Adams Arms
Established in 2007, Adams Arms is a fast-growing manufacturer of proprietary firearm products that solve common issues associated with the millions of AR-15/M16 rifles used by the military, law enforcement and civilian gun enthusiasts. Adams Arms has developed a suite of products based on its patented inverted piston operating technology, including a line of Gas Piston Retrofit Kits, which provide significant rifle enhancements in terms of reliability, accuracy, maintenance and longevity. The company sells its products through a broad network of distributors, dealers and e-tailers, as well as on www.adamsarms.net.
Adams Arms Investment Date: July 10, 2012
Type of Investment: Equity Financing
Board Representation: 1 Board Seat
Funding Need:
- Capital needed to fill inventory backlog
Investment Overview:
- Technology validated: Patented revolutionary rifle design offers significant advantages compared to standard direct impingement systems.
- Strong market demand established: widespread positive reviews in leading industry press, as well as growing backlog of orders and OEM/licensing contracts.
Investment Highlights:
- Large market opportunity
- Adams Arms' superior technology addresses both upgrade market of existing AR-15/M16/M4s as well as demand for new rifles and rifle accessories
- Technology potentially can also apply to other firearm platforms
- Revenue growth fueled by "perfect storm" of demand drivers
- Draw of superior technology due to compelling benefits, including reliability, flexibility, performance, and safety
- General increase in consumer demand for firearms due to economic uncertainty and potential regulatory changes
- Favorable valuation
- Clear path to exit
