the 25 most innovative consumer and retail brands _ entrepreneur

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TODAY'S MOST READ INNOVATION 26 min read The 25 Most Innovative Consumer and Retail Brands No Matter What You're Selling, This Strategy Should Do the Trick 1 When Should a CEO Get Involved in Day-to-Day Details? 140 218 136 + Comment JULY 29, 2014 While we often hear about innovations in technology, we hear less about innovations in the consumer industry. Why? It comprises more than 20 percent of the U.S. economy, and touches nearly every aspect of our lives, influencing what we eat, wear, and increasingly, reflecting what we believe. (I believe in sustainability, therefore I buy from sustainable brands.) Good companies create products. Great companies create identities. We work with consumer companies day in and day out at CircleUp -- we've reviewed more than 4,500 in the past two years alone -- and we're excited to share some of the amazing things they're doing, from pioneering new categories to re-imagining new industries. Last year we scoured the country for these great consumer companies and selected 25 of the most innovative. We’re at it again this year, and excited to present 2014’s CircleUp25. How we chose. First, the ground rules. Companies had to be privately-held to be nominated. (Nothing against publicly-traded companies, it’s just that our domain is in the private markets.) To avoid bias, we also excluded from consideration companies CircleUp has worked with in the past or is RYAN CALDBECK CONTRIBUTOR Founder and CEO, CircleUp RYAN CALDBECK Latest Top 50 How To Lists SUBSCRIBE $1 an issue The 25 Most Innovative Consumer and Retail Brands | Entrepreneur.com http://www.entrepreneur.com/article/235945 1 of 28 7/30/2014 11:16 AM

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The 25 Most Innovative Consumer and Retail Brands _ Entrepreneur

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TODAY'S MOST READ

INNOVATION

� 26 min read

The 25 Most Innovative Consumerand Retail Brands

No Matter What You're Selling,

This Strategy Should Do theTrick

1

When Should a CEO

Get Involved in

Day-to-Day Details?

140� 218� 136� + � �Comment�

JULY 29, 2014

While we often hear about innovations in

technology, we hear less about innovations in

the consumer industry. Why? It comprises

more than 20 percent of the U.S. economy,

and touches nearly every aspect of our lives,

influencing what we eat, wear,

and increasingly, reflecting what we believe. (I

believe in sustainability, therefore I buy from

sustainable brands.)

Good companies create products. Great

companies create identities. We work with

consumer companies day in and day out

at CircleUp -- we've reviewed more than 4,500

in the past two years alone -- and we're

excited to share some of the amazing things

they're doing, from pioneering new categories

to re-imagining new industries.

Last year we scoured the country for these

great consumer companies and selected 25 of

the most innovative. We’re at it again this year,

and excited to present 2014’s CircleUp25.

How we chose. First, the ground rules.

Companies had to be privately-held to be

nominated. (Nothing against publicly-traded

companies, it’s just that our domain is in the

private markets.) To avoid bias, we also

excluded from consideration companies

CircleUp has worked with in the past or is

RYAN CALDBECKCONTRIBUTOR

Founder and CEO,

CircleUp

� � �

RYAN CALDBECK

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1 of 28 7/30/2014 11:16 AM

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Who Are the 25 Most

Innovative Consumer

Companies?

Why Startups Should

Still Care About

Things That Don't

Scale

Related: Entrepreneur's 100 Brilliant

Companies

We then curated a global network of experts

and asked for nominations. Our network

included consumer private equity firms and

leading consumer investment bankers;

consumer trade publications; national retailers

with access to their own proprietary data;

successful consumer entrepreneurs;

third-party data providers analyzing industry

trends; and consumer angel investors.

After receiving more than 200 expert

nominations we got to work selecting the

winners -- 25 of the most innovative consumer

product and retail companies in the world. We

included both small companies and large --

because neither has a monopoly on

innovation.

We also wanted to hear from consumers, so

we asked fans to vote for their favorite brands

on Facebook and Twitter. Based on the tallied

results we selected five Fans’ Choice Awards.

Without further ado, we’re thrilled to present 2014’s CircleUp25

winners!

Shake Shack

RYAN CALDBECK

RYAN CALDBECK

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Image credit: Shake Shack

Why? For dispelling the belief that fast food has to be

pre-cooked.

Who? Danny Meyer’s Union Square Hospitality Group (USHG)

delighted the masses with a hot dog stand at Madison Square

Park Conservatory’s art installation from 2001 to 2003. In

2004, it won the bid for a permanent kiosk in the park, and

Shake Shack was born.

