Desperation Breeds Inspiration, Ariane Goldman, Hatch, Podcast #113

Desperation Breeds Inspiration, Ariane Goldman, Hatch, #113“Having the wisdom of growing the business on my own. I know what it’s like not to feel rich and have money. So worst-case scenario if I don’t find the right partners we’re going to be okay. It’s just going to take longer and it’s going to be harder. But going in with that confidence allowed me to say, who do I want as a partner.”0:45 What was the thought process behind Hatch? What’s so interesting about you, you did this on your own, you built this business with your own flesh and blood. “I was my own consumer looking for something. I was marrying the business side and fashion side…I had money to spend and there was no one that was going to take it. That’s when the light bulb went off.”1:48 How many years ago was that? And what were you doing before? Grew up where? Where did you go to school?-8 years ago-Grew up in the city, 88th street-Both parents entrepreneurs-University of Michigan undergraduate business program2:49 What did you do first out of college? Worked at American Express working way up corporate ladder. Loved working there. Beautiful place to work. Around really great people. Compel you to learn different things.Was seeking some safety, wanted to know paycheck was coming in. Opposite of entrepreneurial parents.3:52 “I was really enjoying my life, but I wasn’t necessarily being the most of me.”4:10 “But then I fell in love with a creative. (Asked) can you finally do something Ariane that’s really you that can show what you’ve got to offer because you’re special.” “I know that I can make things happen, because I come from a world of it.”4:36 Went to Parsons at night to try and cultivate these creative juices4:44 After being proposed to, realized that the bridesmaid and dress situation was brutal. Took vintage dress and went to pattern maker, “let’s make this dress for my bridesmaids with the consistency I’m looking for, but one dress that wraps all these different ways so they all can have their individual styles.”5:23 “I knew that I was on to something because nobody had solved the bridesmaid situation of wearing a dress again after you get married. Why do you have your girls invest in something that’s finite and disposable.”6:17 It became a side hustle, while at AMEX, helping these brides as word of mouth spread after the wedding.6:55 One of the girls she was dressing for a wedding was a publicist from the Martha Stewart show, from there the phone didn’t stop, resulting in leaving AMEX.7:30 Being a first mover.8:05 “It’s the most golden business model – you’re paid up front, for every person you market to you sell five dresses, you have 12 weeks to deliver, no inventory, no returns.”10:10 Four years into Twobirds, got pregnant. “Nobody was heeding what I needed. That’s when I decided, based on success of Twobirds, that if I can do it in that category, here we go again. Why I don’t just follow the women through my journey for things that I need that nobody is getting us.”10:40 Launched Hatch13:07 How did you start selling to consumers? “I was under the idea that if you build this they will come, well I was totally wrong. For the first couple of months it was crickets, and it was super scary.”13:50 Writer from the style section of NYT said they wanted to write a piece on Hatch.14:30 ‘You started to sell more product and so did you keep putting money back into the business? Because you grew this by yourself. So no venture capital, you didn’t do any of that. You literally were what your parents were. Which was hard working, entrepreneurial family.’“Brick by brick, dress by dress.”15:18 “I’ve been obsessed with profits. I only know how to run a business that you’re making more money than you’re spending.”16:00 Running the business. “Was doing it all.”17:07 Did you ever take a salary?17:30 “Make sure that you ask yourself what you want out of the business.”18:39 ‘After all these years, what was the aha, I’ve now built this business, and I need to think about if I put this much amount of money into this business the ROI would be unbelievable, maybe I should go out and raise some capital…?”“It wasn’t about the dollars that was the catalyst for me, it was about the help.”“I’m an entrepreneur. I had ideas. And I take ideas and I make them into things that look beautiful that women can relate to. That doesn’t necessarily mean that I’m great at P&L’s. That I’m great at song and dancing investors. I can’t be an ace in all angles of this business, and that’s okay.”20:12 Professional and personal have to be treated separately.21:15 “Whatever insecurity I was facing around money raising, had to do with the fact that I needed help internally in that area.”21:55 Doing the things you are great at and the things that you enjoy.22:20 Found a COO, young woman in 30’s “who’s a badass and changed my life. My wing-woman. She was my best customer before I hired her.”24:24 First area wanted to raise money for was beauty development and then the second was brick and mortar. “I wanted people to scratch and sniff Hatch.”25:20 Raised a $1.7M seed round. “After the first six years of bootstrapping this idea, I had a proof of concept, people believed in me at this point.”26:22 What happened was, both ideas took off. Brick and mortar broke even in six months.27:11 Building a brand. “When you’re building a brand, and just not selling a product, you can believe, you can believe further because we’re building something really cool.”28:13 How did you go about finding the right investors? “We met with everyone.” “Having the wisdom of growing the business on my own. I know what it’s like not to feel rich and have money. So worst-case scenario if I don’t find the right partners we’re going to be okay. It’s just going to take longer and it’s going to be harder. But going in with that confidence allowed me to say, who do I want as a partner.”30:18 You need to be master of your own destiny.30:45 Cash flow is a real thing.32:00 “I was looking for people who were going to be hard on us, and beat us up a little bit. Because I want to build a really strong business.”32:31 Growth and inefficiencies. “It’s not about the number, it’s about methodically looking at the plan.”34:50 Raising money. ‘It’s harder to build something from $0 to $10M, it’s a lot easier from $10M to $50M.’

