How Fab.com Convinced Its Board To Completely Pivot The Company, And Then Raised $51 Million

Source: http://www.businessinsider.com/fab-pivot-change-business-investors-2012-3

It only took one year for Fab.com to attract 2.5 million members.

It's proof that co-founders Jason Goldberg and Bradford Shellhammer made the right decision when they asked their board if they could shut down Fabulous.com and create an entirely new site.

"We had a wake-up moment," Goldberg told us. "Why were we building a company that isn't the company we want to be building?"

They pivoted and created a home decor flash sales site, attracting 165,000 members even before launching, and have raised $51 million to date. They're set to generate twice as much in 2012.

Watch below Goldberg and Shellhammer talk about how they made the decision to pivot and how they told their investors.

Produced by Kamelia Angelova, Robert Libetti and Dan Goodman

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