Beyoncé, Gwyneth Paltrow, Eva Longoria – celebrity brands just keep coming. Why TV and movie stars are launching their own businesses

“It’s a lot of work,” Longoria says, “but I really enjoy the work.”

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Actors and actresses make up the biggest group of retail business owners in the entertainment industry, the study found.

“In some ways, it maybe is a little surprising that it didn’t happen sooner,” Olav Sorenson, a sociologist at The University of California, Los Angeles, says about performers starting their own businesses. “There’s obviously a lot of power in celebrity endorsements. Why not endorse your own products?”

Although the practice of film and TV stars leveraging their fame to sell a product is nothing new (it dates back to the 1800s) and working actors and actresses have traditionally supplemented their income with side jobs, a significant number are now launching their own brands instead of endorsing or partnering with existing companies.

Plus, there is a bigger cut for talent with a higher stake in a profitable business.

“Why should the celebrity be willing to take a few 100,000 or maybe even a few million dollars for their endorsement, when they’re responsible for the success of the product?” he says. “By taking on a little bit of risk … they potentially own 60, 70, 80 per cent or more of the product.”

Mowry recalls not being permitted to make certain recipes while hosting her Food Network show Tia Mowry at Home because they “didn’t speak to” the network’s audience. Now Mowry has the freedom to cater to her own audience through her webseries Tia Mowry’s Quick Fix and 4U.

“I’ve been in this industry for such a long time,” Mowry says. “When you’re working for someone, you’re boxed in.”

“For me to have my own brand … I am able to make decisions that I know my audience will like,” which has led to greater success, she adds.

In addition to providing more creative license, actress Dominique Fishback says running her own business has allowed her to operate on her timeline, instead of being constricted to another company’s schedule.

“Sometimes when we wait for a partnership, or wait for somebody else to give the go-ahead or to agree to come on board, it holds up whatever it is that you wanted to do,” Fishback says. “And so I thought, ‘Let me just do it now.’”

The actress launched her business – an online journal and apparel shop called Be Yourself, Love – earlier this year with the help of her loved ones. She made a conscious decision to go into business with people who “cared about the brand and the mission, but cared about the person more”.

“I don’t know what’s gonna happen or how big it’s gonna get,” Fishback says. “But you have to start somewhere.”

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Paul Yoo, head of ventures and licensing at United Talent Agency, says the starting point for all of their clients who want to launch a business is passion. Typically, talent will approach Yoo’s team with an idea, having already “deeply thought about where their creative efforts can live in another medium”.

Then the agency helps them bring their idea to fruition by providing them with the practical tools they need to run their business, as well as access to experts who can “handle the execution of their vision”, Yoo says.

A key part of that process, Yoo explains, is identifying a “reason to exist” – or a void in the marketplace that the talent can fill – and analysing what competitors are already doing in that space, to give their client’s brand a better chance to succeed.

The “reason to exist” factor was top of mind for Mowry when developing 4U. After cutting off her chemically straightened locks and embarking on her natural hair journey in 2012, she struggled to find products that met her specific needs.

Enter Mowry’s 4U, billed as a textured curl care line that uses sustainable ingredients, from rosemary and sea moss to flaxseed and watermelon extract.

In addition to working with scientists to develop formulas that were “natural and safe and clean”, Mowry was heavily involved in the branding process for 4U.

For example, she came up with the idea to display the “star ingredient” on the front of the bottle so customers could make informed decisions about what they were putting in their hair.

“I wanted to make this line accessible,” Mowry says “I’m passionate about everybody having the right to have access to healthy, clean, good products.”

As a business partner, the Slumdog Millionaire star is among the first to test new products for Rookie Wellness and offer feedback that is incorporated into the final version.

Pinto was concerned that one particular Rookie Wellness product – Wake, a fruity energy supplement meant to be taken in the morning – tasted too sweet. Adjustments were made, and Wake is now the company’s most popular item.

Top Hollywood talent agencies have recently created entire departments devoted to supporting their clients’ entrepreneurial activities and ambitions.

“It’s never been easier to start a company,” Yoo says. “For those that are really thoughtful about building it for the long term, they’ve seen outsize rewards. And as a result of all of those things happening, we’re continuously seeing a spike in demand.”

Of course, a celebrity name does not guarantee success. Last month, Kristen Bell and Dax Shepard’s baby product line Hello Bello filed for bankruptcy, and numerous celebrity restaurants and clothing lines (actress Natalie Portman’s Té Casan shoe line and singer Britney Spears’ Nyla restaurant, to name two) have failed over the years.

Even the wealthiest celebrity brands – such as the Honest Co. and Goop – have faced their share of controversies and legal woes.

Still, actors and other entertainment luminaries continue to take the leap of faith in hopes that their business endeavours will not only survive but thrive in the booming celebrity-brand economy.

“I thought it was important for my community – meaning the diverse community – to see that something like this can be done,” Mowry says.

“I wanted to be an example … if you have something – a dream, a passion, something on your mind – it can be done.”