The secret ingredient in vegan chocolate brand Mid-Day Squares is viral content. The 29-year-old CEO and cofounder, Jake Karls, along with his sister and brother-in-law cofounders, Lezlie Karls and Nick Saltarelli, star in TikTok, Instagram and YouTube videos, sharing the behind-the-scenes entrepreneurial drama.
“We give customers a story, something to get behind to feel like part of what our whole journey has been,” Karls says. “We document and show everything, the good, the bad, the ugly of building this business, which brings us closer to our consumer. It’s no longer just a chocolate bar and a refrigerator.”
In 2018, the Canadian-born entrepreneurs cofounded Montreal-based Mid-Day Squares, adding ingredients such as artichoke powder and pea protein to produce more nutritious chocolate. Sales are on track to hit $17 million this year, more than double 2021.
The cofounders aim to build a modern chocolate company with functional ingredients. When they were just starting out, they heard a lot of noes. Some 26 contract-only factories said they couldn’t scale Mid-Day Square’s unique production.
Karls took those noes and built his own, fully automated factory in Canada that can pump out 90,000 bars a day. Investment has poured in — $16.7 million in all — from the likes of Boulder Food Group and Siddhi Capital.
The capital will help Mid-Day Squares go up against some long-entrenched candy companies. Karls says it will be a game of David and Goliath: “The chocolate industry has been dominated by five brands over the last 100 years. We believe it’s time to put a new flag on the mountain.”