<p><img src="https://static3.businessinsider.com/image/60facc48fc25360018200b15-2400/Joycelyn & Rachael small.JPG" border="0" alt="Rachael Twumasi-Corson and her cofounder Joycelyn Mate" data-mce-source="Afrocenchix" data-mce-caption="Rachael Twumasi-Corson and her cofounder Joycelyn Mate"></p><p></p><bi-shortcode id="summary-shortcode" data-type="summary-shortcode" class="mceNonEditable" contenteditable="false">Summary List Placement</bi-shortcode><p>The fundraising journey is fresh in Rachael Twumasi-Corson's mind.</p><p>While raising a seed round for her hair company Afrocenchix, she and her cofounder, Joycelyn Mate, 31, had their beauty expertise questioned and their experiences as Black women belittled. The fact the Black hair care industry is worth billions was lost on investors, Twumasi-Corson, 31, told Insider. </p><p>"We had someone ask, 'why are you talking about Africa'' and make jokes about Africans being poor," she said. "It was a very strange experience." </p><p>That didn't stop them.</p><p>Afrocenchix, which launched in 2011, is the first Black-owned hair company to be sold in Whole Foods UK, Twumasi-Corson told Insider. The founders closed a <a href="https://afrocenchix.com/blogs/business/google-backs-afrocenchix-in-1-2m-seed-round">$1.2 million</a> seed round in June <a href="https://www.campus.co/europe/black-founders-fund/">backed by</a> the Google for Startups' Black Founders Fund, making the duo <a href="https://www.businessinsider.com/interview-sharmadean-reid-founder-of-the-stack-world-2021-7">two of 10 Black women</a> in the UK to raise VC funds this past decade.</p><p>Below is the pitch deck Twumasi-Corson and Mate used to attract $1.2 million in funding, with Twumasi-Corson explaining formatting choices, color selection, what investors liked, and what they didn't about their pitch presentation. </p><h3>The deck starts out showing the product with real customers.</h3><img src="https://static5.businessinsider.com/image/60fac98e0729770012b98134-400-300/the-deck-starts-out-showing-the-product-with-real-customers.jpg" alt="" /><p><p>Twumasi-Corson and Mate started the company to help with their alopecia, a condition that causes bald spots to appear on the scalp. They wanted a product line that wouldn't further irritate their skin, but found the feat challenging as many over-the-counter products targeted toward Black people are made with toxic ingredients, some of which are known carcinogens. </p><p>Twumasi-Corson said it was important for them to stress that their product fits the need for customers around the world. They did this by using photos taken by real people with their product and showing the brand already has over 1,500 customer reviews. </p><p>The tag line "the household name for afro hair" helps show that though its consumer base is somewhat niche, the company has already established itself within its targeted audience. </p><p>Afrocenchix products use natural ingredients, such as a sulfate-free shampoo and a silicone-free conditioner. It's now sold in 27 countries including US, with 70% of sales coming via <a href="https://sifted.eu/articles/black-beauty-startups/">word-of-mouth</a>.</p></p><br/><br/><h3>Then, they introduce the market data.</h3><img src="https://static5.businessinsider.com/image/60fac989fc25360018200911-400-300/then-they-introduce-the-market-data.jpg" alt="" /><p><p>A previous deck started by telling the stories of customers who have used the product, but Twumasi-Corson says investors would interrupt their presentation to ask questions about the struggles customers were having, or if their needs were important enough to warrant an investment. </p><p>Twumasi-Corson and Mate knew they had to kick it up a notch, fitting into the narrative of how Black women must do twice the amount of work for even just half the amount of time, pay, and attention as their white counterparts.</p><p>For this, the duo reformatted their presentation so that it first gave the data and therefore context of the Black hair care industry. They hoped it would ultimately educate the investors on the market.</p><p>"When you're talking about white investors, they might not care about Black stories," Twumasi-Corson said. "So you have to give them this data." </p></p><br/><br/><img src="https://static1.businessinsider.com/image/60fac98f0729770012b9813b-400-300/.jpg" alt="" /><p><p>As they began presenting the data, Twumasi-Corson said investors were routinely dismissive of their product. One told the duo all he could offer was "adult supervision" while another insinuated he didn't want to invest as "people from their backgrounds" were often "nervous about spending money."</p><p>The spending power of African Americans alone is valued at more <a href="https://fortune.com/2018/02/28/raceahead-nielsen-report-black-buying-power/">$1.2 trillion</a> while the spending power of Black Britons is valued at more than $400 billion. Additionally, the global Black hair care market is worth nearly $50 billion. </p></p><br/><br/><img src="https://static6.businessinsider.com/image/60fac989fc25360018200916-400-300/.jpg" alt="" /><p><p>Twumasi-Corson and Mate decided to use the colors of their company as the palette of the pitch deck to show consistency in branding, in case an investor were to check out their social media pages. </p><p>They also took this time to break down their monthly revenue, margins, and online traffic. Investors were looking for traction and returns: "Slide 4 showed that we've already generated a huge amount of low hanging fruit and this investment is guaranteed to reap a harvest," Twamasi-Corson said. </p></p><br/><br/><img src="https://static1.businessinsider.com/image/60fac98afc25360018200919-400-300/.jpg" alt="" /><p><p>The duo used data to go against investors who tried to scare them away. </p><p>For instance, two investors questioned their customer retention, with one asking to see at least a 70% a customer rention rate, which Twumasi-Corosn said didn't make any sense. </p><p>"Given the industry we are in, we want to see new customers each month," she said. "If you are retaining 70% of your customers, you are essentially saying you only want to see 30% new customers every month — you want our growth to slow down." </p><p>The brand used this slide to show that it was already overperforming in areas such as customer retention, with room to grow. </p></p><br/><br/><h3>Afterward presenting the data, they transition into the narrative.