Payal Kadakia is a woman to watch. As the co-founder of ClassPass—the subscription-based fitness platform—Kadakia just raised a mega $285M in funding from investors in Peloton and Equinox since founding the company in 2013. This puts the female-founded startup in unicorn territory with its new valuation of $1 billion (following in the footsteps of Rent the Runway’s Jennifer Hyman). And making this news even more badass, Kadakia is nearly nine months pregnant.
The money will help ClassPass’s expansion internationally, its corporate wellness offering as well as continue adding wellness activities such as facials and massages to its existing markets—we can’t wait to see what Payal does with the company next. Payal’s innovation and tenacity are exactly why she’s a member of our new Mastercard Women’s Business Advisory Council.
Below, Payal shares advice for young women looking to build their entrepreneurial dreams just like she did.
What was your “aha moment” when founding ClassPass?
After I graduated from college, I found it challenging to nourish my love of dance while working in traditional jobs. By most standards, these were great jobs, but they weren’t great for me because they prevented me from pursuing my passion for dance. In 2010, I visited San Francisco and met incredible entrepreneurs. My first “aha moment” was meeting them and realizing that I, too, could build a company.
My second “aha moment” came 36 hours later. I was searching for a ballet class to take after school and found the online search process to be cumbersome and miserable. Since I was in the mindset to look at challenges as startup opportunities, I was able to quickly realize that this frustration was a business idea: to create a company that makes it easy for people to try new classes and pursue their passions.
You went through a rebrand in the early stages of starting your business and switched up the business model. Were you confident this was the right decision? How did you navigate any doubts you had?
I was always confident because I was mission-focused, not product-focused. I knew there had to be a way to fulfill our mission of reconnecting people with their passions, so I was willing to keep iterating on our product and business model until we found the right approach. To this day, iteration and a constant quest for even more ways to accomplish our mission remain core to our company’s DNA.
How has fitness and staying active made an impact on your life?
In more ways than I can possibly calculate -- fitness has made me who I am, and it quite literally paved the path for me to found ClassPass! The same way you need to challenge your mind, you have to challenge your body to continue to let yourself know you can achieve anything you put your mind to.
Who was the first person you hired for your business, and how much of a difference did it make?
Soon after I got the idea for ClassPass, I bought a URL, bounced the idea off of friends, secured an angel investment, and was joined by my childhood friend Sanjiv Sanghavi. These early decisions were crucial, especially the decisions that led me to exactly the right angel investor (my mentor Anjula Acharia) and the right co-founder. Early on when your business is little more than an idea, it’s crucial to be joined on that journey with people you trust, with whom you can work well under pressure, and who share your vision.
What are the common challenges you've seen among female business owners and entrepreneurs?
I’d love to see more successful female role models. If more women see other successful women accomplishing their dreams, they’ll dare to aspire to reach their dreams as well.
When you hit a bump or hurdle in your career, how do you find a new road + switch gears to find success?
I don’t fit well in a box, and I’ve often found that I need to question professional norms, such as titles and other artificial notions of prestige, in order to determine what’s best for me. When I reach a hurdle I’m not sure how to cross, I enlist the advice of my trusted mentors, but ultimately I also trust my instincts.
“Early on when your business is little more than an idea, it’s crucial to be joined on that journey with people you trust, with whom you can work well under pressure, and who share your vision. ”
What’s the best piece of #realtalk advice you’ve ever received?
Early on, when I was just getting started, my mentor and angel investor Anjula Acharia told me that if I wanted to make ClassPass work, I had to quit my job. Building your dream can’t be a part-time endeavor; you have to pursue it with everything you’ve got.
What are two qualities you think every entrepreneur needs in order to be successful?
A purpose and a lot of persistence!
Whose career is inspiring you today?
My fellow female entrepreneurs, including Jessica Alba, Jenn Hyman, and Katrina Lake, among others. I hope this list just keeps getting longer and longer!
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