 |
|
|
|||||
Pinky Cole, founder of the plant-based food chain Slutty Vegan, shares the details of a recent professional upheaval in which she lost control of her companyand then fought to win it back. She also opens up about surviving a harrowing driving incident, the business mistakes that nearly brought everything down, and the emotional and family toll of it all. Its a raw, unfiltered look at leadership under pressureand what it takes to rebuild when everything falls apart. This is an abridged transcript of an interview from Rapid Response, hosted by Bob Safian, the former editor-in-chief of Fast Company. From the team behind the Masters of Scale podcast, Rapid Response features candid conversations with todays top business leaders navigating real-time challenges. Subscribe to Rapid Response wherever you get your podcasts to ensure you never miss an episode. We last spoke on stage at the Masters of Scale Summit in October of 2024. And things seemed to be hummingyou had new stores, there were some high-profile collaborations, and we talked about investors, including Shake Shack founder Danny Meyer, a great mentor to have. And then everything turned a little bit. Take us back to last fall, how you were feeling about the business, and what unfolded as the year finished out. I want to preface this conversation as a cautionary tale for founders. When I talk about my journey and the things that I’ve been through, I have seen a massive amount of success. I have gotten the title of every single magazine you could imagine. I’ve graced all the lists. I’ve gotten all of the things. But what I also realized is that it didn’t come without challenges. And just like all things go up, some things do go down. And when I met with you, Bob, I was in the middle of one of the most powerful yet crunching seasons of my life. Here it is: I’m still making double-digit millions, doing very well as an organization by way of revenue, but operationally, I was not sound. And because I was not sound, the ship was sinking. It started off with a slow sink, and then eventually that ship went all the way under. And there’s no way to save a ship that’s got 10 holes in it. No matter how many buckets you try to get to push the water out, whatever effort that you try to do, there was no way to save it. I went from having challenges with cash flow. You know how it goes, Bob. If the cash flow doesn’t make sense, then the business can’t make sense. And all of these things happen really, really fast. Some people think that it’s like a slow roll. No, it’s just like one day you’re good, and the next day you’re not. And after I did the taping with you, it got real. And real as in I had to file for an assignment for the benefit of creditors. And for the people who are listening to this: If you don’t know what that is, that is like bankruptcy’s fourth cousin far removed. It is an insolvency proceeding that happens outside of court when a company or organization, the revenue doesn’t speak to the debt that it has. My debt was above the revenue. Here I am, overall, I got about $20 million in debt. I’m burning $100,000 every single week. That is taxing on any entrepreneur, especially when you have a board that, at this point, they’re like: “Okay, how did we get here? What happened?” And when I look back over everything, I wasn’t in the company day to day. I’m the mascot. I’m the thought leader. I’m doing all these things, putting people in position. We did a lot of great things collectively as an organization, but there were some learning curves there. And what I’ve learned from this experience is that talent is the root of all evil or is the foundation for your success. You want to have a really good organization? You’ve got to have really good talent. And I’m not just talking about people that look good on a résumé. I’m talking about people who can roll with the punches, who are great problem-solvers, who can look at an organization and identify ways in which to make it better. It’s not enough just to say that you worked at a company that was successful. No, you’ve got to come in this one and make sure that this one is successful. A lot of learning there, to say the least. I want to ask you a couple of questions about that turn that happenedyou mentioned losing $100,000 a week. Now you could say, “Well, that’s the plan. We’re going to invest $5 million a year to build a brand.” That it’s part of what the strategy is. It doesn’t sound like that’s where the losses were coming from. Was there a single primary business problem, or was it like a group of things? It was a group of things. The model has always been proven; we have a good business model. We have a cult following. People love the brand. That wasn’t what it was. What happened is, in the middle of the pandemic is when we got our rise. Could you imagine we raised $25 million and then inflation is through the roof? What would cost $600,000 to open up a Slutty Vegan cost almost $1 million to open up a Slutty Vegan. We opened up 14. We were very ambitious with our goals. On the surface, the business was very buttoned up, very organized. But the reality of it is, we were a bit above our britches. Our C-suite was super expensive. We were paying top dollar for construction and opening up locations. We had one location in particular where it took us four months beyond the completion date to get opened because of permittingobviously, that cost money. All of the things just came together, and it became a domino effect. I had three babies in three years. I had a baby in ’21, I had a baby in ’22, and I had a baby in ’23. And I got married, and I’m doing all of these things. And when I started this company, I never coined myself as an operator. I’m not a restaurant operator. I’ll tell the truth. But this has always been a passion project for me, so what I do very well is, I market