For the 159th feature of our "Together Talks" campaign, we collaborated with Sadot Group and Chief Financial Officer, Jennifer Black. Sadot Group Inc. has rapidly established itself as an emerging global food supply chain player. Sadot Group provides innovative and sustainable supply chain solutions that address the world's growing food security challenges.
Sadot Group connects producers and consumers worldwide, sourcing agri-commodity products from producing geographies such as the Americas, Africa, and the Black Sea and delivering to markets in Southeast Asia, China, and the Middle East/North Africa region.
"Together Talks" feature # 159: Sadot Group presented by KLS - Your Trusted Shipping Solutions In The USA
Can you reflect on a goal you set, achieved, and how it made you feel? Goals for upcoming year + Next phase of the company?
Describe the transition when you took this role? How did your previous experience help for this role? When you were brought on was the restaurant spin off part of the plan?
How do you combat getting caught up with what is next and skipping celebrations? Share a decision that you made that was detrimental? What is your why?
Story of how it was created?
The company has been in business for over 25 years, originally starting as a restaurant called Muscle Maker Grill, which focused on healthier alternatives to traditional fast food. As the business grew, it expanded through corporate stores and franchises. In 2020, the company went public with its IPO.
In 2021, it acquired two food-based businesses: Pokemoto, a Hawaiian poké fast-casual restaurant, and Super Fit Foods, a meal prep service based in Jacksonville, Florida. I joined the company in January 2022, leveraging my public company and CFO experience to help restructure and rebuild operations. We needed to decide whether to expand through restaurant growth or pursue an acquisition strategy to deliver greater shareholder value.
An opportunity arose with Aggia, a company experienced in commodity trading. They sought a partnership with a publicly traded entity in the food industry. Unlike previous merger and acquisition proposals, Aggia aligned with our business goals by fitting into the vertical food supply chain. While we previously operated solely at the restaurant level, this partnership allowed us to integrate across multiple stages of the supply chain and execute a comprehensive growth strategy.
What separates you from your competition?
After venturing into commodity trading and broader food supply chain operations, we realized that the restaurant segment no longer aligned with our strategic direction. Although it remained profitable, it contributed less than one percent of our revenue and became a distraction from our core business. We are currently marketing and selling our remaining franchises.
Our primary focus now is on commodity trading, sourcing, and farming—key areas of the food supply chain. While most companies in this space are large and well-established, we have a strong team of seasoned traders with years of experience and extensive market knowledge. We're not starting from scratch but leveraging proven expertise.
To build our presence effectively, we sought out individuals with established industry relationships. Whether through joint ventures or consultants, we prioritized hiring professionals with deep experience in specific markets. Their networks and knowledge have been invaluable in ensuring we build the business the right way.
For example, when entering the Canadian market, we onboarded a full team with extensive experience in that region. This allowed us to hit the ground running and establish a strong foothold. We believe this approach positions us for success, enabling growth driven by seasoned professionals who understand their markets inside and out.
What have been the biggest challenges?
As a startup in this industry since November 2022, we've faced significant challenges related to capital requirements. Commodity trades in this sector aren't small—transactions often range from $50 to $60 million, making it highly capital-intensive.
Being a smaller company, we don't yet have the extensive trade financing or capital reserves that larger, more established players possess. Our greatest challenge is balancing rapid growth with maintaining sufficient cash flow to support it, ensuring we don't outpace our financial capabilities.
Can you reflect on a goal you set, achieved, and how it made you feel?
Integrating a completely new business model into an existing company was a significant challenge. We transitioned from a restaurant-based operation to developing what is now our core business in commodity trading. For years, the company had been operating at a net loss. Our mission was clear: generate income and achieve profitability.
This was no simple task, especially when creating a new business in a completely different industry. Shifting from owning and operating 40 to 50 restaurants and franchises to conducting multi-million-dollar trades was a transformative and complex process.
