Zion and Xavier Dunaway started Southern Indiana Bait Co. while in high school
Note: A 2022 survey by Junior Achievement USA found that 60% of teens hope to start their own business one day rather than work a traditional job. This week, Southern Indiana Business Report talks with young entrepreneurs who started businesses in high school and looks at a few state and school programs that are teaching students about business ownership.
Carol Johnson, Southern Indiana Business Report
SALEM – Zion and Xavier Dunaway were two brothers who loved to fish when they started making fishing lures in their parents’ garage.
It was a hobby for the Salem teenagers, something to pass the time during COVID and make some spending money. Their customers were friends and people they met at bass fishing tournaments.
Winning a statewide pitch competition, Innovate WithIN, in 2021 changed all that and put their venture on a fast track from garage hobby to legit business.
Today, Southern Indiana Bait Co. has products in tackle shops in Kentucky, Indiana and Florida. They currently offer 16 styles of soft plastic fishing lures. The brothers pride themselves on customization; Zion has a spread sheet with 117 color recipes.
In December, the business had its best sales month to date and the pair’s business was recently featured in Entrepreneurship Indiana, an online magazine featuring business owners around the state.
Coming off back-to-back weekends at fishing expos in Tennessee and Indiana, Zion, now a freshman at Purdue University, said he and Xavier, a junior at Salem High School, continue to work at expanding the business, while also juggling school and part-time jobs.
It’s been 18 months since they won the 2021 Innovate WithIN and Zion said the experience is still paying off.
“Doing the pitch competition really opened our eyes. Until then, we just saw this as go out in the garage and make bait,” Zion said.
For the Innovate WithIN competition, the brothers had to make a video pitch and provide an overview of their business model including breaking down costs, detailing product innovations and their marketing strategy to a panel of judges. They won the regional competition and advanced to the state finals.
“There were about 300 people in the room. It felt like being on ‘Shark Tank,’ Zion said. “The other teams were so talented. After our presentation, we sat down and I said, ‘No way are we going to win.’”
When Southern Indiana Bait Co. was announced as the 2021 winner, Zion recalled, “I was the most shocked I’ve ever been in my life.”
For winning, the pair received $22,000 to invest in the business and they received scholarship offers to 11 state schools.
They also were awarded a business immersion trip to Arizona where they learned from other entrepreneurs.
A pitch and a passion
Southern Indiana Bait Co.’s baits cover the saltwater spectrum, small mouth, large mouth and spotted bass. And they just launched a new product for catching bluegill and crappie. They can offer 62 different color options for one style of bait.
The development of Southern Indiana Bait Co. is an example of how a business idea doesn’t have to be original or even intentional. The brothers aren’t the first to make fishing lures, but the Dunaways are carving out their niche with customization and baits that are more durable than those made with salt.
The fish might not be biting, but Zion said January to April is the busy season as the brothers travel to shows and anglers look to buy for the upcoming season.
A forestry major at Purdue, Zion is a member of the Purdue Bass Fishing team and works about 25 hours a week in a forestry job. He will graduate in 2026 and still plans to pursue a career in forestry.
Xavier handles the day-to-day business and their mom Pepper helps out with shipping and can operate the injection mold machine. Zion goes home on free weekends to make new product.
As Zion points out, it was Xavier painting baits with an air brush that led him to want to make tackle. In his sophomore year of high school, he spent $200 on equipment, posted a few pictures to social media of his lures and that was the beginning.
“I didn’t think of it as a business at that point. Then I couldn’t keep up with orders,” he said.
The brothers went 50/50 in the business, selling at fishing tournaments. In September of 2020, they applied for an LLC.
Garrett Ellis, who knew the boys from the school’s bass fishing club, was the teacher who encouraged the Dunaways to enter the pitch competition.
Zion was reluctant to enter. Ellis knew it was an opportunity they shouldn’t pass up.
He met with Zion.
“I asked him, ‘What is there to lose? If you win, you have access to capital to grow your startup. If you don’t win, you are still going through a rigorous Innovate WithIN competition and have the opportunity to sharpen your entrepreneurship skills,” Ellis said.
Zion agreed, to which Ellis replied, “Good, because I’ve already started to get a competition application ready for you!”
Ellis said watching two high school students succeed as entrepreneurs “has been awesome.”
“I really think their experience in the competition helped prepare them for the real world. The Innovate WithIN competition has a lot of problem/solution based thinking. Zion and Xavier both took that skill they have developed and are using that to power their brand,” Ellis said.
They invested their winnings in better equipment, allowing them to produce more product for less cost.
“I see these two boys succeeding at whatever they set their mind to. At the end of the day running a successful business takes an ever evolving set of skills and I am just glad I got to be a part of their journey!” he said.
Always learning
The successes have not been without disappointment and sacrifice.
The first outdoors show they attended, they barely sold anything and there have been a few design and color flops along the way.
“Stuff like that gets you down, but you keep going,” he said.
An academic adviser at Purdue once suggested Zion reduce his role in Southern Indiana Bait Co to focus on his academics.
“You truly have to have a passion for it. It’s a lot of nights staying up til 1 or 2 to do homework, but I can’t step away from it.”
Zion Dunaway
To view Xavier and Zion’s catalog of products, visit www.southernindianabait.com