This Kombucha Company Can't Stop Expanding

Making kombucha is a logistical masterpiece. At least for the Health-Ade team, who are currently producing about 80,000 cases a week out of their newest brewery location. That space is 50k square feet, but talk to the team and they’ll admit they’re already running out of space and looking to build their next brewery.

For a company that began in a kitchen, with the three founders using glass bottles purchased from Bed, Bath & Beyond, it’s not a bad problem to have.

“I had a steady job, where I was moving up and getting awards, to start a kombucha company in the farmer’s market,” co-founder and CEO Daina Trout shares.

For about four months over the summer of 2012 the co-founders tried working the farmer's market circuit on nights and weekends while keeping on with their day jobs. “I was completely driving myself into a brick wall," Trout says. "I was starting to lose my mind."

Right around November 2012 is when the trio knew they couldn’t continue at this pace, nor were they doing a good job at either. They weren't going to expand,“certainly not into Whole Foods,” Trout says, if they didn't commit. So in December they shook hands, made a pact, and as of January 1, 2013 they were full time Health-Ade.

In their first year they sold around 20k cases. This year they are shooting to sell 3 million. “It’s been crazy fast growth since the beginning—we tripled last year and are projected to double again this year and next,” explains Trout.

If, the precisely run operations at their new factory location is any indication of them meeting that goal, consider it a done deal.

There are rows and rows of 2.5 gallon glass jars with their individual fermenting SCOBYs (the key ingredient of kombucha making). It looks like something out of Prometheus. (Except it’s delicious and isn’t out to kill off the human race.) There are massive vats of tea brewing, waiting to get poured into said glass jars to ferment. Tubes and filtration systems, including the first step of the process: a special water filtration system. (And some other proprietary info we can’t share.) It’s impressive. Beyond impressive. And since every case of kombucha takes four weeks to finish, and every flavor takes a different amount of time to ferment, that’s where you’ve got “the logistical masterpiece.” It’s something that every one of Health-Ade’s 120 employees knows all about.

Read more from Daina below about Health-Ade’s expansion, why she found herself in tears the other day, and how seeing people drink it on the street is still “the coolest thing ever.”

When you look at how much Health-Ade has grown, what are your thoughts?

When I take the time to look back and reminisce I am reminded we don’t do it enough. The other day I drove past the apartment in LA where it all started—brewing in the kitchen, fermenting in the apartment’s entry closet, and selling in farmers’ markets across LA in 2012. I wasn’t even planning to go there—I was bopping around from one important meeting to another, and I saw the street. I immediately took a detour to stop by. I have been SO go-go-go for the last 5 years, I haven’t ever gone back there. Not surprisingly, I broke down into tears when I saw it. I quickly recounted the days when the apartment was a full on brewery. I remember packing out the cars for the farmer’s markets at 4am every Sunday. I remember the work, the sweat and all the passion that went into getting it off the ground. Being there made me realize how far we have come. From a closet to a full on legitimate brewery, fastest growing kombucha in the world. It’s pretty cool. I’m overcome with emotion, really when I allow myself to think about it. Mostly pride, but also a lot of nostalgia joy and sadness (because it was mother-fucking hard as fuck). Health-Ade is a representation of our hard work. It’s one of the coolest things ever to see others drinking it on the street, still.

Are there fears associated with expanding?

I don’t really operate with a lot of fears. The biggest fear I have is dying without feeling like I gave it my best shot. I’m not afraid of expanding. I know we will make the right call, and that at each stage a new set of circumstances and opportunities will come about. Everyone told us we wouldn’t make it more than a year still brewing in glass jars, and they were wrong. So I really just don’t think you have to compromise on the things you care about.

"I don’t think you have to compromise on the things you care about."

Why the dedication to glass bottles?

Glass bottles are pretty much used by everyone in the category, so that doesn’t’ make us special. What makes us special is that we FERMENT in glass. Remember, it takes 4+ weeks sometimes to make 1 bottle of Health-Ade so what it’s sitting in is super important. Kombucha develops strong acids when it is fermenting and the pH gets as low as lemon juice, which can corrode stainless steel and plastic. It sits fermenting for a long time in these vessels, so we believe to be the highest quality you have to do this in glass (because you just don’t want metal or plastic leaching). That’s how the best balsamic vinegars are fermented in Modena, for example, 100% in glass! We’re proud to be the only kombucha we know of that does this all in glass. That’s why we’re not afraid to take you through the brewery and show you around!