my business very well. I know how to connect the dots, and I can bring people together. So I brought in people who I thought can manage the operations. And did they do good work? Sure. I’m a professional, sure. But at the end of the day, the level of acumen that we need for the momentum that we have, I needed somebody else. But I want to say that I needed that to happen at the moment in time in which it happened, because it gave me the opportunity to, one, clear my cap table, two, clear the debt. And then it gave me an opportunity to buy my company back and rewrite my story. The one thing about entrepreneurship is that nobody tells you that it has to be a straight line. You’re going to get some curves, there’s going to be some speed bumps, and you’re going to flip over a couple of times. But as long as you keep driving, that is where you get the juice. And I’ve been thirsty for this new juice of 2.0 in Slutty Vegan, and that’s bringing in a new president, bringing in a new accounting frm, bringing in a new HR team, even down to the damn assistanteverything new. And I wanted to be able to rewrite the story in a way where not only just I could feel good about myself aspirationally, but founders around the world can look at my story and know what to do, and know what not to do, because Pinky went through it.
Category:
E-Commerce
Most things in the world are complicated, and identity more than most. Everyones sense of self and purpose is a combination of shifting internal and external ingredients, and it’s never permanent: Brain chemistry, physical environment, family structures, life experiences, material conditions, and many other things all mix and change as we move through different phases of life. And while the factors that contribute to individual identity are unique to each person, the society we’ve built over the past century or so has resulted in some notable commonalities. Traditional support systems have changed, community activities have shifted toward individual ones, and even the quick fulfillment of consumerism has started to lose its appeal. The result is that even as it’s arguably become easier to secure material well-being, work has become the main way many people form their sense of self. For them, work is a reason to get up in the morning, a substitute family, and the way we accomplish something meaningful with our lives; for many, answering “What do you do?” is often very similar to answering “Who are you?” Integrating AI into the workforce adds new complexitiesbut also new opportunities I’ve seen this in many of the organizations I work with, including the company I lead at the forefront of AI. By introducing a technology with such immense transformative potential into the workplace, we’re faced with a deeper matter than just rethinking the ways we work: AI also challenges our fundamental sense of self. We’re all reevaluating our purpose, our standing in society, and ultimately our value; what’s more, we’re doing so individually as well as collectively, and on a rapid time scale. There are no easy answers, which can result in a hugely polarized workforce. Some employees react to the introduction of AI into their day-to-day processes with anxiety or outright resistance. But what business leaders can’t lose sight of is that the fears they hear aboutfor example, that AI could make roles obsolete, that human creativity and judgment will be lost, that long-term career prospects will become untenableare actually expressions of deeper concerns. The real resistance to AI originates from the uncertainty over rethinking who they are and who they will become, not just from ethical hostility to new technology. It’s an emotional reaction, not a logical one. We’re also seeing an extreme opposite reaction, a huge movement of people welcoming the “identity crisis” AI is bringing with it. Plenty of employees are adopting AI with urgency, desperate to be given the go-ahead to embrace it fully and to do more with it. Some people are just more comfortable with reinvention, carving out new roles, and exploring ambitious new paths. These are some of the best allies the leader of an AI-implementing organization can have. There are also plenty of angles in between these extremes, such as those who use AI but carry with them shame around admitting that theyve used the tech in a piece of work. However, as we’ve seen with other initiatives, incorporating a full range of identities and beliefs makes for a stronger organizationand that includes attitudes toward AI. Make AI personal and purposeful What those at the forefront of AI adoption really need to consider is how the people around us can come to feel that the technology can enhance their conception of themselves, not detract from it. It’s a question of framing and communication more than tools: As leaders we must foster the support, skills, and environment every employee needs to identify meaningful new goals and work toward them. It’s a tough switch, but one that’s perfectly possible if you approach it with genuine understanding and a commitment to transparency. Leading by example and setting the bar high is an approach I’ve found to be particularly inspirational here: Putting things in historical perspective helps the mindset of ambitious, meaningful goals take hold. Just think about how the technology to automate food production allowed us, remarkably quickly, to turn humanity toward putting a person on the moon. What achievements that previously seemed impossible can we make a reality if we all adopt AI? So addressing why some employees are actively resisting AI means addressing mindsetsand changing them with empathy, openness, and optimism. If successful, today’s business leaders can reframe AI as a way to accelerate how we conceive our own value, elevate the purposes we strive for, and unlock an even more fulfilling sense of self.
