Skully failure

Skully

Augmented reality motorcycle helmets

Description

Skully is a helmet trademark which targets motorcycle riders. News of the helmet generated considerable buzz as the company promised that their helmed would be the first Augmented Reality (AR) product of its industry offering unique technological features. The helmet comes with a rear facing camera and a heads-up display that can also be used to check contacts names and music streaming. The Skully helmet was to supposedly be the safest in the world since it offered a ‘360° experience’ with its 180° blindspot camera. Riders could also avail of the hands-free voice calling and texting feature during their commutes.

Stats

Category
Transportation
Country
United States
Started
In 2013
Closed
By 2016
Number of Founders
One
Name of Founders
Marcus Weller, Mitch Weller
Number of Employees
Between 11 And 50
Number of Funding Rounds
4
Total Funding Amount
$15M
Number of Investors
13
Precise Cause of Failure
Mismanagement of Funds
Business Outcome
Shut Down

Cause of Failure

According to Skully spokespeople they had to close shops due to limited fundings. They were reportedly not able to sum an additional round of funding to complete the production of the $2000 pre-ordered helmets that about 3000 people were looking forward to receiving. They filed for bankruptcy in 2016 but their product and assets were acquired in 2017 by what has been branded SKULLY Technologies, a new company that says to have no affiliation to the previous company (nor any obligations it might have to its clients) despite the fact that the two acquirers are the cousins of the previous Skully CEOs.

Go on Reading

Other Startups

Startup Cemetery

A big resource for entrepreneurs and startup owners, in which we have collected and analyzed why +100 big companies have failed. Learn from mistakes, and avoid being part of the 90% of businesses that fail.

Skully

Augmented reality motorcycle helmets

General Information
Category
Transportation
Country
United States
Started
In 2013
Business Failure
Business Outcome
Shut Down
Closed
By 2016
Cause of Failure
Mismanagement of Funds
Founders & Employees
Number of Founders
One
Name of Founders
Marcus Weller, Mitch Weller
Number of Employees
Between 11 And 50
Funding
Number of Funding Rounds
4
Total Funding Amount
$15M
Number of Investors
13
Description

Skully is a helmet trademark which targets motorcycle riders. News of the helmet generated considerable buzz as the company promised that their helmed would be the first Augmented Reality (AR) product of its industry offering unique technological features. The helmet comes with a rear facing camera and a heads-up display that can also be used to check contacts names and music streaming. The Skully helmet was to supposedly be the safest in the world since it offered a ‘360° experience’ with its 180° blindspot camera. Riders could also avail of the hands-free voice calling and texting feature during their commutes.

Cause of Failure

According to Skully spokespeople they had to close shops due to limited fundings. They were reportedly not able to sum an additional round of funding to complete the production of the $2000 pre-ordered helmets that about 3000 people were looking forward to receiving. They filed for bankruptcy in 2016 but their product and assets were acquired in 2017 by what has been branded SKULLY Technologies, a new company that says to have no affiliation to the previous company (nor any obligations it might have to its clients) despite the fact that the two acquirers are the cousins of the previous Skully CEOs.

Go on Reading

Monitor110

Real-time internet monitoring services

Analytics
Shut Down
$17.3M
Multiple Reasons
Analytics
United States
In 2003
By 2008
One
Between 1 And 10
Between 10M 50M
Multiple Reasons
Shut Down
Dazo

India's first curated food demand platform

Food and Beverage
Shut Down
No Data
Competition
Food and Beverage
India
In 2015
By 2016
Two
Between 11 And 50
No Data
Competition
Shut Down
Zulily

Online retailer that offered daily deals

e-Commerce
Shut Down
$194.6M
Bad Marketing
e-Commerce
United States
In 2009
By 2014
Two
Between 1001 And 5000
More Than 50M
Bad Marketing
Shut Down
Grooveshark

Web-based on-demand music application

Music
Shut Down
$4.6M
Legal Challenges
Music
United States
In 2006
By 2015
Three
Between 51 And 100
Between 1M 10M
Legal Challenges
Shut Down
Lumos

Internet of things startup on switching technology

Software and Hardware
Shut Down
No Data
Lack of Experience
Software and Hardware
India
In 2014
By 2015
Three
Between 1 And 10
No Data
Lack of Experience
Shut Down
Karhoo

Cab aggregator and price comparison tool

Transportation
Acquired
$39M
Poor Product
Transportation
United Kingdom
In 2014
By 2016
One
Between 51 And 100
Between 10M 50M
Poor Product
Acquired