How do you see the business growing over the next year?

We will be growing on every front, and those aren’t always the ones consumers see. It’s important each aspect of the business grows, not just the sales. This year, we will be saturating channels we hadn’t’ been in before as much, like convenience and club for example—but we’re also elevating our company in many other ways. Our marketing is doing some innovative things in creative to try to speak to a consumer that has never heard of kombucha before, and this involves getting to know PEOPLE, and what makes them tick. Our manufacturing is always upping the game by finding ways to do things better and faster without ever compromising (and only making better) the kombucha. Our operation is focused on sophistication as well—we’re focused on building an awesome company for employees: strong leadership, fun environment…a place you’d like to work, and you can grow by working there.

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The One Skill This Owner Says All Small-Biz Employees Need

Maybe you’re employee #4 at a brand-spankin’-new startup. Or you’ve launched your own thing, made a couple hires (go you!), and are looking to gently coax the most productivity out of your team. Even if you can count the number of employees at your company on one hand, small teams can be mighty.

The small-team dynamic is singular. You’re agile and energized. Communication flows easily. Ideas blossom, are seen to fruition, and are celebrated (or mourned if they fail, which—let’s be real—can happen!). You feel true ownership in the company and its outcome. Not to mention that coworkers frequently become as close as family, easily trading sibling-esque banter that can make work feel like play. But certain things that fly at big companies (like flying under the radar), are a no-go on small teams. Employees’ contributions are obvious, which means pulling your weight and then some, and also learning skills that don’t always align with your background or, frankly, job description (not necessarily a bad thing!).

One woman who knows this better than most is Alice Rossiter, the Boston-based 27-year-old founder of Alice’s Table, a new company that throws chic flower-arranging events in cool venues around the country, and also teaches people how to host their own workshops so they can launch a creative career or side hustle. (And you know we love a side hustle.) They just graduated from Techstars, have thrown events in half of the states in the U.S., have onboarded nearly 100 event Execs, and frequently collaborate with companies like Good Housekeeping and Country Living.

And they have 6 employees.

So we reached out to pick her brain for some advice on how to achieve small-team success.

What are the benefits of a small team?

With a small team communicate is much easier. We’re all on the same page about projects. In fact we all sit in the same room! We all rely on each other's work so much that each person feels accountable to get their job done. Also a small team is great for building strong relationships.

What are some ways an employee on a small team can excel?

Being a team player is key! There are always projects that don’t clearly fall in anyone’s lap so over-performers pick up those balls and run with them. It’s also important for you to be constantly learning. You might not come in knowing anything about Facebook ads, for example, but if your company decides to give them a go, you’ll be willing to figure them out and try to make them as successful as possible.

“I am a true believe that grit is the key to success.”

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How has your team stepped up in the past?

On a small team it’s inevitable that unexpected tasks will come up. For us it happens every week—that's the nature of an event-focused business! My team has gone above and beyond countless times, from working through customer-care complications on the weekend, to rushing to an event after work to take photos for an exciting press opportunity that we would have otherwise missed. We’ve had to problem-solve flower deliveries going missing in the middle of the country and hurricanes canceling our flower orders. Above all, working for a small company takes agility and passion.

What’s your take on work quality vs speed?

We all have endless task lists—even more so on a small team—so time-management is extremely important. I can be a master procrastinator, so I feel the pain! I encourage my team to set aside time each day to work on tasks that are easy to complete, in addition to dedicating blocks of time to bigger think projects. When you strategically plan out your work, it automatically sets a time limit and typically that focus produces a higher quality result. The best small-team employees don’t labor indefinitely on a single task—they just can’t! There’s not enough time! You have to make sure that ‘great’ doesn’t get in the way of ‘done.’

What’s more important: Talent or motivation?

Motivation, always! The number one skill I always look for is work ethic; someone willing to go the extra mile to find the right answer. Anyone can learn a skill if they have the drive! When I started dreaming about Alice’s Table, I didn’t know much about flowers and now I can whip up a professional arrangement in under five minutes! I am a true believe that grit is the key to success.

Would you recommend that employees learn other parts of the business?

