1 00:00:04,160 --> 00:00:06,960 Speaker 1: Hi, I'm Britney Saunders and welcome to Big Business, the 2 00:00:07,000 --> 00:00:09,480 Speaker 1: place where business is far from boring. And today I'm 3 00:00:09,520 --> 00:00:12,840 Speaker 1: recording on a wobbyicol Land. Now I somehow manage to 4 00:00:12,880 --> 00:00:15,840 Speaker 1: build an empire from the garage underneath my house, and 5 00:00:15,880 --> 00:00:18,239 Speaker 1: I'm here to share it all with you, from the winds, 6 00:00:18,760 --> 00:00:22,920 Speaker 1: the mistakes, the challenging times, and the funny moments in between. So, 7 00:00:22,920 --> 00:00:25,400 Speaker 1: whether you're in business already, perhaps you're not in the 8 00:00:25,440 --> 00:00:27,560 Speaker 1: game at all, Maybe you're just looking for some inspo, 9 00:00:27,840 --> 00:00:30,320 Speaker 1: or you simply just want to hear the tea, this 10 00:00:30,440 --> 00:00:33,800 Speaker 1: is the podcast for you. Coming up on today's episode, 11 00:00:33,840 --> 00:00:38,360 Speaker 1: we are talking about Hailey Bieber selling per Skincare brand 12 00:00:38,560 --> 00:00:44,879 Speaker 1: Road for a billion dollars. A Billy Billy. I know 13 00:00:44,920 --> 00:00:47,400 Speaker 1: it's a Millie, that old song, but anyway, I'm making 14 00:00:47,440 --> 00:00:51,680 Speaker 1: it a billy billion with a bee. I'm going to 15 00:00:52,040 --> 00:00:56,160 Speaker 1: run through my thoughts on it. It's obviously exploded over 16 00:00:56,200 --> 00:01:01,640 Speaker 1: the internet in recent weeks, especially after Justin Bieber's weird 17 00:01:01,720 --> 00:01:04,840 Speaker 1: Instagram post that he did like the week before. I 18 00:01:04,880 --> 00:01:07,960 Speaker 1: don't know if anyone caught that, but Justin Bieber put 19 00:01:08,080 --> 00:01:11,360 Speaker 1: up a photo I think she got the cover of Vogue, 20 00:01:11,400 --> 00:01:13,400 Speaker 1: and he put up this you'll be able to find it. 21 00:01:13,600 --> 00:01:17,399 Speaker 1: He put up this post on Instagram admitting that he 22 00:01:17,480 --> 00:01:19,240 Speaker 1: used to tell her that she would never be on 23 00:01:19,280 --> 00:01:22,640 Speaker 1: the cover of Vogue and that he's now saying, well, 24 00:01:22,760 --> 00:01:25,679 Speaker 1: she proved me wrong. But then he very quickly changed 25 00:01:25,680 --> 00:01:30,119 Speaker 1: the caption. Obviously, the internet saw the caption as soon 26 00:01:30,160 --> 00:01:32,720 Speaker 1: as the post went up, and even though he changed it, 27 00:01:32,760 --> 00:01:35,600 Speaker 1: everyone screenshot it in so like a week or so 28 00:01:35,760 --> 00:01:38,800 Speaker 1: before he did that post, and then boom, a week later, 29 00:01:38,840 --> 00:01:42,440 Speaker 1: she announces that she has sold Road for a billion 30 00:01:42,520 --> 00:01:47,240 Speaker 1: dollars to Elf like Elf Cosmetics. You know, back from 31 00:01:47,480 --> 00:01:50,720 Speaker 1: our YouTube Makeup Guru days. We all used to love 32 00:01:50,760 --> 00:01:54,200 Speaker 1: doing it Elf Makeup Hall and Elf tutorial back when 33 00:01:54,280 --> 00:01:56,920 Speaker 1: everything was like a dollar or two dollars. But we're 34 00:01:56,920 --> 00:01:59,880 Speaker 1: going to run through it. I'm going to share my thoughts. 35 00:01:59,880 --> 00:02:02,640 Speaker 1: I'm also going to share all of your thoughts because 36 00:02:02,680 --> 00:02:05,520 Speaker 1: I put up an Instagram story as soon as I 37 00:02:05,560 --> 00:02:10,200 Speaker 1: saw it like popping up everywhere, and I asked, what 38 00:02:10,440 --> 00:02:13,480 Speaker 1: is your immediate response to this? So I'm gonna just 39 00:02:13,480 --> 00:02:16,280 Speaker 1: get straight down to business, and I'll kick it off 40 00:02:16,400 --> 00:02:19,680 Speaker 1: with what everyone in my DMS was thinking of. Hailey 41 00:02:19,720 --> 00:02:26,520 Speaker 1: selling her company for a billion dollars. I thought I 42 00:02:26,520 --> 00:02:29,800 Speaker 1: would also do just a little bit about Road for 43 00:02:29,880 --> 00:02:32,240 Speaker 1: anyone that doesn't know what it is, but I'm sure 44 00:02:32,280 --> 00:02:36,440 Speaker 1: by this point everyone knows. So Road is Hailey Bieber's 45 00:02:36,440 --> 00:02:41,080 Speaker 1: skin care line. Hailey Bieber was formerly Hailey Baldwin and 46 00:02:41,120 --> 00:02:44,640 Speaker 1: then she married Justin Bieber, who we all know, and 47 00:02:44,680 --> 00:02:47,960 Speaker 1: so she has her skincare line called Road. You've probably 48 00:02:48,080 --> 00:02:51,760 Speaker 1: definitely seen it it has. Road is known for its 49 00:02:51,800 --> 00:02:56,360 Speaker 1: minimalist packaging, glowy skin aesthetic and the viral peptide lip 50 00:02:56,440 --> 00:02:59,840 Speaker 1: treatment that every second influencer has raved about. 