%, Krafsur said.
