Dive Summary:

• After increasing its investments and value to over $1 billion, Fab.com is currently “suffering growing pains” from its quick expansion. The company has been in operation for only two years.
• “It is impossible to grow a company as fast as we’ve grown Fab without having mistakes along the way,” CEO Jason Goldberg stated in an interview.
• CEO Jason Goldberg publicly predicted global revenue of $140 million for the company in 2012; however, Fab.com reported actual revenues of $113 million, according to an internal email acquired by Bloomberg.

From the article:

To give investors a return on the more than $310 million they’ve put into the company so far, Chief Executive Officer Jason will have to prove that he can handle an international expansion and push into new lines of business, such as Fab-branded products. At the same time, Goldberg and co-founder Bradford Shellhammer are honing a management approach that has involved threatening to fire workers in companywide e-mails and barring employees from hanging their jackets over their chairs.