Not So Simple
Every month, we celebrate and feature a woman who went for it, bringing their vision and passion to life. While their businesses and projects vary — they all have battled through self-doubt, jumped before fully ready and embarked on entrepreneurship while simultaneously carrying a heavy load specially reserved for modern women.
For December, we are chatting with Elaina Holm of Simple Sips. After two years of research and laying the groundwork for a company that would allow consumers to enjoy fresh, restaurant-worthy cocktails at home, she launched her business in 2019.
Here, we chat with her about the journey including the biggest risk she’s ever taken — and how it’s propelled Simple Sips to scale into a whole new realm of business and opportunity.
What was the inspiration behind Simple Sips ?
The inspiration was I wanted a fresh mixer with pure ingredients that tasted like it was from a restaurant for people to enjoy from home. Fresh ingredients are not readily available to the average supermarket customer and cooking fresh herbal syrup is such a hassle! Fresh craft cocktails are far superior to all the other mixes on the shelf yet, they are nowhere to be found. I became determined to change how we drink at home. Over time, I realized there was also a market for these fresh mixers in the catering and restaurant business – and this has become a new and exciting path that Simple Sips has now also taken.
The decision to follow a dream is brave. The decision to follow your dream and make it your livelihood is brave, and also scary! How did you take this leap?
It can feel like the scariest thing in the world. For me, I gave myself criteria that if met, would make it "safe enough" to quit my job. Sometimes this would mean looking to the future and what was possible. I could say if I was making 500 gallons soon, would I be profitable? If I could see profitability in the future, then I could consider quitting my job. The other part of it is you must have some financial stability. I worked two jobs for a long time and even moved in with my parents in my early thirties to take the leap. There was no other way to fund it myself. It was brave and scary, but I also put myself in a position that if it wasn't working, I wouldn't be homeless. I put myself in the safest position possible. I also told myself if it didn’t work out, what a great story! And I can go get a job. At the end of the day – I told myself why not and then took calculated risks.
What have been the highlights of creating Simple Sips? What have been the greatest challenges?
The best highlight for me has been being surrounded by people like me through meeting other small business owners. They can be in completely different industries, whether an artist selling jewelry or someone making hot sauce, but the type of person who desires to own their own business is a very specific person. It has been amazing to meet people who have that similar desire. There’s a beauty to it. I’ve also enjoyed the freedom that comes with owning my own business and it’s a reason why I haven’t taken on investors. I don’t want anyone telling me what to do. I can grow on my terms, in my own capacity and build my own schedule. Another joy is that days are always different and my job changes as the business grows. It's exciting to always have new goals, follow new directions, and it's fun to continue to evolve and change.
Honestly, one of the hardest things in the early stages was the physical nature of owning your own business. Without funding, I was making the product, filling the bottles, labeling them, and wrapping them. You are the person doing everything. The first few years when we were growing it was quite physically exhausting. I think it's one reason a lot of food businesses don't make it – the physical exhaustion. I also don't have a financial background, so that part of the business was initially hard for me in that there was so many things to learn.
What is your favorite Simple Sips mix?
Right now, I’d say our seasonal mix, Figgin’ Delicious with whisky. My other favorite is our spicy margarita but I also have to give a shout out to our first mixer, Pear Pressure.
Best and worst business advice you've ever received?
The best advice: don't reduce your prices! For example, one competitor sells products for half the cost as mine but I stayed firm and didn't drop our price. I was scared because I not only entered a category that didn’t exist and then I wondered am charging too much!? I worried I should be in line with my competitors. But when you understand your data and what it costs to make a product, higher prices can be the only way to ensure you’re delivering what you want and are profitable. You can always lower prices but you’re going to have a tough time raising them.
Overall, it can be challenging to make decisions as a business owner, but it gets easier with each fear you overcome.
Last year, I was on the verge of signing a contract with Horizon Beverage Distributors. Being carried by such a major liquor distributor would give Simple Sips the opportunity to scale rapidly. Amid contract negotiations our "go live" date was rapidly approaching. I had a decision to make: launch a massive $100,000 production run OR wait until the contract was signed to purchase ingredients and produce. The first option risked my entire savings, I could never sell that much product without this distribution partner. The latter option left me without enough product to launch the partnership. I spent the money, prayed like hell, and didn’t sleep a wink for two weeks. A week before delivery we came to an agreement and signed the contract. This was one of the best decisions I’ve made and undoubtedly the scariest.
The worst advice is probably that starting a business as a woman will be hard and a hindrance. Speaking for myself, it was hard and a struggle but not because I am a woman. I think that message can mess with our mindset and limit us. I’m not about falling into that kind of victim mentality. Being a woman in business has never been something I couldn’t get past. I had experience managing many different types of personalities including difficult ones. I approach people as people. When my mother was a chef, she was told it's not an industry for women and ended up quitting. It was bad then, but in the Boston industry at least, times have changed. Let's embrace it.
What are your hopes for Simple Sips in the New Year and Beyond?
For the New Year, I’ll be continuing to focus on this new path of shifting my business to be heavy in the wholesale arena with bars and restaurants serving our mixes. One of the reasons I created a business was to ultimately have a wonderful place for women to work. I was thrilled to hire our first team member this year and want to keep growing. We’ll work to lay the groundwork to hire more in 2025, which is very exciting.