Two best mates from Melbourne who started-up a business from their bedroom are on track to make a whopping $40 million this financial year.
Lisandro Paz and Benn Martiniello were at school together since they were young and were always “scheming” up business ideas with the sports mad pair also playing hockey and soccer.
Their love for activewear saw them pour their childhood savings of $20,000 to launch their brand Elite Eleven around 2015.
But Mr Martiniello said the “e-commerce gold rush” in 2016 really helped, while they also launched their first women’s range in 2018.
“We didn’t necessarily see a gap, it was genuinely just the love of making something we wanted to wear,” he told news.com.au.
“The product we struck gold with and in hindsight was a market fit to get a foothold in was the joggers. Back in the day there used to trackpants from Factorie and Cotton On and they were OK quality and Nike were selling theirs for $130.
“Our joggers, that was really tapered in the mid price range and we landed right in the middle at $60 and they started flying out the door like hot cakes. That was the first time we realised we were on to something.”
But he said there have been plenty of “big disasters” since starting out on the brand aged 19 from questionable quality control when they first set out to ordering stock from overseas.
He added they received “countless” messages to bring out leggings and sport bras for women which also threw up mistakes like the sizes not fitting models who were testing them out.
But the duo made an unusual move during the pandemic when one of the biggest shopping centres in Australia – Highpoint – approached them to take a retail space in the centre as they struggled to attract tenants
“We had no thoughts about going into retail given e-commerce was booming and the retail space was suffering with lockdowns. But we went and saw it and it was one of the best spots in the centre and we got a really good rate for the short term lease,” he explained.
“We wanted to experiment with it. After a lot of deliberating and a few stuff ups, a few hiccups as we were closed during lockdowns and a few logistic issues getting it up with lockdowns and Covid in general, we were really fortunate as we now have multiple stores and are proud.”
Elite Eleven now have three more stores in Melbourne, opened a store on the Gold Coast in April and have plans to open their first Sydney outlet in Parramatta in July.
Their bestsellers include trackpants that give a “lifestyle urban feel” and “luxe chique activewear vibe” as well as their women’s fitted jacket.
Since the start of 2020, they have sold 65,000 trackpants, while popular colours are very “monotone especially in Melbourne” with the likes of black, greys and white, alongside earthly colours such khaki brown, slate and charcoal.
“They dominate even in summer, although I must say we dropped a pastel collection over summer that did very well,” he added.
Next up, the mates want to focus on expanding the product range.
“We have quite an extensive colour range especially when comes to our women’s activewear range,” he said.
“We pride ourselves on continuing to develop the high end tech activewear side of things and continue to expand the range in lifestyle and streetwear like hoodies and trackpants for winter. There is no hidden secret formula to it, we are just making sure we do basic things right. It’s no secret that hoodies and black leggings are always the most popular.”
This year one of the biggest highlights for the boys has been seeing their products on multiple celebrities including singers Rita Ora and Miley Cyrus, reality TV superstar Scheana Shay from Vanderpump Rules and actor Eva Longori.
Business has also boomed as last year Elite Eleven revenue was $29 million and in 2021 it was $20 million.
“Everyone always dreams to be in a position like this, personally I never thought it would get to this and never so quickly,” said Mr Martiniello.
“Ben and I, being friends from a young age, always had fancy stories that we could build something that would have a legacy and for that to become a reality is very surreal and we are grateful for every moment.”