“LACROIX IS THE BEST EVER!”

 -- LaCroix’s CEO (and everyone else) [The Hustle]( Mon, Oct 23 Brought to you by [FreshBooks]( the “accounting guru” you can’t find on Craigslist The CEO of LaCroix is absolutely bonkers -- but his antics are selling Since September, LaCroix -- the wildly popular sparkling water that rose from obscure [midwestern mom-dom]( to immense popularity among millennials -- has seen a 23% drop in its stock price. And it seems that was a little too much for company’s head honcho to handle: last week, [Nick Caporella]( the CEO of National Beverage Corp. (which owns LaCroix) sent out a press release that defied every executive convention. “FIZZ revenues have grown 60% over the last ten years,” he wrote. “ALL ORGANIC GROWTH – NO ACQUISITIONS! Organic growth has now ACCELERATED! ….First quarter 2018 – BEST EVER! Second quarter growth – STEADFAST!” Uhh… who is this guy? Caporella grew up poor in rural Pennsylvania, the son of a coal miner. In 1957, at 21, he “scraped together” $250, bought a used dragline excavator, and started his own contracting business. By 1972, he’d built it into a multi-million dollar operation and was acquired by telecom giant, [Burnup & Sims](. Four years later, he was the firm’s CEO. He launched National Beverage in 1985 and gradually bought out other beverage firms -- including LaCroix in 1996. Now 81, he [owns 74%]( of the company and is one of the 400 richest men in America. Usually, prominent businessmen play it safe… Not Cap’n Fizzy. His latest quip is part of a long, long lineage of very strange press releases he’s made over the years… Like in this [2013 earnings report]( in which he complained of “picnics, sickening explosions and weeks of tornados." Or, this [2012 release]( where he promises to “symbolically claim [his] victims” in the cola industry. Then, there’s [this gem]( "Good soft drinks are to the human race what sunshine is to a panic!… Precious rainbows usually require both rain and sunshine!” What’s his deal? Our best guess: he’s either an octogenarian who is slowly but surely entering the phase of his life where he no longer gives a friggin’ hoot -- or, he’s a staunch believer in the theory that weird marketing sells (a la the late [Emmanuel Bronner]( who peppered his Dr. Bronner’s soap products with [incredibly strange]( sayings and quotes). Either way, we’re here writing about him. So, it worked. Cap’n Fizzy  Stitch Fix files for IPO… and miraculously, they’re almost profitable 6-year-old clothing subscription box service Stitch Fix [has filed for IPO]( -- and in an industry known for burning through cash, they’re sporting some pretty solid numbers Filings indicate a $100m target raise, but we’re guessing that that number’s just a placeholder. The actual figure could be much larger. The price of shares sold back in January pegs the company at a nearly $2B valuation, and they closed out the most recent fiscal year just $594k in the red, with [$977m in revenue](. Their filing also reports that they were [profitable in both 2015 and 2016](. In the world of VC-backed e-commerce, profitability is rare… Particularly in the seemingly dime-a-dozen subscription box space. But where companies like Blue Apron are struggling, [Stitch Fix is thriving]( they’ve raised less than $50m in VC cash, compared with the $194m [Blue Apron’s]( raised prior to their IPO. They’re also running a large [data-science operation](. To use the service, customers fill out a survey about their style, pay a $20 upfront styling fee, and get sent 5 clothing items specific to their taste. These in-depth surveys help Stitch Fix make more accurate styling choices for customers -- and are a big value-add for investors. [What’s in the booooxx??](  Nobody wants an M.B.A anymore Applications to Master of Business Administration programs in the US have fallen for a third straight year, prompting business schools to take a hard look at their [programs](. Once a requisite for careers in finance and management consulting, the MBA has lost its appeal in recent years as fewer employers are helping to cover the costs, causing a generation of students soaked in student loan debt to stay put in the workforce. This poses a big problem for public schools While elite private programs like Harvard and Stanford are still attracting applicants, public schools are finding it much harder to entice students. Back in August, the University