Completely! When I launched Alice’s Table I was CEO (of myself), chief bucket washer, trash collector, customer-care agent—you name it! Understanding each team member's role (and how your roles intersect) usually unlocks ideas for ways you can help each other out.

Should employees push for regular brainstorming sessions?

“I’ve always had the mindset that many heads are better than one. We all bring different perspectives to the table, and those contributions help keep our ideas fresh and propel our business forward. We have multiple strategy sessions as a team each week.”

What is the one skill you’d recommend all small-team employees possess?

“Everyone needs Excel skills! Tracking your data is key and as a small business you usually can’t afford all the fancy tools, but Excel always does the trick!”

On the other hand, what’s one thing that someone on a small team should never do?

Never be afraid to ask questions. For example, we just closed our first round of fundraising. I encouraged everyone to ask questions because it was important to me that everyone on my team knew what was going on, and why we were making certain decisions as a company. We would never grow if we never asked questions, even the silly ones.

“You have to make sure that ‘great’ does not get in the way of ‘done.’”

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How do soft skills come into play?

As a team of six, we work extremely closely—five feet apart to be exact! Strong communication and interpersonal skills allow our team to challenge each other, but also to take time to celebrate our successes!

Startups are often encouraged to fail fast and pivot, since they usually don’t have the resources to keep a failing idea afloat. When should someone be able to realize that a certain strategy might not be working?

I always tell my team, ‘If something seems to be heading south, speak up!’ We’re all about process-building, but if a process isn’t working and is causing more mental exhaustion than progress, it’s either time to revisit, or move on all together. Since we’re constantly growing and trying out new systems, I try to remain flexible when setting timelines. Our team checks in weekly on a variety of projects to make sure we feel confident in the direction they’re heading. Identifying a roadblock is the most important step to fixing the issue and pushing the business forward!

How do the best small-team members handle failure?

Failures feel like sh*t—it’s just a fact of life. Every startup has good days and bad days (or, as we like to say, good hours and bad hours). On a small team we thrive off of each other’s energy, so, even when faced with a loss, it's important to keep our heads up, reflect, and move forward. I’m also working harder to celebrate our victories (big and small), because taking time to enjoy the wins puts the hard times into perspective. Plus, we all need to pop a little bubbly now and again!

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5 CEOs Who Look Exactly Like Their Companies

You know that old saying, dogs look like their owners. Well the same applies to companies and their founders. 

And why wouldn't they? These women live, eat, breathe their companies. It's only natural their brands would be natural extensions. The great news is, there is NO one "look" that says business owner anymore. You can look like anything and be anything. 

Jen Gotch, ban.do 

Jen Gotch, the front woman of the poppy and playful ban.do ("serious about fun,") is exactly what you'd expect.  With Starbucks collabs and a loyal following, she's tapped into fun in a whole new way. We can't even imagine what her suitcase looks like when she packs. 

Ariel Kaye, Parachute Home 

photo credit: Lianna Tarantin for Sakara Life  

Parachute sheets give you a reason to make your bed in the morning and an even better one to crawl into bed at night. They're unfussy but chic, just like the company's founder Ariel Kaye. “I launched Parachute online with the intention of bringing the brand offline at some point, too.” With the recently opened Parachute Hotel in Venice, CA, the company is providing another opportunity for the community to engage. There's also the new Portland location and the recently added baby line. It's all almost too dreamy to be true. 

Justina Blakeney, The Jungalow

Bold with color and mixing and matching patterns, the beautiful brain and founder behind the Jungalow brand is every bit live out loud as her co. Her environment is lush. Full of color, vibrant patterns and plants; it’s a design style that says no to minimalism. In a way, it’s a multi-hustle of its own.  And with a New York Times bestseller, The New Bohemians (which, she wrote and shot in less than three months), a Sunset Magazine cover, a booming design business and blog, a tot at home, five employees at her office space, and plenty more in the works, Justina has reached a point where she gets her gig. “Having a lot going on at one time really suits my personality,” she's told us.

Joy Cho, Oh Joy!

photo credit: Joy Cho for Glamour Mag. 

There's no way we could put this list together without the founder and creative director of the playful and inspiring Oh Joy! Launched in 2005 as a graphic design studio the color and design maven now has collabs with majors like Target, has authored three books, and consulted for hundreds of companies around the world.  

