The Lia Soap
Stacy Hamalis was burning out. Making over $150,000 a year as a consultant for a global firm, she was constantly traveling between London, Chicago, and Brussels. But the money couldn't buy what she needed: fulfillment. She'd always had an entrepreneurial spirit—it ran in the family—and one moment of clarity changed everything. She noticed the natural skincare market was growing at 10% annually and was expected to hit $22 billion by 2024. People were finally asking what was in their skincare products, just like they'd started questioning their food. That was her opening.
Stacy didn't just quit and hope for the best. She'd been saving for years, building a cushion that could support her fixed expenses for "a few years" thanks to stock shares from her corporate employer. She took the plunge and moved to Greece, where she trained under a retired chemist to learn the secrets of traditional soap making. Her first product was a simple bar soap made with high-quality organic Greek olive oil and natural ingredients—nothing like the chemical-laden, animal-fat-based soaps dominating the market. Production cost her about $2 per bar; she retailed them for $9.
She didn't skimp on packaging. While other soap makers just wrapped their products carelessly, Stacy invested heavily in beautiful packaging and branding. "You need to make it appealing to people," she explains. "You need to invest in a good website and social media." That investment added up fast.
Stacy's first customers came through face-to-face contact in Greece. People could see the product, smell it, touch it. But the real acceleration happened when she moved back to Chicago. "A lot of people didn't want products shipped from Greece," she realized. She started doing local events every month, meeting other businesses interested in wholesale, and building direct relationships. Repeat customers started coming back—not just for the soap, but because it *worked*. By her 12-month mark, she'd made about $10,000 in sales.
Expanding the product line proved critical. In October, Stacy launched body oils retailing for $25 (costing $6 to produce), packed with anti-aging ingredients like rose hip oil. The new SKU immediately boosted sales by 30%. She was now offering customers a complete skincare line: soaps, oils, candles, and body balms. By month 18, she'd crossed $20,000 in revenue across the six-month period—putting her on track for 4x year-over-year growth. She'd sold over 2,000 bars of soap and had 200 body oil units moving, with repeat customers ordering from all over the world: London, Brussels, Greece, the US, Peru.
The lesson she'd learned in consulting proved invaluable: "You have to put money in to make money." Stacy had invested between $50,000-$60,000 of her own equity and inventory into the business. While some might see those early losses as wasteful, she saw them as necessary fuel for growth. Most startups struggle for 2-3 years; The Lia Soap was already profitable and scaling fast.
- •Stacy identified a macro trend (natural skincare growing 10% annually toward $22B) and positioned herself as a premium alternative in an underserved segment, creating natural demand rather than competing on price.
- •By investing heavily in packaging and branding despite low initial sales, she created a perception of quality that justified higher margins ($7 profit per $9 soap) and enabled word-of-mouth growth once customers experienced the product.
- •Moving production to her target market (Chicago) removed a key customer objection ('didn't want products shipped from Greece') and enabled high-touch sales through local events and wholesale relationships that built trust and repeat purchases.
- •Expanding the product line to higher-margin items (body oils at $19 profit per unit vs. $7 for soap) immediately increased revenue by 30% and gave existing customers reasons to spend more, driving 4x year-over-year growth.
- 1.Identify a growing consumer trend with macro tailwinds (search industry reports and market forecasts) and validate that customers actively want a premium alternative before committing significant capital.
- 2.Invest 30-40% of your initial capital into packaging, branding, and a professional online presence before focusing on production scaling, since packaging is your only salesperson during early word-of-mouth phase.
- 3.Locate your business in or relocate to your primary customer market and commit to in-person sales channels (local events, direct wholesale outreach) for the first 12-18 months to remove shipping friction and build relationships that drive repeat purchases.
- 4.Calculate unit economics for each SKU (cost and retail price), then expand your product line to include higher-margin complementary items that existing customers will buy, using the initial product as the acquisition vehicle.
Similar Companies
Zoom
$12.0M/moZoom is a freemium SaaS video conferencing platform founded by Eric Yuan in July 2011 after he left Cisco to build a next-generation collaboration solution. The company has grown to 850,000+ paying customers across individual, SMB, and enterprise segments, generating over $12M in monthly recurring revenue with approximately 100% year-over-year growth. Rather than focusing on customer stickiness or aggressive growth targets, Zoom emphasizes customer happiness and organic word-of-mouth acquisition, which has proven highly effective in driving viral adoption.
Plunge
$10.0M/moPlunge is a hardware company that manufactures and sells at-home cold plunge devices. Founded in 2020 by Ryan Duey and Michael after their brick-and-mortar float therapy and sauna businesses were impacted by COVID, the company grew from $270k in first-year revenue to $120M+ ARR in four years. Their success is driven by influencer gifting, organic word-of-mouth, and highly efficient paid advertising (7-10x ROAS on Facebook and Google).
Active Campaign
$4.2M/moActive Campaign started in 2003 as an on-premise email marketing solution built by Jason Vanderboom to fund his fine arts degree. After 10 years and 8 employees generating a couple million in revenue, he transitioned to a SaaS model starting at $9/month. The company now has over 60,000 customers generating over $50 million annually and employs 330 people, growing primarily through organic adoption, partnerships, and focus on the SMB market despite pressure to move upmarket.
NutriSense
$3.3M/moNutriSense is a direct-to-consumer metabolic health platform that pairs continuous glucose monitoring devices with proprietary software analytics and dietitian coaching. Launched in September 2019 with pre-sales in keto and Oura Ring Facebook groups, the company grew from under $1M MRR a year ago to $3.3M MRR today (3x growth), with 15,000-16,000 active paying customers and 170 employees. The business has raised $32M in funding across multiple rounds since a $250K seed in early 2020.
Batch Products
$2.5M/moBatch Products is a bootstrapped SaaS company founded in 2018 by three co-founders (Evo Dragunov and two partners) that provides five separate data and lead generation platforms for real estate professionals and other industries. Starting with Facebook group outreach and affiliate marketing, they grew to 18,000 customers generating $2.5M in monthly revenue ($30M ARR projected for 2021) with 57% profit margins, all while maintaining 100% ownership and adding 100 employees in six months during 2020.