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In Feb we did 1k+ transactions, done by 615 users. 4 months before that we did half. We're seeing a little bit more growth in usage in the last months than we s

• brudgers 10y ago
  For a back of envelope calculation, call that ~0.3 transactions per user per month and round the few cents up to a dollar and the revenue is $0.30 per user per month. That's $3.60 per year and the current acquisition cost is ~$60.00 per user without accounting for churn. Over twenty years that's $72.00 of lifetime value and $12.00 over acquisition costs. I'm not saying those are the numbers but they are a starting point for a pro forma. A low rate of engagement and a high cost of acquisition and a low margin per transaction are all considerations in terms of viability of the business. A changing regulatory landscape is a huge risk that probably does not favor small companies with constrained resources. The probability of lower prices in two years is an insight into the market, but not one that encourages investment. As an exercise, it might be useful to think about what should be done if the company does not obtain outside investment. How would bootstrapping work?