Meet Paul Baek, CEO and Founder of MATTER OF FACT

Paul Baek is the founder and CEO of MATTER OF FACT, a clinical skincare brand focused on efficacy and innovation. He founded MATTER OF FACT in 2018 with the goal of developing novel delivery vehicles for well-researched ingredients. The first of these is a Vitamin C (ascorbic acid) technology that is able to solubilize high concentrations of ascorbic acid without the use of water, resulting in a highly stable, yet completely non-gritty and high-potency solution of Vitamin C. 

Prior to founding MATTER OF FACT, Paul was involved in the startup and technology spaces, having worked at Atom Factory (investor in Warby Parker, Spotify and Ritual, amongst others). He is also a former recording artist, with 4 major releases in South Korea. He received his undergraduate degree from Harvard University, his MBA from The Wharton School, a master’s degree in international studies from the University of Pennsylvania, and studied cosmetic formulation under the tutelage of a veteran product developer. 

Q: You have a very interesting background. How does a former K-pop musician get into the beauty sphere? Can you tell us a little bit about your journey and the inspiration behind the creation of Matter of Fact.

A: Falling down the rabbit hole that is skincare formulation was certainly a circuitous path. I suppose it’s worth noting that I grew up having spent time both around the lab and beauty products - my mother was a chemistry researcher (unrelated to skincare) and my father ran a small beauty supply store.

I started experiencing moderate to severe acne starting in my teen years, which made me self-conscious, and that was magnified further when I found myself in front of the camera after I signed a record deal in South Korea while attending university.

In some ways, working in Korean entertainment was tough - it’s a very image-conscious industry and the physical standards of beauty can be very exacting. I was told that I needed to get my skin “under control”. I was sent to the dermatologist, sometimes multiple times a week, for extractions, kenalog injections and light treatments. But I didn’t have much guidance when it came to daily care. 

This was 2008, so several years before there were the multiple, wonderful online skincare communities and content creators we have now. I got really lucky and met a veteran cosmetic formulator through an online science forum, who was volunteering her time to educate members about cosmetic formulation and research. She became a good friend and a mentor, and later on, my formal instructor.

I left Korean entertainment in 2013, went back to school to study business and international studies, and upon graduating was recruited to work at an early-stage investment firm. It was my introduction to the startup space, and it was incredibly eye-opening. Prior to that, I’d never considered starting a company, and didn’t think I was particularly well-suited to do so. In early 2018, encouraged by friends and former colleagues, and having enjoyed the topic of skincare and formulation as a personal passion for 10 years, I decided to take the plunge and founded this company. One of my first steps was to re-engage my old friend and mentor and formally learn not just the theory, but the nitty-gritty practice of cosmetic formulation. She was a wonderful, thorough and patient instructor to whom I owe my ability to formulate. 

Q: Without a background in cosmetic science, how did you create your Ascorbic Acid 20 Brightening C Serum, let alone patent it? Did you conduct the experiments yourself? Did you have a lab? Did you have a mentor in the industry? We have so many questions! 

A: Formulating the products myself was certainly a long, sometimes trying process. I’d love to say that my decision to do it myself was driven by an uncanny spirit of entrepreneurship, but really it was born out of necessity. For the first 2.5 years of the company’s life, it was completely bootstrapped and I simply didn’t have the capital to fully engage a formulary or contract manufacturer. What I did have was a few hundred dollars to incorporate the company so I could receive raw material samples, and a small amount of savings I could use to buy basic equipment and rent shared lab space for a few hundred dollars a month. Both of the products MATTER OF FACT has launched were developed during that time period, before I had any funding or financial support. What I did have was a clear sense of what I found to be frustrating about the ascorbic acid delivery vehicles I’d personally used. I was very focused on achieving 3 things in formulating a vitamin C serum: (1) making it waterless to increase stability; (2) making it completely solubilized in order to avoid a gritty, sandy texture; and (3) ensuring that I could achieve this with ascorbic acid concentrations of 15% and greater. If I could accomplish those three things, I knew the resulting formula would be fully differentiated.

