The biggest misconception is that there are all these Black-owned companies in the beauty space. There are not, especially majority Black-owned. There are many founders, but they may or may not own the majority of the company. It’s very difficult for a black business owner to create scale in the beauty industry because the price of entry is so high. If you want to be in Walmart, CVS, Rite Aid, Ulta, Target, or Sephora, the money it takes for you to open your stand is enormous. First, you have to get the money, then you have to be willing to put that money at risk to sell your product. It is a lot less expensive to do that online. So, as more people shop online, we should be able to see more growth in Black-owned businesses that may not have had the capital to open in these pricey retail environments.
