About the Company

State Bicycle Co. offers a wide range of bicycles, clothing, and accessories, aiming to provide attractive and affordable options for cycling enthusiasts. The company operates primarily through online sales, supported by a global network of over 400 bike shops. Since its launch in 2009, State Bicycle Co. has grown into a leading player in the cycling industry, with a strong reputation for quality products. The Farsi brothers’ background in business management and marketing, combined with their passion for cycling, allowed them to identify a gap in the market for high-quality, affordable bicycles and to create a brand that speaks to riders of all types. With a focus on both performance and aesthetics, State Bicycle Co. has built a loyal customer base and is now a well-known name in cycling circles.

Idea Behind Company

The idea for State Bicycle Co. arose when the Farsi brothers, while in college at Arizona State University, became interested in fixed-gear bikes. They found that there was a lack of affordable, attractive complete bikes on the market, particularly for riders who wanted quality without the high price tag. Recognizing this gap, they decided to launch a business that would offer affordable bicycles without compromising on design or performance. They already had experience running a business importing furniture, which gave them the connections and skills necessary to start their new venture. With no outside investment and a strong passion for cycling, the brothers took a risk and began working on their dream of creating State Bicycle Co.

Creating the Company

Creating State Bicycle Co. involved a lot of groundwork, particularly around manufacturing. The brothers faced challenges in designing and producing bicycles, which involve numerous components from different suppliers. They identified which parts they could produce in-house and which ones needed to be outsourced. Manufacturing required coordination with multiple suppliers from different countries, including Taiwan, China, Thailand, Vietnam, and the United States. The process of sampling, factory visits, and refining the bike designs took over a year and a half before the first batch of bicycles was ready. Despite the difficulties, the brothers were committed to creating a product that met their high standards of quality and design, laying the foundation for the brand's future success.

Launching the Business

The launch of State Bicycle Co. began when the brothers received their first order of bikes. Without a website in place initially, they started by selling bikes directly to friends, family, and local students in Arizona, using platforms like Craigslist and eBay. The first batch of 140 bikes sold quickly, and the brothers reinvested the profits to order a second batch of 300 bikes. While waiting for the new bikes to arrive, they built a website and began running paid ads on Google to attract more traffic. They also invested in high-quality photography to help convey the value of their products, knowing that online shoppers could not physically touch the bikes. The combination of quality products, word-of-mouth marketing, and effective online presence helped establish State Bicycle Co. in the competitive cycling market.

Earnings

State Bicycle Co. now generates approximately $1 million in monthly revenue, a testament to its success over the past decade. The company has grossed over $50 million in lifetime sales and has sold more than 100,000 bikes. The growth of the business is largely attributed to its focus on quality, customer satisfaction, and strategic marketing. In addition to selling bicycles, the company has expanded its offerings to include a wide range of accessories, clothing, and parts, becoming a one-stop-shop for cycling enthusiasts. Social media plays a crucial role in attracting and retaining customers, with nearly 1 million followers across various platforms. Collaborations with brands like Wu-Tang Clan and The Simpsons have also broadened their reach and introduced State Bicycle Co. to new audiences.

Looking to the future, State Bicycle Co. aims to continue growing by expanding its product offerings and further increasing its presence in the cycling community. The company plans to broaden its focus from urban cycling to also include recreational trail riding. The COVID-19 pandemic has increased interest in cycling, and the brothers are excited to capitalize on this increased demand with new product releases. They also plan to continue building their brand by sponsoring talented riders and collaborating with iconic brands. State Bicycle Co. is committed to maintaining its reputation for quality, which they believe is key to customer loyalty and continued success. The Farsi brothers also emphasize the importance of taking risks early on, staying lean, and being resourceful in order to achieve long-term profitability.