Ellen Bennett, Hedley & Bennett 

She revolutionized chef garb and she's often donned in bright, colors. But don't get her playful approach to her wardrobe confused with her aprons. These are badass aprons from a badass CEO. She didn't want mundane. She didn't want stale. So she did it her way and now Ellen and her #apronsquad are taking over kitchens everywhere. 

Arianna Schioldager is Editor-in-Chief at Create & Cultivate. You can follow her @ariannawrotethis. 

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3 Ways to Innovate & Stay Creative After 30 Years In Business

For interior and product design veteran Tammy Price, owner of Fragments Identity, "pillows are like art. They can transform a space, they can make a plain sofa come to life, they can change the texture of a chair."  But when you've been in the interior design game for 30 years, and the work is a reflection of things you love, how do you continue to innovate and stay ahead of game? 

We asked Tammy the three ways Fragments continues to maintain its unique look and stand out in a saturated design market. 

DON'T FOCUS ON TRENDS, ANCHOR THE BRAND TO YOU

Even after 30 years in the design business, we still use a tone on tone and neutral palette as the anchor to all of Fragments Identity brand products. Rather than focusing on short-lived trends, we keep it true to ourselves and our own aesthetic. We then, will go in an implement or edit our collections in very specific ways that fit with the market of the particular time. Rather than chasing the newest trends, we stay true to the timeless, classic, monochromatic vibe that is Fragments Identity. 

Ralph Lauren & Antique French Linen Armchair 

DON'T SKIMP ON QUALITY 

Quality and product fabrication of the highest level is just as important to our brand as the design is. In order to stand out in a saturated market, we are committed to providing impeccable goods of the highest quality. Not only do we design in house, but we also control and oversee all manufacturing from the beginning selection process of the textiles and furniture frames to the last tissue paper fold in the customer's packed order. 

THERE NEEDS TO BE HEART AT THE CORE OF THE BRAND

Fragments Identity is not commercially driven, but rather comes from a deep place of passion for design. To us, this passion never stops, and design flows 24/7. That's what we believe, truly sets us apart, and reflects in every aspect of the Fragments Identity brand. 

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This Designer's Boss Encouraged Her to Leave Her Job

Client Z to the E to the N. 

Multi-hyphenate Amber Lewis of Amber Interiors is interior design #goals. Have you seen her #shelfie game? Or the way she mix and matches patterns? She didn't always think she'd be a business owner. 

It was a former boss who encouraged her to break out on her own, and from that point she didn't look back. Currently, she has more ideas than time-- and is in the midst of designing her dream home-- so what else can she take on? Plenty. 

There’s no such thing as perfect in the beginning (or middle) of launching your business. When you decided to launch Amber Interiors where were you in life? What was going on?

I was fortunate enough to have an amazing job working with a really gifted interior designer for a few years. When my husband and I had our daughter and bought our first house at 28 years old, I decided to start my blog as a way to share the process of our remodel. I thought I had some semi-decent content and thought it would be fun to at least start the blog and share with family and friends. We definitely didn't have a lot of money, so we tackled a lot of the projects on our own and I was a bit of a DIY fanatic. I am not sure if it had to do with luck, timing, or what, but I got some attention from a few really big bloggers, and what felt like overnight, my name started to get out there a little. My old boss picked up on my enthusiasm for all things design and was kind enough to tell me she thought it was time I went out on my own. The rest is history. I was definitely scared and didn’t feel “prepared” but I was laser focused on making something happen…even though I wasn't quite sure what that was and was kinda “winging-it” for a while. 

Why was then the right time? 

I don’t know, but when I lost my job, that kinda catapulted me to do something bigger. I was a "work from home" mom, so I would literally be feeding my little and commenting on blogs, and when she would nap or go to sleep at night I would stay up for hours blogging, pintresting, and creating my business. It felt like I was on autopilot for a while just making small steps forward in a direction where I would have a couple clients, or start to get noticed for my style etc. I didn't know it was the right time, I was just moving forward, and doing what I could, when I could. I basically had no clue, I just had an insane drive and a lot of blind faith. 

I basically had no clue, I just had an insane drive and a lot of blind faith. 

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From day one, what were you thinking about that you’re still thinking about now? What has been a through-line in your business? 