In the case of our Minimalist Hydrating Cream, having very acne-prone skin that experiences dryness and sensitivity, my goal was to formulate something that was very nourishing and gentle, yet relatively light in feel. Getting it “right” required countless hours on the bench experimenting with every emulsifier, emollient, humectant, water-phase thickener, stabilizer and preservative blend I could get my hands on. It took a lot of trial and error, and, of course, time. In the end, the formula I liked the most was one of my simplest, hence the name, “Minimalist Hydrating Cream”.

In addition to having a wonderful mentor and formal instructor in cosmetic formulation, I was also lucky to have a few industry veterans and domain experts advise and guide me. I met my advisor Susan Goldsberry, renowned cosmetic chemist and beauty entrepreneur, at the very beginning of my journey. I’m still flabbergasted at the warmth and encouragement she showed me from the very beginning, when I had no formulas or funding. Dr. Tim McCraw, chemistry PhD and beauty innovation expert, has been such an incredible advisor and has taught me so much about clinical research, IP strategy, and claims substantiation, as well as what compassionate leadership looks like. Dr. Michael Garner, board-certified dermatologist and MATTER OF FACT’s medical advisor, has been such a valuable resource and always provides me with the much-needed perspective of a clinician who sees patients everyday. 

Q: What is unique about your Vitamin C formula from other brands?

A: As a skincare user, I’d noticed a few things when it came to Vitamin C (ascorbic acid) products that made them difficult for me to use. It seemed that the technologies available to me were asking me to choose 2 out of 3 qualities that I was specifically looking for: (1) excellent stability over time and under realistic use conditions; (2) high potency (15%+); and (3) cosmetic elegance (a completely smooth, non-gritty texture). I think our Vitamin C formula is quite unique in that it’s able to combine all three qualities into one product.

Q: Many of our readers have the ability to create formulas, concepts and ideas but may not know how to bring them to market. Could you share your learnings on how you created the brand, secured VC funding, and established things like influencer campaigns and media visibility for the product? 

A: To be completely honest, a lot of it was, and continues to be, trial by fire. While I was in the lab working on new formulas, I was simultaneously creating document after document around financial plans to understand how far I could take this with my very limited means, the pros and cons of licensing the technologies versus building a brand, and what I’d hope to achieve if I chose to build a brand. After taking it as far as I could as the only full-time employee in the first few years, I knew that I’d need to take in capital if I hoped to grow the company and team beyond just myself and my advisors.

I started fundraising in the spring of 2020, at the very beginning of the pandemic. It was a very rough start, as the prospect of investing in a pre-launch beauty brand was extremely far fetched for most investors. I think that our formulas and clinical data, combined with investors’ interest in new, defensible technologies, have helped us secure funding despite the challenges. I also feel that, despite my shyness, I became better at pitching over time, though I know there’s still much room for improvement. I’d encourage any founder to be patient with themselves, as fundraising takes time, and not to take rejection personally. (Easier said than done, I know!)

With regard to influencer partnerships and media visibility, we still have a long way to go and are still learning everyday, but I’m happy to share what we’ve learned so far. First and foremost, all credit should go to my (small but mighty) team - it would not have happened without them. They were sure to send the products to a long list of journalists and content creators far in advance of launch, in order for them to try the products firsthand. It was extremely helpful that we had several beauty editors and content creators who genuinely enjoyed using our products, and could communicate about them in a way that was true to their personal experience. Nothing groundbreaking, I know, but sometimes there isn’t a substitute for elbow grease and an enthusiastic spirit. 

Q: Your journey in the beauty industry is very inspirational. What is the one piece of advice you’d give a budding beauty entrepreneur? 

A: It is humbling to hear that anyone would be inspired by my journey, and I can only speak to my own experience, but I’d encourage beauty entrepreneurs to really embrace hard work and focus. There are always distractions in life - the temptation of taking an easier route; discouraging comments about the prospects of your business (even from well-meaning loved ones); other opportunities that look less risky and more predictable. My story, I know, is an unlikely and unusual one. To the degree that it was hard to understand, many people discouraged me from pursuing or continuing this endeavor, even those whom I knew to care about me personally. I have been asked whether it was lonely or scary for the first few years when I was working alone, sustaining the company on a shoestring, and having so few people believe in me, and yes, at times it was. But I think my expectation that the process would be difficult helped me to stay focused and motivated.