Category:
E-Commerce
Check out eight of the sharpest, boldest business books shaping how we think, lead, and grow as professionals in 2025. After the Idea: What It Really Takes to Create and Scale a Startup By Julia Austin Entrepreneurship expert Julia Austin shares battle-tested strategies to help founders and startup joiners build their venture from the ground up. Listen to our Book Bite summary, read by author Julia Austin, in the Next Big Idea App or view on Amazon. Black Capitalists: A Blueprint for What Is Possible By Rachel Laryea A groundbreaking look at how Black visionariesfrom Wall Street to Lagos, Nigeria and beyondare reimagining capitalism to benefit the needs of Black people and, ultimately, everyone. Listen to our Book Bite summary, read by author Rachel Laryea, in the Next Big Idea App or view on Amazon. Pioneers: 8 Principles of Business Longevity from Immigrant Entrepreneurs By Neri Karra Sillaman Unlock the principles that drive the remarkable success stories of immigrant entrepreneurs from around the world. Listen to our Book Bite summary, read by author Neri Karra Sillaman, in the Next Big Idea App or view on Amazon. Click: How to Make What People Want By Jake Knapp with John Zeratsky A guide for starting big projects the smart waybased on firsthand experience with more than 300 new products and businesses. Listen to our Book Bite summary, read by author Jake Knapp, in the Next Big Idea App or view on Amazon. Ping: The Secrets of Successful Virtual Communication By Andrew Brodsky The essential guide for when (and how best) to use virtual communication tools, from video to instant messaging and everything in between. Listen to our Book Bite summary, read by author Andrew Brodsky, in the Next Big Idea App or view on Amazon. Inner Entrepreneur: A Proven Path to Profit and Peace By Grant Sabatier A comprehensive blueprint detailing how to start, build, buy, scale, and sell a business that expands your life. Listen to our Book Bite summary, read by author Grant Sabatier, in the Next Big Idea App or view on Amazon. The Insiders Guide to Innovation at Microsoft By Dean Carignan & JoAnn Garbin In this unique guide, youre not just reading about innovationyoure learning how to do it from the people behind some of the biggest breakthroughs of the last 50 years at one of the most influential and valuable companies in the world. Listen to our Book Bite summary, read by authors Dean Carignan and JoAnn Garbin, in the Next Big Idea App or view on Amazon. Gambling Man: The Secret Story of the Worlds Greatest Disruptor, Masayoshi Son By Lionel Barber The first Western biography of SoftBank CEO Masayoshi Son, financial disruptor and personification of the 21st centurys addiction to instant wealth. Listen to our Book Bite summary, read by author Lionel Barber, in the Next Big Idea App or view on Amazon. This article originally appeared in Next Big Idea Club magazine and is reprinted with permission.
Category:
E-Commerce
All news |
||||||||||||||||||
|
||||||||||||||||||