· David Senra, Peter Rahal
[00:00:00] S0: What's the source of the resentment and anger in your life that you feel you have to channel? [00:00:00] S1: So trauma's relative, but for me, when I grew up very beautiful parents, so I don't want to sound like I suffered that much, but when I was a child, I was just labeled disabled because of my dyslexia. And that, I remember hearing conversations of teachers saying, "Oh, is Peter stupid?" Like, I couldn't read well. And I remember that. I overheard those conversations with my parents, and that just, I think, broke me in a way that it's like my deep intrinsic motivation to prove that wrong. And it's actually why I am so disagreeable with any sort of authority or disagree, or contrarian by nature, because my survival strategy as a child was to say, to have self-esteem really is like, "All you teachers are wrong. This whole system is broken. Fuck off." So I think deep in my personality is that, like, proving that all wrong. And then even to just survive in school, it took me just like 10X the effort. To get like a C and D. So I think a lot of my pain tolerance came from some of that. But my resentment and anger is certainly rooted in that. [00:00:00] S0: You still feel this when you wake up today? [00:00:00] S1: Yeah. No, I think it's like tattooed. Psychedelics, therapy, it's like tattooed in me at this point. [00:00:00] S0: You've tried to get rid of it and you can't. [00:00:00] S1: Yeah. [00:00:00] S0: And so you feel the outlet is crushing your competitors?
· David Senra, Peter Rahal
[00:00:00] S0: And so you feel the outlet is crushing your competitors? [00:00:00] S1: Yeah. It's winning. And it's like I'm not really proud. I'm just like, it is what it is. I didn't really choose it, but it's like to prove that I'm not that, fundamentally. But I felt when I was fake working as an investor- ... I was deeply unhappy because I wasn't able to channel. I was like, "I'm a sideline." I'm not a fucking cheerleader. Like, I'm on the sideline and I need to channel all this anger and thing towards a result. And reporting on a portfolio is not doing that. [00:00:00] S0: I have a younger friend that I feel like I can kind of share some of the experience I get to have with this person. And I was just like, as a general rule, the further you get away from the person that actually has talent, the more cautious you have to be. So it's like the founder obviously has talent. You obviously have talent. You created something from nothing and you've done it over and over again and now building this. But you have to be careful of these agents. You have to be careful of these bankers. [00:00:00] S1: Yeah. [00:00:00] S0: You have to be careful of these investors. The further you get away from the person with talent, they just are incentivized to kind of like persuade, cajole- [00:00:00] S1: Mm-hmm [00:00:00] S0: ... act, in many cases, like against your interests. [00:00:00] S1: Yeah. [00:00:00] S0: And I was like, just stay close to the people that actually have talent. And you don't need many friends in life. You can have five. [00:00:00] S1: Yeah.
· Peter Rahal, David Senra
[00:00:00] S1: Yeah. [00:00:00] S0: And those are the kind of friend group that you should have, where you have all these other fakers out here that are playing politics. You can get ahead that way, which is completely different than how the entrepreneur thinks. [00:00:00] S1: Yeah, I agree with that. Yeah. [00:00:00] S0: There's another thing that you were saying, because I'm not going to leave this alone. I want to hear more about your resentment and this attraction that you have to pain. So the founder of the Four Seasons, this guy named Issy Sharp, he has this great line where he started, he's kind of embarrassingly ambitious, and I mean that in a great way, where he's like, "I'm going to build the world's greatest high-end luxury hotel chain." He didn't know anything about it. He never built a single hotel before he had that goal. And so his autobiography is excellent. And in there he says, one of my favorite maxims in his entrepreneurship, he says that "Excellence is the capacity to take pain." [00:00:00] S1: Yeah. [00:00:00] S0: And this same thing, he had this very complex relationship with his father. He had a lot of people doubting him. This idea, like what you just said to me makes perfect sense because it's just in these biographies over and over again, and a lot of people that have come on the show. I just mentioned Adam Vergi. Like one thing that he drove himself was like, "I tried to raise money. I was willing to sell 25% of my company for a million dollars." [00:00:00] S1: Correct.
· Peter Rahal, David Senra
[00:00:00] S1: Correct. [00:00:00] S0: Right? This is the company that's going to wind up being worth 100, 200 billion dollars. They turned me down. These VCs turned me down, and then they funded some of my competitors, so we made it a company principle to put those competitors out of business. [00:00:00] S1: Yeah. [00:00:00] S0: So when I hear you, I hear this guy Josh Wolfe has this great line where he says, "Chips on shoulders puts chips in pockets." [00:00:00] S1: Yeah. [00:00:00] S0: It's like using that pain that you had when you were younger and channeling it to drive an achievement. [00:00:00] S1: Yeah. And I think the key is if you have that, if you don't channel it and focus it, I think it's destructive. So, for me, it all gets channeled through the art, through the company building process, and then it's productive because it can be destructive if you don't channel it. [00:00:00] S0: Okay, so how are you channeling it into what you're building now then? [00:00:00] S1: The company's output is really impressive. Just a lot of hours, butts in chairs in the office, just dedication. [00:00:00] S0: What do you think is impressive about the output that you're doing right now? What does that mean?
· David Senra, Peter Rahal
[00:00:00] S0: What do you think is impressive about the output that you're doing right now? What does that mean? [00:00:00] S1: We're only two years old and it feels like five years. So our relationship with time is really bizarre. But in two years, I mean, we're run rating over 400 million this year. We'll do 300 million this year. We're in the frozen category. We're obviously in protein bars. We have an RTD. We've launched a confection with three different formats. We're launching another brand in November. In my field, you don't see that sort of output. And it keeps getting better. Like, all our products keep getting better. But I mean, we're the fastest growing food company, I think, no, I know, in history. So it's really hard to scale it. And the pace in which we're doing it, I think this would take normally 10 years, and we've done it in two. [00:00:00] S0: Explain to me why it's so hard to scale. [00:00:00] S1: Why it's hard to scale is because it's inventory. So you need to go buy the raw materials, convert it into finished product, and some of the raw materials take a long time. And for example, the dairy market was super tight. So if you don't... Like growing 300%, 400% a year is really, really... or even closer every six months is really demanding on the supply chain. To take Travis, like this is all atoms. Like, we're not a digital business at all. So, yeah, the inventory part is really, really challenging. So matching supply and demand has just been very difficult and... [00:00:00] S0: So you've had times in the company where you ran out of supply, correct?
· David Senra, Peter Rahal
[00:00:00] S0: So you've had times in the company where you ran out of supply, correct? [00:00:00] S1: Oh, constantly, yeah. [00:00:00] S0: Is this when you started... I saw Rob and everybody's been telling me about David Barr, and then I saw an ad and you were selling cod or something. [00:00:00] S1: Yeah. [00:00:00] S0: Is that as a result of the fact that you ran out of supply? What happened there?