How Michael Pan Turned a secret recipe into a Million $ Company
In the heart of Vancouver, Michael Pan is on a mission to reintroduce your palate to something ancient — mushroom jerky. His creation, Pan’s Mushroom Jerky, has been quietly gaining momentum, and like a mushroom, it’s poised to grow seemingly overnight.
The 38-year-old entrepreneur sees a significant opportunity as people across the country are increasingly moving towards reducing meat consumption, whether for health or sustainability reasons. Pan believes his mushroom jerky caters to both meat lovers and those exploring alternative lifestyles. “They say, ‘I eat ribs and steak — but I want to try this,’” he notes.
With five distinct flavors, recent additions to the production team, and a carefully devised growth strategy, Pan’s Mushroom Jerky is ready to transition from a niche product to a mainstream sensation. While the snack is already available directly to consumers and in various stores, Pan and his business partner, Colton Telford, have their eyes set on larger partnerships.
Mushroom Craze
Interestingly, mushrooms, despite being on-trend, have been a dietary staple for Asians for thousands of years. Pan’s family recipe, inspired by his Buddhist cousin’s vegetarian mushroom jerky in Malaysia, is a closely guarded secret that he stumbled upon only recently.
Having started the journey eight years ago, Pan’s entrepreneurial spirit led him through three different jobs, including a stint as an engineer, before he launched Panco Foods. After the successful sale of a startup, he had the time and resources to bring his family recipe to the United States. With family support and a commitment to learning everything from import rules to website building, Pan bootstrapped his way into the market.
How is it Going?
Fast forward two years, and Pan believes the mushroom jerky is on the brink of breaking into the mainstream. New flavors and packaging, coupled with a robust marketing campaign, have elevated the product from a unique idea to a fully realized offering.
The recent addition of Colton Telford to the team has amplified their efforts. The duo has been making waves at food conventions such as Natural Products Expo West and SXSW, garnering attention from notable publications like The Washington Post and The San Jose Mercury-News. The jerky’s umami flavor and texture have left positive impressions, and the company is riding the wave of mushroom popularity.
Expanding Beyond
To meet the rising demand, Panco Foods has secured commercial kitchen space in southeast Portland, hired chefs, and transitioned production stateside. Notably, the recipe has been tweaked to make the product vegan-friendly by replacing eggs with chia seeds as a binder.
Mushrooms are having their moment in the spotlight, not just in Pan’s jerky but also in health drinks and even mushroom-based coffee and tea. Consumers, increasingly concerned about the origins of their food, are turning to plant-based proteins due to reasons such as animal welfare.
In the Future
Despite the hype and growth potential, Pan is cautious about taking on investors, emphasizing his desire for control over the product’s future. Industry experts and mentors believe he’s on the verge of significant growth and encourage him to trust his instincts.
With Pan’s Mushroom Jerky already available in over 200 stores and online, priced between $8 and $9, Pan is confident that the right ingredients, both in the product and the market, will secure its place. As he navigates the challenges ahead, Pan remains aware of the need for capital but is equally confident that every penny will be invested wisely, steering the company towards continued success.
