Huddah Monroe has revealed that she turned down millions of investments into her business after launch and disclosed why.
Alhuda Njoroge, better known by her stage name Huddah Monroe, is one of Kenya's most prominent and wealthy businesswomen in the beauty industry.
She began her business with the name Huddah Cosmetics, which was later changed to Rich Beauty, and has been a well-known personality in the field for nearly seven years. Undoubtedly, her brand ranks among the most renowned in the beauty industry, and countless women have invested in her lipsticks, glosses, and other skincare offerings over the years. Similar to numerous other enterprises, Huddah Monroe faced initial challenges in establishing her brand before it ultimately grew into the prominent name it is today.
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The socialite has indeed faced some challenging decisions for the advancement of her business, and she recently spoke candidly about one of them.
Huddah Monroe has revealed that when she introduced Huddah Cosmetics in December 2016, she received a proposal from an undisclosed individual expressing interest in acquiring a stake in her company.
The individual proposed to invest $20,000 into the business, valuing it at approximately $60,000 (which is roughly Kshs 6.1 million) back then. This would have entitled them to a 33.33% stake in the company.
However, Huddah Monroe made the surprising decision to decline this offer despite the substantial sum being offered just three months after the company's launch.
The socialite explained that she believed her business held a significantly higher value and, as a result, she wasn't prepared to accept that amount.
Huddah Monroe emphasized her stance on not requiring any partners and expressed her desire to retain complete ownership of the cosmetics business.
"...I would like to take this opportunity to thank you for showing interest to become my business partner. Your intention to invest in my business is highly welcome.
The brand name/goodwill of "Huddah Cosmetics" is a very important intangible asset for my company, however, it was not taken into account in the balance sheet assessment.
"I have invested so much in this brand and feel it's only fair to include the brand value when valuing the business. If the brand were to be valued the business will be worth much more than the balance sheet value. I also work on full time basis to ensure the success of the business and my efforts should add some value to the business...," stated Huddah.
