YOLO Colorhouse

Portland entrepreneurs Virginia Young and Janie Lowe say their decision to create YOLO Colorhouse, an eco-friendly paint company, was borne out of necessity. “We didn’t want to work with paints that were bad for us, or for the environment,” says Young.

YOLO is becoming a national brand with a strong customer base for its earth-friendly paint and color selection products. The company manufactures a line of environmentally responsible interior and exterior paints inspired by nature. The premium paint line is free of volatile organic compounds, or VOCs, the odor-producing chemicals that evaporate into the atmosphere and contribute to ozone depletion.

Young and Lowe, artists and designers, operated a successful custom wall finish, mural and furniture painting business for eight years when they approached the Portland Community College Small Business Development Center (SBDC) in 2003 to help take the company in a new direction. Their goals were to build on their strengths as designers and artists, grow a business that did not depend solely on craft work, and manufacture a paint that matched their green lifestyle. The owners began monthly SBDC counseling sessions and Young enrolled in 2004 in the SBDC’s two-year Small Business Management Program, working with business advisor Jacqueline Babicky-Peterson.

“She made us set goals and really put the fire to us,” says Young. Lowe adds, “She (Babicky-Peterson) also supported us … felt we had a good idea but needed the support of a business and financial advisor. We knew starting a company was a risk. Jackie helped us look at it closely and made it possible for us (to move forward) with a clear direction.”

From their years of creating custom wall finishes, they understood that many colors are not appropriate for living and workspaces and intentionally created a select palette of 40 colors grouped into the simple-to-understand color families of Leaf, Stone, Grain, Clay, Air, Water and Petal. They also introduced an innovative color sampling system – large, hand-painted color swatches similar to over-sized post-it notes with repositionable tape on the back to attach and move from one surface to the next – thus eliminating the consumer’s need for messy quart samples.

The SBDC counseled YOLO Colorhouse to trademark the color kit, and guided Young and Lowe to experts. In 2005, the SBDC reviewed their business proposal to Rodda Paint Co., who agreed to collaborate and manufacture their line of zero-VOC paints. The SBDC also helped YOLO hire a publicist to market the new product line, develop a business advisory board, and later bring in a CEO and CFO for their growing venture.

Its first year in business, the company sold more than 20,000 gallons of paint and generated $500,000 in sales. In 2006, they saw a double-digit sales increase and as they expand to new markets, project continued strong growth. To date, YOLO has grown from its two co-owners to 17 employees. In addition, the company outsources work to five firms. Currently, YOLO has 80 dealers throughout the West and in New York City, Virginia and Minneapolis. In January of 2007, the company received private equity funding to build a national brand.

“The SBDC has helped us think big,” says Lowe, “to think outside of where we are and to take our product national.”