♪
The birth of Vaute was a game changer in the fashion industry.
♪
It's a lot bigger than just a coat company;
it's really a mission.
Leanne is ahead of the curve.
She is leading this idea that a belief system
belongs in everything we own.
It's gorgeous.
We knew she was smart enough;
we knew she was good enough, but did she
have what it takes to be devoted enough?
She's up against a lot.
The success of it rests on her.
This is a decisive moment in what fashion history
is going to look like.
This season is a make or break pivotal season for us.
We could either scale to the mainstream
or, go bankrupt.
I created Vaute to make a huge impact.
Staying smaller...
Is not an option.
♪
There's, what's her name? What's your name again, kiddo?
I'm Leanne Hilgart.
If you had told me I was a gonna fashion designer,
that does not resonate with me at all.
Like, I can't sew. Like, I...
like, literally, I can't sew.
L-E-A-N-N-E.
As a child, I loved talking to strangers,
making art. And, until I was 10,
I was still definitely eating animals...
♪ McDonald's, McDonald's... ♪
♪ Kentucky Fried Chicken and a Pizza Hut. ♪
And, at school, we had been assigned
a school fair report, and I picked factory farming,
vivisection, and the fur industry.
I read a lot of literature for this report and,
once I figured out the things that matter to me most,
I couldn't not care about the things I cared about,
even if meant that, like, nobody liked me or got me.
♪
I started Vaute in the summer of 2008 and
we launched in 2009.
It was the bottom of the recession,
so most people weren't starting businesses,
they were closing businesses.
People thought I was a little crazy to start one,
but I looked at it and I thought,
I've had a lifelong mission to help animals,
and I love starting things. So, I can figure this out.
♪
Those early years were massive.
30-year-old Leanna Mai-Ly Hilgart
founded the fashion label Vaute Couture.
Her love for animals and vegan diet has a
global following among animal rights activists and
eco-conscious fashionistas.
Hilgart has been compared to designer Stella McCartney,
but she's even taken it one step farther.
We don't need to wear wool. We don't need to wear silk.
We don't need to wear anything that comes from an animal.
We ended up getting on Oprah.com,
and the cover of VegNews magazine.
Opening our store, finishing our first production run.
And, when I decided to show at New York Fashion Week and
we ended up on the official grid of like
all the big fashion labels, and somehow,
we ended up on that grid next to the biggest labels.
It felt like magic that I had come up with
this thing and then here it was.
♪
But then, things definitely changed.
Like any growing company, I made some mistakes.
Expanding categories that we shouldn't have expanded into,
which included, like, ethical swim, and gowns,
with a team that we couldn't afford to hire.
We acted like a big brand with a big budget...
before we were ready to do that.
I'm just wondering how much I want to publicize that
we lost a million dollars.
♪
Sometimes, by the time you wake up,
you've already started to tally all the ways you're inadequate
before your feet even hit the ground.
(kettle whistling).
Two major things are happening right now.
We're preparing for our holiday sales,
which means finishing coats in time to sell
when people are buying coats.
And we're also focusing on closing critical
investment cash right now, both for local labor,
as well as our ad campaign.
With the extra challenge of having almost a
million dollars now to make up, it's like,
this season, will it even exist?
Do you happen to know when that first payment will be due?
Okay.
Right, of course.
Yeah.
The past couple of years, we got into a place that
is just not sustainable.
And, now this year, I've been paying for it.
It's like I'm just always trying to catch up.
With the right partners, we would get caught up and
then the business model would work, and then,
we can kill it. And I know we can 'cause
I learned a lot of really hard lessons, very expensive,
painful lessons over the past two years.
And, now I know exactly how we should grow.
Scale back how many categories we do,
to then scale up the categories that are profitable
and will make the biggest impact for animals,
which is outerwear.
But, I first have to get through a massive cash gap
and figure out our marketing strategy
to reach a mainstream crowd.
If we can't, we go out of business,
so it's a lot.
I'm here in San Francisco and have availability
Wednesday, Thursday, Friday.
I don't know how quickly meetings can happen.
♪
I don't know if there are other VC firms
that could be a good fit.
Yeah, I can send it to you right now.
♪
♪
Our customer up until now has been someone who
went out of their way to find a brand that
aligned with their ethics.
- Hi. I'm so happy you're here! - Oh, hey!
So good to be here. Wow, the office is gorgeous.
And while the main part of our strategy this season is
expanding to the mainstream market,
the first thing we need to do is promote the new line
to our core audience and get them excited.
