WEALTH GENERATION
Through Business Venture:
Never has wealth generation been more important. Wealth generation is any method to produce supplementary income or funds which can be a lifeline during tough economic times such as a recession, or for the future, during retirement. Two popular options usually arise when investors think long-term: investing in the stock market or starting a business. Mother-and-daughter NCB customers Charmaine and Jo-ann Morris have taken both routes, respectively.
Last week, we featured Charmaine, who chose to invest to create more wealth for herself. In part II of this feature, I checked in with 30-year-old Jo-ann, the CEO of Rachael Lane, a Jamaican home and body products company. Jo-ann is a graduate of The Caribbean School of Architecture. She also has a strong dance background, having studied ballet and modern dance, even attending summer programmes at Alvin Ailey in New York and Interlochen in Michigan. She was a member of The Company and L’acadco.
Lamar Harris (LH): Can you document the journey that led to your decision to start a business?
Jo-ann Morris (JM): For about a yearand-a-half I had been experimenting with candle making and my mother had been experimenting with soap making. We began gifting the products to friends and family and got good feedback but kept it on a hobby level. Leading up to October 2019, I was facing redundancy and made the decision to transform this hobby into a business and Rachael Lane was born. It was part doing something we’ve never done before and part creating generational wealth that excited me.
LH: Why start business as against investing your money and watching it reap rewards for you?
JM: I did both, actually. I had invested money and I started a business which was also an investment.
LH: Why this particular business?
JM: Soaps are something we come in contact with every day, but not all soap is kind to our skin. Many soaps have added detergent to act as bubbling agents which can leave the dry feeling often associated with being clean. We wanted to create soaps and body products that smell good, are attractive and most importantly, are kind to the skin. We also wanted to create a brand that was so much more than just body products and home fragrance; we wanted to create a brand that would represent Jamaica on the international market.
LH: How long have you started?
JM: We have been making products since early 2018, registered in August of 2019 and started trading shortly after.
LH: Has COVID-19 affected the business? Would you say the present pandemic has been a positive or a negative?
JM: COVID-19 has been both a positive and negative. On one hand, manufactures are having their own challenges, with reduced staffing, etc, which has caused shipping delays and extended lead time on certain items. The positive is many people have been making a conscious effort to shop from small businesses so we’ve had a consistent stream of new persons discovering Rachael Lane. Also, there are now many free resources (trainings and webinars) now accessible to business owners.
LH: What were the steps taken to establish the business?
JM: Soap making and candle making both involve a lot of testing unless you’re buying a private label. As a result, research and development took a substantial amount of effort. We also wanted to create a brand and so developing the aesthetics of Rachael Lane was also something that we focussed on. In addition to the creative aspects which are my favourite, we had to address the administrative aspects such as business registration, setting up the systems that would allow us to track expenses and product costing.
LH: What would you say is the growth outlook?
JM: Our goal has always been to get Rachael Lane on the international scene, and so that is something we are working towards. Long-term, the goal is to have a group of companies aligned with our creative outlets and values including but not limited to homeware and décor, home fragrance and skincare. I would love to be able to work with children who are more technically inclined.
Having a skill is an incredible advantage but often there is a limiting belief as to how these skills can be honed and how creative and technical can be intertwined.
LH: Would you have done anything differently?
JM: No regrets, each mishap or mistake has been a life lesson. I’ve learned that you need to take care of yourself; it’s very easy to lose yourself in the business. That may be taking time off, or doing something else that you enjoy to distract your mind. One of the things I would do differently is to work smarter and not necessarily harder.
Sometimes things are as hard as we make them and there were times when we were consumed with tiny details that did not impact the bigger picture.
LH: What are the highs and lows of female entrepreneurship?
JM: Getting information from some agencies has been a real challenge. I have met wonderful individuals along the way, but I think if we as a country are really serious about building our economy, the entire ecosystem designed to help micro and small businesses needs to function as a whole and not in silos as they now do. Sometimes it is like speaking to government agencies from different countries and not that they are all in one Jamaican Government.
The same energy put into facilitating importation of goods needs to be placed on making exports more accessible for small businesses, eg the high cost of shipping and other fees in shipping personal products. Having executive control has been fulfilling, seeing our visions come to life and knowing that the rewards are ours is a feeling like none other. I have been lucky enough to find a small tribe of fellow female entrepreneurs who have been nothing but supportive which shows that women can support each other and that we can celebrate each other’s success.
LH: How would you encourage any woman thinking about investing today, especially in this prevailing atmosphere of uncertainty brought on by COVID-19?
JM: I’d say not to put all your eggs in one basket. COVID-19 has shown us that in a split second life can change. Now, more than ever, women need to think how they can be financially stable and not be completely dependent on one source of income. Do your research and see what’s right for you. Talk to people who have the knowledge and experience and who can guide you.