Why this founder shut down his $250k juice biz

Sometimes the best thing an entrepreneur can do is choose themselves over their business.

That's exactly what Jermale Eddie did when he made the difficult decision to close Malamiah Juice Bar, a successful Grand Rapids juice bar that he had built from zero to $250,000 in annual revenue in just two and a half years.

Let's dive into how Jermale built Malamiah Juice Bar and the growth strategies that led to its success, even though the business eventually closed its doors.

The Story of Malamiah Juice Bar

Before Malamiah Juice Bar

Jermale's path to entrepreneurship wasn't linear. He studied to become a teacher at Grand Valley State University, worked in higher education enrollment, and even helped plant a church in Texas. These experiences might not seem helpful with a juice bar, but I’ll explain how they are later.

In 2013, Jermale found himself back in West Michigan working a job that didn’t allow him to be creative. While watching a Netflix documentary about juicing with his wife, they both independently came to the same conclusion - Jermale should start a juice bar. The idea aligned with two of his passions: addressing health disparities in the Black community and finding a creative outlet.

The start of Malamiah Juice Bar

Most entrepreneurs would start small - perhaps with a table at a park and a juicer, as Jermale's mentor suggested. But as Jermale put it, “I’m going to do it, I’m going to do it”. Despite having no money (and overdraft fees in his account), he decided to go straight for a retail location at the Downtown Market in Grand Rapids.

"We didn't have any money when we started this," Jermale said. "I believe that I did a good job of making it seem like we had the money when talking to those at the downtown market and kind of walking and talking the talk. I remember showing up with a clipboard, work boots, hard hat, tape measure... I can't read a tape measure. I'm like writing stuff out (probably write X's and O's), but I looked the part."

By looking the part and having a solid plan in place, Jermale secured a business loan just 45 minutes before he had to sign the lease at the Downtown Market.

Growth and Evolution

Starting Malamiah Juice Bar at the Downtown Market worked out and for five years, Malamiah thrived with a captive audience. However, changes at the market - including restrictions on what they could sell and challenges with growing their own produce - led Jermale to make a bold move. In 2019, he relocated the business to Studio Park, a new development in the heart of downtown Grand Rapids.

The timing couldn't have been worse. Three months after their grand opening at Studio Park, COVID-19 hit. With their business model heavily dependent on foot traffic, they had to pivot quickly. They shut down for a day and implemented new procedures. They even ended up doing their own deliveries, with Jermale himself serving as the delivery driver.

Post-COVID, they attempted to expand with a second location and even secured a promising partnership with the YMCA in Downtown Grand Rapids. Their YMCA location was even outperforming their main Studio Park store at times, leading to discussions about expanding to all West Michigan YMCA locations. However, the YMCA ultimately declined this expansion plan and it marked a turning point for the business.

The Decision to Close

With their growth strategy with the YMCA being closed and Jermale being burned out, Jermale made the decision to shut down Malamiah Juice Bar. As he explains, "I chose me. I chose my mental, emotional wellbeing. I chose my physical wellbeing. I chose my family because for 10 years, I chose the business."

This isn’t all doom and gloom either. Jermale is now taking care of himself much better, is coaching other businesses at SpringGR to grow past $250,000 in revenue, and even takes time to watch the birds in the morning.

Growth Strategies of Malamiah Juice Bar

All three of these growth strategies are similar. They all fall under the umbrella of “borrowing audiences”. Let’s dive in to the three main ways Jermale used this tactic to grow Malamiah Juice Bar.

1. Location-Based Audience Building

Jermale understood the power of strategic location selection. At the Downtown Market, Malamiah benefited from what he calls "power in numbers." As he explains, "When you're in the midst of so many other great businesses who also have wonderful products and believed in their products, you attract some of their customers too."

This strategy continued with their move to Studio Park, where they could tap into audiences from the movie theater, apartment buildings, and nearby arena. The location strategy wasn't just about convenience - it was about accessing complementary audiences that could become customers.

2. Educational Outreach

Drawing on his background in education and church planting, Jermale created the "Juicy Education Program." They would visit schools to teach children about fresh produce, juices, and smoothies, offering demos and samples.

The program was cleverly designed to create multiple touchpoints: "If you're an elementary student or middle school student, you couldn't get to the downtown market without your parents," Jermale explains. "So now the parents are bringing you and oh, they're buying something too... it was almost like getting a two for one."

3. Local Media Relationships

Jermale built strong relationships with local media outlets, understanding that while these publications might have smaller reach than national outlets, they offered highly targeted exposure to their exact market. This consistent local media presence helped build credibility and provided the multiple touch points needed to convert awareness into customers.

Typically, you have to be in front of a potential customer at least 7 times before they buy something and local media helped them create that consistent reminder to potential customers.

Key Risk - Partner Risk

Since Malamiah Juice Bar’s story is different than most business deep dives (they shut down rather than continuing operations), it's worth discussing a key business risk that contributed to their closure: partner risk.

Partner risk occurs when a business becomes too dependent on specific partnerships. For Malamiah Juice Bar, their growth strategy heavily relied on their YMCA partnership. When the YMCA decided not to move forward with the multi-location expansion, it effectively halted Malamiah Juice Bar's growth plans.

As a founder, you can recognize these risks and accept that if certain partnerships don't work out, it's okay to step away. That’s not necessarily a bad outcome in the long run.

However, for businesses looking to continue operations even when key partnerships fall through, there's a concept called risk portfolio diversification. Think of it like this: instead of relying on one gym partnership like the YMCA, a business could develop relationships with multiple gyms or complementary businesses. That way, if one partnership ends, the business still has other avenues for growth.

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Will you have all of this risk diversification in the beginning of your business? Not at all. As you grow your business though, it’s something to definitely keep in mind and develop over time.

If you want to learn more about Jermale, you can find him at SpringGR or on LinkedIn here.

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