Tag Archives: company
The owners of Battle Sports Science, maker of the Impact Indicator, a concussion-detecting football helmet chin strap, and other sports safety products, are fighting among themselves.
Jeff Evans, co-founder of the Omaha-based company, claimed in a recently filed lawsuit that his partners plotted to fire him, block his access to company accounts and pursue new opportunities without him.
The defendants are co-founders Christopher Circo and Tony Schrager. The men have retained attorney David Hefflinger of McGrath & North.
Among other things, Evans claims Circo and Schrager transferred their interests in Battle Sports to a new firm, Active Brands, without his consent, according to the Omaha World Herald. Evans further claims that he was locked out of the Battle Sports office and has been unable to prevent Circo and Schrager from “recklessly” spending money and breaching contracts.
Evans reportedly claims he is entitled to control of Battle Sports.
Yesterday, we reported that an investor on CBC’s show, the Dragons’ Den, had committed $350k for a 10 percent stake in the company. Now comes word from a Canadian newspaper, the Financial Post, that the investor, Jim Treliving, was pulling out.
During due diligence, Treliving reportedly became concerned about the valuation and the size of the potential market. “This is a situation where the equipment itself is not going to change anything; it is not going to stop concussions from happening,” he told the paper. “At the same time, the technology is not exclusive to them. The NFL is testing it, too. The further into due diligence we got, the smaller the market became. I think they should consider selling the company to a Jofa or Bauer.”
The paper went on to quote John Cho, partner with KPMG Enterprise, who said: “It’s timely in terms of all the concern around concussions but would people be willing to pay for it, especially if their kids are not playing competitively? The ideal market would be professional athletes, where the franchises want to protect their biggest assets. Right now they need to market this thing and convince consumers it’s worth spending $150 for this information device. But I’m not so sure I see the longtime viability and commercial appeal. To me the whole concussion thing is about education and teaching people what to do if they do get hit.”