Making It with Jon Davids: Episode 175 - Building a $138M Fashion Icon with Joe Mimran

Host: Jon Davids
Guest: Joe Mimran, Founder of Club Monaco, Joe Fresh, and other iconic brands
Release Date: March 7, 2025

1. Introduction to Joe Mimran

Joe Mimran, a luminary in the fashion industry, is renowned for establishing influential brands such as Club Monaco and Joe Fresh. In this episode, host Jon Davids delves into Joe's remarkable journey, exploring how he seamlessly melded business acumen with creative prowess to build a $138 million fashion empire.

2. Early Life and Passion for Fashion

From a young age, Joe Mimran exhibited a profound love for fashion and the arts. At [01:00], Joe recounts his childhood experiences:

"My whole career has been about merging business and creative. Like I've always loved it from when I was a kid."

Despite his creative inclinations, Joe pursued a Bachelor of Commerce and became a CPA, an education that later proved invaluable in his entrepreneurial ventures.

3. Launching the First Family Factory

In [05:50], Joe shares the inception of his foray into the fashion business:

"I left my career at the accounting firm and joined my family's garment factory on Richmond Street. It was a humble beginning with just six sewing machines."

Joe quickly learned the dynamics of the dress business and the overpowering influence of retailers, which catalyzed his decision to create and build his own brand.

4. Founding Club Monaco

The mid-1980s marked the birth of Club Monaco. Joe explains in [08:00] how the brand was conceptualized:

"We decided to pivot from dresses to sportswear, hiring Alfred Sung as the face of the brand. Within three years, Club Monaco became a fashion phenomenon."

This strategic shift, coupled with aggressive marketing and a commitment to quality, facilitated rapid scaling from a small factory to a 35,000 square foot manufacturing facility.

5. Overcoming Financial Challenges

Joe's financial expertise, stemming from his CPA background, was crucial during turbulent times. At [21:19], he discusses the precarious financial situation before going public:

"We owed the Factor so much money. I had to raise $7.5 million, which took six months of relentless effort."

The successful IPO in 1987 provided the necessary capital to continue expanding the business, highlighting the importance of financial literacy in entrepreneurship.

6. Strategic Growth and Marketing

Club Monaco's expansion was fueled by strategic investments and innovative marketing. In [13:48], Joe elaborates:

"We invested heavily in marketing, advertising in Vogue, and using international models. We opened high-profile stores that became cultural landmarks."

This approach not only increased brand visibility but also established Club Monaco as a staple in the fashion industry.

7. Acquisition by Ralph Lauren

In [35:00], Joe narrates the pivotal moment when Ralph Lauren acquired Club Monaco:

"Ralph Lauren, a master brander, approached us because he admired what we were doing. The acquisition was completed for $138 million, marking a significant milestone."

Though the sale was financially rewarding, Joe realized that his entrepreneurial spirit thrived more outside the confines of being an employee, prompting him to embark on new ventures.

8. Post-Acquisition Ventures

After the sale, Joe founded MMRA and Associates. In [37:42], he discusses his collaboration with Loblaws:

"I was entrusted with the President’s Choice brand to develop home products, leading to the creation of Caban, a home division that became highly successful."

Joe's ability to pivot and tackle diverse markets underscored his versatility as an entrepreneur.

9. Current Endeavors and Legacy

Joe continues to innovate in various sectors. As of [48:52], his ventures include:

• Tilly and Durables: Acquired and reinvented with a focus on quality.
• Gray Matter: Available in Staples stores across Canada and the U.S.
• Rise Little Earthling: A toddler brand available at Toys R Us and online.
• Board Memberships: Includes Simply Protein and Riv Capital.

These endeavors reflect Joe's ongoing commitment to quality and accessibility in consumer products.

10. Insights and Entrepreneurial Advice

Joe offers invaluable advice to aspiring entrepreneurs:

"The biggest gap most creative people have is the business side. If you can't handle finances, find a partner who can." [03:41]

He emphasizes the importance of balancing creativity with financial management and leveraging effective marketing channels to build and sustain successful brands.

11. Notable Quotes with Timestamps

• Passion and Hard Work:
  "I had to work my tail off in order to be able to afford to do that." [02:50]

• Financial Acumen:
  "Every creative entrepreneur needs to balance their creative side with financial discipline." [03:41]

• Marketing Strategy:
  "Marketing today is more complicated than almost any other discipline in business because it evolves so much." [45:04]

• Resilience and Adaptability:
  "When times got tough, we invested more and took the risk of a big pivot." [28:33]

12. Conclusion

Joe Mimran's journey exemplifies the fusion of creativity and business savvy. From humble beginnings to building a $138 million brand, his story is a testament to resilience, strategic thinking, and the unwavering pursuit of quality and innovation. For entrepreneurs aspiring to leave a mark in the fashion industry or any other field, Joe's insights provide a roadmap to balancing passion with pragmatic business strategies.

Where to Find Joe Mimran’s Products Today:

• Tilly and Durables: Available in Canada, the U.S., UK, Australia, and soon South America.
• Gray Matter: At local Staples stores.
• Rise Little Earthling: At Toys R Us and online.
• Hudson's Bay Collaborations: Hudson North line and Stripes reinvention.
• Additional Brands: Rise Little Earthling, Feed that Brain, and more.

Stay Connected: For those inspired by Joe Mimran’s journey and seeking further insights into building successful businesses, subscribing to "Making It with Jon Davids" is highly recommended. Leave a rating or review on Apple Podcasts, Spotify, or your preferred platform to support the show and gain access to more transformative entrepreneurial stories.