Additionally, we evolved from being a U.S.-focused restaurant company to becoming an international trading entity. The results of this transformation have been remarkable. By 2024, we achieved profitability for the nine months ended September 30,2024, moving from a substantial net loss to positive earnings per share.
Goals for upcoming year + Next phase of the company?
2025 is our year to accelerate growth, and we're not slowing down. We aim to expand into new markets while strengthening our presence in current ones. Scaling strategically is essential to achieving our long-term goals.
Entering different verticals and markets brings opportunities to diversify product offerings, each with unique margin structures. We currently operate a farm in Africa and, as disclosed in Q3, have placed a deposit on another farm in Indonesia. Once fully operational, these ventures will provide additional avenues to boost margins and expand our global footprint.
Our primary focus remains on scaling our core business, entering new markets, and continuously seeking innovative ways to improve profitability.
Describe the transition when you took this role?
I wouldn’t say I’m your typical CFO. I’m someone who likes to roll up my sleeves and tackle challenges head-on, especially when it comes to change management. Honestly, I wasn’t looking to return to a public company—I’ve been there, done that. But then the chairman of the board reached out. We had a prior connection through our kids playing baseball together. He told me, 'You need to come work for me.' He said, 'Just think about it—and talk to the CEO'
When I looked at their financials for 2021, it was clear they were in a tough spot. But as I reviewed the 10-K, I saw so many areas for improvement and ways I could add real value to the company. So, I decided to meet with the CEO. He’s fantastic—I really enjoyed our conversation. I offered my help, saying I believed I could help turn things around. I’m always up for a challenge. Little did I know, that first year we’d face an even bigger challenge: entering a completely new industry. But that’s exactly the kind of thing I enjoy.
I thrive in environments that are constantly evolving, always looking for ways to improve. I’m driven by the question: 'How do we tackle the next challenge? How do we make things better?
How did your previous experience help for this role?
My background is incredibly diverse. I haven’t stuck to just one industry. I’ve spent years in public accounting, worked in banking, oil and gas, and even production lending before returning to the oil and gas sector. What drives me is growth—I’m always looking for ways to evolve, not just in terms of new positions, but also by exploring new industries. I believe you can learn so much from different sectors that you can apply to what you do, and that broadens your perspective.
This diversity has made me a more well-rounded CFO. I’ve gathered valuable insights from each area I’ve worked in. For instance, while I had never worked in the restaurant industry before, I had experience with companies that had similar service-oriented models—like oil and gas, which also involved servicing. I’ve also worked with public companies before, so I understood the dynamics of the public side of the business.
Being versatile, and not getting stuck in a single mindset, has allowed me to approach problems from different angles. When we ventured into commodity trading and agriculture, I was able to draw on my experience from previous companies in ag production. Plus, I was born and raised on a farm, so that transition was a bit of a homecoming for me.
When you were brought on was the restaurant spin off part of the plan?
That wasn’t part of the original plan. We knew we needed to create additional shareholder value and were exploring every possible avenue. The chairman of the board, the CEO, and I met with Aggia, and that’s when we began considering commodity trading and how it might integrate into our business. The decision to spin off the restaurant division and divest those assets didn’t come until 2024, when the success of the commodity trading side had outpaced the rest of the company. By that point, the restaurants had become more of a distraction than a value driver.
Do you feel that would have changed your outlook on taking the position?
I probably would’ve been less excited if we had stuck with just the restaurant business. I thrive on constant growth and change, and staying in one place would’ve meant status quo. There’s a chance I could have gotten bored. Instead, we’re constantly expanding into new countries, entering new industries, and tackling fresh challenges. I know it can be frustrating for some people because they question why we always need to be doing something new.
But for me, that’s the appeal—it’s a challenge. Do I get frustrated at times? Sure. But the upside is we’re always learning. My team is always picking up new skills and figuring out how to take on the next project. We’re working with the right consultants and experts to guide us in areas we haven’t yet explored. The growth our team has experienced over the past two years has been incredible.
How do you combat getting caught up with what is next and skipping celebrations?