Hi, everybody. This is Jasmin Singer,
the Senior Editor for VegNews Magazine,
and we are so excited because in the house today,
we have Vaute's Leanne Mai-Ly Hilgart.
So, it's an organic cotton moleskin.
No moles have been killed to make
our organic cotton moleskin. It's made of organic fibers.
There is still a skepticism that people have.
People hear "vegan fashion line" and maybe some...
someone is going to make some snide comment about
us wearing chickpeas or something.
And then, we have an insulation,
which is made of high-tech Primaloft.
Arctic explorers and astronauts use it to stay warm,
so it keeps it really slim.
Then we have a windproof liner made of
100% recycled fibers as well.
Nowadays when a company like Vaute is coming up,
it isn't good enough for just a hundred really
passionate vegans to buy her fantastic coat.
We want it to go mainstream.
What's next for Vaute?
Yeah, well, I'm looking at, right now,
how do we expand to really taking some of the market
from companies where, you know,
what they're doing is hurting a lot of animals,
and those are people who live in cold cities,
who could really use wearing a Vaute coat instead.
- Totally. - Yeah.
Yeah, spread the vegan love, definitely.
Reaching a more mainstream market
means saving more animals.
This campaign will be a success if we figure out the
formula of what reaches a mainstream audience and
resonates with them, and shows them that
what we've made is for them.
- Okay. - 1, 2, 3.
If we move the Casto to Mrs. Thai...
Does that make it more likely that the second sew
will be done at least in December?
If it's not done in a certain time,
I can't sell it, and then we don't...
you know, we won't be able to make payments.
So, the cash cap we're in right now effects getting
production on time, which is entirely related to
our sales and ability to then pay expenses.
Alright, so I think that that's... that.
Um, is there anything else?
Now that I talk to you, I can go back into cash flow, and...
I think that the amount I can pull from the loan
should be enough to cover that payment for you.
It's always fun to find out another $2,000 that
you have to find in a day. It's fun.
♪
Entrepreneurship asks of you many...
Critical and possible things on a regular basis.
When you set up a system where you are responsible
for a lot of things and that you could make,
and are making an impact...
for me, to animals, and individuals,
and to textile mills, and to factories,
and to all of those, is not about what I want to do.
My day is about, how do I do the things that
take care of the most people?
And, that may not include...
Myself.
So...
It's what I signed up for, so... I'll...
Um...
keep going, even when it doesn't feel great.
♪
Having the samples ready is when we get to
show the world what we made.
So, they have to be ready, and unfortunately,
it's a rush. Like, it needs to happen.
♪
- Hi. - Hey.
Good morning. So, we've got good news.
We have some of our samples ready.
Amazing.
And, we have production, building production now
in the area I can show you.
Sweet.
We are working really hard to get the trims for
each and every style, for the fabric,
the right exact fabric she wants.
So, that's everyone's end goal,
to have a finished garment, which we need because
it's already a little late and we want to get everything
on time before... before the season ends.
Mrs. Thai, she's working on the Angela sample.
Hi, Mrs. Thai. How are you?
How are you?
Mrs. Thai, who owns the factory,
cares about everybody who works for her.
Also, she makes sure that each person makes a coat
from start to finish, so it's not like they're like
a machine cog.
These will become our Casto coats.
Then all this. See, all the pieces.
So, Mrs. Thai has a question for you about
the drawstring placement.
Okay.
- Let me ask, let me see. - Okay, let's do it.
(drilling).
We have to kind of go, probably look.
- Oh, sorry. - I think inside.
Yeah, it's supposed to come inside.
- Inside. - Inside, inside.
Yeah, and then come out, like, here.
Okay.
It's about a year from when we start concepting, you know.
And, it's kind of one of my favourite things to do,
is to see them for the first time, finished.
It's so rewarding.
- So, Belden's done. - Yay!
Oh, they're beautiful.
Oh, they look so good.
Most clothing is made abroad.
And, it's much, much cheaper, and cash flow is
definitely one of the biggest stresses in my life.
But, the, the reason I started Vaute
wasn't to become a designer.
It wasn't to become an entrepreneur.
It was to create an impact where I can, and so,
that means an impact in every element of the business.
And, if we can support jobs that are local and that
are being paid a living wage, then,
that's a critical component of, of what we do.
This one's named after my mom.
- Oh, really? - Yeah. (laughs)
- Oh, wow. - Yeah. Bey is mom. Beyo.
- Okay. - Yeah.