51 00:03:00,360 --> 00:03:00,520 Speaker 2: Now. 52 00:03:00,600 --> 00:03:03,679 Speaker 1: Road is actually not available in Australia, and I can 53 00:03:03,720 --> 00:03:07,360 Speaker 1: only assume that because it's been acquired by ELF, it 54 00:03:07,400 --> 00:03:10,840 Speaker 1: will be eventually, hopefully because everyone here is dying to 55 00:03:10,919 --> 00:03:14,640 Speaker 1: try it. Road launched in twenty twenty two, so it 56 00:03:14,760 --> 00:03:18,360 Speaker 1: is such a new business and unlike a lot of 57 00:03:18,400 --> 00:03:21,600 Speaker 1: celeb brands that just kind of flop or ride on 58 00:03:21,720 --> 00:03:26,440 Speaker 1: vibes alone, Road actually popped off. In two years. It 59 00:03:26,600 --> 00:03:30,680 Speaker 1: reportedly pulled in over two hundred million in net sales, 60 00:03:31,000 --> 00:03:34,720 Speaker 1: so it's not just cute branding but real numbers. She's 61 00:03:34,760 --> 00:03:40,040 Speaker 1: done an amazing job on it. Now let's talk about 62 00:03:40,120 --> 00:03:43,840 Speaker 1: the big sale, aka the billion dollar bag. So the 63 00:03:43,880 --> 00:03:47,520 Speaker 1: headline is that Hailey Bieber just sold Road to Elf Beauty. 64 00:03:47,600 --> 00:03:50,320 Speaker 1: Now I've got some stats here. The deal was worth 65 00:03:50,440 --> 00:03:54,960 Speaker 1: up to a billion dollars and apparently it was six 66 00:03:55,080 --> 00:03:59,960 Speaker 1: hundred million in cash, which is crazy, two hundred million 67 00:04:00,160 --> 00:04:05,000 Speaker 1: in shares, So Hailey owns part of Elf now apparently, 68 00:04:05,480 --> 00:04:08,840 Speaker 1: and another two hundred million if Road keeps performing well 69 00:04:08,920 --> 00:04:12,600 Speaker 1: over the next few years. Basically, she didn't just get 70 00:04:12,600 --> 00:04:15,360 Speaker 1: the bag, she got the Burken tote, the suitcase, and 71 00:04:15,440 --> 00:04:18,560 Speaker 1: the safe that it came in. Now, let's get onto 72 00:04:18,800 --> 00:04:23,800 Speaker 1: your story. Replies I saw this like the morning that 73 00:04:23,880 --> 00:04:28,200 Speaker 1: it was announced, and I shared two kind of articles 74 00:04:28,200 --> 00:04:30,560 Speaker 1: to my Instagram stories. The first one reads Hailey beaber 75 00:04:30,600 --> 00:04:34,400 Speaker 1: Sell's Road to Elf in one billion dollar deal, and 76 00:04:34,520 --> 00:04:37,719 Speaker 1: then I put up a second slide, and in the slide, 77 00:04:37,920 --> 00:04:40,919 Speaker 1: I said, I'm curious, what is your very first thought 78 00:04:41,160 --> 00:04:45,279 Speaker 1: slash response? Hearing this and now this, I thought would 79 00:04:45,320 --> 00:04:49,120 Speaker 1: be interesting to hear what everyone's thoughts were, because this 80 00:04:49,200 --> 00:04:51,360 Speaker 1: goes back into the conversation that I feel like I'm 81 00:04:51,400 --> 00:04:54,880 Speaker 1: just bringing up again and again lately, and it's women 82 00:04:55,200 --> 00:04:59,800 Speaker 1: and money and how jarring that can be for some people. 83 00:05:00,600 --> 00:05:02,520 Speaker 1: I just think, you know, if this was a guy, 84 00:05:03,040 --> 00:05:05,320 Speaker 1: everyone would be like cool, like there would be no 85 00:05:05,960 --> 00:05:09,680 Speaker 1: other thought to it, or like oh he's a rich dickhead, 86 00:05:09,720 --> 00:05:11,960 Speaker 1: like there might be something like that. But I think 87 00:05:12,040 --> 00:05:15,799 Speaker 1: because it's a woman, immediately I saw in the comments 88 00:05:15,800 --> 00:05:19,680 Speaker 1: on social media so much discourse, like, so much discourse. 89 00:05:19,720 --> 00:05:21,719 Speaker 1: So I thought I'd put it to my Instagram audience, 90 00:05:22,480 --> 00:05:26,000 Speaker 1: and let's just read out some of your responses. First response, 91 00:05:26,200 --> 00:05:29,440 Speaker 1: good on her, get your bag sis, but also so 92 00:05:29,680 --> 00:05:32,279 Speaker 1: surprised at how quick she sold the brand off, not 93 00:05:32,440 --> 00:05:35,640 Speaker 1: even three years. Someone said I didn't know she had 94 00:05:35,640 --> 00:05:40,680 Speaker 1: anything to do with that brand. Just extremely impressed and 95 00:05:40,800 --> 00:05:44,000 Speaker 1: love this woman. Get it girl. So look, I think 96 00:05:44,040 --> 00:05:47,800 Speaker 1: what this is confirming is that my audience are girls. Girls. 97 00:05:47,839 --> 00:05:50,640 Speaker 1: Like That's what it's confirming. Let me see if there's 98 00:05:50,920 --> 00:05:54,760 Speaker 1: any others shocked. Makes me think she didn't care about 99 00:05:54,760 --> 00:05:58,880 Speaker 1: the business, only money. Someone else said, that's business, baby, 100 00:05:59,080 --> 00:06:02,800 Speaker 1: strike you know, one hundred percent, this is what business is. 101 00:06:04,400 --> 00:06:07,119 Speaker 1: Someone said she had to pull Justin out of his debt. 102 00:06:07,880 --> 00:06:12,880 Speaker 1: Spicy tea. Someone said, quality of road is going to 103 00:06:13,000 --> 00:06:17,159 Speaker 1: go down. Someone said doesn't seem real slash something fishy 104 00:06:17,200 --> 00:06:22,120 Speaker 1: with the price? Again, is this thought because it's a woman, 105 00:06:22,680 --> 00:06:26,080 Speaker 1: Because who's to say that it isn't worth that? Like 106 00:06:26,160 --> 00:06:29,400 Speaker 1: why would you question if she's sold to a massive 107 00:06:29,440 --> 00:06:33,279 Speaker 1: giant like Elf