Lightspeed Supports Lady Gaga’s Makeup Startup As Beauty Funding Rises

Lady Gaga is known for creating hit songs, and now she also hopes to be successful in the startup world.

The musician is the founder of a new cosmetics company called Haus Beauty, the existence of which was originally discovered by a website called The Blast through trademark filings in May. And now reports have emerged that venture capitalists have taken an interest, with
Lightspeed Venture Partners make an investment in Haus Beauty, by Recode.

The funding comes amid a venture capital boom for US-based makeup and beauty companies. So far in 2018, investors have paid around
$ 464 million in startups in space, according to the PitchBook platform. That’s already more than any other year in the last decade, and we’re just over halfway through 2018. The number of transactions is on track to surpass the total almost every two years as well. :

Lightspeed’s relationship with Haus Beauty is not surprising, given that the startup company focuses on both consumer companies and celebrity-founded startups. Nicole Quinn, the Lightspeed partner who would lead the investment in Haus Beauty, also supported Gwyneth Paltrow’s startup,
Goop, which has an e-commerce component.

Lightspeed’s portfolio also includes
Honest business, Jessica Alba’s direct-to-consumer personal care business. There is also a relationship between The Honest Company and Haus Beauty – the former digital director of the e-commerce company, Ben Jones, would run Haus Beauty operations – although it is not clear whether Lightspeed served as the link.

As the chart above shows, other investors are also entering the beauty and makeup space, especially this year. Among the companies that have provided venture capital funds so far in 2018 are
More shiny, the direct-to-consumer makeup company that raised $ 52 million in February, and
Cosmetics Mentees, a beauty product line for a variety of skin tones that closed a $ 3 million cycle in May.

Aside from Lady Gaga (whose first name is Stefani Germanotta), a few other celebrities have founded makeup companies, although they haven’t necessarily relied on venture capital funding. Kylie Jenner used $ 250,000 of her own money to start Kylie Cosmetics, a move that ensures she is the sole owner of her $ 800 million makeup business, according to Forbes. Rihanna’s Fenty Beauty, which was reportedly launched last year, has also proven to be a success.

Check complete data on investment in the beauty and makeup industry.

Source link

About Nell Love

Nell Love

Check Also

Applications open for the 2021 Better Business Awards

Nominations and submissions for The Adviser’s state awards program, the Better Business Awards 2021, are …

Leave a Reply

Your email address will not be published. Required fields are marked *