How to Launch a Cosmetic Business and Make Money

Launch a business:  Start by figuring out what products you want in your line and finding a lab or distributor who will produce them. Work on a small line of products first, and build up from there. As you get your products out in the world, building up your cash flow, you can add more products later!

Choose the attributes you want to base your brand on. The attributes of your line are what define it and set it apart from other lines. For instance, maybe you want to focus on natural, organic products, or maybe your goal is to produce a high-end luxury line.

• Alternatively, maybe you want really vivid colours or very smooth, inexpensive makeup.
  

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Build a brand around what’s missing in the marketplace. If you want to stand out, bring something new to the marketplace. Think about what you wish you could find in makeup but can’t. Try building your line around that.

• Talk to people you know, as well as cosmetologists. Find out what they want or need in a cosmetic product.
• For instance, maybe there are colours missing in the natural products you love or maybe you want inexpensive makeup that stays on your face all day.

Launch a business

Study cosmetic products to pick ingredients for your line. Spend time researching common ingredients. Look at what they do for a product, as well as whether they’re common allergens. Decide what kinds of ingredients you’d prefer in your products.

• Look at products you love to see what kinds of ingredients they have. Check the back of the package and the company’s website for ingredients. That can give you a starting point, as you can look up more about each ingredient you find.
• Check into alternative, natural ingredients, too, to see if they’re better for your brand.

Learn the Food and Drug Administration’s (FDA’s) regulations. The FDA regulates items like cosmetics, so study them before you start your business. It may affect what ingredients you choose, for instance. You can find the FDA’s regulations on cosmetics at https://www.fda.gov/cosmetics/. It’s divided into topical sections, so you can find what you need by clicking on the appropriate link.

• For instance, you may also be required to list all or some ingredients on the label.
• Check back regularly, as FDA regulations will change over time.
  

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Launch a business

Research cosmetic labs online to create a completely new product. To start a cosmetic line, you’ll need to work with a cosmetic lab. Look for ones that value what you value. For instance, if being made in the U.S. is important to you, look for ones that are based there. Also, check to see if there are reviews on the company.

• You could search “cosmetic labs in the United States.”
• Take a look at their webpage to see what they have to say about themselves. If you find one interesting, call or email them to find out more about them. You could say, “I’m interested in starting my own cosmetic line, and I’d like to know more about your company. Can I ask you a few questions?”
• You could ask things like, “What are your company’s values? Is all of your production done in the United States? How do you ensure a quality product? What type of ingredients do you use? Do you have the capability to produce an all-natural line of products?” Ask if they can make what you want happen. For instance, if you want very pigmented makeup, ask questions about that.

Work with a distributor instead of a lab for an easier process. Basically, they’ll find what you need, and put your label on it for you. You’ll need to do the same type of research on distributors that you would on labs.

• Make sure you’re doing your due diligence by evaluating the distributor online, checking out their policies and ethical stances, and looking at reviews to see what other people think.
• Ask where the company produces their products, as it can be almost anywhere. If you prefer products from the United States, work with a company that gets all or most of their products from manufacturers there.
  

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Launch a business

Ask for samples from the companies you’re evaluating. Most labs and distributors are willing to send you samples. If they are, you can see what kinds of products they offer, which can give you an idea about whether you want to work with them or not.

Visit labs and distributors to decide which one is the best fit. Once you’ve narrowed down the labs you like to a couple of companies, set up a tour with them. Most companies are more than willing to show you around, particularly if you’re a potential client. Once you’ve seen them, pick the one that seems to fit your brand best.

• If you can’t visit in person, ask if they’re willing to take you on a tour through video chat. For instance, you could use Skype or Apple Face time to chat to an employee, who will show you the company through the video chat.
• Dig deeper with your questions while you’re there. Get to know as much as possible about the company!

Come up with a product based on your research. Work with your lab or distributor to create a product that matches the brand you want to create. Tell them the kinds of ingredients you prefer to use, the type of makeup you’re wanting to create, and the focus of your brand to help them better understand your needs.

Launch a business

Get help from professionals and other business people. When you’re first starting out, there’s a lot you don’t know about starting a company. Ask for help from your friends and family, and when you can, pay for professional help.

• Pick people to join you who are strong in areas you’re not. For instance, if you’re good at the creative side, find someone who’s good at business. You can even set up the company with them, giving them a stake in the outcome.
  

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Save money for your first products. It costs money to buy the products for your line, so you need to start saving money right away. How much you’ll need depends on the lab or distributor you go with, as each one will have a different minimum order. Typically, though, you’ll need at least several thousand dollars to get started.

• It will be cheaper to work with a distributor at first than a lab. That’s because with a lab, you’ll have to pay for a whole batch, while with a distributor, you can split batches with other companies.

Launch a business

Start with a simple product, like eye shadow. Work with your lab or distributor to decide on ingredients and colours you want in your line. Also, discuss the qualities you want the makeup to have, such as applying very smoothly or being very pigmented.

• Eye shadow is cheaper than other products. Plus, it’s the simplest formula-wise. Therefore, it’s a good place to start your line. You can build up to other products over time.

Brainstorm ideas for color names with a group of people. Your color names will draw people in, so you want them to be fun and reflect your brand. Get your friends together, and brainstorm ideas for your colors. Throw ideas back and forth to see what sticks. It can help to have them try on the product.

• Write down ideas when they come to you. You can match them up with a color later.
  

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