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\n\t\tOpinions expressed by Entrepreneur contributors are their own.\t<\/p>\n
\u201cGrowing up in Queens, I could never quite find clothes that felt like me. So I started making them. First for myself,\u00a0mixing my mother\u2019s saris with denim and leather. Then for friends and family. Then somehow, a whole community,\u201d says Megha Rao, founder of holiCHIC.<\/a>\u00a0 \u201cThe dream grew into something I could have never imagined. From Queens to Nordstrom, people are wearing holiCHIC blazers, saris, dresses and more around the world.\u201d<\/p>\n As a former finance sales professional, Rao had built a successful business on her own for close to 10 years. As a customer of Nordstrom, she couldn\u2019t shake the feeling that holiCHIC and the retailer could be amazing partners. After months and months of cold calling, she was able to secure a pop-up shop opportunity at Nordstrom\u2019s New York Flagship location in 2023, right before Diwali.<\/p>\n \u201cThe pop-up show was a massive success, and we exceeded our expectations over those three days,\u201d Rao says. \u201cThe opportunity led us to a meeting with the buyer, and then we went into an online partnership <\/a>with Nordstrom.\u201d\u00a0<\/p>\n After bootstrapping holiCHIC for years, and building it into a seven-figure business, the brand raised their first $1.5 million seed round in May 2026. Since then, sales are up 47%. \u00a0Here are three questions Megha Rao encourages other founders to ask as they consider raising a seed round:<\/p>\n \u201cMy biggest fear was that we wouldn\u2019t be able to keep up with the momentum after the success we have seen with Nordstrom,\u201d Rao says. \u201cAfter my team and I looked at the data, we saw that there was a growing segment of customers who identified as non-South Asian. They were wearing holiCHIC because they appreciated the style and quality.\u201d<\/p>\n Rao wanted financial resources available when more opportunities arrived. She was right about the momentum; Amazon Fashion came calling. Rao was open to working with them because she had decided to raise money.<\/p>\n \u201cBeing bootstrapped is a rollercoaster ride,\u201d says Rao. \u201cYou have one great month, and then next month there\u2019s a lull, and your profit is eaten up. At the same time, it\u2019s your business. You take inputs from others but you make the final call.\u201d<\/p>\n Rao was open to bringing on more than one investor. She was introduced to an angel investor, who after two meetings with Rao, wrote a check for the entire $1.5 million seed round. Rao says for her, partnering with one investor has been the best decision. If she had multiple investors, that may have given her access to more networks, and she would have had to manage lots of different opinions.<\/p>\n \u201cOur angel investor understands our vision. They respect and appreciate how we have grown our business steadily. It was really the right fit,\u201d Rao says.\u00a0<\/p>\n Rao wanted to raise a seed round to scale holiCHIC.\u00a0 \u201cI didn\u2019t want to take outside funding to test and burn through investors\u2019 cash,\u201d says Rao. \u201cI made plenty of mistakes early on when it came to product fit, shipping and more. We were ready to take on investors to grow different parts of the business.\u201d<\/p>\n Rao had a clear vision of how holiCHIC will use the money. She plans to invest more in marketing and an influencer strategy. She\u2019s focused on Amazon fashion and TikTok shop. \u201cWe know we have a huge audience with women, and they usually have a plus one for events they are attending,\u201d Rao shares. \u201cWe are doubling down on holiCHIC Men and concentrating on fit and style.\u201d<\/p>\n Rao also has her sights set on becoming a globally recognized brand, with the U.K., India and the Middle East on her list. But first comes the work in the U.S. and Canada. She\u2019ll consider raising again once revenue hits over five times, and until then, her focus is on consistent results and growing holiCHIC\u2019s retail presence, team and product lines.<\/p>\n Rao\u2019s advice to founders is simple: \u201cDon\u2019t raise money to find momentum. Raise money to fuel it.\u201d<\/p>\n<\/p><\/div>\n \u201cGrowing up in Queens, I could never quite find clothes that felt like me. So I started making them. First for myself,\u00a0mixing my mother\u2019s saris with denim and leather. Then for friends and family. Then somehow, a whole community,\u201d says Megha Rao, founder of holiCHIC.<\/a>\u00a0 \u201cThe dream grew into something I could have never imagined. From Queens to Nordstrom, people are wearing holiCHIC blazers, saris, dresses and more around the world.\u201d<\/p>\n As a former finance sales professional, Rao had built a successful business on her own for close to 10 years. As a customer of Nordstrom, she couldn\u2019t shake the feeling that holiCHIC and the retailer could be amazing partners. After months and months of cold calling, she was able to secure a pop-up shop opportunity at Nordstrom\u2019s New York Flagship location in 2023, right before Diwali.<\/p>\n \u201cThe pop-up show was a massive success, and we exceeded our expectations over those three days,\u201d Rao says. \u201cThe opportunity led us to a meeting with the buyer, and then we went into an online partnership <\/a>with Nordstrom.\u201d\u00a0<\/p>\n<\/p><\/div>\n1. Does the business have momentum?<\/h2>\n
2. Who do you want to partner with?<\/h2>\n
3. How will you use the money?<\/h2>\n
Key Takeaways<\/h2>\n
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