Quality of Revenue Beats Growth: Why a Quick Costco Win Can Boom and Bust

In this Investor Spotlight, host Hannah Dittman sits down with Moira O’Connell, Vice President at Astō Consumer Partners, to unpack what late-stage consumer investors look for in a brand, how founders can tell whether an investor is the right fit, and what early-stage brands can learn from companies that have already scaled.

Moira started her career in investment banking at Bank of America’s financial sponsors group before moving to the growth fund at L Catterton, where she worked across food, beverage, beauty, fitness, and consumer tech. She joined Astō during its first fundraise, drawn to the operator mindset of its founding partners, whose operating careers include Sweet Leaf Tea, Deep Eddy Vodka, and SkinnyPop. Astō is wholly focused on CPG and typically backs profitable brands above $40 million in sales through minority investments of $25 million to $75 million.

Hannah and Moira dig into what “late-stage growth” means, the profile of a sweet spot company, and case studies including Clean Skin Club, Bloom Nutrition, and Starface. They also cover primary versus secondary capital, what it takes to grow from $1 million to $25 million and beyond, why alignment on valuation and growth levers saves everyone time, and how to find an investor who truly plays in your lane.

Listen in as they discuss:

• How Astō’s late-stage approach sits between growth equity and private equity, with minority stakes and $25M to $75M checks
• How the operating backgrounds of Astō’s partners shape the way they support founders
• Why brands with proven product-market fit still need a partner to manage execution risk
• What Clean Skin Club and Bloom Nutrition show about customer loyalty and growth levers like retail and new categories
• Why Astō’s board members work alongside management on hiring, budgets, and channel strategy
• Primary versus secondary capital, and why letting founders take some chips off the table can help them focus
• What it takes to get from $1 million to $25 million: nail the product, nail the messaging, and make a pivotal early hire
• Why quality of revenue matters more than growth for its own sake, using Costco as an example
• Why aligning on valuation and growth levers early saves founders and investors time
• How to find the right investor: study portfolios and check sizes, reach out on LinkedIn, and use resources like fractional CFO firms

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Episode Links:

• Moira O’Connell LinkedIn: www.linkedin.com/in/moira-o-connell
• Astō Consumer Partners LinkedIn: www.linkedin.com/company/ast%C5%8D-consumer-partners
• Astō Consumer Partners Website: www.Astoconsumer.com
• Contact Moira directly: [email protected]

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Show Links:

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• Questions or comments about the episode? Email [email protected]
• Episode music by Super Fantastics