for a billion dollars? Why would someone 108 00:06:33,560 --> 00:06:37,640 Speaker 1: ever say there's something fishy about that price? Like you know, 109 00:06:37,839 --> 00:06:39,240 Speaker 1: And again I think it just goes back to this 110 00:06:39,279 --> 00:06:41,920 Speaker 1: conversation that I keep having about women and money and 111 00:06:41,960 --> 00:06:46,040 Speaker 1: how people you know, want to like devalue a woman 112 00:06:46,320 --> 00:06:49,159 Speaker 1: to be like, oh, that that price is fishy. Who 113 00:06:49,160 --> 00:06:52,120 Speaker 1: are you to say that when it's in the stats 114 00:06:52,480 --> 00:06:53,080 Speaker 1: in the deal. 115 00:06:53,320 --> 00:06:56,640 Speaker 2: It's so interesting because, like you said before, if there 116 00:06:56,800 --> 00:06:59,599 Speaker 2: was a male business owner that had sold their company 117 00:06:59,600 --> 00:07:03,080 Speaker 2: for a bi do people the praise would be overwhelming, 118 00:07:03,240 --> 00:07:05,640 Speaker 2: like this guy's done such a great job, like this 119 00:07:05,800 --> 00:07:10,520 Speaker 2: is amazing. But it is interesting how the discourse shifts 120 00:07:10,960 --> 00:07:13,840 Speaker 2: when it is a female saying like, oh, she hasn't 121 00:07:13,880 --> 00:07:16,360 Speaker 2: worked hard for it, or she doesn't deserve that. It 122 00:07:16,480 --> 00:07:19,200 Speaker 2: just becomes so apparent when something like this happens. 123 00:07:19,560 --> 00:07:22,560 Speaker 1: I know, we just I find every episode late Lexander, 124 00:07:22,600 --> 00:07:24,600 Speaker 1: we always end up back on this topic, like it's 125 00:07:24,640 --> 00:07:28,400 Speaker 1: we're becoming really passionate about standing up for women in 126 00:07:28,480 --> 00:07:31,640 Speaker 1: leadership and in business and with money. I will say 127 00:07:32,200 --> 00:07:34,040 Speaker 1: snaps to all of you, because there's a lot of 128 00:07:34,080 --> 00:07:37,800 Speaker 1: support for Haley in the DMS, but on social media 129 00:07:38,800 --> 00:07:42,840 Speaker 1: I have seen so so much a discourse. I think 130 00:07:43,120 --> 00:07:45,720 Speaker 1: a lot of people got confused when they heard that 131 00:07:45,800 --> 00:07:48,800 Speaker 1: she sold it to ELF, that she's just going to 132 00:07:48,880 --> 00:07:51,280 Speaker 1: like walk away now and have nothing to do with it. 133 00:07:51,400 --> 00:07:55,360 Speaker 1: But that is not what is happening at all. So 134 00:07:55,560 --> 00:07:58,640 Speaker 1: even though she sold it to them, she is still 135 00:07:58,760 --> 00:08:01,480 Speaker 1: in the business, and she even has a new title 136 00:08:01,560 --> 00:08:06,160 Speaker 1: and everything, so she's now chief Creative Officer and head 137 00:08:06,200 --> 00:08:10,360 Speaker 1: of Innovation at Road even under ELF, So she's still 138 00:08:10,480 --> 00:08:13,360 Speaker 1: in the company. And to be honest, I would fucking 139 00:08:13,560 --> 00:08:17,280 Speaker 1: love that, like that is the dream for her because 140 00:08:17,640 --> 00:08:20,840 Speaker 1: she can let go of like everything that comes with 141 00:08:20,920 --> 00:08:24,240 Speaker 1: the business, like all the you know, stress, and not 142 00:08:24,280 --> 00:08:25,920 Speaker 1: that I think she would be involved with like the 143 00:08:26,000 --> 00:08:29,200 Speaker 1: staff or anything. She'd have a huge team. But even 144 00:08:29,240 --> 00:08:32,080 Speaker 1: just thinking from my position, goodness, if I could like 145 00:08:32,520 --> 00:08:35,480 Speaker 1: have someone come in and like buy fate off me. 146 00:08:35,960 --> 00:08:38,760 Speaker 1: But I still stay like really in the business and 147 00:08:38,760 --> 00:08:41,320 Speaker 1: I'm the chief creative officer. I'm in I'm doing all 148 00:08:41,320 --> 00:08:45,400 Speaker 1: the creative things and head of innovation, so still developing products, 149 00:08:45,400 --> 00:08:48,240 Speaker 1: samples and just being involved with that without all of 150 00:08:48,240 --> 00:08:50,680 Speaker 1: the other stuff that comes with owning a business. That 151 00:08:50,840 --> 00:08:56,200 Speaker 1: isn't the absolute dream for any business owner. So in translations, 152 00:08:56,280 --> 00:08:59,960 Speaker 1: she still gets to call the creative shots, design the product, 153 00:09:00,480 --> 00:09:04,719 Speaker 1: and postcute content, but someone else just runs the warehouse 154 00:09:04,760 --> 00:09:07,439 Speaker 1: and everything else that comes along with owning a business, 155 00:09:07,480 --> 00:09:12,079 Speaker 1: which that is the absolute dream. So is Hailey a 156 00:09:12,120 --> 00:09:18,640 Speaker 1: billionaire now? No, but she's very rich. She owns fifty 157 00:09:18,800 --> 00:09:22,320 Speaker 1: one percent of Road, which means she's personally walking away 158 00:09:22,640 --> 00:09:26,360 Speaker 1: with over five hundred million from this deal. But after 159 00:09:26,440 --> 00:09:30,640 Speaker 1: tax and adult things like advisors and accountants, she's likely 160 00:09:30,679 --> 00:09:33,520 Speaker 1: pocketing somewhere around one hundred and seventy to one hundred 161 00:09:33,559 --> 00:09:37,640 Speaker 1: and eighty million in cold hard Hailey cash from this deal. 162 00:09:37,880 --> 00:09:41,520 Speaker 1: People think Hailey has sold a company for a billion dollars, 163 00:09:41,559 --> 00:09:44,800 Speaker 1: they automatically assume she's putting a billion dollars in her pocket. 