Comments (Archived):

Bryce T. Sep 10, 2019

Desperation Breeds Inspiration, Ariane Goldman, Hatch, #113“Having the wisdom of growing the business on my own. I know what it’s like not to feel rich and have money. So worst-case scenario if I don’t find the right partners we’re going to be okay. It’s just going to take longer and it’s going to be harder. But going in with that confidence allowed me to say, who do I want as a partner.”0:45 What was the thought process behind Hatch? What’s so interesting about you, you did this on your own, you built this business with your own flesh and blood. “I was my own consumer looking for something. I was marrying the business side and fashion side…I had money to spend and there was no one that was going to take it. That’s when the light bulb went off.”1:48 How many years ago was that? And what were you doing before? Grew up where? Where did you go to school?-8 years ago-Grew up in the city, 88th street-Both parents entrepreneurs-University of Michigan undergraduate business program2:49 What did you do first out of college? Worked at American Express working way up corporate ladder. Loved working there. Beautiful place to work. Around really great people. Compel you to learn different things.Was seeking some safety, wanted to know paycheck was coming in. Opposite of entrepreneurial parents.3:52 “I was really enjoying my life, but I wasn’t necessarily being the most of me.”4:10 “But then I fell in love with a creative. (Asked) can you finally do something Ariane that’s really you that can show what you’ve got to offer because you’re special.” “I know that I can make things happen, because I come from a world of it.”4:36 Went to Parsons at night to try and cultivate these creative juices4:44 After being proposed to, realized that the bridesmaid and dress situation was brutal. Took vintage dress and went to pattern maker, “let’s make this dress for my bridesmaids with the consistency I’m looking for, but one dress that wraps all these different ways so they all can have their individual styles.”5:23 “I knew that I was on to something because nobody had solved the bridesmaid situation of wearing a dress again after you get married. Why do you have your girls invest in something that’s finite and disposable.”6:17 It became a side hustle, while at AMEX, helping these brides as word of mouth spread after the wedding.6:55 One of the girls she was dressing for a wedding was a publicist from the Martha Stewart show, from there the phone didn’t stop, resulting in leaving AMEX.7:30 Being a first mover.8:05 “It’s the most golden business model – you’re paid up front, for every person you market to you sell five dresses, you have 12 weeks to deliver, no inventory, no returns.”10:10 Four years into Twobirds, got pregnant. “Nobody was heeding what I needed. That’s when I decided, based on success of Twobirds, that if I can do it in that category, here we go again. Why I don’t just follow the women through my journey for things that I need that nobody is getting us.”10:40 Launched Hatch13:07 How did you start selling to consumers? “I was under the idea that if you build this they will come, well I was totally wrong. For the first couple of months it was crickets, and it was super scary.”13:50 Writer from the style section of NYT said they wanted to write a piece on Hatch.14:30 ‘You started to sell more product and so did you keep putting money back into the business? Because you grew this by yourself. So no venture capital, you didn’t do any of that. You literally were what your parents were. Which was hard working, entrepreneurial family.’“Brick by brick, dress by dress.”15:18 “I’ve been obsessed with profits. I only know how to run a business that you’re making more money than you’re spending.”16:00 Running the business. “Was doing it all.”17:07 Did you ever take a salary?17:30 “Make sure that you ask yourself what you want out of the business.”18:39 ‘After all these years, what was the aha, I’ve now built this business, and I need to think about if I put this much amount of money into this business the ROI would be unbelievable, maybe I should go out and raise some capital…?”“It wasn’t about the dollars that was the catalyst for me, it was about the help.”“I’m an entrepreneur. I had ideas. And I take ideas and I make them into things that look beautiful that women can relate to. That doesn’t necessarily mean that I’m great at P&L’s. That I’m great at song and dancing investors. I can’t be an ace in all angles of this business, and that’s okay.”20:12 Professional and personal have to be treated separately.21:15 “Whatever insecurity I was facing around money raising, had to do with the fact that I needed help internally in that area.”21:55 Doing the things you are great at and the things that you enjoy.22:20 Found a COO, young woman in 30’s “who’s a badass and changed my life. My wing-woman. She was my best customer before I hired her.”24:24 First area wanted to raise money for was beauty development and then the second was brick and mortar. “I wanted people to scratch and sniff Hatch.”25:20 Raised a $1.7M seed round. “After the first six years of bootstrapping this idea, I had a proof of concept, people believed in me at this point.”26:22 What happened was, both ideas took off. Brick and mortar broke even in six months.27:11 Building a brand. “When you’re building a brand, and just not selling a product, you can believe, you can believe further because we’re building something really cool.”28:13 How did you go about finding the right investors? “We met with everyone.” “Having the wisdom of growing the business on my own. I know what it’s like not to feel rich and have money. So worst-case scenario if I don’t find the right partners we’re going to be okay. It’s just going to take longer and it’s going to be harder. But going in with that confidence allowed me to say, who do I want as a partner.”30:18 You need to be master of your own destiny.30:45 Cash flow is a real thing.32:00 “I was looking for people who were going to be hard on us, and beat us up a little bit. Because I want to build a really strong business.”32:31 Growth and inefficiencies. “It’s not about the number, it’s about methodically looking at the plan.”34:50 Raising money. ‘It’s harder to build something from $0 to $10M, it’s a lot easier from $10M to $50M.’
1. Gotham Gal Sep 10, 2019
  
  thanks Bryce!