Read Millionaire Fastlane
I've Read UNSCRIPTED
- Jul 23, 2007
I laugh when I see these companies like Lawn Starter try to be the uber of lawn care and raise 17 million by calling themselves a tech company when they bring in 2.5m in sales after 8 years and being in 120 cities. What a stupid business model. Subbing out work = low customer retention. Being a middleman = lower margins. Their profit will be squeezed into nothing if advertising costs rise at all. We make a thousand per customer per year and we keep them. They make a hundred bucks per customer and lose them. It's easy to see who will be able to compete long term. Their tiny 2.5m in revenue will be us in 1 single city and only 35 employees bringing us nearly a mil in profit. I wonder what they are profiting on that 2.5m . We might be making more than them now. And we'll be there in less time than them too. Whatever happened to the scalability of tech companies?
Around 2007, i said something similar about Uber for ground transportation ... I was horribly wrong.