The day Poppi's acquisition closed, co-founders Allison and Stephen Ellsworth had a huge fight. This highlights the often-overlooked emotional and vulnerable side of a business exit, which can be as stressful as it is exciting, reminding founders that major business milestones are also major life transitions.
After selling Poppi to PepsiCo, Allison Ellsworth's initial feeling of "freedom" soon gave way to a sense of purposelessness. This highlights a critical post-exit challenge for entrepreneurs: finding a new driving purpose after achieving the ultimate financial goal, which can be an overwhelming transition.
Large corporations like PepsiCo have effectively outsourced innovation, avoiding the risk of building new brands by acquiring successful startups like Poppi. This dynamic creates a clear and lucrative exit path for entrepreneurs who can build the "next big thing," as they are creating acquisition targets, not just competitors.
Because Poppi grew so rapidly, its founders learned they had to hire for roles they anticipated needing 18 months in the future, not just for their current needs. This proactive talent acquisition strategy is critical for hypergrowth companies to ensure their team's capabilities don't lag behind business expansion.
As a Shark Tank investor, Allison Ellsworth avoids founders fixated on metrics like ROAS and KPIs. Instead, she looks for brand builders who focus on creating disruption and connecting with their community, not just optimizing for customers. This prioritizes long-term brand equity over short-term performance marketing.
Stephen Ellsworth's business and marriage succeeded because both partners were 100% committed. He argues the 50/50 model fails because when one person inevitably falls short, the total commitment drops below 100%. This "all-in" mentality is crucial for weathering the ups and downs of entrepreneurship together.
Stephen Ellsworth advises founders to delegate tasks when they have only 50-60% confidence that the person will succeed. Waiting for 100% certainty creates a bottleneck and prevents scaling. This lower threshold empowers the team and frees up the founder's time, even if the initial outcome isn't perfect.