Business Funding
Student’s Name
Professor’s Name
Submission Date
Mayvenn is a premium brand that deals with hair and beauty products. The company has its headquarters in Oakland, California, in the United States. Mayvenn was founded in 2012 by Diishan Imira and Taylor Wang to provide a direct market link between stylists and their target consumers with the goal of helping stylists to sell their products directly without incurring holding inventories or incurring upfront costs. Mayvenn has acquired $36 million in funding from various funding venture capitalists. The company is funded by 19 venture capitalists, but Mac Venture Capital and Essence Ventures LLC are the company’s recent funders. Today, Mayvenn is valued within a range of $100 to $500 million.
Mayvenn entered the beauty industry with the goal of expanding the capabilities of existing market hair stylists and professionals while revolutionizing customer service through interaction with end consumers. To pitch its business, Mayvenn designed its online platform to offer superior quality beauty brands coupled with unrivaled customer experience. This platform also created a powerful tool where stylists and beauty professionals would sell their products directly to clients while offering exceptional customer service. Although according to the CEO, Diishan, Mayvenn began its operations with a box of hair, its distribution has since grown to over 50,000 stylists and thousands of clients.
There are various sources of funding for start-up ventures. Businesses select their ideal source based on various factors such as cost of financing, level of autonomy desired, availability of funds, and investor’s risk profile, among other factors. Diversification of financing alternatives allows the business to prevent potential downtimes while acquiring the right funding source that meets the needs of the investor. Venture capitalists always prefer tech-driven ventures with a high potential for growth. Mayvenn’s choice of venture capital has speeded up its growth.
Resources
Crunchbase.com
https://www.crunchbase.com/organization/mayvenn/company_financials
https://shop.mayvenn.com/about-us