In July of this year, Diarrha N’Diaye-Mbaye, founder of beauty brand Ami Colé wrote an op-ed for The Cut, announcing the closure of her brand after only four years in business. Launched online in 2021 with just a lip oil, tinted moisturizer, and a highlighter, the brand quickly amassed financial and social capital, winning the favor of consumers, beauty editors, and celebrities alike. At the end of 2022, Ami Colé was available in Sephora.
However, despite the fast growth, N’Diaye-Mbaye wrote that their “sales wavered,” citing competition with established corporate brands and issues with meeting market demand, or lack thereof. “One week we’d be completely sold out because an influencer mentioned us; the next, we’d be stuck with inventory we couldn’t move,” wrote N’Diaye-Mbaye. In the end, a combination of higher operating costs due to tariffs and a shift in investors’ attitudes, stemming from the massive push for inclusivity following the 2020 Black Lives Matter movement, led to Ami Colé’s closure.
Black-owned businesses have historically struggled against their white counterparts and corporations for a myriad of reasons, including a lack of investment, a lack of access, and racism, to name a few. And Black-owned beauty brands are no different. However, with the federal government waging war against DEI in public life, cultural attitudes in the private sector also changed.
“For me, diversity in beauty isn’t optional—it’s fundamental,” said Tisha Thompson, the Black woman founder of LYS Beauty. “People come with different backgrounds, different skin tones, different concerns, and different stories, so, honestly, how could beauty ever be one-size-fits-all?”
Indeed, the beauty industry has come a long way in terms of inclusivity. Notably, it took a Black woman, Rihanna’s Fenty Beauty, to catalyze the industry into expanding their complexion products beyond the typical two or three dark shades reserved for Black women. And nearly a decade since the brand’s launch back in 2017, there are over 40 Black-owned beauty brands combined on the shelves of Sephora and Ulta, so how is it that Black-founders are still feeling unsupported?
“One of the biggest challenges is just having to constantly prove ourselves or justify why, like our stories, our concerns, and our communities deserve investment,” Sochi Mbadugha, President of Topicals, told Essence Girls United. “As black women, we’re not just consumers, we’re also culture drivers. But yet… the industry often puts us on the sidelines, whether it’s funding or research and development for products.”
According to Vogue Business,Black-founded beauty brands raised just $16 million in 2024, just 5.36 percent of total U.S beauty industry funding. Notably, this is a sharp drop in investment in 2022, where Black-founded beauty brands raised $73 million in 2022. As the U.S economy grows more and more complex and uncertain—especially with tariffs taking effect—investors are anxious to make a return on their investments, causing business ventures for women and BIPOC, who have historically been underfunded, harder to secure the dollars they need.
In contrast to the chronic undervaluing of Black women-owned beauty brands, Black women remain to be the highest demographic of beauty consumption, spending $9.4 million on beauty products in 2023 according to NielsenIQ, with no signs of slowing down. As such, Black women have also been an incredible force in the lucrative world of beauty influencing. Jackie Aina, a long-time social media personality, has worked with brands such as Too Faced in an effort to expand their shade ranges. Darcei Giles (MissDarcei across social media) has spurred K-beauty brands to make their products more inclusive, and Golloria George, a TikTok beauty influencer, brought attention to abysmal makeup products like the darkest shade of Youthforia’s (which announced in August that it’s shuttering its business) foundation that faced widespread criticism, comparing the shade to “tar in a bottle.”
Black-owned beauty brands offer an alternative not just for Black women, but for everyone who is melanated. Brands like LYS Beauty, Topicals, and Juvia’s Place. “Our formulations begin with inclusivity at the core, not as an afterthought,” shared Juvia’s Place founder Chichi Eburu. “Our pigments are bold, rich, and designed to show up beautifully on deeper skin, whether it’s foundation, blush, or eyeshadow.”
Even skincare brands owned by POC like Brownkind and DEAU offer products that are specifically formulated to be more effective on deeper skintones, targeting melanated skin concerns like hyperpigmentation and eczema. Some continue to secure investment, others are entirely self-funded.
Despite the political and economic challenges, there are some organizations that are still investing into Black women. Sephora’s Accelerate incubator program is a launchpad for BIPOC-owned beauty brands to optimize retail support, connect with investors, and gain business mentorship. The Fifteen Percent Pledge is a nonprofit with the mission for retailers to dedicate 15 percent of their shelf space to Black-owned businesses. The website serves as a repository for anyone to find and shop Black-owned brands.
Beauty has long been considered one of the most resilient discretionary categories according to The Business of Fashion, and businesses—large and small— will continue to rely on the bedrock of Black women spending as consumers tighten their budgets. Whether boardrooms and executives recognize Black women as valuable consumers and business partners remains to be seen.