With over 12 years of experience working in an array of creative roles for well-known TV shows and fashion brands, Miguel Gauthier naturally progressed into becoming an entrepreneur.
Whilst working at a creative marketing agency he realized that he enjoyed brand building. From inception to launch it gave Miguel the fundamental skillset to become a successful entrepreneur.
Gauthier recently exited his E-commerce business, Foxy Bae, a uniquely West Coast-based national beauty brand that has built an impressive omnichannel sales engine across its direct-to-consumer site, wholesale accounts, and Amazon. He shares how he built the business and why he decided to sell using FE International (FE).
How Foxy Bae Became a Successful E-commerce Brand
In 2017 Miguel Gauthier reviewed the hair space and spotted a common theme “I saw that every single brand out there wanted to be serious, they wanted to be upscale…there was no one saying let’s have fun”.
Foxy Bae was created with a focus on a younger demographic, who wanted a company that reflected their sense of fun but also provided a salon-quality experience.
When Did You Realize You Had Something That Was Going To Be a Success?
Launching in October 2016 proved to be the perfect timing for Foxy Bae. A successful Holiday season created such a demand that their initial launch product sold out.
“That blew through expectations. That was when we knew that we had something”.
Not relying on one core product, Gauthier and the team started 2017 focusing on future product development.
Since then revenue grew at a rate of 87%+ while strategically cultivating a devout follower base through a vast network of over 750 influencer and affiliate partners.
When Did You Start Thinking About Selling Foxy Bae?
Foxy Bae had grown a considerable customer base, whilst adding middle and senior management into the company. The brand stood out from competitors with its strong branding, and successful marketing strategy propelling repeat sales.
Six months ahead of their exit Foxy Bae hired FE International to advise on their successful exit.
“They came in and did a thorough QV, an assessment, they fully reviewed our business and understood what needed to be adjusted and knew what it was worth. They were an incredible team at allowing us to accomplish our goals of a 100% successful exit”.
Learn more about the steps you can take now to make your business ready for an exit, with our E-commerce Business Exit Strategy: Reducing Owner Involvement.
Connecting with FE International
Selling your Business is one of the most important decisions in your entrepreneurial journey. This is the opportunity to get the big payday for the hard work and effort you have made to date. Trusting the right advisors who have a network of trusted buyers is essential.
Before awarding FE with the exit mandate, Gauthier sought an exit with a competing firm who were unsuccessful in finding a buyer. At FE we were confident of finding a new home for Foxy Bae through our network of trusted buyers. We pride ourselves on our tried and tested process for all deals.
This allows sellers to stay focused on running their business while in the exit process.
“FE ran a robust and professional process that got us in front of an array of buyers from family offices to corporations and funds. In the end, they were a valued help getting a complicated transaction over the finish line, and we’re excited to have a partner like Boosted lead Foxy Bae into its next chapter.”
What Part of The Sales Process Surprised You The Most?
“One of the things that surprised me the most was just how tedious it was to get to the point where you close a deal and exit. There is a lot of work to get done in that process”.
Thanks to FE’s strong team of qualified accountants (CPA/CFA) in-house and experience across 1,200+ exits, the initial forensic auditing process uncovered several financial issues that were likely to cause significant roadblocks later in buyer due diligence. By successfully catching these upfront, FE was able to build a strong investment case for the business which was clearly communicated via a traditional Teaser and CIM offering to qualified buyers, who were confident that the quality of earnings and data presented was fully accurate.
What Is Next For You?
What’s next? The same thing we do every night, Pinky. Try to take over the world.
Curious about how much your E-commerce Business could be worth? Get in touch for a free valuation.