Business case
Our client, the venture-capital arm of a global cosmetics leader, needed to assess the merits of obtaining a minority stake in a US start-up that offered an API-driven platform for hair salons. They needed a clear view of the opportunity’s strategic fit and financial soundness, bearing in mind that the start-up was already partnering with another member of the cosmetics group.
We provided a clear view of the target’s business model and its value proposition for the main stakeholders on the market. We also identified the main risks and opportunities of such investments and recommended certain actions to mitigate the risks.
We dissected the platform’s business model, mapping revenue streams, operating mechanics and value creation for stylists, distributors and product brands. We led a market study to quantify the addressable salon segment, profile key competitors and gauge adoption potential.