Earlier this month, we had an exciting new merger with one of Canada’s Black-Owned Cosmetics businesses Felicheeta Artistry and it has been a full month of building a community that inspires, and elevates our community through the power of make-up. First of all, we would like to take this opportunity to personally and publicly thank you Felicheeta Artistry for believing in us and our brand from the beginning. They saw our vision and set forth a plan to have our part of their store and community. Felicheeta Artistry exudes empowerment, intelligence and grace. Their beliefs in the power of togetherness and sharing resources will set people on a road for success. So, from our Rich Flower Lashes team, we are grateful for this opportunity!
The store launch event was an incredible experience and we would like to thank everyone who took the time to come celebrate with us. We are forever in debt to you all. We have so much in store for you all! As you may know, Rich Flower Lashes was birth with the simple idea that choice matters. We are all unique and we wanted to provide you all with a brand where you will find a lash that will suit your personality, individuality and character. We believe we are beautiful, strong and precious as flowers. With Rich Flower Lashes you can customize your bundles to ensure that you get the lashes that you want. Our 20 styles will give you that choice you crave. The Felicheeta Artistry brand is rooted in community, unity, empowerment and their brand focus on providing a space where people can thrive, it was the perfect union to embark on.
Going on to the topic of the day, this blog post is focused on the importance of mergers and how they can be a vessel for success to any business. Typically, mergers occur when two businesses join forces to create a unified company. A merger can ranger from a small business joining a large conglomerate or when two large businesses become one for financial gain in the market. Merging with another company can help you penetrate a new market, fulfil customer needs, capital on key personnel and boost your financial power. Each business would need to decide which merger will be beneficial for their business.
Penetrating a new market is one of the first steps to ensure that your businesses have the potential to succeed. Successful businesses have identified a need in a market and they need to fulfill that need. A similar business that wants to build its market share benefit in a merger. Penetrating a new market includes gaining a new geographical area or a specific niche in an industry. For example, a sandwich shop might merge with another sandwich shop in a neighbouring town to establish a chain and to build a larger brand. Our merger with Felicheeta Artistry Beauty is another example of us expanding our market presence and also providing the store with another brand to add to their arsenal. The merger will provide both businesses with the opportunity to acquire new clients and build more trust in the brand.
Another reason for a merger could be allowing your clients to have your products and services easily available. Being able to fulfill consumers’ needs is one of the foundations of a profitable business. Business leaders and owners always need to consider the consumer’s experience with the company and its products or services. A merger should function to better serve the existing customer base of the companies. For example, many banks have merged with investment services companies to broaden the financial services available to customers. You can use that same formula for your businesses. This type of merger takes companies that target the same clients but offer non-competing services, giving customers a one-stop-shopping experience with credible services.
The next factor that will allow a business merger to succeed would be product development. Product development can be expensive and risky. In a merger scenario, the larger company should have a higher valuation and be better positioned to develop new products. This is common in the pharmaceutical industry where small start-ups developing one or two new products are unable to fund research, testing and regulatory compliance over extended time frames. By merging, the smaller company benefits from the research and finances of the larger company to continue to develop new items. The larger company benefits from getting developed products that have already met the desired level of success.
The fourth reason for a merger could be acquiring the proper personnel. Two companies might merge so that they get the benefit of the leadership of key individuals in the company. Merging with another company that understands how to capitalize on growing success gives the smaller company the ability to grow successfully and to continue to deliver products without problems.
The most critical factor as to why the business merger is to improve their financial power. When companies grow, they can benefit from the economy of scale, meaning the cost to produce and distribute the same item reduces as the market share increases. Additionally, as companies merge, overall revenues increase, making the end company much stronger financially to obtain credit, investors and strategic alliances.
A major requirement for business loans is revenue thus the higher revenue resulting from the merger creates a positive cash flow and credit scenario for companies. This allows the merged company to grow faster with capital investment for development, marketing and talent.
We hope that you enjoyed this blog and it provided you with a better insight into the benefits of merging with another business. We just want to let you know our process of merging with Felicheeta Artistry as we consider you family!
As a benefit of this merger, you can now find our lashes at Felicheeta Artistry store in Winnipeg! So if you are in the Winnipeg area, stop by and pick up a pair. Of course, you can always shop online on our website.
More pictures from our launch
