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Beauty and VC 2022

Traditionally VC’s have stayed away from the cosmetics industry because of the high costs of entry, but with more DTC brands, a high level of acquisitions and emerging technology is causing investors to take a second look a beauty. Making now the right time for beauty VC 2022. VC isn’t right for every one and every founder but when used properly it can be a great tool.


Reasons to Raise

  • You are overwhelmed by orders and cannot keep up with demand.

    • Or you just got a large contract and need support meeting that

  • You want to expand into other markets

  • You are doing something tech focused and your business model has:

    • low barriers to entry

    • is contingent on having lots of users

  • You are first to market.

  • You have some kind of IP

  • You are looking to automate some of your processes

  • You discovered a way to turn x dollars into 5x+

Don’t raise if...

  • You don’t have a good reason to

  • You don’t want to give up control of your company

  • You don’t want to ever sell your company (There are types of investment vehicles that allow you to continue in your company for ever but that’s not typical VC)

  • You built your company so you can live your life a particular way. Such as

    • Have more free time/Time to take care of dependants

    • You want to choose who you work with all the time.

    • You don’t want constant pressure to grow your company


Proceed with caution if...


  • You founded your company based on some kind of ethical conviction

    • Investors are in the business of making money

    • Really research the firm and make sure they are aligned with you.



If you are interested in raising here are some good Resources.


US VC Valuations Report:

How rolling funds and syndicates work:

VC Not only survived by thrived in 2020:

Cosmetic Brand M&As are at an all time high. Is the bubble going to pop?

Us based VC funds investing in beauty

Beauty VC- VC funds that invest in the beauty space

  • This article was written by Nivea accelerator.

    • They are a south Korean beauty accelerator focusing on brands a technology companies located in south Korea (or those looking to expand)

Beauty companies are beginning to get investors attention:

  • While traditionally VC’s have stayed away from the cosmetics market because of the high costs of entry. DTC and technology companies are changing this and making investors take note.

10 top US VC firms investing in beauty right now:

What venture capitalists look for when they invest: