Business Lessons from the Rise and Fall of Grass-Fields - African Fashion

If you are a business owner, in particular an African fashion entrepreneur then this will speak volumes to you. I am?sharing this story?about the fashion brand Grass-fields. I encourage you to watch the full video to get an understanding of what has happened. This is a sad story for African fashion as a whole and there are many over on TikTok who have a LOT to say about it.

This Fashion Business Friday I wanted to speak with you about business management, business growth and business reputation as lessons learned from the 'fall' of Grass-fields. This important message has created a stir in comments, opinions and engagement on TikTok. So read on to learn from this and read my suggestions what you can do, even from this January, to be a part of a changing narrative in African fashion business and be part of the solution going forward.

The video that I shared about Grass-fields?(click here for video)?as a two part video on my TikTok page, was about how their business collapsed last year and fell into administration, ultimately leading it to be bought out and taken over. There was a video by one of the original founders talking about how it was stolen from them, yet some evidences say it was bought as it fell into administration, and has been suffering since two years now. Their accounts on Companies House can give you more insights to their financials. There is also a possible legal case now with accusations of defamation of name and character by both the new buyers and the former owners?Christelle and Michelle Nganhou.

These twin sisters from Cameroon, originally started selling their garments via Etsy and started on less than 100GBP, like many businesses they started with practically nothing. They grew this business which in 2018 turned over $5million in sales, which is extraordinary. They really put casual african fashion on the map.

It was a black owned business, with a great story with the sisters starting it from nothing with production back in Africa and it was fun fashion that was great for high street shoppers.

Then things turned. There was an announcement of it closing (see photo below) and how Michelle had fallen quite sick. But then there was a turnaround, and they were back.?

Grass-fields received access to the?Goldman Sachs 10KSB?programme for start-up and high growth potential businesses.?Everyone saluted them and then this note from the?new owners on their website?was publicised (see photo below) and a video from Michelle asking for help on social media. Comments have been removed from youtube and instagram from the Grass-fields pages.

There is a lot of confusion around what really has happened. Digging deeper the story opens up?and yet I am determined to remain on the?fence as they all deal with their situation. I hope that if it does go to court, may it be dealt with amicably. Either way there are a lot of lessons that can be learned from this for small business.

Firstly your reputation is key to your business.

The talks of defamation of name and character, the videos posted, the statements made, all put a negative view on both parties, in various ways. There is confusion, so nobody knows who is being truthful and it means trust is being impacted. With the brand now not being under Black ownership, this also impacts its reputations with the communities who originally, and still do, support it. Many bought into it because it was owned by Black women. So now there are more questions around this.

Secondly your business starts with you, but with growth is not about just you.

The business you create will impact so much more people than you alone. Your staff and your suppliers are the backbone of your fashion business. Without them you have no product, no sales, and no business.

Their website tells us?that creating more jobs has been a big part of their growth, and that?over 2,000 jobs have already been created. This helped them to?showcase the incredible craftsmanship on offer in Africa. This past year, they've expanded production in Africa to 11 factories across Nigeria & Cameroon.

Their plan?and mission is to increase this number to 1 million by 2030, to put money back into the continent that made them and that means sourcing and producing in Africa and continuing to use African talent where possible. Where using African talent is not possible, they would always source and use sustainable factories.

They also planned to begin collaborating with Nigerian & other African designers to continue creating African print garments responsibly, with thought, soul and care.

This is shown on the Goldman Sachs case study report for them too as mentioned above.

And it is this aspect of their business that I highly respect as the suppliers that I work with at our Africa Fashion Guide sourcing agency the FATE are African based. We are dedicated to working WITH Africa.

Thirdly be careful who you get in bed with.

Not everyone has the same vision as you or sees things the way you do. It's imperative that you work with, partner with, take advice from, receive money from and hire people and companies whose vision aligns with yours. In our A.F.R.I.C.A Roadmap part of our business academy trainings (see?www.fashionafricabusinessacademy.com?for info on your coaching and membership club) we have A for alignment as the first step. Your life goals, your lifestyle, your family plans, your location, your staff choices, your suppliers and partners ALL should align with your vision and business goals.

Fourth point is to get SOUND legal advice

Who you get to give you advice is as key as getting advice from a legal perspective. Founder?Christelle?has shared on their blog that they never got the right or sound legal advice before they signed any agreements or made this decision to do business with the now new owners?

https://christellenganhou.blogspot.com/2023/01/grass-fields%20is%20no%20longer%20owned%20by%20the%20twins.html.?

I have personally had legal cases to deal with in my business Africa Fashion Guide and that is expected in any business. I have a couple legal advisors who have directed me, one being a Black owned business called Strand Sahara in the UK, they have supported me as the legal experts in what I have had to deal with and cannot stress this enough. Pay the money and get good legal advice. Don't leave this out.

Fifth point relates to the tortoise and the hare

Sometimes having slow growth that you can manage is the way forward. Growing big is not always the answer. Ask yourself is this even your plan. Some people like a small business. Look at the messy situation that happened with Zuvaa. Do you remember that marketplace? They misused the money, and speaking with those involved there were many who were not being paid and thus this caused a lot of grievance. The sad thing was the attitude the Zuvaa owners had in dealing with these people after. This puts a negative view on African business, and also around African women in business. We must do better. so going slow and steady like the tortoise over running ahead like the hare can be advantageous for your business.

Last point is the recognition that African business is in trend.

Africa in general is in the limelight,?is attracting more people and so more 'opportunities' will come our way. So our decisions will be key for the future of our business and our business growth too.

In some ways this situation, the new owners post and Christelle's post and video caused a stir. Many didn't like the idea of the business becoming owned by new people as they had bought into the sisters and it being Black owned.

WE have to be the ones to make a difference and not to just complain of what others are doing. We can be the change we want to see and that is what I want to help you do.

I want to help you move past the barriers holding you back. The feelings of imposter syndrome, lack of business acumen, understanding numbers, not feeling qualified and thinking only the big brands can do business in Africa.

It is time for you to step up and shift your actions to get the results you want for 2023.

And as a reminder this week I opened enrolment to join our membership club the FAMILY for just 1GBP.?CLICK HERE TO JOIN.

This will end on January 31st so jump in now and you can take part of our group coaching sessions and meet manufacturers during the next members only sessions end of the month.

CLICK TO JOIN OUR CLUB for 1GBP

To your success, because your success is my success.

Jacqueline Shaw - Director, Founder Africa Fashion Guide

Also if you are deciding to start your African fashion business, you are seeking further support in?getting started and recognise this requires a strategy and a plan and?a system, then?know you don’t have to do this alone. My resources can provide you with coaching, clarity and community to get you going and keep you building. My book below can be your first step.

My new book?Fashion Cannot be Made in Africa?is out now still for?1/3 off if you purchase by end of January 2023.?Click to order your copy here.