The Story
Kent Yoshimura was paralyzed from the waist down at 19 years old in a motorcycle accident. While recovering, he and his best friend Ryan Chen created NeuroGum - a functional gum with caffeine and L-theanine. They went on Shark Tank, nearly got sued out of existence, and built it into a $100M/year company doing $10M/month.
The Origin Story
The Accident That Changed Everything
- •Kent was 19, riding motorcycles with friends
- •Crashed and was paralyzed from the waist down
- •Doctors said he'd never walk again
- •Spent months in rehabilitation learning to walk again
- •"The accident gave me a new perspective on life"
How NeuroGum Was Born
- •Kent and Ryan were best friends since childhood
- •Both were into biohacking and nootropics
- •Noticed energy drinks and coffee had downsides (crashes, jitters)
- •Idea: Put functional ingredients in gum for faster absorption
- •Gum absorbs through mouth lining - hits bloodstream in 5 minutes vs 20-30 for drinks
The First Product
- •Caffeine + L-theanine combination
- •L-theanine smooths out caffeine's jittery effects
- •Clean energy without the crash
- •Started making it in Kent's apartment
- •First batches were terrible - "tasted like chemicals"
The Shark Tank Journey
Getting on the Show
- •Applied to Shark Tank in 2016
- •Got accepted after multiple rounds
- •Went in asking for $100K for 5% ($2M valuation)
The Pitch
- •Demonstrated the product
- •Showed early traction
- •Multiple sharks interested
- •Mark Cuban made an offer
The Deal
- •Mark Cuban invested $100K for 15%
- •Also got a deal with guest shark (Daniel Lubetzky, founder of KIND bars)
- •Daniel's involvement would later save the company
The Near-Death Experience
The Lawsuit That Almost Killed Them
- •After Shark Tank, a major gum company sent cease and desist
- •Claimed NeuroGum infringed on their patents
- •Lawsuit could have bankrupted them
- •Legal fees were mounting
Daniel Lubetzky Saves the Day
- •Daniel had experience with big CPG companies
- •Made phone calls to the company's executives
- •Negotiated a settlement
- •"Without Daniel, we would have been done"
Scaling to $100M/Year
The Growth Playbook
- •Started DTC (direct-to-consumer) on their website
- •Expanded to Amazon
- •Got into retail: Target, Walmart, CVS, 7-Eleven
- •Now in 30,000+ retail locations
Revenue Breakdown
- •$10M/month in revenue
- •60% retail, 40% DTC
- •Profitable and bootstrapped after Shark Tank
- •Never raised additional funding
Product Line Expansion
- •Original NeuroGum (energy)
- •NeuroMints (same formula, mint form)
- •Calm line (with GABA for relaxation)
- •Focus line (with Alpha-GPC)
Key Business Insights
Why Gum Works as a Delivery System
- •Buccal absorption (through cheek lining)
- •Faster than pills or drinks
- •More convenient - no water needed
- •Discrete - can use anywhere
The CPG Playbook
- •Start DTC to prove concept
- •Use data to pitch retailers
- •Retail is where the volume is
- •But DTC has better margins
Retail Strategy
- •Started with natural/health stores
- •Proved velocity (sales per store)
- •Used data to get into bigger chains
- •Now in mass retail everywhere
Lessons from Kent's Journey
On Adversity
- •"The accident was the best thing that happened to me"
- •Gave him perspective and drive
- •Made him appreciate every day
- •Turned pain into purpose
On Partnership
- •Kent and Ryan have been friends since age 5
- •Trust is everything in a co-founder relationship
- •Complementary skills: Kent = marketing, Ryan = operations
- •"We've never had a real fight"
On Persistence
- •Got rejected by 100+ investors before Shark Tank
- •Almost went bankrupt from lawsuit
- •Kept going through every obstacle
- •"You have to be delusional to be an entrepreneur"
Key Advice
For CPG Founders
- •Start with DTC to validate
- •Get your unit economics right before retail
- •Retail is a different game - need capital for inventory
- •Relationships matter in retail
For Anyone Facing Adversity
- •Your lowest point can become your launching pad
- •Perspective is everything
- •Channel pain into purpose
- •"The obstacle is the way"
Resources
- •NeuroGum: https://www.getneuro.com
- •Kent's Instagram: https://www.instagram.com/kentyoshimura/
- •Ryan's Instagram: https://www.instagram.com/ryanchenn/
- •NeuroGum Instagram: https://www.instagram.com/neurogum/