164 00:09:44,840 --> 00:09:47,360 Speaker 1: It doesn't work like that. There's all the other things 165 00:09:47,760 --> 00:09:51,760 Speaker 1: like tax and fucking paying everyone that made the deal happen, 166 00:09:52,040 --> 00:09:55,720 Speaker 1: So she's personally not getting a billion dollars in her pocket. 167 00:09:56,040 --> 00:10:00,120 Speaker 1: Anytime anyone sells a business, or it's acquired by another company, 168 00:10:00,240 --> 00:10:02,800 Speaker 1: you don't get the full amount. The same way if 169 00:10:02,840 --> 00:10:06,240 Speaker 1: Fate does fifty million dollars in sales, I don't get 170 00:10:06,280 --> 00:10:08,880 Speaker 1: fifty million dollars in my pocket. We wish that's how 171 00:10:08,880 --> 00:10:16,280 Speaker 1: the world would work, but it absolutely doesn't. So what 172 00:10:16,360 --> 00:10:20,200 Speaker 1: can we actually learn from this? And like, what's the 173 00:10:20,240 --> 00:10:23,319 Speaker 1: whole point of her selling and a selling up so soon? 174 00:10:23,440 --> 00:10:26,439 Speaker 1: Now I've touched on this in a lot of previous episodes, 175 00:10:26,440 --> 00:10:29,920 Speaker 1: but I guess not in detail or not to a tee. 176 00:10:31,480 --> 00:10:33,840 Speaker 1: And this is more so for the people that are like, 177 00:10:33,840 --> 00:10:36,080 Speaker 1: why would she do that? It's such a cash grab 178 00:10:36,679 --> 00:10:38,840 Speaker 1: Like someone else said in my DMS, this is the 179 00:10:38,920 --> 00:10:42,360 Speaker 1: beauty of business and people saying, you know, oh, she 180 00:10:42,520 --> 00:10:46,920 Speaker 1: wasn't passionate enough about it, she doesn't care when it 181 00:10:46,960 --> 00:10:49,240 Speaker 1: comes down to it at the end of the day. 182 00:10:49,800 --> 00:10:54,240 Speaker 1: That's like, actually, not what business is. Business is money. 183 00:10:54,840 --> 00:10:58,839 Speaker 1: Business is money, it's making money moves. And for people 184 00:10:58,880 --> 00:11:01,920 Speaker 1: to call her a cash it's like, yeah, she's a 185 00:11:01,960 --> 00:11:06,440 Speaker 1: cash grabber. That's the whole point of doing business. Like, yes, 186 00:11:06,960 --> 00:11:10,640 Speaker 1: we have founders who are extremely passionate about their brands, 187 00:11:10,720 --> 00:11:13,720 Speaker 1: and there's people that you know, own businesses purely just 188 00:11:13,800 --> 00:11:17,679 Speaker 1: for a passion project, which is so fine and clearly 189 00:11:18,080 --> 00:11:21,320 Speaker 1: Hailey is extremely passionate about Road because she could have 190 00:11:21,360 --> 00:11:23,520 Speaker 1: sold off the whole thing and walked away from it 191 00:11:23,559 --> 00:11:26,800 Speaker 1: with the money, but she's still so in the business. 192 00:11:26,840 --> 00:11:29,040 Speaker 1: So I think people that are saying, you know, that's 193 00:11:29,080 --> 00:11:30,959 Speaker 1: just a cash grab, she doesn't care about the brand, 194 00:11:31,000 --> 00:11:33,559 Speaker 1: that you're so wrong because she's still working within the company. 195 00:11:33,600 --> 00:11:37,080 Speaker 1: She's still employed by the company or like a shareholder 196 00:11:37,160 --> 00:11:40,200 Speaker 1: or whatever you want to call it. But we can't 197 00:11:40,240 --> 00:11:43,640 Speaker 1: shame anyone for selling a business or having it be 198 00:11:43,760 --> 00:11:47,800 Speaker 1: acquired by a bigger company, because that is business at 199 00:11:47,880 --> 00:11:52,280 Speaker 1: the end of the day. And I've spoken about this before. 200 00:11:53,360 --> 00:11:56,240 Speaker 1: When you're in business, and let's say, like you start 201 00:11:56,240 --> 00:11:58,360 Speaker 1: out as a really small business. I'll use myself for 202 00:11:58,400 --> 00:12:01,520 Speaker 1: a reference. When Fate starts, it was extremely tiny. It 203 00:12:01,559 --> 00:12:05,920 Speaker 1: was me and one casual employee. And when I started Fate, 204 00:12:06,120 --> 00:12:08,720 Speaker 1: I didn't have any dreams for it to become the 205 00:12:08,760 --> 00:12:11,360 Speaker 1: business that it is today. That's just what has kind 206 00:12:11,400 --> 00:12:14,640 Speaker 1: of naturally happened over the last seven to eight years 207 00:12:14,640 --> 00:12:17,040 Speaker 1: of Fate is we've gone from that tiny little business 208 00:12:17,040 --> 00:12:20,600 Speaker 1: in the garage into a big business that it is today, 209 00:12:20,720 --> 00:12:25,000 Speaker 1: and it's an extremely successful business at that. Now, I 210 00:12:25,160 --> 00:12:29,760 Speaker 1: have like two choices that I can make in my position, right, 211 00:12:31,200 --> 00:12:35,040 Speaker 1: I can continue to grow Fate and I can continue 212 00:12:35,080 --> 00:12:38,640 Speaker 1: to do what