We recommended SampleServe back in 2020. SampleServe is a Michigan-based provider of environmental project and data management solutions. The company offers environmental sampling tools that allow gas stations and oil companies to monitor and manage underground contaminants as required by law.
We recently caught up with CEO Russell Schindler to see how things have been going over the last two years.
When we recommended SampleServe in 2020, the company had two main offerings: SampleENV and SampleLOG. SampleENV allows technicians to take samples in the field, print a unique bar code for the sample bottles, and send them directly to the lab for processing. SampleLOG is the software used by laboratories to process the samples taken by SampleENV.
SampleServe’s secret sauce is its patented chain-of-custody software that can all be managed electronically. And SampleServe is still the only company offering this digital chain-of-custody solution. Since 2020, the company has improved the robustness and functionality of both products.
SampleServe recently secured two exciting customers for these products. Stantec — a consulting engineering company — is one of SampleServe’s biggest customers with hundreds of projects on SampleServe’s platform. Antea is another environmental consulting company with offices all across the U.S. using SampleServe’s project management solutions.
Since 2020, the company has also released two new products. The first is SampleH2O. SampleH2O is a water sampling solution designed specifically for drinking water. This solution is meant for non-professional use by people who infrequently test their water supply. And it’s white-labeled by laboratories, who then sell the solution directly to customers. Using this technology, labs are able to import sample collection data and send out final contamination reports 85% faster than before. SampleServe already has three laboratories white-labeling SampleH2O, with many more in the pipeline.
SampleServe’s second new product is SampleSWR. It’s designed for collecting and testing samples from sewer systems. SampleServe has partnered with Shield T3 to develop a test for the presence of COVID in sewer systems. But the product can actually test for anything — COVID, monkeypox, DNA… The use cases for SampleSWR are quite expansive.
The Path Forward
At SampleServe’s current rate of 35 samples per day, it will earn roughly $250,000 in 2023 revenue.
However, SampleServe hopes to land one or two major clients this year to really boost those numbers. The company is already in discussions with a large global laboratory that processes billions of dollars’ worth of samples per year. It’s also in discussions with a major bacteria testing company to potentially secure a partnership.
According to Russell, SampleServe is on the brink of hockey stick growth. The company just needs to continue building out its network of diagnostic and laboratory companies that would benefit from SampleServe’s products.
SampleServe is also looking to expand its revenue lines. Potential future plans include partnering with supply and equipment rental companies to give SampleServe clients access to supplies and equipment needed to conduct environmental samples. Another potential revenue source could be partnering with suppliers to sell disposable tools to SampleServe customers.
To help fund all these plans, the company plans to launch another crowdfunding campaign on StartEngine beginning this month. SampleServe will look to raise $2 million at a roughly $7 million valuation. That’s about the same valuation the company had when we recommended it in 2020. Russell told us that the company wants to ensure a successful raise on StartEngine and decided to keep the valuation flat to encourage new investors to join.
Over the next 18 months, SampleServe will aim to secure a couple more major customers and eventually process around 2,000 samples per day. This could lead to about $6 million in yearly revenue.
We will be sure to keep you posted on any major developments with SampleServe over the coming year.