Project Pollo Vegan Chicken
NO DEAL
EPISODE SUMMARY
🕓 Air Date: May 20, 2022
Asking For:
$2,500,000 for 5%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
Project Pollo offers a range of affordable, plant-based fast-food options, including crispy chicken patties, burgers, wraps, salads, shakes, and buffalo mac & cheese.
WATCH HERE
IN A RUSH?
Click these to jump to the section you want to read.
Background Story
Project Pollo, located in Austin, Texas, was founded by Lucas Bradbury, an individual with a compelling backstory that influenced the creation of the company. Growing up in a financially constrained household, Lucas initially distanced himself from the restaurant industry, in which his parents worked modest jobs as a bus driver and an elementary school cook. However, his circumstances took a turn when he found employment as a delivery driver at Pizza Hut during his college years. His rapid ascent through the ranks, from supervisor to manager, highlighted his inherent drive and aptitude within the quick-service restaurant (QSR) sphere.
Lucas’s trajectory shifted when he adopted a vegetarian lifestyle, leading him to a plant-based regional company in San Antonio seeking to expand. His pivotal role in the company’s growth, scaling from one location to multiple sites within a short span, provided him with the necessary experience and confidence to venture into the plant-based fast-food industry. Recognizing the untapped potential for accessible and affordable plant-based food options on a national scale, Lucas conceptualized Project Pollo.
Motivated by a mission to provide Americans with delicious, plant-based alternatives to traditional fast food, Lucas embarked on a journey to establish Project Pollo. The company’s ethos revolves around making plant-based food accessible to all, irrespective of income levels. Lucas’s personal experiences, combined with his extensive background in the QSR industry, have laid the foundation for Project Pollo’s rapid growth and its commitment to redefining the landscape of affordable, plant-based dining experiences.
The Product
Project Pollo’s product lineup features a diverse range of enticing, plant-based fast-food options that cater to a wide audience. At the heart of its offerings is the hand-breaded crispy chicken patty, a 100% soy-based alternative that boasts exceptional taste and texture, appealing to both vegans and non-vegans alike. Alongside the flagship chicken patty, Project Pollo presents a delectable assortment of burgers, wraps, salads, shakes, and the highly acclaimed buffalo mac & cheese, providing customers with a comprehensive menu that caters to various tastes and preferences.
The company’s commitment to affordability is reflected in its pricing strategy, with the average menu item, including the signature deluxe chicken sandwich, priced at a reasonable $6.50. Project Pollo’s brick-and-mortar locations serve as the primary platform for customers to savor these offerings, providing a welcoming environment for individuals to explore and indulge in plant-based fast-food options.
With a focus on transparency, the company strategically engages with customers at the counter, ensuring that they are informed about the plant-based nature of the products. By offering samples and encouraging customers to experience the flavors without any obligations, Project Pollo aims to create a seamless and inviting dining experience for individuals seeking accessible, affordable, and delicious plant-based alternatives.
How It Went
The company’s position before Shark Tank
Project Pollo has demonstrated remarkable growth and resilience within the competitive fast-food industry, positioning itself as a leading player in the plant-based segment. With a robust presence in Austin, Texas, and plans for nationwide expansion, the company has garnered significant attention and praise for its innovative approach to providing accessible and affordable plant-based food options. Notably, Project Pollo operates as a corporate-owned entity, maintaining direct control over its operations and strategic direction.
The company’s financial health reflects a disciplined approach, with no outstanding debts and a recent injection of $1.75 million at a valuation of $17.5 million, showcasing investor confidence in the company’s potential for future growth. Project Pollo’s performance highlights its rapid scalability, with 12 physical locations established within a year and a projected revenue of $6 million, emphasizing the company’s ability to effectively tap into market demand for plant-based alternatives. With a strategic focus on securing favorable lease deals during the challenging economic climate induced by the COVID-19 pandemic, Project Pollo has positioned itself to leverage long-term growth opportunities.
The company’s customer base comprises individuals seeking affordable yet flavorful plant-based dining options, with a strategic emphasis on engaging with customers at the counter, providing samples, and fostering a welcoming atmosphere for individuals exploring plant-based alternatives. In terms of its current structure, Project Pollo operates with a streamlined approach, emphasizing operational efficiency and rapid expansion. The company’s agility and commitment to delivering on its mission of accessibility and affordability have positioned it as a prominent player in the evolving landscape of plant-based fast food, setting the stage for continued growth and success as it expands its footprint across the United States.
The Negotiations:
During the negotiations on Shark Tank, Lucas Bradbury’s ambitious vision for Project Pollo encountered both praise and apprehension from the Sharks. While the panel admired the company’s rapid expansion and flavorful offerings, concerns emerged regarding the company’s high valuation and the risks associated with its lightning-speed growth. Kevin O’Leary and Lori Greiner, in particular, highlighted the need for a more cautious approach, citing the potential pitfalls of overly aggressive expansion strategies, referencing past instances where businesses faced significant challenges due to rapid growth.
As the discussion progressed, the Sharks delved into a detailed analysis of the company’s financials and operational strategies, probing Lucas on his funding sources and the potential debt burden associated with the company’s rapid growth. Lucas emphasized the disciplined financial approach of the company, highlighting its lack of outstanding debts and recent substantial investment. Despite positive feedback on the taste and execution of the products, the Sharks ultimately expressed reservations about the company’s valuation in relation to its current revenue, suggesting a disconnect between the valuation and the company’s financial standing.
As the negotiations unfolded, Lucas remained resilient, seeking a partnership with the Sharks to fuel the company’s national expansion plans. However, the Sharks ultimately decided not to invest, offering valuable advice and cautionary tales to guide the company’s future growth trajectory. Despite the outcome, the negotiations provided a platform for constructive feedback and strategic insights that could aid Project Pollo in navigating the challenges of scaling its business while maintaining financial stability.