I'm doing. I can continue to you know, 213 00:12:38,840 --> 00:12:41,959 Speaker 1: be super involved and hopefully grow more and more and more, 214 00:12:42,559 --> 00:12:48,400 Speaker 1: and then one day it's guaranteed that Fate will slow 215 00:12:48,480 --> 00:12:53,320 Speaker 1: down and eventually crash because again, like that's just the 216 00:12:53,360 --> 00:12:56,240 Speaker 1: beauty of business. And I've said this before, but it's 217 00:12:56,360 --> 00:13:00,640 Speaker 1: very rare that a business will last for your whole lifetime. Fuck. 218 00:13:00,679 --> 00:13:02,679 Speaker 1: If I can make Fate last for my whole lifetime 219 00:13:02,720 --> 00:13:06,040 Speaker 1: and it can be successful and honor upwards climb for 220 00:13:06,120 --> 00:13:08,920 Speaker 1: my whole lifetime, I think people would write books about 221 00:13:08,920 --> 00:13:12,720 Speaker 1: that in the future. But you know, businesses have a lifespan. 222 00:13:13,360 --> 00:13:16,720 Speaker 1: Not many businesses have been around for a hundred years, 223 00:13:16,760 --> 00:13:19,680 Speaker 1: you know, Like you will hear family run owned since 224 00:13:19,960 --> 00:13:23,199 Speaker 1: nineteen twenty seven, and like that's amazing for those businesses. 225 00:13:23,480 --> 00:13:27,599 Speaker 1: But if we're speaking realistically, every single business has a lifespan. 226 00:13:28,000 --> 00:13:31,400 Speaker 1: Fate has a lifespan. Do we ever know what the 227 00:13:31,640 --> 00:13:35,720 Speaker 1: projected lifespan of those businesses are? No, But that's the 228 00:13:35,760 --> 00:13:39,680 Speaker 1: gamble that we take being in business is we're signing 229 00:13:39,760 --> 00:13:42,480 Speaker 1: up to this shit, we're growing it, and we know 230 00:13:42,720 --> 00:13:45,560 Speaker 1: that one day it's probably going to end. And so 231 00:13:46,240 --> 00:13:50,720 Speaker 1: owners like myself are faced with the choice of building 232 00:13:50,800 --> 00:13:54,040 Speaker 1: it up and getting it to it a really high 233 00:13:54,320 --> 00:13:57,120 Speaker 1: point where the profits are high, and then you can 234 00:13:57,240 --> 00:14:00,800 Speaker 1: sell it and then it becomes someone else's business to 235 00:14:00,880 --> 00:14:03,600 Speaker 1: do whatever they want with it. In this instance with Hailey, 236 00:14:04,040 --> 00:14:08,000 Speaker 1: she has sold it to an even bigger entity, and 237 00:14:08,080 --> 00:14:12,000 Speaker 1: so they are then going to use all of their resources, 238 00:14:12,080 --> 00:14:14,160 Speaker 1: all of their money. Like I can't, let me just 239 00:14:14,240 --> 00:14:21,640 Speaker 1: actually google what is the size and revenue of elf Beauty. 240 00:14:22,600 --> 00:14:26,240 Speaker 1: Let's see. Let's see elf Beauty, Inc. Is a publicly 241 00:14:26,280 --> 00:14:29,920 Speaker 1: traded company with a twenty twenty five revenue of one 242 00:14:29,960 --> 00:14:35,160 Speaker 1: point three billion, so it is a billion dollar company. 243 00:14:35,200 --> 00:14:38,520 Speaker 1: So Hailey has been smart. She's built this business up 244 00:14:38,760 --> 00:14:41,920 Speaker 1: to an amazing size in a really short amount of time. 245 00:14:42,400 --> 00:14:44,920 Speaker 1: And then she's obviously invested in the business and wants 246 00:14:44,920 --> 00:14:47,520 Speaker 1: to stay involved, but she's sold it on to someone 247 00:14:47,600 --> 00:14:52,960 Speaker 1: even bigger. And now what you will witness is Road 248 00:14:53,120 --> 00:14:57,280 Speaker 1: becoming an even bigger and better brand, And that is 249 00:14:57,480 --> 00:15:03,440 Speaker 1: extremely clever and one thing that I'm faced with not currently, 250 00:15:03,520 --> 00:15:05,200 Speaker 1: but just like it's always in your mind when you 251 00:15:05,240 --> 00:15:08,880 Speaker 1: own a big business, is am I down the track 252 00:15:09,000 --> 00:15:11,840 Speaker 1: going to do something the same where I don't know, 253 00:15:11,920 --> 00:15:13,840 Speaker 1: I can strike up a deal with a company where 254 00:15:13,880 --> 00:15:16,160 Speaker 1: they can come in and acquire Fate and then make 255 00:15:16,200 --> 00:15:19,400 Speaker 1: it bigger, and then I could choose to stay involved 256 00:15:19,880 --> 00:15:23,280 Speaker 1: or just completely walk away. Or my other option is 257 00:15:23,560 --> 00:15:25,760 Speaker 1: I try to run Fate for as long as I 258 00:15:25,800 --> 00:15:29,800 Speaker 1: can in my life and be there for its closure, 259 00:15:30,680 --> 00:15:34,560 Speaker 1: And there's nothing wrong with doing it either of those ways. 260 00:15:34,680 --> 00:15:36,440 Speaker 1: I have a lot of people that I know in 261 00:15:36,520 --> 00:15:39,320 Speaker 1: business that say you need an exit strategy, like you 262 00:15:39,360 --> 00:15:41,600 Speaker 1: need to get out of there before it all crumbles. 