Question
How did the founder of Freshly go from $15 and debt to a $1.5 billion exit?
Response
The Freshly founder, Michael Weistrach, started the business at 35 with $15 in his bank account, after an earlier company had gone bankrupt and left him about a million dollars in debt. He said that pressure gave him urgency: he had three years to pay the debt off, and he saw that the business already had some product-market fit, so he went all in. He grew it to $550 million in sales in a little over five years, almost all of it through Meta ads. He took on many investors and started with full ownership, but when he sold for $1.5 billion he owned about 10%. He argued that giving up that 90% was what made the exit possible, because it brought in the people who helped build it. He credited relentless data focus, asking questions rather than pitching, and simply working harder than everyone else.
Sources & references
- 01Asking NY Billionaires If They Believe in God!7:19(opens on YouTube in a new tab)
I had $15 in my bank account when I started the business. I was 35 when I started it.
- 02Asking NY Billionaires If They Believe in God!7:32(opens on YouTube in a new tab)
I had a million dollars in debt that I had to pay off. So nothing like that sense of urgency. I had three years to pay it off. So I had a great idea. We'd already had some product market fit and I said, well, we got to go.
- 03Asking NY Billionaires If They Believe in God!8:29(opens on YouTube in a new tab)
We built a $550 million company in 5 years, almost 99% on meta because we were the absolute best.
- 04Asking NY Billionaires If They Believe in God!9:09(opens on YouTube in a new tab)
Sold the business for 1.5 billion, owned 10% of it.
- 05Asking NY Billionaires If They Believe in God!6:57(opens on YouTube in a new tab)
I'm not the smartest. I'm not the best looking, but I'm the hardest working.