LEDdynamics, Inc.

LEDdynamics, Inc.

Based in Randolph, Vermont, LEDdynamics, Inc. (LED) was founded in 2000 by William McGrath (Bill). The Company develops, manufactures and sells LED light technology, products, software, and systems. The Company has grown organically over the years, and in 2019, LED brought on Neil Cannon as CEO, who brings deep and direct experience in the lighting industry, along with a strong network in the marketplace. This provided Bill the opportunity to focus on the development of new LED lighting technology known as PERFEKTLIGHT (PKL), the Company’s next big play. PKL’s primary application is for the eldercare market – providing lighting solutions for the elderly and those with dementia. PKL is designed to help with our circadian rhythms which are essential to healthy sleep patterns. Bill had developed this technology but didn’t know where it might be best applied and how to bring it to market. Neil saw the potential. But then COVID-19 hit. As with so many businesses, COVID’s impact on LED’s revenue was immediate. The Company was able to pivot and focus on their LED online supply channel (for residential and small commercial), and they cut expenses including austerity measures related to reduced salaries for management and leadership.

Given losses in 2019 and 2020, they were challenged with finding a bank or lender who was interested in funding the commercialization and marketing of their innovative PERFEKTLIGHT product line launch. The Flex Fund saw the potential and provided a $500,000 revenue based financing (royalty) note with participant Coastal Enterprises, Inc. to help them bring their PERFEKTLIGHT technology to market.

LED is in alignment with the Flex Fund’s mission of environmental sustainability, waste management, and mitigating climate change. Their innovative technology, PERFEKTLIGHT, is not only energy-efficient, but has the ability to improve well-being in a vulnerable population, the elderly. And the company is one of the larger employers in the Randolph community and supports resilient communities by providing living wage jobs and benefits.

Bill McGrath, Founder

“The Flex Fund helped us get some of the long lead time parts for the project without having to wait for the customer deposit. We could take steps forward with reduced risk. Several times during the evolution of the company advisors have come in and suggested we move to Silicon Valley but we prove them wrong when investors like the Flex Fund come along. I’ve known since 8th grade that Vermont was where I wanted to be. And surprise, surprise, we made Vermont work.”