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After raising over $3M, popular VC-backed beauty brand Ami Colé is shuttering
Diarrha N’Diaye-Mbaye announced the closure of her beauty startup Ami Colé, which specialized in makeup for darker skin tones. Despite raising over $3M in venture capital since its launch in 2021, the company struggled with market competition and investor expectations, leading to its shutdown in September 2025. N’Diaye-Mbaye emphasized the unsustainable nature of the current market for her brand.
Key points
- Diarrha N’Diaye-Mbaye founded Ami Colé to cater to darker skin tones.
- The company raised over $3 million from various investors, including G9 Ventures and Greycroft.
- Ami Colé became popular among celebrities but faced financial challenges.
- N’Diaye-Mbaye cited unsustainable market conditions and pressures from investors as reasons for shutting down.
- The closure reflects broader issues faced by Black-owned startups in the current economic and cultural context.
Why it matters
- Ami Colé's closure mirrors the challenges many startups face after a spike in interest in DEI initiatives post-George Floyd.
- Venture capital funding for Black founders has decreased significantly, affecting the sustainability of companies like Ami Colé.
- The ongoing tension in investor expectations versus market realities remains a crucial issue for many startups.
Ami Colé's shutdown highlights the difficulties faced by Black female entrepreneurs against the backdrop of fluctuating investor interest and market sustainability, signaling ongoing challenges in the landscape of diversity and equity in business.