"It seems that a lot of jeans companies that do well go into a new category too fast," Rudes said. "When we launch our sportswear, it will have to be treated like a whole new business for us. We aren't looking to have our sportswear compete with our denim."

Even before the sportswear line goes into development, Rudes said he is on track to launch a higher-end jeans brand called R.a.C by J Brand (the R and C stand for Rudes and Crippen). Bowing in Barney's New York this fall, the collection consists of tailored jeans that highlight new fabrics Rudes and Crippen worked to develop with their Italian factories, and intricate characteristics such as finished inseams and taping details along the waistband. The R.a.C line will be priced about 25 percent higher than the existing J Brand line.

In addition to these new efforts, Rudes and Crippen said they seek to reward their 42 employees as well as those who sell their jeans in the stores.

Each sales representative in the stores receives a free pair of J Brands as well as a booklet of "designer's notes" that detail each style, fabric content, what customer they would look best on and advice on what to wear them with.

"We really want the people who are selling our jeans to be wearing them," Rudes said. "And it's also very important that they are knowledgeable about our products."

Rudes and Crippen said they are working with consultants to help them provide a better work environment. Each year, the partners allow their employees to choose a charity to which the company donates money. They soon will begin office lunches in which everyone has to stop what they are doing and join in at a large table. Post-lunch, there will be 15 minutes of required quiet time. Crippen said she also is exploring in-office yoga classes.

"It's just so important to have a happy working environment," Crippen said. "Without that, you have nothing."