Disclaimer All research on startup and the whole investment memo has been done for personal use of Akim Arhipov.

General overview

Klar - the fastest-growing and largest D2C-only start-up in Europe that is disrupting the home improvement industry by making it accessible and affordable to anyone. (doors and windows) Klar is tapping into European door and window markets. It is segmented to B2B and B2C/D2C (renovation).

Please note, that in order to obtain better information, proceed to UK version of the website, once landed: https://klarwindows.co.uk/


Klar aims to cut the middleman from the industry where the middleman has been standard from day one—allowing their customers to be the "boss" regarding product selection. 


Klar is changes the way end-users buy doors and windows, being the fastest growing and largest D2C startup in Europe that is disrupting the home improvement industry by making it accessible and affordable to anyone. Klar is building a future where homeowners are no longer forced to go through middlemen to order goods for their home renovation project.


Addressable Global Market:

Klar is tapping into European door and window markets. It is segmented to B2B and B2C/D2C (renovation). Klars focus on the later one. Market is picking up more and more traction and is predicted to grow for more than 5x within next 5 years.



Klar's primary strategy was Google only (SEO + performance) some time ago. Recently, the company's name was adopted - Klar, making it more user-friendly across different countries as the business grew outside of go-to geo - Denmark. Now, the marketing channels in use are:

  • Facebook ads - used for emotion generation (30% of clients)
  • Google ads - used for performance generation (40% of clients)
  • Tiktok - used for brand awareness
  • Organic traction (30% of the clients)

CAC: 50 €

LTV: 2,2k € (1 year)

CAC payback period: 1 order covers the CAC

Average basket value: 1300€

Please note that the founder's vision is not to separate the marketing channels, as there is a strong belief that all channels support each other to deliver results. The founder is looking at all of the mentioned channels above as one.

Unit economy + Business


Klar is currently using the “following” pricing strategy. This means that price is set by looking at the competition's price and taking 5% off the price. The logic is that once Klar becomes a market leader within the operating field, the pricing strategy will change. The logic behind it will be more classical - price calculated with product cost + markup.

Sales Cycle:

4 weeks


ca. 2.3m month € (March - August 2022 total 12.2 mln Jan-July, as the costs are not in yet.)

Expectations on profitability: There are a few key players to turn this to profit: - Scale up costs - in 2022 we focused highly on hiring the right people. Hence creating fixed growth costs. They will dilute themselves in time. - Marketing costs - the new site will help the SEO build up, which has given the reasonable expectation to increase ROAS by 25%; by getting brand recognition Klar is able to get the most of euro spending by attracting clients organically, as well as raising the APP by not being the new guy in the field. - Logistic costs - there are several actions in the pipeline to help cost cuts both in international as well as last mile delivery. - COGS - with rise in productivity there is a win in FTE costs, as well as growing volumes will give a leverage in negotiating better deals with suppliers.
Please note, the clear target is to reach near BE after about 18/24 months in entering the market - this will give enough time to build up reasonable operational flow; map out highs and lows; get to know market dynamic, and make smarter decision based on cultural aspects (eg. in SWE Klar has noticed that free delivery / discount on delivery is really a thing, while in DK there is no significant impact from it).

Burn rate - 15% from revenue

Runway - 6 month



Ideal customer:

Klar believes that the ideal customer is someone, who is buying a house/flat, wants to renovate, having energy efficiency as one of the motivations. The ideal customer has eight windows and three doors at home that can be changed.


As things stand, all the production is being done from Tartu, Estonia. The selection of products can be adjusted, but Klar is not offering highly visual customisation for the products as there is always an emphasis on scaling. About 80% of the demand is being served, while 20% needs to be turned down as things like specific colours or custom shapes would slow down the production and are therefore being avoided.

