SAHI Cosmetics, a startup cosmetics company founded by a University of Michigan (U-M) Ross School of Business graduate, has received a $100,000 investment from the Zell Founders Fund.
The U-M student-led seed fund has a focus on funding startups founded by Ross students and recent alumni. SAHI Cosmetics founder Sheleen Sahi is finding success quickly, having been named the best business in the Michigan Business Challenge in February 2017. SAHI products focus on Arab, Latina, and Indian consumers.
Sahi says it may seem like business growth is coming quickly and easily, but she spent a lot of time and effort setting up a foundation for success.
"What you get is what you put in," Sahi says. "One thing that helped me find success was that I worked really hard to get into a school like Ross and take all the right classes to set me up for success."
She says taking courses on marketing, strategy, and entrepreneurship is coming in handy now that she's working on making a future for SAHI Cosmetics.
Sahi says she thinks her company is attractive to investors in part because many people are moving toward an "inclusive economy."
"We look where there are open spaces, where there are folks neglected by certain industries," Sahi says. "Our brand is all about about inclusivity and celebrating diversity. That's a great, positive message that investors can back."
Sahi says members of the growing U.S. immigrant community have higher educational degrees, which means higher spending power, and many of those immigrants are used to spending money on custom goods and solutions.
"It's about time people start considering the demands for this particular population," she says. "They have the money to pay for it, and are willing to pay for it, so brands should start to consider the implication of including these other folks into their customer base."
Sahi says the Founders Fund investment has allowed her to hire a marketing firm and a PR firm to spread the word about her business and bring more customers to the website.
She also hopes to put more revenue into research and development and expand the SAHI line with products that complement her target market's complexion. Sahi is expecting to expand her line of blushes and highlighters next.
Her strategy is not to get products into department stores or other retail venues, but to connect with customers directly through the SAHI Cosmetics website.
"We're building our brand identity with customers," Sahi says. "We are hoping to get many repeat customers coming back to us and create a good connection with customers."
Sarah Rigg is a freelance writer and editor in Ypsilanti Township. You may reach her at email@example.com.
Photos courtesy of Sheleen Sahi.