04/16/2018
AN OPEN LETTER: FOR ALL WHO WERE PART OF THE LOCALTRADEPROS JOURNEY
The term “bitter-sweet” never resonated more with me than as I write to you today.
In keeping true with my belief that transparency is key to personal, professional and community growth, I have chosen the Open Letter format to make the official announcement that we have made the decision to wind down LocalTradePros.
The reason behind this decision can mostly be attributed to raising funds, timing, and goal alignment.
We had invested a substantial amount of our own funds and were able to raise a considerable amount of interest and support from individual accredited investors, but we were met with a conflict of interest response from the institutional investors that had already invested in a company that focused on solving a similar market problem. While we had a unique competitive advantage and a new approach, we came to realize we were behind in our timing on the market in comparison to our competitors.
We could have run with a slower growth, boot-strapped for another couple of years and re-entered the institutional funding space, but to me, that was a perfect example of kicking the can down the road without a significant guarantee that the results would be more favorable. I felt it would be an emotionally charged, self-serving and risky option to entertain especially since the risk would have been at the expense of the individual investors.
A viable alternative that could have worked would’ve been to adjust from an “Equity” to a “Life Style” business model which if it was our original direction, I would have planned it from day one. Simply put, that doesn’t align with my goals. I believe we must all have an unparalleled amount of tenacity to succeed and that can only be sustained if we are passionate about what we do.
In closing, I end this chapter with a sense of fulfillment, success, gratitude, and excitement for what this journey has prepared me for and I wish to thank so many people involved in this journey - from our team members, clients, advisors, investors, friends, family members, and most of all my amazing husband and co-founder Mitch and my children… Everything manages to work out for the best with their support.
I know that these last years will be the springboard that is about to propel me into something greater. So, stay tuned, if you know me, you know this isn’t goodbye but rather the start of something new to come!
With Much Love & Gratitude,
Gemma Naghipour
