Author Daniel H. Pink described the company's business model as "expressly built for purpose maximization," whereby Toms is selling both shoes and its ideal. Toms' consumer market are purchasing shoes and also making a purchase that transforms them into benefactors for the company. Another phrase used to try to describe the business model has been "caring capitalism". Part of how Toms has developed this description is by incorporating the giving into its business model before it made a profit, making it as integral to the business model as its revenue generating aspects. Business tycoon and Virgin Group founder Richard Branson wrote of the company's business model in his book Screw Business as Usual, "They look for communities that will benefit most from Toms based on their economic, health and education needs while taking into account local business so as not to create a correlating negative effect." He also commented on Toms' expansion into eyewear in order to help the nearly 300 million people who are visually impaired in developing nations.
Employees of TOMS travel to different countries on "Giving Trips" to deliver shoes to children in person. In 2006, Toms distributed 10,000 pairs of shoes in Argentina. In November 2007, the company distributed 50,000 pairs of shoes to children in South Africa. As of April 2009, Toms had distributed 140,000 pairs of shoes to children in Argentina, Ethiopia, South Africa as well as children in the United States. As of 2012, Toms has given away over one million pairs of shoes in 40 countries.
Shoes have been given to children in 70 countries worldwide, including the United States, Argentina, Ethiopia, Rwanda, Swaziland, Guatemala, Haiti and South Africa. Toms are sold at more than 500 stores nationwide and internationally, including Neiman Marcus, Nordstrom, and Whole Foods Market, which include shoes made from recycled materials.
The major mission of Toms is that a business, rather than a charity, would help their impact last longer. In his speech at the Second Annual Clinton Global Initiative Mycoskie states that his initial motivation was a disease called podoconiosis—a debilitating and disfiguring disease which causes one's feet to swell along with many other health implications. Also known as "Mossy Foot", podoconiosis is a form of elephantiasis that affects the lymphatic system of the lower legs. The disease is a soil-transmitted disease caused by walking in silica-rich soil. Toms currently works with factories nearby where they perform some of their shoe drops.
Toms markets shoes using an espadrille design and a one for one business model — where with one purchase of a pair of shoes, the company also gives one pair to a child without shoes. With eyewear purchases, part of the profit is used to save or restore eyesight for those in developing countries. The company launched TOMS Roasting Co. in 2014, and with each purchase of TOMS Roasting Co. coffee, the company works with other organizations, referred to as "giving partners", to provide 140 liters of safe water, equal to a one week supply, to a person in need. In 2015, TOMS Bag Collection was launched to help contribute to advancements in maternal health. Purchases of TOMS Bags help provide training for skilled birth attendants and distribute birth kits containing items that help women practice safe childbirth.
Toms' business model is known as the "one for all concept" model, which is referring to the company's promise to deliver a pair of free shoes to a child in need for every sale of their retail product. The countries involved have included Argentina, Ethiopia, Guatemala, Haiti, Mexico, Rwanda, South Africa and the United States. The business has grown beyond producing shoes and has included eyewear and apparel in Toms product lines. The company uses word-of-mouth advocacy for much of its sales, centering its business focus on corporate social responsibility. Part of this model originally involved a non-profit arm called "Friends of Toms" that recruited volunteers to help in the shoe distributions in foreign countries. Toms trademarked the phrase "One for One" to describe its own business model. Toms has received criticism from the international development community  who have stated that Toms' model is designed to make consumers feel good rather than addressing the underlying causes of poverty. Criticisms have also included whether or not the shoe donation is as effective as a monetary donation to other charities. Toms responded to this criticism by moving 40% of its supply chain for shoe donation to countries they actively give in. Toms presently manufactures shoes in Kenya, India, Ethiopia and Haiti.
Mycoskie sold his online driver education company for $500,000 to finance Toms shoes. The company name is derived from the word "tomorrow", and evolved from the original concept, "Shoes for Tomorrow Project". Mycoskie initially commissioned Argentine shoe manufacturers to make 250 pairs of shoes. Sales officially began in May 2006. After an article ran in the Los Angeles Times, the company received order requests for nine times the available stock online, and 10,000 pairs were sold in the first year. The first batch of 10,000 free shoes were distributed in October 2006 to Argentine children.