Rainstick Shower secures $2.6 million CAD as it aims to expand in Canada and the US

Kelowna, BC-based RainStick Shower has successfully closed a seed-plus financing round totaling $2.6 million CAD, aimed at accelerating the scaling of its innovative water-saving shower system. Raven Indigenous Capital Partners led the investment round, supported by the Business Development Bank of Canada’s Thrive Lab, BuildTech VC from Silicon Valley, and several angel investors. This funding round marks a significant milestone for RainStick as it continues to expand its operations and market presence.

RainStick Shower has garnered attention for its groundbreaking technology, particularly in addressing emerging concerns around water and energy scarcity. The startup's shower system differs from traditional models by capturing, circulating, and sanitizing grid-supplied water in real-time. This process involves three key stages: filtering out large debris like hair, adding a small amount of fresh hot water, and disinfecting the water using high-intensity ultraviolet light-emitting diodes (UV LEDs) to eliminate bacteria and viruses.

According to RainStick, their innovative technology is designed to drastically reduce water consumption during showers. Typically, an average 10-minute shower uses approximately 100 liters of water. In contrast, RainStick's system significantly cuts down water usage to just 20 liters for the same duration, all while maintaining a doubled water flow rate compared to conventional showers. Key to achieving this efficiency is RainStick's system which operates with a total flow rate of 11.4 liters per minute. Remarkably, this system draws less than 2 liters per minute from the home's water supply, showcasing its ability to conserve water without compromising on user experience.

This technological achievement not only addresses concerns related to water scarcity but also aligns with global sustainability goals by promoting efficient resource utilization. RainStick's approach underscores its commitment to innovation in cleantech, offering practical solutions that contribute to environmental conservation and responsible water management.

Founded in 2019 by CEO Alisha McFetridge and CTO Sean McFetridge, RainStick previously raised $1 million in seed financing in 2021 and $820,000 in 2022. With this latest round, the company's total funding now amounts to $4.5 million. The startup launched its product commercially in February 2023 and has experienced robust growth, reporting a 200 percent year-over-year revenue increase between June 2023 and May 2024.

RainStick's decision not to disclose specific sales figures while confirming availability in North America, Australia, and New Zealand highlights its strategic approach to market expansion and sustainability initiatives. The company's recent recognition by TIME as one of the Best Inventions of 2023 underscores its significant impact and growing prominence within the cleantech industry.

With the recent $2.6 million CAD seed-plus financing round led by Raven Indigenous Capital Partners and supported by other investors including the Business Development Bank of Canada’s Thrive Lab and BuildTech VC, RainStick is well-positioned to advance its mission of sustainable water conservation. This funding infusion will enable the startup to further enhance its technology and expand its market footprint, potentially reaching more regions globally.

By focusing on developing innovative solutions that significantly reduce water consumption without compromising user experience, RainStick continues to set itself apart in the marketplace. The company's commitment to sustainability and efficiency aligns with global efforts to address environmental challenges, making its products not only innovative but also impactful in promoting responsible water usage practices.

Looking ahead, RainStick's trajectory suggests continued growth and influence within the cleantech sector. As it leverages its latest funding to scale operations and refine its technology, RainStick aims to cement its position as a leader in sustainable water-saving solutions, contributing to a greener future through innovation and dedication to environmental stewardship.