Terralux, maker of light-emitting diode systems, just brought in an undisclosed first round of financing but is already looking to raise more. Based in Boulder, Colo., the company has been operating off of funds provided by its founder, a practice that it has long since outgrown.
With about 30 LED products on the market, Terralux has seen sales jump consistently by 50 to 60 percent each year since its founding in 2003. Right now, it's emphasis is on its lead product, a 2-inch spotlight as bright as a 50-watt incandescent bulb that only uses 12 watts. This model, dubbed the MR16, goes for about $50 at retail. The company claims that its lights are 85 percent more efficient than incandescents, according to VentureWire. On top of that, its products last an average of 50,000 to 100,000 hours. In context, regular incandescents last about 1,000 hours, and fluorescents run for about 15,000.
As Terralux and its peers gain traction, prices for LED technology continue to fall -- about 25 percent every year. In this environment, alternative sources of funding are extremely important. Access Venture Partners provided the recent round -- a reputable name that Terralux hopes will open doors at other firms.