From Dorm Room to Multimillion-Dollar Business: Insights from Insomnia Cookies CEO Seth Berkowitz
From Dorm Room to Dough: How to Turn Your College Business Idea into a Success
Starting a business while juggling classes, exams, and social life might seem like a daunting task, but for many college students, it can also be a thrilling adventure. Just ask Seth Berkowitz, the co-founder and CEO of Insomnia Cookies. What began as a late-night cookie delivery service in his college dorm at the University of Pennsylvania has blossomed into a multimillion-dollar enterprise with over 260 locations and revenues exceeding $200 million. If you’re dreaming of launching your own venture from your dorm room, Berkowitz has some invaluable advice to share.
Find a Mentor: Your Guiding Light
Berkowitz emphasizes the importance of mentorship in the entrepreneurial journey. “Get a mentor,” he advises. “Find somebody who’s done this before you, or done something similar.”
Navigating the world of business can be isolating, and having a mentor can provide the support and guidance you need. Berkowitz reflects on his own experience during the challenging years following the 2008 financial crisis, where he faced tough decisions and significant changes in his business model. A mentor can help you avoid common pitfalls and provide insights that you might not have considered.
“Learning from those who’ve come before you really allows you to jump over some serious potholes,” he says. If you’re in college, take advantage of your school’s resources. Professors and alumni can be excellent sources of guidance and wisdom.
Just Do It: Embrace the Opportunity
While Berkowitz doesn’t advocate for dropping out of college, he encourages students to seize the moment. “College is such a great time to try something,” he says. Many students underestimate the amount of time they have to explore different ideas and ventures.
“Running a business — even just a side hustle — is definitely a lot of work,” Berkowitz acknowledges. However, if you thrive on action and excitement, this could be the perfect time to dive in. The risks you take now can be less daunting than those you’ll face after graduation, making this an ideal time to experiment and learn.
Choosing Your Dorm Room Business Idea
So, how do you decide what business to start? Berkowitz suggests two key considerations:
-
Follow Your Passion: Start with what you love. For Berkowitz, it was baking cookies and delivering them late at night. “It’s so critical that you do something that you’re passionate about,” he advises. Working on something you find interesting will keep you motivated and engaged.
- Adopt a Lean Mentality: Instead of seeking funding before you’ve proven your concept, start small. Berkowitz spent about $150 on baking supplies before testing his cookie delivery idea. His initial success — earning $10,000 in profit during his first semester — validated his business model without significant risk.
“People should start a little smaller, think it through, develop a business model, make sure there’s sustainability, and then go fast,” he recommends. This approach allows you to learn and adapt without the pressure of large investments.
Conclusion: Your Dorm Room is Your Launchpad
Starting a business in college can be an exhilarating experience filled with learning opportunities. With the right mentorship, a willingness to take risks, and a focus on your passions, you can turn your dorm room into a launching pad for your entrepreneurial dreams.
So, whether you’re dreaming of baking cookies, launching an app, or starting a blog, remember Berkowitz’s advice: find a mentor, embrace the journey, and just do it. Your college years may be the perfect time to turn your ideas into reality. Who knows? You might just be the next success story to emerge from a dorm room!