These coats are done on time.
Not all our styles are done on time.
These coats are done on time;
that's a huge win.
♪
Now that we've got some coats finished,
we need to find a way to get people talking about them.
Since we have very little marketing budget,
we've asked style expert, Stacy London,
to come and see our coats.
So, hopefully she likes them and can spread the word.
- Oh my God, this is amazing. - That's really cute on you.
Yeah, so it's kind of like a--
Yeah, it's like casual, throw it on over--
Oh my God! This is just dope.
It's cozy, and it's actually really, really warm.
I do think that there is a little bit of a stigma
when you say vegan anything, right.
If you're not a vegan, other, like, non-vegans are like, "Ew."
- You know I'm not a vegan. - No, I know.
I mean, I try to like eat responsibly, but I'm...
(laughs) Stop it.
I mean, it sort of had a hippie connotation to me.
For the longest time, all you could get
was like a bamboo sack.
Exactly. Right. Yeah, for sure.
And so, when I started the company,
to be able to grow, I was like,
why would I start a company that if it wasn't going to
meet the needs of a mainstream woman,
then it's not going to do well and sustain itself and
be a business, and grow, and it really doesn't need to exist.
Millennials in particular, have really moved the needle
on where brands need to be in this political climate.
So, whether it's saving our oceans,
saving our animals, working with LGBT youth,
whatever it is, there has to be something that these
brands stand for other than just making money.
Because, to do well, you're gonna have to do good.
I made it for anyone who is cold and
wants to look stylish in winter,
and it doesn't matter what your values are,
how extremely passionate you are about it,
but the question then is, how do we get people to
even look at it without thinking,
"Oh, it's not for me because it's--"
- Because it's vegan. - Yeah.
You need a double marketing strategy, right.
Because the idea is that you do want your niche vegans...
- To know how hardcore. - To know...
...how hardcore you are about it, and also,
that they can finally find clothes that are chic,
that are vegan. But, mainstream people are
gonna come to you because the clothes are beautiful.
And then, they're gonna be able to pat themselves
on the back for doing something that has
a social good behind it.
Millennials are becoming the biggest consumers.
This is an essential part of their belief system,
of their value system, is that social good has
to be baked into whatever retail they are going to purchase.
As Gen X, I would say that I'm learning a lot from
millennials about what the value system needs to be.
And, the value system, when it comes to retail,
is completely changing.
It's not how expensive and how much you can have of anything,
it's about how wisely you're spending your money and
who you're giving it to.
Wow.
Vaute stands out to me as a label that is really ready
to make that jump from sort of niche vegan to,
just mass market.
That's not just because I'm an animal lover,
but because I love great design.
And, you know, this a company that can marry both.
♪
The biggest challenge of growing our brand...
is cash gaps.
I'm stuck in a world of two weeks because
every two weeks is when we pay payroll,
and every four weeks is when I pay rent.
I have no way of getting through a cash gap
or growing this business
unless I ask someone for help or for money.
♪
I am going to call Mike.
This is a potential CFO who I cannot afford right now,
and therefore, he's trying to get us funding 'cause
he wants me to hire him.
Hey, Mike. How's it going?
Great. I worked a lot on updating the deck and
how to make it obvious that we're going to win.
And, now it feels pretty good.
That's great.
Oh, sweet.
Okay, thank you so much for thinking of these things.
It really means a lot.
Yeah, thank you.
Yeah, awesome.
I really appreciate that.
♪
This meeting is huge for us.
We're 5 days away from launching our season and
this is our last chance to cover the cash gap
in time for the season to be a success,
so it has to go well.
The pressure is crushing.
I mean, it's the responsibility of...
your workers, your investors,
customers, and your mission.
Without it, this season could fall apart.
♪
Because we are in-season, we're doing like
an extra special interest rate.
If you were thinking about closing it like
this week or next week. Otherwise, it's like...
Normal rate.
- The traditional. - Traditional, yes.
- Yeah, right. - Yeah.
45% of Americans,
67% of millennial Americans want responsible brands.
Mhm.
Our mission it to take animals completely out of
the fashion equation and hopefully lead the way
to get other brands to switch over as well.
Alright, so this is the Emily.
I wanted like a classic vintage look.
It has a snow proof finish. Our high-tech insulation
is super light and thin inside here.
That makes this coat incredibly warm,
and even though it's still slim and flattering,
which I think is kind of the key,
is like that blend between the two.
This is the answer to the sleeping bag coat.
So, we do a cinched waist, do an A-line.