What they’ve built? From its humble beginnings, Shake Shack

emerged as a neighborhood fixture. It has since brought their

burgers to the rest of the world with 13 international stores

across four countries. The chain doubled in size in 2013 alone,

and opened its 47th location this June. Barely a blip on

McDonald’s radar today, but it’s worth recalling Chipotle’s rise

from fewer than 20 locations in 1998 to more than 1,500 a

decade later. Leading consumer private equity firm, Alliance

Consumer Growth, invested in Shake Shack in early 2013,

saying, “No restaurant is more innovative or game changing.”

Keeping an eye out for you. To help New Yorkers plan their

daily burger schedule, the Shack Cam vigilantly watches over

absurdly long lines at the original Madison Square Park

location. Pro-tip: skip the the lines at Madison Square and stop

by the Upper East Side location. Enjoy your burger (and the

much shorter lines) outside the American Museum of Natural

History.

Blue Buffalo

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Image credit: Blue Buffalo

Why? For setting a new standard in healthy dog and cat food.

Who? Bill and Jackie Bishop took a serious interest in pet

nutrition after their large and loyal dog, named Blue, suffered

from several health problems.

What they’ve built? After meeting with several leading experts

in canine and feline nutrition, Blue Buffalo rolled out BLUE dog

and cat foods. All BLUE pet foods contain LifeSource Bits, a

precise blend of vitamins, minerals and antioxidants that help

support pets’ immune systems. Industry insiders estimate the

brand’s sales at north of $600 million -- and its growing into a

category big brands have a roaring appetite for. (2013

CircleUp25 winner Zuke’s, another pet food company, was

acquired by Nestlé earlier this year.)

The Rescue Waggin’. Blue Buffalo is a proud supporter of the

Petsmart Rescue Waggin', an initiative that’s led to the rescue

and adoption of more than 65,000 dogs.

Corsair Distillery

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Image credit: Corsair Distillery

Why? For defining a new standard of quality and taste with its

small batch, ultra-premium whiskey.

Who? Childhood friends Darek Bell, Andrew Webber and Amy

Lee Bell began homebrewing out of their garage. They started

with beer and wine but after trouble with a prototype

bio-diesel plant, they decided to give whiskey a try. And

whiskey they made. Lots of it.

What they’ve built? Makers of whiskey, absinthe, gin, vanilla

bean vodka and spiced rum, the Tennessee distillery recently

took home the “American Craft Distiller of the Year,” award at

the annual Wizards of Whisky, with its signature Nashville

Bourbon and Quinoa Whiskey claiming gold medals.

The company is primed for growth: domestic sales of bourbon

and Tennessee whiskey grew 10.2 percent in 2012 to $2.4

billion. (Think about that: there aren’t that many markets as old

as whiskey growing 10 percent per year.) Not to mention

international opportunities: exports of whiskey are growing at

a torrid pace and passed the $1 billion mark for the first time in

2013, according to the Distilled Spirits Council (DISCUS).

Everlane

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Image credit: Everlane

Why? For promoting radical transparency in its manufacturing

standards and helping cement social good as a value for

startup clothing companies.

Who? Michael Preysman, 25 at the time, left a career in private

equity to start Everlane in the fall of 2010. The impetus? His

love for quality and simplicity -- and frustration with the lack of

innovation in retail.

What they’ve built? A sophisticated brand that’s gaining

traction among celebrities and college students alike for its

high-quality, affordable basics. And lest we forget, insanely

comfortable sandals. Since raising $1 million from consumer-

focused venture capital firms Maveron and betaworks and a

host of individual angel investors, Everlane has grown to more

than 400,000 active members. More investors may want in

(desperately), but Everlane hasn’t had it -- opting instead for

organic growth over the monster follow-on rounds common

amongst its ecommerce peers. Maveron’s Jason Stoffer shared

their motivation for investing: “Michael Preysmann is a special

entrepreneur who is building a brand perfectly suited to this

next generation of shoppers.”

Picture perfect. Everlane’s clean lines and minimalistic

aesthetic is an Instagram darling -- IG masters such as

@alice_gao, @emmatheyellow and @cloudsandcoffee are

often found hobnobbing the brand.

Poler

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Image credit: Poler

Why? For supplying and clothing the explorer in all of us.

