Would-Be Beauty Entrepreneurs Take Note (and bring cash)!

More than a decade ago, Happi raised eyebrows and ire when we reported experts estimated beauty startups would need $250,000 to make a go of it in the highly competitive cosmetics space. Readers told us that we were “killjoys” and “dream crushers” for suggesting such a lofty amount.

Well, 10 years later, that amount seems more paltry than lofty. During an IBE webinar earlier this year, beauty icons Kate Somerville and Dana Jackson substantially raised the ante for anyone who wants in on indie beauty.

Somerville insisted beauty entrepreuners need as much as $3 million to find success. She cautioned, however, that when she built her brand she relied on traditional PR; today, influencers, online sampling, patent and trademarks are critical. Jackson, founder of Beneath Your Mask, offered some hope for startups by suggesting $1 million may be enough to get going. 

Either way, it's clear that cash is still king (or queen) when it comes to cosmetics.