Airbnb CEO says his $75 billion company was rejected by investors—until a $40 box of cereal turned things around

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Airbnb CEO says his $75 billion company was rejected by investors—until a $40 box of cereal turned things around (via CNBCMakeIt)

Airbnb CEO and co-founder Brian Chesky speaks at The Fast Company Innovation Festival on September 21, 2022, in New York.Some people secure startup investments with well-organized pitches and PowerPoints.And it was almost by accident, CheskyWhen Chesky and his two co-founders — Joe Gebbia and Nathan Blecharczyk — launched the company in 2008, investors were skeptical of the idea that people would casually invite strangers into their homes for overnight stays.

Specifically, they sold self-designed cereal boxes featuring then-presidential candidates Barack Obama and John McCain as a breakfast option in Airbnbs. The cereal proved popular, selling more than 1,000 boxes and making $30,000 for the company, Chesky said. That turned at least one investor's head back in their direction, he added: Tech startup accelerator Y Combinator co-founder Paul Graham offered them an investment specifically because of the cereal.

"If you can convince people to pay $40 for $4 boxes of cereal, maybe, just maybe, you can convince strangers to live with each other," Graham told the trio, according to Chesky. Y Combinator was responsible for one of Airbnb's earliest investments, giving the then-startup $20,000 in exchange for 6% of the company, according to

 

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Airbnb CEO says he wooed his first investor with $40 boxes of cereal—now his company is worth $75 billionAirbnb CEO Brian Chesky says his company was initially rejected by a dozen investors, and finally secured funding with the help of some $40 boxes of cereal. MakeIt POTUS HouseDemocrats SenateDems cnn GavinNewsom Airbnb should have never made it. It has screwed up the rental market in many cities by removing many properties from long term rental, so poor people are paying way too much for much lower supply of 'long' term rentals MakeIt Families are starving and Airbnb has $40.00 boxes of cereal MakeIt Airbnb searching menu is a disaster..
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