That’s definitely been a challenge. In the past, we’ve been so focused on what’s next that we didn’t always take the time to pause and reflect on what we’ve accomplished. But you’re right—when we’re finishing up something like a 10-K or 10-Q, we’re already deep into the next quarter and have moved on to the next task. We didn’t always celebrate our wins as much as we should have, but we’re making a more intentional effort to do that now.
We’ve recently set up an accounting office where the whole team works together in one space, which has really helped with that. It’s easier to connect and recognize each other’s contributions. We also hold weekly meetings with our international accounting teams across the globe, which has been great for fostering that sense of unity and recognition. I’m making a more conscious effort to give more affirmations and highlight the good work our team is doing. Celebrating the small victories is something I’m actively working to prioritize more."
Share a decision that you made that was detrimental?
One decision that stands out as a failure, but not necessarily detrimental was our initial attempt to integrate operations in Brazil. When we expanded into new countries, especially ones with complex and unfamiliar regulations like Brazil, we ran into significant challenges. One of the main issues was that our accounting software, which had been highly effective in other markets, wasn’t properly set up to handle Brazil’s strict tax laws and regulatory requirements.
This created a lot of inefficiencies. We had to double our work by entering data separately in both the Brazilian system and our own books. This was not only tedious but also increased the risk of errors, and it wasn’t sustainable in the long run. It slowed down our operations and added unnecessary complexity. We’ve since worked on addressing this issue, and the team is still making adjustments to ensure that our software is correctly configured for the Brazilian market. While this was a painful lesson, it helped us identify gaps in our systems and reinforced the need for better preparation when expanding into new regions.
What is your why?
My 'why' starts with my family—my family is always my foundation and my main source of motivation. But beyond that, it’s my team. I’m incredibly fortunate to work with such a dedicated group of people. Over time, the team has evolved, but there are a few key members who have been with me through it all, and that consistency is invaluable.
What drives me to come back every day is reflecting on what we’ve accomplished together. We took a company that was losing money year after year, and through a collective effort, we’ve turned it around and achieved incredible growth. And I always emphasize the 'we' in that—we didn’t get here on my own. It’s a testament to every individual on the team doing their part to make this happen.
I’m proud that I’ve been able to bring some of the people I trust along with me on this journey. For example, I brought my director, who has worked with me at other companies, to help rebuild everything from the ground up. Since then, we’ve continued to expand and bring in new talent to drive further growth. It's the shared sense of purpose and achievement that motivates me every day.
Do you have a moment that brings you the most joy?
There have definitely been many intense moments—it feels like we’re drinking from a fire hose 99% of the time. But honestly, I wouldn’t have it any other way. If we weren’t working at this pace, it would feel too slow. We wouldn’t be where we are today without that growth mindset, even though it can be incredibly challenging at times. The speed of our growth has been tough to manage, but it’s also what’s driven us to achieve things we never thought possible.
Looking back, that relentless drive is what led us to our first profitable year and allowed us to hit over $700 million in revenue last year. Those moments of progress, seeing where we started and where we’ve come from, bring me a lot of joy. It’s all worth it when you can see the results of the hard work.
Piece of Advice
My one piece of advice would be to surround yourself with people you genuinely enjoy working with. We spend at least eight, often 10+, hours a day with our teams, so it's crucial to have people you not only trust, but also enjoy being around. Now, I’m not saying it has to be your family—your family is your family, and they have their place at home. But your team, the people you work with, are the ones who count on you and you count on them.
It's important to make sure you have the right people in place. If the team isn’t cohesive or people aren’t happy, it’s tough to be productive and motivated. You want your work environment to be one where people enjoy what they’re doing and feel good about the work they're contributing. If it’s not fun, it’s hard to stay engaged and motivated.
In Closing
KLS wants to thank Sadot Group and Chief Financial Officer, Jennifer Black, for today's "Together Talks" feature. Follow along for their journey with their social handles below!
Comments