And, we also do a double zipper so you can,
if it's not crazy cold, you can have more room to walk
and then it just kind of double zippers like that and
you can like move your legs in there, too.
- Oh yeah, mhm. - Yeah, yeah, yeah.
It will keep you warm in the vortex,
over a dress, for miles.
Yeah, it looks really cute on you.
Stages of growth, boot strap, bridge round,
determined growth model...
And we're looking at by next year being profitable again,
and then, scaling. So, that is it.
Any questions?
Some people get turned off by the word vegan.
You know, they think it's like militant.
- Yeah, sure. - And you're judgmental.
That's what I like about fashion, is it's a way to get--
to start a conversation that a lot of people maybe have
told themselves they don't want to have.
Whenever I'm looking at...
Places to invest, I, I feel like I listen to the person
and like where they're coming from because
I agree with you, the world is shifting,
and I see it.
And there's just certain people, like yourself,
have been appointed, you know, to...
- Kind of lead the way. - Thank you.
- So, yeah. - Thanks, that means a lot.
I don't know. I don't know.
It's like... you show the numbers,
you show how consumer demand is shifting and,
how no one is filling that void right now and killing it.
Yeah, it was a lovely conversation.
It was really nice to get to know you.
Likewise.
I did the best I could.
She was wonderful and I'll find out in a couple of days
if she liked it enough to invest.
♪
We're shooting at Vaute today to give the marketing agency
the images they need for the new ad campaign.
(camera clicks).
Awesome, yeah. Let's pop those collars
and then let's get in a little close.
So, yeah, if we can create images that
will reach both a mainstream audience,
as well as our core audience of animal lovers,
then that would be a big win.
But there's also a win in shooting adoptable dogs and
helping to help find them a home.
I think we'll do more of this goofiness, and like,
we'll, like more, like, quirky, do you think?
- Yeah. - Yeah, it's really cute.
♪
She's such an incredible entrepreneur.
She just really takes the bull by the horns and
she's given me the confidence to speak up.
The show that I was working on recently,
Gotham, I played Poison Ivy.
I suggested to wardrobe that we use one of Leanne's coats.
They loved her coat and
they bought a couple of 'em, you know.
Instead of putting me in fir.
I can't even deal with how good this looks.
And I love the ears. Can we all do ears?
- Yeah, all ears. - It is, this is insane.
You guys are gonna die. You're so cute.
The importance of telling your story online and
selling online means that you can reach a whole new market
in a way that is more authentic because instead of
having to sell through someone else who may not
be able to tell your story or may not be interested in
telling that story, you can tell it exactly how you want.
And then what happens is, people who love
what you're saying and who you are, they'll find you.
♪
So, that's my, the finance guy.
He wants to see what will work for me because...
Yeah, I have to call him before 12:45,
which is in the next 10 minutes.
So, I will call him right now.
Just want to make sure everyone's cool.
Hey, Mike. It's Leanne. Sorry.
I'm in a photoshoot all day. I just got your voicemail.
Okay.
Okay, yeah. I mean, 250 would be amazing.
Anything over 200, then I'm fine with doing
a higher interest rate.
That cash is more critical for this season, so...
I would say yes.
Okay, well, I'll talk to you soon then.
Okay, thanks. Alright, bye, Mike.
Getting cash physically in the bank very soon would mean
the difference between the season being a success or not.
Alright, and... that's a wrap.
Woo! (applause).
Yay. Good job, guys. That was amazing.
♪
Every time things went wrong that could have put us
out of business, I just said, "No," like,
"I'll just, I'll figure it out."
And, making it through each of those almost-endings,
I always had in sight this future where
our timing would be right.
♪
I'm meeting with Gabrielle Korn,
the Editor in Chief of Nylon Magazine.
If she likes our coats and features them in Nylon,
it would be huge for us because it gets us
in front of the exact people we're trying to reach.
Hi.
Hi, I'm here to see Gabrielle.
Okay, cool.
I will message her and have her come up in just a sec.
Okay, awesome. Thanks.
♪
- Hi! - Hi!
- Oh, so good to see you. - Good to see you too.
How are you?
- Good. How are you? - Good, good.
I love how you styled that shirt.
- Oh my God... - So cute.
- Thank you. - Looks so good on you.
♪
Basically, like, part of our brand DNA
is being like super relevant and so, in 2008,
that meant giving Paris Hilton her first cover.
You know, and like, in 2017,
it means being able to be like tech-oriented.
