Schmidt Brothers

About the offering

Schmidt Brothers Cutlery (operating as Brother Brands, Inc.) is a premium kitchen cutlery brand founded in 2010 by brothers Jared and Jordan Schmidt, headquartered in Westwood, NJ. The company designs and sells kitchen knives and related tools that aim to bridge the gap between budget-tier cutlery and ultra-premium German and Japanese brands, offering German steel blades, FSC-certified sustainable materials, patented designs (including patented airflow technology and hand-scalloped finishes), and ergonomic handles at accessible price points. The company reports $83.5M in lifetime (unaudited) gross revenue over 15 years, achieved entirely without institutional equity financing. It claims a 29.6% compound annual growth rate from 2021 to 2025, with gross margins of approximately 35–40% across all channels and approximately 60–70% gross margins in its direct-to-consumer (DTC) channel. The DTC channel reportedly grew +120% from 2023 to 2025 with a stated 3–4x return on ad spend. The business currently has 9 employees. Products are distributed through more than 10,000 retail doors nationwide, including Costco, Walmart, Target, Williams-Sonoma, Bloomingdale's, and Crate & Barrel, as well as pilot international programs in Canada, Australia, and Mexico. The brand has received significant media coverage, including features in Forbes, Good Morning America, Food & Wine, Men's Journal, CNN Underscored, and a 2025 Oprah's Favorite Things selection. The company claims 80 press features in 2025 alone with an estimated 640 million impressions and maintains a 4.7-star average across verified customer reviews. Leadership consists of co-founders Jared Ryan Schmidt (CEO/President, overseeing operations, supply chain, and logistics) and Jordan Michael Schmidt (CPO/VP, overseeing brand, product design, and go-to-market strategy). The company also employs a fractional CFO, Salvatore Tirabassi, through CFO Pro+Analytics. This Regulation Crowdfunding (Reg CF) offering on StartEngine represents the first time Schmidt Brothers has offered securities to the public. Shares are priced at $1.47 per share (common stock) at a stated valuation of $16.48M, with a minimum investment of $499.80. The funding goal ranges from $20K to $1.23M, with a deadline of December 15, 2026. Proceeds are intended to be allocated approximately equally (~30.5% each) across marketing/product development/brand awareness, retail expansion (domestic and international), and operational enhancements/supply chain improvements. Note: The company is currently structured as an S corporation and will convert to a C corporation upon closing of the offering. Investors are required to sign a Stockholders' Agreement granting an irrevocable proxy to Jared and Jordan Schmidt to vote all investor shares on all matters, meaning investors will effectively have no voting rights. Bonus share incentives of up to 18–20% are available to early and large investors, and an additional 10% bonus is available to StartEngine Venture Club members. Financial figures cited are largely unaudited and include management projections; all investments are speculative and illiquid.

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