Next week is National Small Business week, and we’re excited to celebrate the millions of inspiring small businesses we work with globally. To celebrate this important week, we sat down with several small businesses to find out what inspired them to start their businesses, what challenges they have faced and overcome, and what advice they have for other aspiring business owners.
Q: What inspired you to start your business and how did you come up with the idea for it?
I got the idea for Peanut Butter Americano when I was living in South America several years back. I was working with a non-profit organization called
A Roof for My Country (TECHO), which helps build houses for impoverished communities, and then runs job training programs to help the locals find jobs and get back on their feet.
While there, I noticed two things that seemed to contradict each other. I saw many, many peanut fields, but no peanut butter. I also noticed that a lot of the local kids were spreading dulce de leche on their breads and crackers. Dulce de leche is delicious, but unlike nut butter, it’s not very nutritious.
After doing some research, I found that many South American countries export their nuts to countries like the U.S, instead of consuming them domestically. The U.S. then produces the big-brand, mass-produced peanut butters. But many people are looking for a spread that is sweeter, creamier and more delicious. I thought, maybe if we could produce a better tasting nut butter, we could get people around the world to start consuming some of their own nuts – a healthier alternative to the spreads they were already using.
I became possessed with the idea of creating a better option for people and started grinding up peanuts in my apartment in Uruguay – and that’s where Peanut Butter Americano got its start.
How did your idea turn into a full fledged business?
I came back from South America in late 2011, and spent the first year developing product in my mom’s kitchen. It wasn’t until January 2013 that we went to the Phoenix Farmer’s market and sold 100 pounds of nut butter – and that’s when I knew this could be something. The following year, in 2013, we brought the rest of the pieces together – building out everything from the brand to our ecommerce website. Since then, we’ve expanded into half a dozen other markets throughout Arizona. We’re now in over 70 retail locations in Arizona and in dozens of restaurants and cafes.
But it wasn’t easy. Like many other small businesses, I had to bootstrap in the beginning with my life savings, which at the time was about $4,000. Since then, we’ve grown to doing about $300,000 in revenue. Throughout it all, it was nice that we had
PayPal as a partner. PayPal is name that people trust – and when you’re a new business, you don’t necessarily have social currency. By associating with PayPal, that level of trust transferred to our business.
A key part of your business is giving back. Why is that important to you and who do the proceeds benefit?
We’ve been a mission-driven business from the beginning and I don’t ever want that to change. Our mission is to create the most delicious, nutritious and socially beneficial nut butters on the planet. We’re currently working to become a certified B corporation. [B Corps are for-profit companies certified by the non-profit B Lab. It requires businesses to meet the standards of social and environmental performance, accountability and transparency.]
We also share some of the proceeds from our Dark Chocolate Peanut Butter sales with A Roof for my Country, to help give economic assistance to people in 19 countries across North and South America, to help build housing, and to fund language and training programs. The experience I had working with A Roof for my Country was life changing. What attracted me to the organization was that it’s entirely youth run – mostly college kids that are taking the initiative to improve their communities. It was such a beautiful thing, and I wanted to support their mission of helping people help themselves.
We also started the Fund for the Americas initiative, which helps us diversify our giving to include domestic organizations, food banks, local pantries, and so forth.
What do you wish somebody had told you before becoming an entrepreneur?
I wish I had known the importance of strategic partnerships when I started my business, and how they can help your business grow. Three years into my business, I now realize the importance of partnerships. For example, my partnership with PayPal has been critical to helping my business grow. And we’re just beginning to tap into the potential of what PayPal has to offer in terms of helping us scale. The team at PayPal has helped me across my business – from marketing to sales. With great partners, you don’t have to do it alone. I see us growing alongside PayPal for many years.
Now that you are a successful business owner, what advice do you have for other entrepreneurs looking to start their own businesses?
First -- make sure to network and put yourself out there. I met Jerry Greenfield, the co-founder of Ben & Jerry’s ice cream, at a conference once and he was the one who encouraged us to apply to become a B Corporation. He also made himself available as a sort of mentor to me, which is invaluable.
Second -- get ready to do a lot of learning. Four years ago, I didn’t know how to make nut butter and I definitely didn’t know how to start or run a business. My background is in global studies and non profit management -- I had never taken a business course in my life. But there’s no real training for starting a business– it’s just a long learning process. So get ready to learn!