I Bought A Failing Snack Company For $250K — Now It Brings In $103M A Year

Summary

Charles Coristine, CEO of LesserEvil Snacks, shares his journey from Wall Street to the snack industry. He discusses the company's growth, transitioning from niche to mainstream products with better taste and health benefits. LesserEvil's success is attributed to vertical integration, unique popcorn popping techniques, and distinctive branding. Coristine's vision is for LesserEvil to become a long-lasting brand that makes people happy with its high-quality snacks.

Takeaways

• 🚀 Charles Coristine, CEO and president of LesserEvil Snacks, left Wall Street to run a snack company, driven by dissatisfaction with his previous job.
• 🌟 LesserEvil's success took off with mainstream products that were better than alternatives in terms of taste and health.
• 🔄 Becoming vertically integrated allowed LesserEvil to reinvest money that would have gone to co-packers back into the company.
• 🍿 The company's unique popcorn popping method, 'popping low and slow', results in a better mouthfeel and quality.
• 💸 LesserEvil reached $100 million in annual revenue in 2023 and is on track to do about $165 million the following year.
• 📈 Coristine's previous career in finance involved long hours and global trading, leading to anxiety and a desire for change.
• 🌿 The LesserEvil brand was inspired by Coristine's personal lifestyle shift towards meditation, clean eating, and vegetarianism.
• 🏗️ The initial challenge at LesserEvil was building processes and systems from the ground up, as nothing was in place.
• 💡 A pivotal moment was the decision to vertically integrate and control product creation and improvement, which was previously restricted.
• 🛒 The company tested product quality by leaving them in hot conditions, such as on top of a fridge, to ensure the ingredients like coconut oil remained stable.
• 🌱 LesserEvil's products resonated differently in various regions, with organic popcorn being particularly popular on the East and West Coasts.
• 🌍 Expansion into a larger facility allowed for additional production lines, marking a significant growth milestone for the company.
• 🌈 The brand's evolution included moving from the Happy Buddha to the Guru character for packaging, reflecting a more joyful and recognizable image.
• 📈 Coristine envisions rapid growth for LesserEvil, aiming for a 40-50% annual growth rate in the foreseeable future.
• 🎉 One of Coristine's greatest joys is seeing LesserEvil products on grocery store shelves, symbolizing the company's success and impact.

Q & A

Who is Charles Coristine?

Charles Coristine is the CEO and president of Lesserevil Snacks.

What was Charles Coristine's background before founding Lesserevil Snacks?

Before founding Lesserevil Snacks, Charles Coristine was working on Wall Street.

What was the turning point for Lesserevil Snacks' success?

The turning point for Lesserevil Snacks' success was when they started making more mainstream products better, appealing on taste.

How did Lesserevil Snacks become more profitable?

Lesserevil Snacks became more profitable by becoming vertically integrated, cutting out the margin that the co-packer was taking, and investing that money back into the company.

What is unique about the way Lesserevil Snacks pops popcorn?

Lesserevil Snacks pops popcorn really low and slow, which is an inefficient method, but it results in a better mouthfeel and appearance.

What financial milestone did Lesserevil Snacks achieve in 2023?

Lesserevil Snacks first hit $100 million in annual revenue in 2023.

What was Charles Coristine's daily routine like when he was working on Wall Street?

Charles Coristine's daily routine involved starting work at around 7:00 AM, trading until about 5:30 PM, then eating and sometimes trading in Tokyo, and occasionally in the middle of the night in London.

What lifestyle changes did Charles Coristine make that influenced the name Lesserevil Snacks?

Charles Coristine started meditating, eating clean, and becoming vegetarian, which influenced the name Lesserevil Snacks as it was synchronous with his lifestyle.

What was the initial challenge Charles faced when joining Lesserevil Snacks?

The initial challenge was building the company from the ground up as there were no processes, financial measures, controls, or personnel in place.

How did Lesserevil Snacks improve its product packaging?

Lesserevil Snacks improved its product packaging by changing the branding and design, which they believed was crucial for the product's success.

What was the significance of the coconut oil popcorn in Lesserevil Snacks' history?

The coconut oil popcorn, marked by a laughing Buddha on the bag, was significant as it introduced a product that used coconut oil which tasted like butter on popcorn, and it was a turning point in the company's product line.

How did Lesserevil Snacks expand its production capabilities?

Lesserevil Snacks expanded its production capabilities by renting a 20,000 square feet space nearby, which allowed them to add another production line for a total of three.

What is the meaning behind the 'Guru' branding on Lesserevil Snacks' products?

The 'Guru' branding represents various characters that the company emulates, initially inspired by historical figures and now including new figures created by the company.

What is Charles Coristine's vision for Lesserevil Snacks' future growth?

Charles Coristine envisions Lesserevil Snacks growing at 40-50% a year for the foreseeable future.

What does Charles Coristine consider one of the biggest thrills of his job?

One of the biggest thrills for Charles Coristine is going to the grocery store, especially with his daughter, and seeing Lesserevil Snacks' products on the shelf.