Introduction
In 2010, RYCA changed the motorcycle customization game with our modular kits, helping thousands of garage builders turn average bikes into show-stopping cafe racers. The kits were a package of bolt-on parts (no welding required) and made it easy for a novice to get professional-quality results, even if they had never built a custom bike before.
There was a big problem: dozens of components and options had to be configured online when ordering a kit. Despite photos and videos, it was difficult for the customer to visualize the end product, and ultimately, we had a high return rate on parts and accessories (many scratched and damaged).
Desperate for a better way, we started experimenting with augmented reality (AR) for product visualization. To develop and test our FantomView prototype, we created the world's first custom bike built with AR. We're now focused on building FantomView into a fully-featured platform for the automotive and powersports industries.
Problem
93% of auto parts buyers do online research before making a purchase.
Millions of people love to customize their own vehicles, but finding the right parts online can be a major challenge. Shopping online, consumers may ask themselves:
- “Will the parts fit?” Fitment guides are often inaccurate and incomplete.
- “Will the parts work together?” Many aftermarket parts are not compatible with each other.
- “Can I install the parts myself?” Installation guides can be difficult to find and confusing to follow.
- “Will the parts look good?” It’s hard to know how everything will look in real life after it’s installed.
Solution
We knew from experience that customers need a way to visualize parts on their vehicles before purchase.
One day, a guy came into the shop for a new seat for his cafe racer. We showed him everything we had on the shelves, even offered to make him something custom, but he couldn't be convinced. Before he left, he said, "I just wish I could see it on my bike before I buy it." We had heard that comment before, so we started seriously thinking about using augmented reality for product visualization.
Luckily, Casey had re-connected with a friend who was a pioneer in the field of AR, and had just moved to Los Angeles (our HQ) from the bay area. Within a few months, we had built a proof-of-concept for an AR motorcycle configurator.
To make the AR magic happen, the app needs to recognize and continuously track the vehicle in front of you (no easy task). Initially, we used off-the-shelf object trackers from 3rd parties, but discovered the downsides:
- They are very expensive to license.
- They are not optimized for large objects like cars and motorcycles.
- They use old-school computer vision techniques and have issues with bad lighting, reflections, and shadows.
We needed a state of the art 3D tracking system to power our augmented reality applications, so we built our own from the ground up.
Our patent-pending technology uses AI to precisely locate and track the position of a wide range of vehicles. Virtual parts simply snap into place, with no manual adjustment, and can be viewed from any angle. Color and finish options can be customized on the fly. The seamless blend of real and virtual is now possible.
How does it work?
- Each part and accessory in the FantomView catalog has a unique QR code.
- Retailers display the QR code on the product pages of their websites.
- Use the QR to open the app on your phone or tablet.
- Put your vehicle in the field of view and FantomView will "install" the part, ready to be configured.
We believe Augmented Reality is the future of parts sales and service.
Vehicle owners can have the ultimate “try-before-you-buy” tool.
Retailers can reduce returns and provide next-level tech support.
Dealerships can create showroom displays and boost accessory sales.
Manufacturers can design and market their products more efficiently.
Success To Date
- 2010: Changed the motorcycle customization game with modular kits.
- 2018: Developed proof of concept for customizing motorcycles with AR.
- 2020: Created one of the world's first custom bikes built with AR.
- 2021: Raised seed round from 330 investors.
- 2023: Completed first prototype of A.I. tracking system (patent-pending).
Business Model
We plan on driving revenue from multiple sources:
Licensing: The same core tracking technology we built to power our own apps can be licensed to anyone who needs to create AR content for cars and motorcycles, including OEMs and game developers. Our tracking system is planned to be available as an SDK (software development kit) for popular game engines.
Selling apps to vehicle owners: Our products are planned to be available to buy directly from app stores with optional upgrades.
SaaS subscriptions for dealerships, online retailers, and parts manufacturers: B2B customers will pay a monthly fee to create specialized 3D models, maintain them in a virtual parts catalog, and allow their customers to easily view them with AR.
