All In The Family At Essential Wholesale

Dennis' family has been involved in the natural foods and toiletries industry since its inception. In 1996, they started a small home-based custom crafts and soap business. At that time, their main customers were friends and family members. With the passage of time, they decided to begin supplying cosmetics bases. They purchased their products from Canada and the United Kingdom but eventually developed their own line to save the international freight costs. Says Dennis, "We pride ourselves on providing bases that are high quality and natural. Our products are generally too costly for small businesses to manufacture on their own."

Essential Wholesale was formally launched in 1998 as a separate division of our parent company. Dennis says that while the company competes with many other companies in the market for raw materials and supplies, "Our cosmetics bases are extremely hard to beat in terms of quality and price. We wish these options were available to us when we started our retail line years ago."

How Essential Wholesale Makes It Work

Essential Wholesale started with no money at all. They printed up a 2-page catalog with their first 8 products and then contacted friends who agreed to host a home party. The home parties were successful and allowed them to buy the supplies they needed to make the products they sold. At first, all of the money was recycled directly back into the business. Today, they are debt free and have accounts in all 50 states, Canada and Europe. Says Dennis, "We did it with no loans, no investors and no savings. Just creative hard work."

Today, Essential Wholesale has a staff formulator who makes all of the products in conjunction with their chemist. Their 25 independent sales consultants work on a commission basis hosting parties in 8 states. Dennis does pretty much everything else. They just acquired a new 30,000 square foot facility with 1,000 gallon and 200 gallon mixing tanks, volumetric filling machines, water filtration systems and more. They plan to hire 2 more employees for the shipping department in the near future so Dennis can spend more of his time on marketing efforts. They also engaged the services of an attorney to "help keep their ducks in a row," says Dennis.

The Good, The Bad & The Joy Of Owning Your Own

Dennis loves being his own boss. He says, "I thoroughly enjoy seeing my family every day. I enjoy the flexibility of setting my own hours and earning income based on my productivity. For example, if I want a raise, I just work harder. I also love the challenge and helping to make other small businesses become successful, self-sustained freedom vehicles for those than want more out of life than a 9 to 5."

While Dennis loves being his own boss, there are some tough parts and it's not all wine and roses. Says Dennis, "Because we did not have the capital to outsource some tasks at the beginning, we were constantly limited in terms of time. At first, my partner/wife and I worked 15 to 20 hours per day, 6 days per week. Recently, her hours have decreased to 40 to 50 hours per week and I work an average of 60 to 80 hours per week. Though we work hard, we would not have change a thing, even if we had a rich relative or angel donor. We believe a business must be taken seriously in order to be successful. Besides, what's one or two years of really hard work to build a truly successful enterprise? This year, my partner will retire permanently at age 33."

"Our business performed better financially during the first quarter of this year than all of last year, and we expect our gross revenue for 2001 to be in the mid six figures. But more importantly, my wife will retire this year. No amount of money can buy that feeling, even if it costs a little to enjoy it. It's a small price to pay ...."

Dennis' Advice To New Handmade Beauty Businesses

According to Dennis, the best thing a new business owner can do is "be mentally and physically prepared for success. Expect to work harder than you ever have at any job, then search your soul to determine whether or not you are really are inclined to be an entrepreneur with all that entails. If so, don't look back for at least a year. Just work, work work ...."

Benefits of HBN Membership

According to Dennis, "HBN is the best launching pad resource for businesses like ours. We have been able to network with other businesses and suppliers and have been able to acquire many new clients that have become the backbone of our business. The Handmade Beauty Connection, HBN's weekly online newsletter, and HBN's Beauty Calls™ are always very informative and we really appreciate HBN for its many positive contributions to the industry."