  • Materials in use: Wood (Estonia), Glass (Baltics), Ironmongery (Denmark),
  • One of the wood providing company is also founded by one of the founders of Klar
  • Glass is being purchased from 3-4 different providers. (product mix is different)

The flow:

  1. Client places the order at Klar's web shop and it lands to the delivery table at the production
  2. Production is being done at Klar's factory in a weekly cycle production
  3. Order is being shipped to outsourced country based warehouse
  4. From the warehouse, orders are being manage by the outsourced local delivery partners
  5. Customer receives the order at the doorstep within 3-4 week from placing the order
Please note, while Klar manages to serve clients within 4 weeks on average, industry standard is about 12 weeks.


  • Klar is focusing on constantly improving the customer journey as we believe it’s the main key element of success. For that purpose they have an in-house development and UX team, and with 6 months of development they have updated just last week their previous custom made site with a new one. It offers more flexibility, freedom and better experience for clients to design their own tailor made products.
  • Klar has developed their own tech. The whole idea was to create an efficient UX/UI without creating friction while converting a user from the web shop. Solution is built with no heavy code but great UX/UI, eliminating frictions of purchasing flow. Also, in-house made product helps with flexibility and the needs
  • In the future, the aim is to add even more “tailored” options to the users at the web shop while also introducing AI to optimize orders, shorten delivery times and improve the general experience.


  • The Go- to market was chosen as Scandinavia, Denmark as the first country.
  • Scandinavian markets are the most advanced in online D2C as consumers
  • In Denmark D2C share is already ca. 1/3; Sweden and Norway stand at about 10%
  • D2C is thus approaching a mass adoption phase in Scandinavia and is projected to grow at an annual rate of 25%

In Development + Future:

  • Klar is working on shortening the delivery times even more
  • A trading option can be introduced, allowing Klar to re-sell other company's production
  • Logistics always can be improved, taking the Amazon route - Own warehouses and ship directly from there.
  • The next market from here on in Germany

Main risks:

  • Machines can from time to time deliver faulty items, causing delays
  • Softwood is really sensitive and is easily damaged by bare hands - can cause delays or item returns


Launched in: 2015

Key Metrics: Revenue growth / EBITDA / Delivery time / Delivery Cost / LTV / CAC / Time spent per piece of production

Number of customers: ca.50k - all paying customers (pre-payment, production only per order, every produced item has a client name behind)

Employees: 170+


Investments so far

Stage: Seed

Amount: ca.10m €

Investors so far: Founders money (10m€) + Angels (300k€), convertible -20% next round

Total amount raised until today: 10,3m

  • Cap Table:
  • image
  • More detailed Cap table can be seen upon the request


  • All of the team members are working full-time
  • The team was the biggest challenge for Klar so far. There have been a lot of issues with the team as the sourcing strategy was always on getting top people from within the industry Klar is operating in (window and door business). It was not working well.
  • This strategy was rethought, Klar started hiring people with the needed skillset but from different niches. Looking for someone who has excelled in the previous company from 0 to 100. This strategy is working well.


Country: SE Raised: - Product: Inwido reaches customers through strong local brands focusing on the consumer and industry markets, thereby achieving broad market coverage.

It’s a stock-listed company with a combination of B2B, and B2C, while B2B creates significant revenue and EBITDA from their portfolio. These two factors (stock listed and relevant part of B2B business from the full package) offer Klar a competitive edge.

Entering new markets and taking over market shares needs extra capital, with a company being stock listed there are different expectations on the performance, which forces not to accept the calculated burns.

With a company creating a significant amount of revenue from B2B there is a conflict of interest, as by growing their B2C market share they are jeopardising their other business line, which at the moment creates more revenue and higher margins.


Round information

General Ask: 10m€, rolling round

Commitments so far, amount: just started (follow up investment is a MUST + industry knowledge)

Investment instrument: Equity

Pre-money valuation: Floor 30m€ Cap 60m€

Round closing deadline: 31.11.22

General Cap Table: Available upon the request

Funds allocation:

  • 30% Central Europe scaling
  • 70% Production scale up (vertical business model)

Pitch Deck:

Klar Investor Deck - Feb 2022 update1 (2).pdf1447.3KB