Who? Portland-native Benji Wagner founded Poler out of his

garage to make accessible outdoor gear for the everyday

adventurer. Less Bear Grylls, more couchsurfers and

road-trippers.

What they’ve built? A camping and travel gear brand aimed at

urban-based adventurers. Launching in 2011 with a debut line

of tents, T-shirts and bags, it’s continued to grow through

creative product design, beautiful storytelling and strategic

partnerships, including a design collaboration with Nike and a

distribution deal with Urban Outfitters.

Cult following. Customers obsess over the company’s

wearable sleeping bag (it's exactly what it sounds like. Check it

out.). We’re convinced anyone who ever lays eyes on one will

want one -- immediately (seriously).

Patagonia

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Image credit: Patagonia

Why? For innovation that results in extraordinary brand

loyalty.

Who? Founder Yvon Chouinard has always strived to

communicate his passion for the natural world into his line of

technical, rugged outdoor clothing.

What they’ve built? A global apparel brand that’s proving

profits and purpose can, and should, align. Founded in 1973,

the iconic brand may be more mature than its younger

upstarts, but tired it is not. Between 2008 and 2013 profits

more than tripled as revenues surpassed $600 million. Most

brands that get to that level just rest -- Patagonia

doesn’t. Growing through a recession is easier when

customers love who you are and what you stand for, not just

what you make. It’s one reason many of its larger competitors

are jealous of the extreme brand loyalty Patagonia commands.

Not your typical boardroom. The 75-year old Chouinard, a

true renaissance man, surfs, climbs, kayaks, fly-fishes and

falcons between board meetings.

Tory Burch

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Image credit: Tory Burch

Why? For weaving sensibility into style, and never letting

growth compromise authenticity.

Who? Tory Burch worked for many of the world’s most

influential designers, including Ralph Lauren and Vera Wang,

before starting her eponymous brand in 2004. A CEO,

designer, philanthropist and mother, Forbes ranked Burch as

the 79th most powerful woman in the world in 2014.

What they’ve built? A tech-forward, boho-chic empire of

versatile and fashionable women’s accessories and apparel

with high-profile clientele. From its single store nestled away

in Manhattan’s Nolita neighborhood, Tory Burch has grown to

more than 120 freestanding boutiques, and can be found

across more than 3,000 department and specialty stores

globally. The brand has diversified into many new product

categories, including eyewear through a partnership with

Luxottica, fragrances through collaboration with Estée Lauder,

and on deck are timepieces with Fossil in 2014.

Giving back. Elizabeth Street Capital, an initiative within

Burch’s foundation, provides low-interest loans, networking

opportunities and mentoring to female entrepreneurs.

Blue Bottle Coffee

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Image credit: Blue Bottle Coffee

Why? For attempting to upend Starbucks’ market domination

by choosing quality over quantity, with no compromises.

Who? Model Californian James Freeman -- freelance musician

and coffee fanatic -- longed for a time before peppermint

spiced lattes and caffeinated milkshakes. He vowed to make,

serve and sell only real, fresh-roasted coffee, serving his first

cups of Blue Bottle out of a kiosk in 2005. Freeman was joined

by Bryan Meehan in 2012, the entrepreneur behind Fresh &

Wild, a chain of organic markets that sold to Whole Foods.

What they’ve built? Arguably the most recognizable cup in

San Francisco’s coffee-congested culture. The now bi-coastal

Oakland-based roasters bleed their beans no more than 48

hours after roasting. Raising $25.75 million in January this year

from an eclectic group of investors including Google Ventures

and Tony Hawk (on top of $19.7 million raised in 2012), the

company is flush with cash and primed to grow. It recently

expanded into Los Angeles with the acquisition of L.A.’s

Handsome Coffee Roasters, and its acquisition of the coffee

subscription service Tonx brings it one step closer to

distributing premium Blue Bottle coffee to anyone, anywhere.

Pressed Juicery

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Image credit: Pressed Juicery

Why? For cutting through the confusion and condescension of

health trends.

Who? Co-founders Carly Brien, Hayden Slater and Hedi Gores

started Pressed Juicery in 2010 out of a 22-square-foot L.A.

storefront.

What they’ve built? A dynamic online and offline brand that’s

now distributing its subscription-based juicing program

nationwide. With 19 real-world locations (at the time of this

writing) and a bustling ecommerce operation, it’s attacking the

“cold-crafted” juice and smoothie category, a growing market

that Starbucks recently sized up at $3.4 billion.

