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How Michelle Phan Built a $500 Million Beauty Empire: From YouTube Tutorials to Global Success

Michelle Phan has a fascination with pyramids. Not casually—she can recite obscure documentaries on Egyptian history, owns a pyramid-shaped copper meditation chair, and passionately argues that the ancient structures are far older than conventional history suggests, serving purposes beyond mere aesthetics.

"If I had to do it all over again, I'd probably become an archaeologist," she says with a tagline: "What does carbon tell us?"

We're in Ipsy Open Studios in Santa Monica, California. Phan's glam team debates lip colors to pair with an emerald blazer, overlooking her large gold medallion necklace until jewelry selection. "Oh, that?" Phan says casually. "It's a V-Sensor necklace that reduces electromagnetic energy from phones. Judge away—it's cool." Created by inventor Patrick Flanagan, the pyramid-adorned medallion claims to shield against harmful energies. Phan embraces sounding unconventional; she's long stopped caring about skeptics.

Her Vietnamese name, Tuyết Băng—meaning "snow explosion" or "avalanche"—fits her unstoppable drive, as her father noted. "If I see an opportunity others miss, it's because I'm always seeking ways to advance ideas," she explains.

Over the past decade, Phan has built a beauty and lifestyle empire. It includes Ipsy, a $500 million-valued monthly subscription beauty service; EM Cosmetics, repurchased from L'Oréal in 2016 for relaunch; and a YouTube network with over 200 influencers. She boasts 1.1 billion lifetime views, a Lancôme partnership as their first video makeup artist, and a book. Related: Video: Michelle Phan's Means I/O cover shoot

"I'm an opportunist," Phan says. As a child, lacking funds, she crafted a Barbie Dreamhouse from cardboard and sketched on phone book pages. "I don't see success as rare. Everyone can define and achieve their own version."

Her empire began with a 2007 Tampa living room video: "Natural Makeup Tutorial." Shot during her freshman year at Ringling College of Art and Design, it garnered 40,000 views in a week (now 11.6 million). Despite grainy quality and misspellings, her soothing voice and expertise shone. Photo by Jeff Katz

"You succeed based on everything life throws at you, good or bad—it shapes who you are," she reflects. Rejected from a L'Oréal mall job for lacking sales experience, she pivoted to self-reliance.

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An outsider who drew anime and blogged as RiceBunny on Xanga, Phan escaped instability. Born in Boston, her family chased construction jobs across cities, facing her father's gambling issues, evictions, and isolation. At 6, he left; they reconnected years later. Bullied for her Asian heritage in Tampa, she lived in a shared room with a sleeping bag bed.

"RiceBunny was who I aspired to be—happy, creative." Her online haven fostered support. Chambray blazer and belt: Raven + Lily; brown heels: Huma Blanco. Photo by Jeff Katz.

Videos exploded: smoky eyes, bigger eyes, Lady Gaga looks. Subscribers craved more. "No excuses—it's about hunger and purpose," she says. Using family lighting at 1 p.m. and iMovie, she obsessed over perfection.

Authentic connections built her community. Earning ad revenue—from 25 cents daily to $200 weekly—she quit waitressing. Lancôme called; Anna Wintour praised beauty bloggers. "Risk everything for what you believe," she advises, a lesson from hardship. Related: Are you ready to do whatever it takes?

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Makeup rooted in childhood: punished for wall drawings, inspired at her mother's nail salon, collecting Allure samples. "Mom made people feel beautiful." Not allowed makeup young, she experimented later, viewing it as art. "I'm a creator of beauty, using it as my palette."

Self-taught in art and piano, she devoured books. Motivated to spare her mother grueling shifts, she launched EM Cosmetics at 26, retiring her early. Photo by Jeff Katz

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Peak fame with Lancôme brought exhaustion. In 2015, burnout hit. Diagnosed depressed via quiz, she deconstructed: meditated, traveled phoneless, visited pyramids. "Like waking from the Matrix." No new videos since, focusing bigger. Related: How to turn your ideas into action

"Listen to your body for peace." Now balanced, she empowers others. "Save yourself, set the example." Photo by Jeff Katz

Petite yet commanding, the 30-something rejects labels, measures success by sweatpants days. "Empower everyone to solve problems, gain perspectives." Photo by Jeff Katz

"Trials forged me." From immigrant roots, she lived the American Dream yet sought deeper peace. Photo by Jeff Katz

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Ipsy Studios honors her past: polish walls, idea cabinets, Glam Bags. Beyond 1.5 million monthly bags ($10 for five algorithm-personalized items), she trains influencers. "Activate self-producers for meaningful jobs." Competing Birchbox, Ipsy raised $100 million in one round. "From beauty editors to community." Related: 4 changes to reach your full potential

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In her 'year of light,' Phan disrupts: opens studios free, envisions hybrid commerce. "Build trust, create opportunities." Legacy? Impact. "Imagine activating potentials."

"Life is a blank canvas—what you paint is up to you." Related: 5 steps to realize your dream life

This article originally appeared in the May 2017 issue of SUCCESS magazine.

Clothing credits: Blue Business Casual Look: Navy Blair Blazer (Reiko), Party at the Back Top (Dyspnea), Charlotte Boyfriend Jeans (BROCKENBOW), Wedges (Finders Keepers); Green Jacket Santa Monica Look: Gold Earrings (Vintage), Zoe 3 Ring Set (BYCHARI), Meal L/S Jacket (Noisy May), Kite-Back Button-Down Shirt (Silence + Noise), Salem Obi Belt (Raven + Lily), Reina Jeans (BROCKENBOW), Maribela Sunglasses – Huma Blanco (Thrifted); Blue Blazer Santa Monica Look: Party at the Back Top (Dyspnea), Reina Jeans (BROCKENBOW), Eliza Blazer (Raven + Lily), Maribela – Huma Blanco