Escaping the J-Curve in a $700k SDE Ecom Business

Yeah. Yeah. Okay, great. There were a couple businesses that you almost. Or that you were interested in.

Yeah.

It's actually funny. The first business that I got engaged with was something I. So I live in Northern California and I was pretty focused on something local because my family is here, my kids are in school here.

You know, we're pretty rooted here. And, and I found a food business that was just a couple miles away from my house. We got pretty deep and they had a high customer concentration.

Ended up being the big problem. The 40% of their business was with through one supermarket chain.

What was the food business?

They made pasta and potato salad that was sold in the deli section, you know, by the Pinter or whatnot. Wow. And interesting. I didn't have a lot of experience in food, transparently. Like, I did some consulting work for one food business.

So I understood spoilage and a lot of, you know, the retail dynamics and, you know, my wife and I enjoy food, enjoy cooking, and thought it would kind of be interesting. The deal fell through on Christmas Eve and was a real bummer. It was a real downer for the, for the holidays.

So that was, that was in December of 24. So I. Or sorry, 23. So I started the lab in July of 23. That first deal that I got into got an LOI on was in December of 23.

And it fell through after that. And it fell through.

And it fell through, Chris, because you couldn't come to terms on the concentration, whatever risk mitigation you were looking for there, the seller wouldn't give you.