“The key to turning dreams into reality is action.”- Jim Rohn. Many people have dreams of starting a business, but it may not come to fruition. Honey Pot CEO and Co-Founder, Beatrice Dixon’s thriving road to entrepreneurship commenced with a significant dream when she was looking for a product to cure her bacterial vaginosis and couldn’t find anything. Beatrice’s late grandmother came to her in a dream with the idea of creating her own natural cure. The next day she went to Whole Foods, where she worked at the time, to search out the natural ingredients for the cure. Beatrice eventually produced the right mix and successfully treated her ailment. Seeking feedback from others, she then gave her natural wash to friends to see if they experienced the same great results, and they did. Next, Beatrice proceeded to sell bottles at a hair show in Atlanta and with the success of that, she knew she had something special. Her brother and co-founder, Simon Gray, loaned her $21,000. Beatrice held a full-time job and worked diligently building Honey Pot until Target picked up her brand. The first fundraiser was in 2017 and Beatrice soon made the courageous decision to quit her job to run Honey Pot full-time.
In 2020, Beatrice conducted an interview with HELM magazine, and she talked about building her company with the intention of selling it. She never wanted to have a legacy business, where you keep the business forever and pass it down to kids or other family members. Beatrice wanted to build her business to a point where investors would desire to buy it. In January of this year, this is exactly what happened. The Honey Pot Company has been acquired for $380 million in cash to publicly traded Compass Diversified Holdings, ticker symbol CODI on the New York Stock Exchange, with the acquisition closing this month. Honey Pot, offering 60 feminine products, finished 2023 with $121 million in gross sales and it is reported that the company had a 54% annual growth rate since 2020. The company flourished as envisioned and reaping the benefits.
Beatrice was asked what advice she would give to female entrepreneurs, and she stated, “Understand what you want to do with your business. Do you want a company you can grow, scale and sale or a legacy business that you would like to always own.” If you would like to read more of that interview, I would highly recommend visiting the HELM website and look for the Honey Pot interview with pivotal nuggets on business. I took a few notes myself! Not only is her company being acquired for millions, but she also retains the position of CEO, and has a minority stake in the company. The Honey Pot deal is a rare one. Most Black-owned businesses are not of high interest to venture capital companies and there are several reasons why. Many VC or venture capital firms want to acquire businesses they feel can be scaled up, so they can get a return on their investment. Honey Pot was already growing at a rapid rate and in 33,000 stores that consisted of Target, Walgreens, Walmart, Whole Foods and more. Also, the product was unique to the marketplace, as the only herb or plant-based women’s feminine hygiene company in existence. Hopefully, we will see more Black-owned companies acquired for similar valuations as Honey Pot.
What are several key takeaways? Entrepreneurs, you never know who is watching your company. Operate your company efficiently and be clear about your goals. Beatrice shared in a 2020 interview during the pandemic, that she aspired to sell her company and it is coming to pass in 2024. It is amazing how it all started with a dream and if she didn’t act on that dream, Honey Pot would not exist. If you ever have a dream or idea to solve a problem, don’t let the dream or idea die, act on it. You never know where that dream or idea might take you. It made Beatrice Dixon a multi-millionaire before the age of 50.
