Where now meets next: 7 years on, see how our first-ever Small Business Grant Contest winner is doing and how his business has grown.

Since winning the FedEx Small Business Grant Contest (SBGC), RedWhite Apparel has been on a non-stop ride as the brand put its pedal to the metal in becoming everyone’s go-to bib short supplier.

Yuva Viswanathan loves long-distance cycling. What he didn’t love was how unaffordable high-performance cycling bib shorts were. Set on a mission to help long-distance cyclists like him ride further more comfortably, Yuva launched RedWhite Apparel — his answer to the gap in the cycling clothing market.

Turning pain into an opportunity, what started as an idea has now gained traction since Yuva won the FedEx 2015 SBGC grand prize of USD$18,000. “I entered the competition feeling quite proud because it legitimized what we were doing - in having a large company like FedEx recognize our business”, shares YuvaViswanathan, founder of RedWhite Apparel.

RedWhite Apparel’s secret to business success? It includes combining new tech and operational know-how. Yuva outsources his business’ warehousing to store inventory and fulfil orders - which means he only purchases inventory after projecting cash flow.

This gives him the ability to pay invoices promptly and in advance.“Doing that has helped us build strong relationships with our manufacturers and partners,’’ says Yuva. “Which is especially helpful for when we face short term cash flow.

Like any new business, expansion was on the cards for RedWhite Apparel. “The first thing we did was to expand our line of products to grow sales. It did allow us to satisfy and serve customers with greater volume. This helped us grow in 2016 to a point that we were ready for further growth in 2017 and 2018. But we later realized that this was not a viable strategy, and reshifted our focus back to our core product,’’ says Yuva.

In moving back to their original strategy, the business grew its revenue by 23% and increased cash flow. Fewer products meant faster inventory turnover and the business was on solid financial footing going into 2020.

Looking at the new kids on the block

In planning what’s next for the business during the pandemic, RedWhite Apparel turned to an untapped market - beginners of long-distance cycling. And just like that, RedWhite launched its new product, the Entry bib short. The idea originated from Yuva’s business partner, Amreet Singh, when he saw there was a market need being filled by other brands.

“The idea was to create a lower priced product for new customers,” but Yuva admits, “I wasn't convinced it was a good move until I discovered a way to innovate without over-capitalizing.”

The results? Impressive. The business saw steady sales growth and a new set of customers buying from RedWhite Apparel.

Listening to customer needs

The core of RedWhite Apparel’s business is customer comfort, which is why Yuva makes it top priority to be close and transparent with his customers. This includes getting direct customer feedback on their experience with his products.

“We continuously refine, improve and ideate products based on what our customers share with us,” shares Yuva. “It’s about providing that white glove service, especially when customer service is table stakes in today's globally competitive world. So, offering excellent after sales support is non-negotiable. If you run a customer service team, make sure they are trained well and have empathy for the customer.”

For RedWhite, this is where a reliable logistics partner plays a vital role. Yuva explains, “Working with FedEx gives a small and medium business like ours the ability to connect and reach customers wherever they are, quickly and promptly. This is key in enabling us to run effectively, efficiently and most importantly, succeed.”

The moral of the story? Every business is different. But what’s the same is the need to be more strategic about allocating capital to the best ideas and products that can propel your brand forward. That’s how you keep your business in it for the long ride.