Yeah, totally.
And, so we just like have to meet our readers
where they're at.
That's something that we think about a lot here too.
Like, we're still a fashion magazine.
She's still a fashion brand.
Like, it still has to be wearable.
it still has to be cool, otherwise, she's just another,
like, you know, crunchy vegan.
Do you want me to show you some of the new colours?
We pretty much just did like our best sellers and
I wanted to see, like...
Yeah, feel free if you want to try it on.
Obviously, any coat you want.
Thank you.
Let's see.
Yeah, it's a medium, so it's gonna be a little big on you.
♪
Her coats are fucking amazing.
Like, it's, it's so good.
Next month we're doing a photoshoot for a
fashion vertical that is all vegan winter clothes.
Oh my gosh, that's amazing.
And, it turns out to be something that's really
important to our readers.
Oh, really?
They are like the first to call us out if we cover a brand
that's like not like ethical, sustainable...
Oh.
Animal-friendly, so, it's very much, like,
this magic moment of things that
we all care about and they care about...
And, like, we want to put together something
that's like as beautiful esthetically as it is morally.
Wow! That's awesome.
- Yeah. - That's so fun.
People right now are much more politically conscious
than they've ever been and our readers really want to
know about products that come from a good place.
So, letting them know about a brand who has an ideology
that's in line with theirs, that's also cool,
is like so helpful for them.
So that's what we get, and then, you know, of course,
Leanne gets the benefit of our enormous audience,
which is, like, a reach of 30 million people per month.
So cool.
So, we'll hit you up for stuff.
- Thank you. - In like early December.
And then, either that month or January.
Amazing. Wow, that's so exciting.
That, like, kind of blows my mind.
Leanne has a huge opportunity to push into the
mainstream because of her mission and because
she's so good at what she does.
It's good to see you. Yeah, thanks for everything.
Like, if the clothes weren't cute,
she would be nowhere.
And without the mission, she might be nowhere, too.
- Thanks. Bye. - Bye.
♪
I feel like, you know, this past year is so painful.
But like, I just kept being like,
just make it to the next season,
just make it to pre-orders, just make it to this.
And then, now, it's fun to see that like
the market is asking for it.
And, I'm not having to push for it.
So, maybe the timing is right and
maybe I waited just long enough.
Maybe I stuck it out long enough.
So, I'm really excited to see where that goes.
♪
♪
There are definitely days and months where I
wouldn't wish entrepreneurship on anyone.
Okay, no, no.
I've put everything I have into this season and I know
It's so painful... sometimes.
it can be amazing, but we've almost hit our deadline and
if the investment doesn't come in to cover this cash gap,
this season could fall apart.
I've worked so hard to make this happen and it has to work.
It just has to.
(indistinct chatter).
(laughs). Um...
It's in. It's in! Yeah!
Oh my God, I'm gonna call her.
Entrepreneurship is uncertainty.
Entrepreneurship is getting up every day and saying,
"I don't know." And...
Trying it.
I mean, I'll share this. "Hey, sorry for the delay.
Just confirmed the transaction."
And, let me check,
I have an email here that says it's in.
- Phone: Hey, what's going on? - Hey, I just wanted to call.
I just got your text and your email,
and I just talked to Mike as well,
and I am so grateful, and it's, it's in.
And, yeah, I just wanted to call really quick and say thanks.
It means a lot.
Phone: Yeah, no problem. Happy, happy to help, and excited.
Yeah, so excited to have you.
Awesome, cool.
So that means that I can make some
major payments next week, and we can have
some money for our ad campaign,
and I can maybe not stress out every day
for like a little bit. (laughs).
And focus on fun and amazing creative things.
So...
Yeah, it's, it's like a huge relief,
and I'm so grateful.
I know the vision that I have and I know
the future that I see, and...
I know that I'll do, I have done anything and
everything that I can to make that happen.
But to know that other people see that, too,
and they choose to, to help us grow a label and
make a difference in the fashion industry,
and they believe in us, and that means everything.
So, yeah. That's in.
♪
Now that we can actually get production done
to then sell,
I can set us up to have a growth model that is efficient,
effective, simple, beautiful, and profitable.
♪
I once read somewhere that
if you can sum yourself up in one word, what are you?
How do you operate in this world?
And for me, that's creating.
Making something from nothing and
I wouldn't change starting Vaute.
I wouldn't change it for all the things I've learned
about myself, with all the pain and sacrifice.
I don't know anything else but this.
This is, this is what I was made for.
♪
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