263 00:15:42,040 --> 00:15:46,040 Speaker 1: But I don't see any harm in staying in a 264 00:15:46,120 --> 00:15:49,760 Speaker 1: business until it ends. It just depends, like what you 265 00:15:49,840 --> 00:15:53,160 Speaker 1: want to do with your life. So I think Hailey 266 00:15:53,320 --> 00:15:58,480 Speaker 1: selling Road to Elf is an amazing thing. I think 267 00:15:58,520 --> 00:16:01,760 Speaker 1: we should be celebrating how successful this brand has been 268 00:16:01,880 --> 00:16:05,560 Speaker 1: in just three years. That is absolutely phenomenal. I'm sure 269 00:16:05,560 --> 00:16:08,040 Speaker 1: people will write books about this in the future, and 270 00:16:08,120 --> 00:16:10,480 Speaker 1: it just goes to show that a celebrity brand can 271 00:16:10,560 --> 00:16:15,920 Speaker 1: be extremely successful if done correctly. Because you know, there's 272 00:16:15,920 --> 00:16:18,160 Speaker 1: so many celebrity brands out there that kind of just 273 00:16:18,320 --> 00:16:21,280 Speaker 1: coast along and you know then they kind of just 274 00:16:21,800 --> 00:16:26,840 Speaker 1: fizzle off into the abyss. But she's done an absolutely amazing, 275 00:16:27,440 --> 00:16:31,320 Speaker 1: amazing job, so I say good on her. I don't 276 00:16:31,360 --> 00:16:33,520 Speaker 1: think she's a like. I don't think she's a cash 277 00:16:33,600 --> 00:16:35,920 Speaker 1: grabber like she is though, but we're all fucking cash 278 00:16:35,960 --> 00:16:37,480 Speaker 1: grabbers at the end of the day. I really hate 279 00:16:37,560 --> 00:16:40,880 Speaker 1: that like people saying what a cash grab no shit, 280 00:16:41,040 --> 00:16:43,400 Speaker 1: Like anyone would do the same thing if they were 281 00:16:43,400 --> 00:16:46,600 Speaker 1: in her position. She's still staying so heavily involved in 282 00:16:46,640 --> 00:16:50,200 Speaker 1: this company that she clearly loves, but she's given away 283 00:16:50,560 --> 00:16:53,560 Speaker 1: forty nine percent and can just focus on the creative. 284 00:16:54,000 --> 00:16:57,600 Speaker 1: That is the absolute dream for any business owner. And 285 00:16:57,720 --> 00:17:00,120 Speaker 1: I think if anyone else was in her position, they 286 00:17:00,160 --> 00:17:04,080 Speaker 1: would do the absolute same. And I think now that 287 00:17:04,160 --> 00:17:08,240 Speaker 1: this company has been partially taken over by ELF, we're 288 00:17:08,240 --> 00:17:10,440 Speaker 1: going to see it go more global because right now 289 00:17:10,480 --> 00:17:13,520 Speaker 1: it's like just based in America. I think we'll see 290 00:17:13,560 --> 00:17:16,080 Speaker 1: it popping up in like you Sophora or your Mecca. 291 00:17:16,200 --> 00:17:18,400 Speaker 1: I don't know where it will be, but I think 292 00:17:18,440 --> 00:17:20,919 Speaker 1: because it's been acquired by a bigger company, they're going 293 00:17:20,960 --> 00:17:25,960 Speaker 1: to have more money, more resources, more distribution operations and centers. 294 00:17:26,200 --> 00:17:28,520 Speaker 1: It's just going to grow the brand even further. But 295 00:17:28,840 --> 00:17:30,600 Speaker 1: I'm super keen to see where it goes. There are 296 00:17:30,640 --> 00:17:32,639 Speaker 1: a lot of people online saying it's going to flop, 297 00:17:32,640 --> 00:17:35,520 Speaker 1: the quality is going to become poor. It's not because 298 00:17:35,560 --> 00:17:38,480 Speaker 1: she's still involved in it and I know her standard, 299 00:17:38,520 --> 00:17:41,359 Speaker 1: we see her standard. She's not going to let it flop. 300 00:17:42,040 --> 00:17:45,400 Speaker 1: Whilst it all feels so personal, and you know, this 301 00:17:45,440 --> 00:17:48,320 Speaker 1: is when we go into the territory of like people 302 00:17:48,400 --> 00:17:50,920 Speaker 1: being the face of their brand and it feels personal, 303 00:17:50,960 --> 00:17:53,880 Speaker 1: and there might be fans that have felt like she's 304 00:17:53,920 --> 00:17:57,160 Speaker 1: betrayed them because she's given up the company or part 305 00:17:57,200 --> 00:17:59,120 Speaker 1: of it or whatever. But at the end of the day, 306 00:18:00,000 --> 00:18:04,200 Speaker 1: business is just a numbers game, That's what it is. Yes, 307 00:18:04,240 --> 00:18:06,159 Speaker 1: there's a lot of passion, a lot of love, a 308 00:18:06,200 --> 00:18:09,240 Speaker 1: lot of heart that goes into businesses, and there are 309 00:18:09,240 --> 00:18:11,439 Speaker 1: founders that are extremely passionate about it. But at the 310 00:18:11,480 --> 00:18:14,400 Speaker 1: end of the day, when push comes to shove, everything 311 00:18:14,440 --> 00:18:16,880 Speaker 1: that we're all doing in business is just a numbers game, 312 00:18:17,440 --> 00:18:19,320 Speaker 1: and you have to think of the future. You have 313 00:18:19,359 --> 00:18:21,760 Speaker 1: to think of your future, and clearly she has thought 314 00:18:21,760 --> 00:18:26,720 Speaker 1: of her future and set herself up for success by 315 00:18:27,080 --> 00:18:36,159 Speaker 1: having elf own a big chunk of road. Another little 316 00:18:36,240 --> 00:18:39,320 Speaker 1: personal story actually about myself and Fate, which I feel 317 00:18:39,359 --> 00:18:42,120 Speaker 1: like I've told in a previous episode, but probably ages ago. 318 00:18:42,680 --> 00:18:46,640 Speaker 1: I had a wasn't I don't know if I can 