Speaking of Starbucks. Juicing is here to stay. Starbucks

validated the category and went all in with its purchase of

Evolution Fresh for $30 million in 2011, with plans to

aggressively grow Evolution locations nationwide.

FitBit

Image credit: Fitbit

Why? For leading the small but growing wearables market,

and getting office workers everywhere to ask, “What’s your

number?”

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design before being able to ship a product at the end of 2009.

What they’ve built? A collection of wearable fitness bands

that measure everything from steps taken, calories burned to

sleep quality. FitBits range from $60 to $130. The genius isn’t

just in the product, but the subscription. Customers pay $50 a

year to view and manage key health metrics. Research firm

Canalys estimated FitBit owned 50 percent of the wearables

market in early 2014 -- predicting the smart-band category will

grow from 8 million units in 2014 to more than 47 million by

2017. Wearables may take some time to hit their stride, but it

will be a major market. And few are better positioned than

FitBit.

TRX

Image credit: TRX

Why? For re-imagining how, where and why we workout.

Who? Founder Randy Hetrick, a 14-year Navy Seal veteran and

Stanford MBA, began developing the Total Resistance

eXercises as early as the 1990s, but didn’t begin marketing the

product until 2005.

What they’ve built? TRX has designed one of the most

versatile pieces of exercise equipment in the world. Its flagship

product, a suspension workout system, is decidedly simple,

and leverages gravity to deliver full-body workouts anytime,

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hundreds of workouts for everything from high-intensity

strength training to injury rehabilitation. In an industry

notorious for fads, TRX has not only stayed relevant, but also

helped lead the market.

Work hard, play hard. TRX hosts four exercise classes every

day for employees.

Flywheel

Image credit: Flywheel

Why? For making indoor cycling epic.

Who? Ruth Zuckerman opened one of the first exclusive

indoor cycling studios in New York City before teaming up

with Jay Galluzzo to co-found Flywheel in 2010.

What they’ve built? Flywheel is one of the fastest growing

fitness concepts in the country. Since opening its first location

four years ago, it’s grown to 25 studios. According to

investment bank Piper Jaffray & Co, fitness studios are the

fastest growing segment of the U.S. health-club industry,

growing more than 450 percent a year since 2010. The

company has heavily invested in technology to elevate the

Flywheel experience. Its TorqBoard technology powers

in-studio displays that measure riders' real-time performance

data. Riders can access their individualized and relative data

online or through the company’s mobile app.

Hello, world. Flywheel has global ambitions and recently

opened its first international studio in Dubai.

NatureBox

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Image credit: NatureBox

Why? For marrying food with tech to make healthy eating

easy, affordable and delicious.

Who? Meeting during undergraduate studies at Babson

College, Kenneth Chen and Gautam Gupta re-united after

careers in financial services to found NatureBox in early 2012.

What they’ve built? Naturebox is an online service that

home-delivers an assortment of healthy snacks to consumers

on a monthly basis. With more than 100 unique products, it

ships to all 50 states (and Canada) and are attacking the $64

billion snack-food category. Coming off an $18 million Series B

led by Canaan Partners, the company aims to double its

deliveries to 3 million boxes in 2014, priced between $20 to

$50 each. Talk about breakneck growth: hitting its goal will

clock growth at an astounding 5,900 percent over 2012, when

it delivered its first 50,000 boxes.

Do good by doing well. For every box it delivers, NatureBox

donates one meal through Feeding America.

Related: Innovation: Small Businesses Live It, Big Businesses Buy It

ThinkThin

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Image credit: ThinkThin

Why? For fueling a healthy, energetic lifestyle, and making it

taste darn good too!

Who? Mother of two Lizanne Falsetto founded ThinkThin to

fulfill her desire for easy and nutritious food on the go.

What they’ve built? Denouncing refined sugars, ThinkThin

makes gluten-free protein bars in a variety of decadent flavors.

Forbes estimated the company’s revenue at more than $70

million in 2012. With the snack-bar category alone sized at

$5.9 billion by Euromonitor, it has enormous room to grow.

The snack and protein bar market is crowded, but also

massive, and has seen few products that are truly nutritious

and good tasting. Falsetto and her financial backers, TSG

Consumer Partners, have broader ambitions, however. Expect

to see expansion well beyond protein bars.