In-app advertising: Brands can pay to have their parts shown as suggested add-ons. For example, a set of cargo bags could be suggested to a customer while they are shopping and configuring a roof rack for their Jeep, with everything viewable in AR.
Market
- The global automotive aftermarket size was valued at USD 751.61 billion in 2022. It is expected to expand to USD 1167.09 billion by 2030 and it is growing at a CAGR of 5.49%.
- US motorcycle industry revenues are $28B per year with a 30% profit margin on parts and accessories.
- Custom aftermarket wheels alone account for over $5B in revenue.
- The augmented reality market size was USD 42.20 billion in 2022. It is expected to reach USD 1109.71 billion by 2030. The augmented reality market will exhibit a CAGR of 50.7% during the forecast period, 2023-2030.
Press
- BikeExif
"AR makes a lot of sense in the custom world. And if RYCA pull it off, it could change the way we modify motorcycles forever." - RideApart
"It seems like RYCA is staying ahead of the café racer and technology curve with the CS-1X and FantomView." - VR Scout
"Owners can select from a variety of custom parts and watch as each selected component automatically snaps to place on their tasty cafe racer." - Riders
"The world’s first custom motorcycle designed in Augmented Reality (AR). Meet the CS-1X." - Jay Leno’s Garage
Jay Leno gives a full ride review of the CS-1 Cafe Racer. - Los Angeles Times
The Los Angeles Times takes the CS-1 for a spin.
Team
Use of Proceeds
If the offering's maximum amount of $617,999 is raised:
| Use | Value | % of Proceeds |
|---|---|---|
| Research & Development | $205,000 | 33.2% |
| Intellectual Property | $50,000 | 8.1% |
| Licensing Activities | $65,000 | 10.5% |
| Marketing and Trade Shows | $75,000 | 12.1% |
| General & Administrative | $150,000 | 24.3% |
| Professional Services | $42,718 | 6.9% |
| Intermediary fees | $30,282 | 4.9% |
Terms
This number includes all funds raised by the Company in this round on Netcapital. This is an offering of Common Stock, under registration exemption 4(a)(6), in Ryca Motors, Inc.. This offering must reach its target of at least $10,000 by its offering deadline of February 20, 2024 at 11:59pm ET. If this offering does not reach its target by the offering deadline, then your money will be refunded.
If the offering is successful at raising the maximum amount, then the company’s implied valuation after the offering (sometimes called its post-money valuation) will be:
Financials
These financial statements have been reviewed by an independent Certified Public Accountant.
SEC Filings
The Offering Statement is a formal description of the company and this transaction. It’s filed with the SEC to comply with the requirements of exemption 4(a)(6) of the Securities Act of 1933.
We’re also required to share links to each of the SEC filings related to this offering with investors.
Understand the Risks
Be sure to understand the risks of this type of investment. No regulatory body (not the SEC, not any state regulator) has passed upon the merits of or given its approval to the securities, the terms of the offering, or the accuracy or completeness of any offering materials or information posted herein. That’s typical for Regulation CF offerings like this one.
Neither Netcapital nor any of its directors, officers, employees, representatives, affiliates, or agents shall have any liability whatsoever arising from any error or incompleteness of fact or opinion in, or lack of care in the preparation or publication of, the materials and communication herein or the terms or valuation of any securities offering.
The information contained herein includes forward-looking statements. These statements relate to future events or to future financial performance, and involve known and unknown risks, uncertainties, and other factors, that may cause actual results to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties, and other factors, which are, in some cases, beyond the company’s control and which could, and likely will, materially affect actual results, levels of activity, performance, or achievements. Any forward-looking statement reflects the current views with respect to future events and is subject to these and other risks, uncertainties, and assumptions relating to operations, results of operations, growth strategy, and liquidity. No obligation exists to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
More Info
Updates
- Feb 21, 2024Primary offering finalized, selling shares
- Nov 22, 2023Thank you to everyone who has invested so far....
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