A skincare company that won first place at Black Girl Ventures’ Philadelphia pitch competition is now preparing to grow its product line.
Base Butter took home $10,000 from the pitch competition, which ended Nov. 5, and an additional $3,000 from the competition’s crowdfunding campaign.
The Philadelphia startup created an aloe vera gel-based face moisturizer and anti-bacterial makeup remover formulated for oily, combination and acne-prone skin. Using the money it won from the pitch competition, it is now looking to develop a full line of products including cleansers, serums and body-focused products, Co-founder and CEO She’Neil Johnson-Spence said.
“Our product philosophy is developing formulas that help nourish and protect your skin,” Johnson-Spence said. “And so we're really focused on creating those everyday staples.”
Johnson-Spence started Base Butter in 2015 in New York City after she was laid off from her job at IBM. The Howard University graduate grew up with acne, which took a toll on her confidence throughout high school and college. She sought to make healthier skin an attainable standard for people, no matter their skin type.
She moved the company to Philadelphia in 2017, and its warehouse is based out of the Bok Building in South Philadelphia. Her co-founder, Nicolette Graves, joined the company the same year.
Base Butter is projecting 2021 revenue of about $500,000, which represents 300% year-over-year growth, Johnson-Spence said.
Base Butter is primarily a direct-to-consumer e-commerce startup. It is also working with local retail stores like Marsh + Mane on South Street, as well as with national retailers like Madewell and Urban Outfitters, to sell its products.
The startup will start hiring staff and outsourcing fulfillment in 2022 as it grows.
Base Butter is also considering raising a pre-seed round valued between $500,000 and $1 million beginning in 2022 or 2023, Johnson-Spence said, but it hasn’t landed on a specific fundraising goal yet.
“Pretty much up until now, this has been self-funded and also received a ton of grants. But now going into 2022 and 2023, we are looking at what does our fundraising look like,” she said.
This year was not the first time Base Butter applied for the Black Girl Ventures pitch competition. Johnson-Spence applied just before the pandemic to pitch at South by Southwest in Austin, but the festival was canceled because of Covid-19.
Since its founding, Base Butter participated in several other pitch competitions without winning. After spending years refining its pitch and gaining a group of mentors, the brand's luck began to change.
“Being able to win first place, it really shows all the hard work we put into the business for the past five years and now people are finally able to see that,” Johnson-Spence said.
