From Kitchener to Stardom: The Journey of a Startup Thriving in the Creator Economy

Makeship, a tech startup founded in 2018 by Rakan Al-Shawaf and Wang (Kevin) Tao, has rapidly transformed from a small team in Kitchener, Ontario, to a thriving company with over 65 employees and a headquarters in Vancouver. Initially focusing on helping online content creators produce limited-edition plush toys through crowdfunding campaigns, Makeship has leveraged this unique niche to build a flourishing business without incurring debt or seeking external funding.

Landon Brett, the Chief Operating Officer, highlighted the remarkable growth of the company, stating they began with only $8,000 and reached eight figures in profit by 2024. Makeship has primarily catered to creators within the gaming and animation communities, who often struggle to produce and sell merchandise. By managing the entire process—from design to manufacturing and logistics—Makeship has enabled creators with small but dedicated followings to monetize their brands. Creators with as few as 50,000 subscribers have successfully sold over $100,000 in merchandise annually.

The choice to specialize in plush toys was strategic; these items were not common in the creator economy and allowed fans to engage physically with their favorite creators. According to Brett, having a tangible product enhances the connection fans feel with creators, adding a special dimension to their support. The company’s crowdfunding model plays a pivotal role in its operations, allowing the production of items only if enough fans pre-order them, thus minimizing financial risk and ensuring that creators are not left with unsold stock.

To date, Makeship has distributed more than $20 million in payouts to creators and has achieved landmark sales, with some campaigns hitting over $2 million. As Makeship expands, it has increased the variety and scale of creators it collaborates with, moving into other product lines such as apparel. However, rapid growth has not come without challenges. Brett noted that the startup's agility is crucial for responding to both internal and external pressures. Last November, Makeship had to quickly adapt by offering new services, which required maintaining the trust and confidence of their creators.

To enhance their offerings, Makeship is now providing top creators with custom storefronts, analytics, marketing support, and early access to new product types. Despite its growth, the company remains committed to creators with strong community followings, regardless of their size. Brett emphasized the importance of trust in the creator-fan relationship, stating that creators serve as conduits for their audiences.

Makeship credits much of its early success to the tech ecosystem in Waterloo Region, benefiting from local entrepreneurial support networks like Communitech and Velocity. Being part of Team True North further recognizes Makeship's position among Canada's top-performing tech firms with ambitions for significant economic impact.

Looking forward, Makeship has set an ambitious goal of achieving $100 million in annual revenue within the next three years. Brett expressed confidence in this target, framing it not as a question of "if," but "when." With its innovative approach and solid foundation, Makeship is poised to continue its impressive trajectory in the tech industry.