The hype behind Bebarang (formerly Bebaroo) is more than a baby bump now that one of the Ann Arbor-based startup's co-founders (Allen Kim) has been named Entrepreneur
magazine's 2010 College Entrepreneur of the Year.
College seniors skip class for plenty of unproductive reasons, but not Allen Kim. An industrial operations engineering major at the University of Michigan, he and Luis Calderon have been playing hooky to persuade investors to part with around $500,000 for Bebarang, their startup that Kim describes as a "Netflix for baby clothes." (In fact, we chatted with them on a drive back from some pitch meetings in Chicago.)
Kim's "aha" moment: Last year, "my aunt, who had a baby, was complaining about how expensive baby clothes were. And I love Netflix. I thought there had to be a way to combine these two things."
After some serious research, which included discussions with more than 100 moms, it really came down to the numbers.
"It's a $25 billion industry," Kim says. "The average kid outgrows baby clothes 16 times, which works out to be about $150 every two months on things that might be worn just a few times."
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