For Lisa Price, it was a bad time to get sick. Her fledgling skin- and hair-care business, Carol’s Daughter, was preparing for a surge in Valentine’s Day sales. But instead of ramping up, everything came to a halt while Price was in bed with the flu for two weeks. That’s when she realized that her hands-on management style was a problem.
“I never let anyone else make the products because I didn’t want them to get my recipes,” says Price. “But I realized that I couldn’t work like this anymore. I had to let go.”
Price had started cooking up fragrances and lotions in her Brooklyn kitchen in the early ’90s. She wanted something unique, not something that made her smell “like the department store shelf. I found books that gave the basic guidelines for balancing volatile notes with grounding notes,” she says. “I tried different ingredients, and I wrote them down as I worked so if I got a recipe right, I could reproduce it.”
It was Price’s mother, Carol, who urged her to turn her hobby into a business. Price took her Body Butter moisturizer and fragrance oils to a church flea market and sold everything. For the next nine years, her apartment was packed with jars, labels, baskets, and helpers.
By day, Price worked as a writer’s assistant on The Cosby Show. By night, she created new products. Price’s husband, Gordon, helped out at street markets and fairs; her cousin Michael handled logistics and customer service.
Price, who left TV in 1996, underestimated how fast the word would spread. When Essence magazine told her story, she returned from the hospital after the birth of her second son, Ennis, to find her voice mail overflowing. “My mailing list went from 2,000 to 5,000 in two days.”
“The changes weren’t easy,” Price says. “But my mom always said, ‘You can’t block the blessing. You have to figure out how to manage it.’ ”
Price opened her first store, in the Fort Greene neighborhood of Brooklyn, in 1999. Three years later, she finally moved production out of her kitchen and into a warehouse. But while she kept coming up with new products-Almond Cookie Shea Soufflé moisturizer, Jamaican Punch Sea Salt Scrub, Black Vanilla hair conditioner—she struggled to keep up with the bills and payroll. She needed more expertise than her family could provide. “This was as much as I could do without capital,” says Price. “But who wouldn’t be afraid? You meet people interested in investing, but many don’t have your best interests at heart.”
Steve Stoute, a well-known marketer, was different. “He understood what I had done,” says Price, and he offered to invest in the company.
Stoute brought professional advice and connections—endorsements from Mary J Blige, Jada Pinkett Smith, and Will Smith. But Price worried about working with people who weren’t family. “I felt like I couldn’t make mistakes because it wasn’t my cousin now—it was someone who didn’t know me. It took a lot of faith to let go.”
That faith paid off when Stoute brokered deals that placed Carol’s Daughter in Dillard’s, Sephora, and Macy’s and on HSN, the home-shopping channel. The company is now a multimillion-dollar business, with seven stores and 85 employees.
“I want Carol’s Daughter to accomplish what Madam C. J. Walker wasn’t able to do,” says Price. “We know she started a beauty company, she was the first woman millionaire, and she happened to be African American. But you can’t buy any of her products today. Forty years from now, I want people to be able to purchase Carol’s Daughter Peppermint Foot Lotion. That’s my big dream.”
Is your job getting easier or harder now that you’ve got investors?
I can see the light at the end of the tunnel. Now we have systems, processes, a plan. There aren’t so many bumps in the road. We can be creative and less reactive.
What is the smartest thing you’ve done while running the company?
Getting out of my own way. That, and understanding that it’s not all about me. I had to learn when to let others take control, even if they did things differently. Eventually I realized that if I needed to, I could always take back the control.
Who are your customers?
African American women, but since we expanded distribution, we’ve been able to reach a broader audience. Except for a few hair products that might be too heavy, most products—lip gloss, massage oils, lotions, men’s and women’s fragrances—are for everyone.
What is the biggest mistake you’ve made?
Trusting someone else’s opinion over my gut. I trusted they knew what they were talking about because they had a degree or had been in the field longer than I. They were wrong.
My gut was right.
What does money mean to you?
Money makes things a little bit easier a lot of the time. It doesn’t solve all problems, but it isn’t the root of all evil either.
Do you miss the kitchen action?
I don’t miss it so much now, because I get to be creative in other ways. I’m writing blogs and introductions for brochures. I’m helping to create the decor for our new office space. And I’m working on the packaging for a holiday fragrance.
What was your most traumatic moment?
Probably the first time I went on HSN. It’s live. I was deathly afraid of selling on camera. I had this horrible fear that the phones wouldn’t ring and I wouldn’t sell a thing. But I went, and I sold out.