Viva Italia. Falsetto grew up in a large Italian family and spent

her early years in Seattle before setting out on a 14-year

international modeling career. She began tinkering with

recipes when she returned to the states, and found her first

corporate buyer for ThinkThin at Trader Joe’s in 1999.

Hampton Creek

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Image credit: Hampton Creek

Why? For asking, “Why not?”, and innovating a fundamentally

new way of food production that’s better for humans and

animals alike

Who? Friends Joshua Tetrick and Josh Balk founded Hampton

Creek in 2011. Coincidentally, each had promising collegial

athletic careers prematurely ended by injury.

What they’ve built? Hampton Creek is a food company with

the mission of developing new plant-based foods that are less

expensive, healthier and more sustainable industrial-

production alternatives. It’s currently selling its first two

products -- Just Mayo and Just Cookies -- through many of the

country’s largest retailers, including Costco and Safeway, and

recently struck partnerships with Krogers and Amazon.

The future of food. Bill Gates listed Hampton Creek as one of

the three most exciting companies in the world that are

pioneering the future of food. Gates isn’t the only billionaire

crazy about Hampton Creek -- Asia’s wealthiest man, Li

Ka-Shing, led the company’s latest $23 million financing.

Justin's

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Image credit: Justin's

Why? For never compromising on quality, and mixing

community and sustainability into every product it makes.

Who? Leggo my … peanut butter! Yearning for an alternative to

sugary energy gel packs, Founder Justin Gold began making

his nut butter in 2002. His roommates couldn’t keep their

hands off it so he started writing labels on his nut butter. His

scribbled signature lives on as the company’s logo.

What they’ve built? A local farmer’s market in Boulder

welcomed Justin’s first sales. The company’s 12 employees

now manage 12 varieties of nut butters as well as dark and

milk-chocolate peanut butter cups. Sales were last reported at

nearly $20 million in 2012, up from $2.9 million just three

years prior. Sustainability is at the heart of the company’s

mission. Its line of nut butters uses 100 percent post-consumer

recycled plastic, and it sources ingredients exclusively from

organic farms.

Full speed ahead. Justin’s sold a minority stake in the

company last October to California-based private equity firm,

VMG Partners. Justin’s joins other high-growth consumer

product brands in VMG’s portfolio, including KIND,

BabyGanics and Mighty Leaf Tea.

Aden + Anais

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Image credit: Aden + Anais

Why? For simplifying the lives of parents and caregivers, and

making beautiful products that keep babies safer and more

comfortable.

Who? When Raegan Moya Jones moved to the U.S., she

couldn’t find the muslin swaddles used by mothers across her

native Australia. Pregnant with her first child in 2006, she

decided to be the solution. Partnering with Claudia Schwartz,

Aden + Anais was officially born in 2006.

What they’ve built? Aden + Anais sells infant and

toddler-wear. Its signature muslin products have been widely

acclaimed for improving comfort and breathability. Founded in

Brooklyn, NY, the company’s products can now be found

across thousands of locations in 63 different countries.

The “Kate Middleton” effect. Prince George left the hospital

wearing none other than Aden + Anais’ signature muslin

swaddle blanket. Within a day of fashion bloggers surfacing

the photo, the company’s site came to a grinding halt under

the pressure of skyrocketing traffic. Sales spiked more than

600 percent over the next 10 days.

GoldieBlox

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Image credit: GoldieBlox

Why? For re-imagining toys, and inspiring a new generation of

female engineers.

Who? Engineering was an alien field to founder Debbie

Sterling until a high school teacher recommended she choose

it as a major. She graduated four years later with a degree in

mechanical engineering from Stanford, and set her sights on

the overwhelming gender imbalance in the field -- where

nearly 90 percent of professionals are men. Starting

GoldieBlox in 2012, she hopes to give girls inspiring and

hands-on engineering experiences that she never had.

What they’ve built? GoldieBlox is more than a toy, it’s an

experience. Aimed at girls between the ages of 5 and 9, it

includes a storybook and construction kit. Girls encounter

engineering challenges as they progress through the story

(available as a book or iPhone/iPad app), and are encouraged

to tinker away at creative solutions. The company’s initial sales

were direct-to-consumer. It opened its first major retail doors

with Toys”R”Us in 2013. At last year's Google Zeitgeist, an

invite-only gathering of influencers from around the world,

Sterling’s presentation on Goldieblox received a booming

applause from a captivated room.

