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Zero network effects, escalating acquisition costs as the space gets more saturated, and few other potential acquirers. Having said that, this isn't a bad outc

Zero network effects, escalating acquisition costs as the space gets more saturated, and few other potential acquirers. Having said that, this isn't a bad outcome by any stretch so congrats to them.

zapita 8y ago
Yes it is absolutely a fantastic outcome for the team, probably life-changing for many of them. If their situation was what you described, they played their hand very well.
- eldavido 8y ago
  This isn't my opinion, it's more like "business physics". Any company without network effects is going to have escalating acquisition costs as they have to convince more highly indifferent users/customers to come onboard. This is why Weebly is a 360 million dollar company and Uber is a 30 billion dollar company (100x difference). Uber is building a monopoly that almost completely precludes competition. There simply isn't anything close to this in Weebly's business model. Blue Apron is a good example of what happens when CAC gets out of line. Check it out.
  - zapita 8y ago
    > This isn't my opinion, it's more like "business physics". Of course it's your opinion. You don't actually know their acquisition costs, or the strength of their network effects. You're out here making educated guesses, like the rest of us. Just because you're really confident about your guess doesn't make it automatically correct.
- scurvy 8y ago
  Life-changing for only a handful of people, including the founders. Weebly only had 5-6 employees before their series A fundraising. Considering how option grant size goes down from round to round, it's doubtful that anyone post series A is getting Lambo-life-changing money. Still, it will be welcome liquidity for an otherwise theoretical stock option (and probably new RSU grants for many). I think the biggest life-changing event for most will be working at mid-Market vs their current office in Soma.

Zero network effects, escalating acquisition costs as the space gets more saturated, and few other potential acquirers. Having said that, this isn't a bad outcome by any stretch so congrats to them.

zapita 8y ago

Yes it is absolutely a fantastic outcome for the team, probably life-changing for many of them. If their situation was what you described, they played their hand very well.

eldavido 8y ago
This isn't my opinion, it's more like "business physics". Any company without network effects is going to have escalating acquisition costs as they have to convince more highly indifferent users/customers to come onboard. This is why Weebly is a 360 million dollar company and Uber is a 30 billion dollar company (100x difference). Uber is building a monopoly that almost completely precludes competition. There simply isn't anything close to this in Weebly's business model. Blue Apron is a good example of what happens when CAC gets out of line. Check it out.
- zapita 8y ago
  > This isn't my opinion, it's more like "business physics". Of course it's your opinion. You don't actually know their acquisition costs, or the strength of their network effects. You're out here making educated guesses, like the rest of us. Just because you're really confident about your guess doesn't make it automatically correct.
scurvy 8y ago
Life-changing for only a handful of people, including the founders. Weebly only had 5-6 employees before their series A fundraising. Considering how option grant size goes down from round to round, it's doubtful that anyone post series A is getting Lambo-life-changing money. Still, it will be welcome liquidity for an otherwise theoretical stock option (and probably new RSU grants for many). I think the biggest life-changing event for most will be working at mid-Market vs their current office in Soma.