Q: How has your Korean heritage informed your perspective on beauty? Has it influenced your work approach or your worth ethic?

A: I’m not sure if it’s directly a result of my Korean heritage, per se, but my experience in front of the camera in Korea certainly helped me understand what it feels like to be visually picked apart, in minute detail, by other people. I think that kind of thing can easily make you feel very self-conscious, and it’s hard to say “what others think of my appearance doesn’t matter” when it’s literally part of your job to be visually pleasing to others. After leaving that world, I had to ask myself what I planned on taking from that experience, and thought a lot about what separates healthy self-care from destructive self-obsession. I think that has informed a lot of how I try to communicate with others about skincare - trying to set realistic expectations, sharing accessible and actionable tips, and trying to remind others that they are often their own worst critic. Beauty can feel incredibly disempowering, but it doesn’t necessarily have to.

Regarding my approach to work, I think that growing up with parents who immigrated with nothing and who worked tirelessly, often through difficult and harsh conditions, to provide for their children, had a huge impact on me. Again, I’m not sure if that’s something specific to my Korean heritage - it’s an experience shared by children of sacrificing parents around the world - but it’s certainly informed how I feel about work. To be able to earn a living through work that is safe and consensual, enjoyable even, is not something that everyone gets to experience. Remembering that helps me to stay diligent and grateful. 

Q: Aside from your own products, what other brands/products do you love and why?

A: There are so many. I enjoy using La Roche Posay’s Toleriane Purifying Foaming Cleanser. It removes my waterproof sunscreen with ease and I don’t find it to be stripping for my particular skin type. I also like and have used Kanebo Allie’s milk-type sunscreens for many years (most recently Allie Extra UV Perfect N; soon to be reformulated and renamed). I find the protection to be excellent and the formulas aren’t too whitening or shiny on my skin. I love Chemist Confessions and Dieux, not only for their excellent products but also their dedication to and passion for education. And of course Paula’s Choice has an array of products I’ve loved and used over many years, and has really paved the way for so many efficacy-focused brands, including MATTER OF FACT. I’m missing many, but these are some of the products and brands that I love and respect.

Q: What is the one beauty trend you hope will cease to exist in 2022? And the one you hope will flourish?

A: One thing that I hope to see less of in 2022 is fearfulness. I think it’s terribly disempowering for skincare users to make their decisions based on fear - for their safety, of social or romantic rejection due to their appearance, but also of “looking stupid” or “doing their skincare wrong”. At the end of the day, every skincare user is trying to maximize the chances that they’ll be happy with the products they purchase, and are trying their best to collect the information they need in order to do so. How can we make that process easier, more productive and more enjoyable?

In that vein, what I hope to see flourish in 2022 is more compassionate and respectful communication around beauty. Even if you don’t agree with your counterpart’s position, and especially if you find their position to be potentially harmful, is there a way to convey your stance in a clear, digestible manner that preserves everyone’s dignity and prioritizes respectful dialogue over “being right”  or a “gotcha” moment? It’s certainly a tall order that requires a great amount of patience and hope on everyone’s part, but what’s certain is that we’ll never get there if we don’t try.

Q: Where do you see Matter of Fact in 5-10 years? (e.g., will the brand venture into other product categories? Will it be acquired?)

A: I’m no fortune teller, but if MATTER OF FACT is lucky enough to still be around in 5-10 years, I hope that we will have sustained our focus on releasing efficacious products and dedication to clinical studies. Right now, I feel most confident in being able to achieve that within the realm of facial skincare, but perhaps we will have been able to expand into other categories without compromising these values in 5-10 years. In terms of an acquisition, that’s certainly the most common outcome for successful beauty brands that have survived for that length of time, but it’s not something I’m overly focused on right now. I do hope that in 5-10 years’ time, MATTER OF FACT would have solidified its place in our supporters’ hearts as a brand that’s not only dedicated to excellent products, but to warm, compassionate and helpful communication as well.