Kickstarted. Looking to validate her idea before investing in

production, Sterling launched GoldieBlox’s Kickstarter

campaign in September 2012. She set a goal of $150,000 and

in less than three weeks pledges (mostly in the form of

pre-orders) reached $285,881.

DreamDry

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Image credit: DreamDry

Why? For creating the premiere destination for blowouts in

NYC, helping women make every day glamorous.

Who? Celebrity designer, stylist and editor Rachel Zoe teamed

up with Creative Artists Agency Executive Robin Moraetes to

found DreamDry in 2012.

What they’ve built? Young and growing, DreamDry is an

innovative blow-dry and styling concept. The company

debuted its first location in NYC’s Flatiron neighborhood in

2013 and quickly expanded to a second location in Columbus

Circle. Each location is now doing roughly 4,000 blowouts a

month, up more than 150 percent year over year. Its top

customer is nearing her 300th blowout. While NYC will always

be the company’s home, the founders say, the duo has global

ambitions.

On trend. DreamDry debuts new styles every season. Its latest

creation is the messy and chic “Stevie.”

Too Faced Cosmetics

Image credit: Too Faced Cosmetics

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into the cosmetics industry, Jerrod Blandino and Jeremy

Johnson became the two faces behind Too Faced in 1998.

What they’ve built? A complete line of cosmetics ranging from

shadows and glimmers to foundations and blushes. With

distribution in more than 1,800 stores, the company is

aggressively growing its international presence (500 doors at

last count), and has plans to move into new product

categories.

Bootstrapped. After racking up more than $250,000 in credit

card debt to get the brand off the ground, Blandino and

Johnson brought on Weston Presidio as equity partners to

aggressively scale. Weston Presidio partner, Jeff Mills,

recounted its investment thesis to GCI Magazine: “Too Faced

embodies what we look for in ‘cult’ brands: an extremely loyal

consumer following, a high-quality product and a

differentiated, emotionally connected brand.”

Sweetgreen

Image credit: Sweetgreen

Why? For providing a fusion of tasty food and sustainable

design to those living a healthy lifestyle.

Who? Georgetown alums Nicolas Jammet, Jonathan

Neman and Nathaniel Ru founded Sweetgreen in 2007.

What they’ve built? A farm-to-table salad chain that’s

expanded its fast-casual concept to 25 locations up and down

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Revolution Ventures, late last year to fund its ambition of

becoming the “Chipotle of Salads.”

The sweet life. The founders are also big fans of good music.

In 2010, they debuted the Sweetlife Festival, an annual concert

featuring musical artists such as The Strokes, Kendrick

Lamaar and Avicii.

Asian Box

Image credit: Asian Box

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sustainable ingredients.

Who? FK Restaurants & Hospitality CEO Frank Klein shares an

affinity for freshly prepared Vietnamese cuisine with executive

chef Grace Nguyen. Chad Newton, Klein’s business partner,

joined as culinary director, advancing the Box’s mission of

creating bridges to local farmers and vendors.

What they’ve built? Asian Box is a fast-casual gluten-free

concept serving up authentic Asian street food. “What’s your

Box?” goes the tagline. Menu items start at around $7 and

diners choose from a variety of southeast Asian flavors and

toppings to create a customized “box.” The company has

added three new California locations since opening in Palo

Alto and has plans to open a fifth store in Los Angeles later

this year.

Serena & Lily

Image credit: Serena & Lily

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Who? Coming from different backgrounds, the dynamic duo of

Serena Dugan, a freelance artist, and Lily Kanter, a serial

entrepreneur, came together through the shared vision of

re-imagining the nursery, a vision they brought to life in 2003.

What they’ve built? Serena & Lily designs and sells furniture.

From its first collection of nursery cribs, the company has

expanded its product line to furnish every room in the house.

With a bustling catalogue business reaching more than 1

million households and a strong ecommerce presence, the

company closed a $10 million credit facility with ORIX Ventures

and made its foray into brick and mortar with its first location

in the summer of 2013. The brand doesn’t disclose sales

figures (it's estimated at well over $10 million) but it does say

revenue is growing at more than 70 percent a year.

Adios wholesale. In 2013, the company abandoned wholesale

altogether, going 100 percent direct to consumer. It couldn’t

have been an easy decision. It took them out of more than 650

retail doors, including prime real estate at Bloomingdales. But

the deliberate move positions them to build more direct and

meaningful relationships going forward.