319 00:18:46,640 --> 00:18:48,159 Speaker 1: call it an offer, but I had a lot of 320 00:18:48,160 --> 00:18:52,919 Speaker 1: conversations with a company that wanted to come in and 321 00:18:53,200 --> 00:18:58,120 Speaker 1: acquire fifty one percent of Fate, so like Hayley's deal, 322 00:18:58,240 --> 00:19:01,399 Speaker 1: but they would have been owning fifty one and I 323 00:19:01,440 --> 00:19:03,600 Speaker 1: would have been the one with forty nine percent, whereas 324 00:19:03,640 --> 00:19:05,760 Speaker 1: Haley owns the fifty one. But it would have been 325 00:19:06,320 --> 00:19:10,200 Speaker 1: two years ago now that oh my god, and I'm 326 00:19:10,200 --> 00:19:14,640 Speaker 1: just having a moment. When I spoke to them, they 327 00:19:15,280 --> 00:19:18,040 Speaker 1: took a guess at the size of Fate because I 328 00:19:18,080 --> 00:19:21,120 Speaker 1: hadn't like told them exactly. They just made assumptions of 329 00:19:21,160 --> 00:19:24,800 Speaker 1: like the size of the company, and I wasn't quite there. 330 00:19:25,440 --> 00:19:28,600 Speaker 1: But now I'm bigger than what they had said back then. 331 00:19:28,720 --> 00:19:32,639 Speaker 1: So that's just really funny anyway, little thing that just 332 00:19:32,640 --> 00:19:36,160 Speaker 1: popped into my head. But yeah, two years ago, I 333 00:19:36,359 --> 00:19:39,879 Speaker 1: was having conversations about a potential not partnership, but a 334 00:19:39,920 --> 00:19:43,640 Speaker 1: company taking fifty one percent of Fate, and I very 335 00:19:43,680 --> 00:19:46,240 Speaker 1: well could then then and there could have been like yep, 336 00:19:46,359 --> 00:19:49,240 Speaker 1: let's do it. And I wonder, you know, had I 337 00:19:49,320 --> 00:19:52,159 Speaker 1: done that, where Fate would be now and how different 338 00:19:52,200 --> 00:19:55,199 Speaker 1: it would be. And they explained it to me like 339 00:19:55,320 --> 00:19:58,200 Speaker 1: how it would work exactly because I had no idea, 340 00:19:58,320 --> 00:19:59,800 Speaker 1: be like if you were to come in and own 341 00:19:59,800 --> 00:20:02,240 Speaker 1: Fear fifty one percent of Fate, like what would happen? 342 00:20:02,600 --> 00:20:06,359 Speaker 1: And because again it was a bigger company, they would 343 00:20:06,480 --> 00:20:09,439 Speaker 1: and they've got like funds and money. They then like 344 00:20:09,480 --> 00:20:12,560 Speaker 1: bring in a board of directors and professionals, and this 345 00:20:12,640 --> 00:20:15,240 Speaker 1: is exactly what would be happening with Road. They get 346 00:20:15,440 --> 00:20:18,560 Speaker 1: really experienced people on their board to come in and 347 00:20:19,200 --> 00:20:22,000 Speaker 1: essentially flip the company on its head, look at all 348 00:20:22,040 --> 00:20:26,479 Speaker 1: your costs, fix all your processes, put people in place 349 00:20:26,640 --> 00:20:28,880 Speaker 1: that the business would need to scale, and then they 350 00:20:29,000 --> 00:20:32,400 Speaker 1: inject money into the company to grow it a lot 351 00:20:32,440 --> 00:20:34,960 Speaker 1: bigger than what it is. And I would have been 352 00:20:35,320 --> 00:20:38,280 Speaker 1: like Hayley, where I was still involved, but I wouldn't 353 00:20:38,320 --> 00:20:42,000 Speaker 1: have had the larger cut of the business. And that's 354 00:20:42,000 --> 00:20:44,760 Speaker 1: what scared me the most, because I had forty nine 355 00:20:45,400 --> 00:20:47,600 Speaker 1: I don't know legally how it works, but I think 356 00:20:47,640 --> 00:20:50,159 Speaker 1: they could I don't want to say this exactly, but 357 00:20:50,160 --> 00:20:52,359 Speaker 1: I think that they could vote me out of the 358 00:20:52,359 --> 00:20:55,520 Speaker 1: business because they had that fifty one percent ownership. Don't 359 00:20:55,600 --> 00:20:57,679 Speaker 1: quote me on that, but I'm pretty sure Aj explained 360 00:20:57,720 --> 00:21:01,320 Speaker 1: it to me that way, and them owning more than 361 00:21:01,400 --> 00:21:06,840 Speaker 1: me was what initially put me off, Like it was 362 00:21:06,880 --> 00:21:09,000 Speaker 1: the fifty one percent that made me go, oh, this 363 00:21:09,200 --> 00:21:13,600 Speaker 1: just seems like I would lose like obviously majority power 364 00:21:13,920 --> 00:21:17,840 Speaker 1: and majority share. And also the timing just didn't feel 365 00:21:17,920 --> 00:21:21,040 Speaker 1: right for me at the time. But I was really 366 00:21:21,040 --> 00:21:24,199 Speaker 1: grateful to connect with these people, and who knows, like 367 00:21:24,240 --> 00:21:27,520 Speaker 1: I might spark up the conversation again in the future, 368 00:21:27,640 --> 00:21:30,679 Speaker 1: but it just the timing wasn't right. I felt like 369 00:21:30,720 --> 00:21:33,960 Speaker 1: the company wasn't at its biggest peak at that time. 370 00:21:34,080 --> 00:21:36,119 Speaker 1: And it's so interesting because that was like maybe two 371 00:21:36,200 --> 00:21:39,680 Speaker 1: years ago now and we've come leaps and bounds since then. 372 00:21:40,160 --> 00:21:44,239 Speaker 1: So I just said to them, like, respectfully, I'm just 373 00:21:44,600 --> 00:21:48,040 Speaker 1: really proud of doing this all on my own so far, 374 00:21:48,280 --> 00:21:50,520 Speaker 1: and they really respected that back. They were like, we 375 00:21:50,640 --> 00:21:53,760 Speaker 1: totally appreciate and respect that you've built this business yourself 376 00:21:53,800 --> 00:21:55,879 Speaker 1: and that you're doing it all on your own and 377 00:21:55,960 --> 00:21:58,200 Speaker 1: I just said not now, Like the timing feels wrong. 