I have always thought, "What’s next?" Social media and Pinterest is mostly a blessing, but it can be aggravating, especially in the beginning. I think because there is so much saturation now, it's really hard to determine where an idea or design style originates from. I remember feeling so stoked to have my work out there in the world and feeling like it was so unique to me, and then I would go on Instagram or Pinterest and see someone completely do the exact same thing after me and watch commenters congratulate them on their talent etc. In the beginning it bummed me out, because I was like, “hey thats MY IDEA” but then I just started telling myself it was an amazing compliment to have someone like what you did so much they wanted to re-create it themselves. Now I always strive to do “what’s next” and do better than my last job and the spotlight of social media forces you to push the envelope with each project. 

[Related content: How to Handle Competition In a Creative Field.]

"The spotlight of social media forces you to push the envelope with each project." 

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How do you differentiate yourself as a designer?

I don’t think there is a definitive answer to this, however I hope I have established my style and brand enough that it can be recognized as my work. I think maybe the use of patterns and how I mix styles in almost every project I do differentiates me to other designers. I can take a big box sofa, and make it look unique with fabrics and pillows etc. I love to mix, thats my jam!

For new designers, what do you think is more valuable? School or experience? You did a little of both. 

90% experience and 10% school. I never mastered CAD, so I have to rely on my team to do computer drawn technical drawings for me, which can suck when I think faster than I can draw. So I say, go to school and learn CAD and Photoshop, and the usual stuff like excel etc. and then get yourself a job! Even if you're just getting coffee for a design firm for a while, thats OK as long as you immerse yourself around creative people and absorb everything you can. I learned way more in the field working for a designer than I ever did in school. 

What’s your favorite part about being a designer?

EVERYTHING. I swear I LOVE my job so much, I pinch myself that I get to make a living doing what I love. It’s always changing, and I get to be creative in so many different ways. I would not work so hard if I didn't truly enjoy every single second of it. Even the crappy days aren’t so bad.

What’s one aspect of the business you would change if you could?

Budgets! Haha!!!! No but actually, budgets suck but they are part of the job. So I tolerate the challenge, but work on managing clients' expectations with what their budgets can realistically do for them. I don’t know if I would change anything, but I hope to get to a place where I can be extremely selective with the projects I work on. Unfortunately, I have to pay the bills, but I am so lucky to have such rad roster of clients so far!

Client Z to the E to the N.

Sometimes as an entrepreneur your biggest strength is also your largest challenge. Would you say this is true for you and what would that be?

I feel a great expectation to do something different with each project. Unfortunately, some clients want you to just do what you did last time and don’t want to do much different than what they have already seen. That can be such a challenge because like I said….I am always thinking “Whats next?”!! As a business owner with multiple employees, I need to make sure I look out for the growth of the business, as well as balance what pays the bills with jobs that are super fun, but maybe a little less money. Those are usually the ones I am most fond of in the end! 

You opened Shoppe, Amber Interiors last year. How are you feeling about the move into a physical location?

It’s so great! I have heard so many horror stories about retail locations and opening an actual brick and mortar, but knock wood, my husband (also my biz partner) and I love it and have had some really positive feedback. We feel like we are a part of the local community but also are proud of going for it and throwing caution to the wind! We kept asking ourselves “whats the worst that can happen” and so we feel good about the big jump. As crazy as this sounds we haven't even been opened a year and are already expanding and making it larger! Again, I pinch myself daily….but we are just going for it!  

Do you think it’s important for your business to have an offline shop?

Totally! We have tons of items in store that are not online. There are lots of vintage pieces, and higher end antique rugs, that I think need to be touched and seen in person rather than on a computer screen. Plus we have some vignettes in the store and have an amazing sales team to help you pull pillow combos, or pick the perfect accessories and rugs. 

So, now we have to ask "What’s next?"

Oh, my favorite question! Well I am writing a book, and developing a product line to sell in the Shoppe. I am also designing and starting to build our dream house, which I am so flipping excited about! At the moment I have more ideas than time, so I am trying to work smart on my passion projects and seizing the growth opportunities available to me now. At the moment the future looks bright!

Arianna Schioldager is Create & Cultivate's editorial director. You can find her on IG @ariannawrotethis and more about her on this site she never updates www.ariannawrotethis.com