Paper Source

Image credit: Paper Source

Why? For inspiring us to “Do Something Creative Every Day,”

and bringing out the artist in all of us.

Who? Sue Lindstrom traveled the world collecting high-quality

artisanal papers. She began selling them in Chicago in 1983 --

and so began Paper Source.

What they’ve built? Paper Source sells a unique selection of

fine and artisanal papers, invitations and announcements,

personalized and distinctive gifts, gift wrap, greeting cards,

custom stamps and a custom collection of envelope and cards

through its company-owned retail stores.

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to Los Angeles-based private equity firm Brentwood

Associates in 2007. Sales grew more than 25 percent annually

under Brentwood’s ownership to about $110 million before

Brentwood successfully exited its investment in a sale to

Investcorp in 2013. The Bahrain-based alternative-investment

firm intends to triple the retailers’ store count to 250 units

over the next five years.

Ancient Harvest

Image credit: Ancient Harvest

Why? For introducing the U.S. consumer to quinoa and other

innovative ancient grains, way back in 1983.

Who? Current CEO Blake Waltrip joined Ancient Harvest in

2013.

What they’ve built? Residing in Boulder, Colo., Ancient

Harvest (a Quinoa Corporation brand) was the first company to

bring quinoa to the United States. Thirty years later it remains

the premier brand selling organic, non-GMO, Royal Bolivian

quinoa products. The company produces a variety of product

lines: quinoa grain, pastas, flour, flakes, ready-to-eat

polentas and macaroni and cheese. In 2014, the company

launched hot breakfast cereals and flavored side dishes.

For years the company grew modestly and predictably,

fulfilling demand mostly from boutique supermarkets and

health-food stores. That all changed five years ago. The

product it introduced to the U.S. consumer -- low-calorie,

gluten-free and high-protein -- exploded in popularity as

awareness of its health benefits grew. Major retailers came

knocking, and Ancient Harvest has been playing catch up with

demand since.

Prevent Magazine awarded Ancient Harvest with “Best

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Fans’ Choice Award

These five companies received phenomenal support from their fans

online. (These are also companies that we currently do not have a

formal relationship with here at CircleUp.)

1. illuMask. La Lumière, LLC, the company behind illuMask, has

a mission to democratize advanced skin-care technologies for home

use. illuMask is an anti-acne light-therapy mask that uses blue and red

light to fight the bacteria that causes acne. The company has multiple

retail partners, including Walmart, Ulta Beauty and Target.

2. Awake Chocolate. Friends Matt Schnarr, Dan Tzotzis and Adam

Deremo introduced their caffeinated chocolate to Canadian

consumers in August 2012. The company’s Awake chocolate bars are

packed with as much caffeine as a cup of coffee (or a 250ml energy

drink). They sell two flavors -- milk chocolate, or milk chocolate with a

gooey, caramel center -- and come in two varieties, snack-size bites or

bars.

3. Bohemian Guitars. Inspired by the resourcefulness of musicians in

their hometown of Johannesburg, South Africa, brothers Adam and

Shaun Lee began making electric guitars from repurposed oil cans in

2012. A less expensive and unique alternative to traditional guitars,

Bohemian Guitars are now available in both branded and vintage

styles on the company’s website. Bohemian is a repeat winner, taking

home a Fans’ Choice Award in 2013 as well.

4. 41Olive. This company is a young and growing olive oil retail

concept in California. It prides itself in its extensive selection of flavors,

from traditional to exotic, and invites consumers to try before they buy.

Each of the company’s three locations host weekly cooking classes

and demonstrations to educate consumers on the health benefits of

olive oil, and how it can be mixed into their diet in fun, creative and

delicious ways (all for free!). Never be bored in your kitchen again.

5. Tie Society. Tie Society is the “Netflix of ties.” A monthly

subscription service for designer menswear accessories, it was

founded on the belief that looking good should made be easier and

more affordable. Through its website, customers can rent menswear

accessories -- specifically high-quality neckties, pocket squares, tie

bars and cufflinks -- wear them as long as they’d like, and exchange

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Congratulations to all of the winners.

Our process was comprehensive. But with more than 1.4 million

privately-held consumer product and retail companies in the U.S., it’s

likely we missed a few. Let us know who in the comments, and we'll

include them as nominations next year.

Related: 10 of the Most Innovative and Bizarre of the Top 100

Crowdfunded Companies

Innovation Consumer Fashion Food Businesses Retail Businesses

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