Fruit and botanical-infused sparkling water brand Aura Bora announced Tuesday the close of a $2 million seed round of funding.
What is Aura Bora?
The San Francisco-based brand, co-founded by CEO Paul Voge and his wife Maddie, has been one of the buzziest new names in sparkling water since launching in 2020, offering five zero-calorie flavors — Lemongrass Coconut, Peppermint Watermelon, Lavender Cucumber, Basil Berry and Cactus Rose — in 12 oz. slim cans for a suggested retail price of $1.99 each. The drinks are available across various retail channels, including convenience (7-Eleven) and natural (Whole Foods, Fresh Thyme, Sprouts), as well as online at aurabora.com and Amazon.
Who are the new investors?
Aura Bora’s new backing comes from a diverse group of investors, including actor Scott Eastwood and artist Marley D. Williams of the brand Rebelution. The cohort has a lower average age than the company might have anticipated, Voge said, but more important was securing backers that can help the fast-growing company operate in the post-COVID business environment, both online and offline. Among the company’s new investors are names like cookie delivery entrepreneur Leon Chen of Tiff’s Treats, venture capital funds Balanced Breakfast (RIND Snacks) and Spacestation (Magic Spoon), and consumer products accelerator SKU.
“We put a very specific emphasis on finding operators that know 21st century CPG,” Voge said. “They know how important direct-to-consumer is. They know what the modern millennial or Gen Z consumer looks like. It feels like COVID in particular vastly changed the consumer landscape.”
One new investor who is not part of this round? Robert Herjavec of CNBC’s Shark Tank agreed to invest $200,000 for a 15% stake in Aura Bora during the company’s appearance on the show in January.
How will the funding support growth?
After a fast start through online sales, Voge said that this year Aura Bora will look to build out its brick-and-mortar retail presence to around half of the total business. The brand recently launched at Fresh Thyme stores in the Midwest, at Lazy Acres in Southern California and is set to enter all Harris-Teeter locations in the Southeast by July. By 2022, the business will be primarily retail-based.
The company itself is also growing: Voge said it had recently hired a business development representative and area sales manager in California, a position it is also looking to fill on the East Coast. Beyond that? Bigger tanks to produce more product, plus the launch of a subscription service for frequent buyers. Shoppers can also look forward to Ginger Meyer Lemon, a limited-edition flavor available now exclusively online.
“When you have a new beverage concept, there’s some nervousness as to how people will respond to this the same way we have or our friends have or our early retails have,” said Voge. “So It kind of feels like a dream come true. Now we have the capital to take what was kind of a pipe dream and make it a real business.”