Ascend Rugs are hand-crafted custom rugs made in Christchurch, featuring contemporary designs and New Zealand wool.
John Grainger, former managing director of Wools of New Zealand, has had a long involvement with the wool industry.
Having worked in the United States for a few years, he saw an opportunity there for rugs and Ascend Rugs began 10 years ago.
While business had slowed a little in the last couple of years, it was a growth market, he said.
The company exported mostly to the US, along with Canada, the UK and Australia. Samples were on display at the New Zealand Merino Company's conference in Christchurch last week.
A lot of merino wool was used because of the bright colours that were obtained and also because of the softness. Other natural fibres incorporated in some of the rugs included mohair, silk and bamboo yarn, Mr Grainger said.
The company had five staff - the aim was to keep the business small - and it operated in a niche area of the market, he said.
One of the company's challenges was the distribution channels it worked in were rather complicated. iPad technology was being used to reach interior designers.
Growing the company's niche business in the US required continued innovation in product and in the way it reached customers, which made the business stimulating, he said.