378 00:21:58,600 --> 00:22:01,080 Speaker 1: And so that's a fun little story that happened a 379 00:22:01,119 --> 00:22:04,240 Speaker 1: couple of years ago. Now, So look, I could talk 380 00:22:04,240 --> 00:22:06,240 Speaker 1: about this forever and ever, but to put it in 381 00:22:06,280 --> 00:22:10,800 Speaker 1: a nutshell, I'm extremely happy for Haley. She has shown 382 00:22:10,880 --> 00:22:13,359 Speaker 1: to us as a young woman the power of a 383 00:22:13,400 --> 00:22:16,919 Speaker 1: strong personal brand, which you always hear people talking about, 384 00:22:17,359 --> 00:22:22,080 Speaker 1: a product that actually fucking slays, and a killer business strategy. 385 00:22:22,680 --> 00:22:27,119 Speaker 1: This obviously isn't just a cute lip gloss that she makes. 386 00:22:27,320 --> 00:22:31,119 Speaker 1: She's obviously built something with real value. She's proof that 387 00:22:31,160 --> 00:22:33,960 Speaker 1: it could stand on its own, and she's cashed out 388 00:22:34,040 --> 00:22:37,920 Speaker 1: while still keeping creative control. That is an absolute flex. 389 00:22:38,160 --> 00:22:40,720 Speaker 1: I take my hat off to her. And I know 390 00:22:40,800 --> 00:22:42,800 Speaker 1: the internet has been saying this is all like a 391 00:22:42,840 --> 00:22:45,399 Speaker 1: stab at Justin Bieber and they're sensing that there's tension 392 00:22:45,440 --> 00:22:48,320 Speaker 1: in their relationship. You know what, if that is the case, 393 00:22:48,480 --> 00:22:50,439 Speaker 1: and if she is having a go at Justin then 394 00:22:50,440 --> 00:22:52,600 Speaker 1: trying to prove that she can do it all on 395 00:22:52,640 --> 00:22:55,119 Speaker 1: her own, I say good on her, But who am 396 00:22:55,119 --> 00:23:00,879 Speaker 1: I to get involved in their relationship. I'm going to 397 00:23:01,000 --> 00:23:05,720 Speaker 1: end today's episode with a tip of the week be 398 00:23:05,800 --> 00:23:08,200 Speaker 1: a cash grabber. But also, oh, you are all gonna 399 00:23:08,200 --> 00:23:11,680 Speaker 1: think I'm so stupid for this. I only just discovered 400 00:23:11,680 --> 00:23:15,520 Speaker 1: something that I definitely should have known for a really 401 00:23:15,560 --> 00:23:19,000 Speaker 1: long time, and I'm just gonna tell you all it. 402 00:23:19,000 --> 00:23:22,160 Speaker 1: It is not a hack, because I'm sure everyone knows this, 403 00:23:22,600 --> 00:23:26,440 Speaker 1: but I only learned the other day. You can schedule 404 00:23:26,480 --> 00:23:29,399 Speaker 1: an email. I didn't know, and I reckon there's other 405 00:23:29,440 --> 00:23:32,280 Speaker 1: people that don't quite literally, like we just use Gmail 406 00:23:32,359 --> 00:23:34,560 Speaker 1: for fate. So when you got to send an email, 407 00:23:35,080 --> 00:23:37,679 Speaker 1: you can next to the blue send button, there's a 408 00:23:37,680 --> 00:23:39,880 Speaker 1: little drop down tab and then you can go schedule 409 00:23:39,960 --> 00:23:43,440 Speaker 1: send schedule them. And you can be strategic with it too, 410 00:23:43,560 --> 00:23:48,040 Speaker 1: Like if you know someone starts work at nine am, 411 00:23:48,680 --> 00:23:51,240 Speaker 1: you can schedule an email to land in their inbox 412 00:23:51,440 --> 00:23:53,479 Speaker 1: first thing in the morning kind of thing, rather than 413 00:23:53,520 --> 00:23:55,400 Speaker 1: sending it like in the RVO and then it gets 414 00:23:55,440 --> 00:23:59,159 Speaker 1: pushed down. Or if someone starts at nine and you 415 00:23:59,160 --> 00:24:01,400 Speaker 1: really want to get their ten send it at nine 416 00:24:01,480 --> 00:24:04,639 Speaker 1: oh five so that it like if anyone else has 417 00:24:04,680 --> 00:24:06,720 Speaker 1: sent a scheduled email for nine am, you then sit 418 00:24:06,760 --> 00:24:10,200 Speaker 1: on top. Anyway, that has just absolutely changed my life. 419 00:24:10,320 --> 00:24:12,800 Speaker 1: That is my tip of the week. Schedule your emails. 420 00:24:13,119 --> 00:24:14,919 Speaker 1: You don't need to send them out at night. You 421 00:24:14,960 --> 00:24:17,359 Speaker 1: can just type them and then schedule it for the morning. 422 00:24:17,640 --> 00:24:19,639 Speaker 1: It's changed my absolute life, and I feel like an 423 00:24:19,680 --> 00:24:23,000 Speaker 1: idiot that I've only just discovered that. But better late 424 00:24:23,040 --> 00:24:26,520 Speaker 1: than never, I say. Anyway, that's all for today's episode, 425 00:24:26,560 --> 00:24:28,920 Speaker 1: and remember to chase after your dreams as if they 426 00:24:28,920 --> 00:24:32,600 Speaker 1: owe you money.