</h3><img src="https://static5.businessinsider.com/image/60fac98afc2536001820091c-400-300/afterward-presenting-the-data-they-transition-into-the-narrative.jpg" alt="" /><p><p>Then, Twumasi-Corson and Mate transition from data to story, explaining what makes the brand special compared to others in its category and the qualities that have lured customers. </p><p>For example, the brand is listed as being the only vegan afro hair line in the United Kingdom, which is important as many hair brands marketed toward Black people — both in the UK and US — are not. </p></p><br/><br/><img src="https://static3.businessinsider.com/image/60fac98e0729770012b98137-400-300/.jpg" alt="" /><p><p>This slide consists of customer testimonials, showing both the social reach of the brand and the importance it has within its targeted audience. </p></p><br/><br/><h3>They encapsulate the narrative with more data, this time showing the potential of their market.</h3><img src="https://static4.businessinsider.com/image/60fac98c0729770012b9812e-400-300/they-encapsulate-the-narrative-with-more-data-this-time-showing-the-potential-of-their-market.jpg" alt="" /><p><p>This slide talks about the future of the market, showing investors that the business addresses a need that will one day dominate the hair sector. </p></p><br/><br/><h3>And they call out their competitors to further say how they are different.</h3><img src="https://static5.businessinsider.com/image/60fac98a0729770012b9812a-400-300/and-they-call-out-their-competitors-to-further-say-how-they-are-different.jpg" alt="" /><p><p>Next, the brand presents a chart that explicitly shows where its competitors fall on ethical standards and how Afrocenchix outshines them all. </p></p><br/><br/><h3>Choosing the right table to clearly showcase growth is important, Twumasi-Corson said.</h3><img src="https://static1.businessinsider.com/image/60fac9890729770012b98124-400-300/choosing-the-right-table-to-clearly-showcase-growth-is-important-twumasi-corson-said.jpg" alt="" /><p><p>The duo tried several formats before creating a table to showcase the numbers. </p><p>"With charts, every investor stopped and questioned us, despite it being a continued trajectory," Twumasi-Corson said. "The table required slower thinking, and when investors did these more considered calculations they saw our vision." </p></p><br/><br/><h3>The graphics are clear in introducing each idea ....</h3><img src="https://static4.businessinsider.com/image/60fac9890729770012b98127-400-300/the-graphics-are-clear-in-introducing-each-idea-.jpg" alt="" /><br/><br/><h3>.... and the projections chart is also easy to read.</h3><img src="https://static2.businessinsider.com/image/60fac989fc25360018200913-400-300/-and-the-projections-chart-is-also-easy-to-read.jpg" alt="" /><br/><br/><h3>They also include the attention their brand has received in the past.</h3><img src="https://static2.businessinsider.com/image/60fac98f0729770012b9813e-400-300/they-also-include-the-attention-their-brand-has-received-in-the-past.jpg" alt="" /><p><p>"Investors want to see customer love and press love," Twumasi-Corson said. "It's a great protective moat." </p></p><br/><br/><h3>As the presentation ends, they introduce their team.</h3><img src="https://static3.businessinsider.com/image/60fac98bfc2536001820091f-400-300/as-the-presentation-ends-they-introduce-their-team.jpg" alt="" /><p><p>Twumasi-Corson and Mate have been working on this brand since 2009, when they were students at the University of Birmingham. Twumasi-Corson studied law before receiving her master's in medical anthropology from University College London in 2015. </p><p>From there, she held positions at Kraft Foods Group and Tesco Stores, while building Afrocenchix on the side. Mate, meanwhile, has a background in cosmetics, finance, and operations. </p><p>Afrocenchix's first employee, Nadia Bruney, is called out in the pitch deck. She was hired in 2017 and works as a marketer. The company has since expanded to bring on a manufacturing and supply chain manager, in addition to a full-time content and social media coordinator. </p><p>"As a startup, people are everything," Twumasi-Corson said. "We wanted investors to see who they were backing and understand how incredibly lucky they are to benefit from our brilliant team." </p></p><br/><br/><h3>They state their final case as to why investors should invest in their company.</h3><img src="https://static1.businessinsider.com/image/60fac98efc25360018200929-400-300/they-state-their-final-case-as-to-why-investors-should-invest-in-their-company.jpg" alt="" /><p><p>This slide restates the market value and calls out the Black Lives Matter movement, which helped Black-owned brands see <a href="https://www.marketwatch.com/story/more-consumers-have-been-looking-to-spend-money-at-black-owned-businesses-people-are-rallying-around-small-business-11619045035">an uptick</a> in support since the murder of George Floyd last year. </p><p>Twumasi-Corson tells Insider the brand hopes to expand its product offerings items, such as a deep conditioning treatment, as well as bring on more team members. </p></p><br/><br/><h3>The last slide has a catchy slogan and their social media contact information.</h3><img src="https://static6.businessinsider.com/image/60fac98efc25360018200926-400-300/the-last-slide-has-a-catchy-slogan-and-their-social-media-contact-information.jpg" alt="" /><p><p>Twumasi-Corson says she learned a lot on this journey, even though at times "it's been a headache." </p><p>However, she does have advice on what can make it easier for Black women to raise funds in the future so they don't have to go through the challenges she had to.</p><p>"Investors could make this fairer, and increase their returns, if they set out clear, transparent success metrics and stuck to them," she said. "Even when the founder doesn't look like Mark Zuckerberg." </p></p><br/><br/>
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