I've been in the CPG industry for over 30 years. I look for businesses with cult-like followers, great unit economics, capital efficiency, nimbleness, and resilience. Most importantly, I look for backable founders. Square Baby ticks every one of those boxes.
Katie and Kendall combine a deep understanding of childhood nutrition with the empathy of a mom. They know how to connect with their consumer.
The unit economics allow a significant portion of revenue to be reinvested into growth and the short cash conversion cycle support capital efficiency.
I see this as a brand with high growth potential and a limited need for continued fundraising, which means less dilution for me as an early investor.
I am excited by the potential, inspired by the founders, and comforted by the economics.