Why You Don't Need to Pay a 7x Markup for High-Quality Fashion

A basic t-shirt costs $7.50 to make and could retail for $50 or $60 at a boutique. That math just didn't add up for Michael Preysman.

"We decided to get into the industry online-only to cut out all the traditional costs of retail and bring that same beautiful shirt to market for $15 online," says Preysman.

Preysman and co-founder Jesse Farmer launched Everlane in 2010 with a referral invite list that quickly went viral. The fledgling brand signed up 60,000 people in five days — but with just 1,500 t-shirts on hand, the company initiated a wait list.

The Everlane team's focus was quality without markup, but they realized consumers wanted to know where their products came from. So began the brand's emphasis on transparency, something that was missing in the fashion and retail market. Read more...