of Iowa’s Tippie College of Business announced plans to close, and the University of Wisconsin’s School of Business claims it may not be far behind, despite ranking amongst the [top public-university business programs]( in the country. They’re just not important anymore Simply put, MBA degrees aren’t the shortcut to higher earnings that they once were. Nearly 200,000 students have obtained an MBA every year since 2010. Which means the market is f-f-flooded -- and having the title on your CV doesn’t automatically get you the job like it used to. Even if it did, [20%]( of business school graduates report that their degree did not improve their earning power. Pretty lame, considering that some MBA programs cost upwards of $100k. [The Times They Are A Changin’](  SoftBank is cutting some big checks to tech companies, and it’s messing with IPOs On Friday, SoftBank’s CEO Masayoshi Son spoke of his plans to invest roughly [$880B]( in tech companies through at least three more iterations of its Vision Fund, quelling hopes that the tech IPO market would bounce back this year. The trend (led by Softbank) of investment funds shifting their focus towards private, rather than publicly traded, companies, is causing a major slump in the number of new US public companies (down 50% over the last 2 decades). And it’s only getting worse Private companies are being doused in riches from big pocket investors like SoftBank, while recently public companies (like Blue Apron) brace for a market tumble -- raising concerns about IPO opportunities in 2018. Just 12 venture capital-backed tech companies went public in the US in the first three quarters [this year]( compared to 27 during the same period in 2014. SoftBank’s just getting started On top of making headlines due to its monster deal with Uber, expected to finalize sometime this week, SoftBank has announced plans to invest in at least 1k tech companies over the next 10 years. In other words, expect the trend of merger and acquisition exits to continue and fewer IPOs long term. [Laughing all the way to the (Soft)bank](   monday morning review Q: Should we run sponsors on stories about tragedies? We have a little [discussion starter]( for ya: A few weeks ago, we ran a story about the Northern California wildfires and the wine industry. It was our top story of the day, complete with a header image of a blazing fire -- and a logo from the day’s sponsor. We ended up taking the company’s logo out of the image, out of concern that running an image of a tragedy “Sponsored By (x),” would come off as insensitive, or profiteering off others’ misfortune. The subject sparked a small debate around the office, so we thought we’d pick your brains: Is running ads or company sponsorships over sensitive news stories A-OK? Or a big ‘Nay’? (And why?)  We’re starting an open forum discussion on Facebook [here](. Let us know what you think [in the comments]( we’d love to hear from you. -- Wes, Resident Brain-Picker This edition of The Hustle was brought to you by Skip the worst thing about being an Entrepreneur… Paperwork. Seriously. And, whether you're a freelancer, small business owner, or whiteboard savant, you’re probably familiar with one particular type of it: the special hell that is accounting paperwork. From expenses to the tax-man, it’s the oil to your sweet, sweet startup water. [Freshbooks]( is out to change that. Freshbooks is the “numbers guru” you can’t find on Craigslist Want to [send professional invoices]( from the subway? Coming at you from the cloud. Need a full expense report by end of week? How does Tuesday sound? Clients asking for estimates before purchase? Breezy, and tax is calculated automatically. [Freshbooks]( saves you more of what every business owner needs most: [time and money](. It’s that simple. But hey, don’t take our word for it: Try Freshbooks [free, for 30 days]( to do less of what you hate, and more of what you love.  0 [SHARE THE HUSTLE]( REFERRALS Lindsey Quinn MANAGING EDITOR Zack Crockett WRITER Wes Schlagenhauf WRITER Sam "More of a tap man" Parr EDITORIAL EAVESDROPPER Adam Illion AUDIENCE ESTIMATOR [SUBSCRIBE]( [JOBS]( [ADVERTISE]( [EVENTS]( You opted in by signing up, attending an event, or through divine intervention. [771 CLEMENTINA STREET, SAN FRANCISCO, CA 94103, UNITED STATES]( • [415.506.7210](tel:+1-415-506-7210) Never wanna hear from us again? Break our hearts and [unsubscribe](