3 ms·

Middleman feudal tax garbage always seems great at first. In an abusive relationship that part is called the honeymoon period. The goals, the mindset of the pe

Middleman feudal tax garbage always seems great at first. In an abusive relationship that part is called the honeymoon period. The goals, the mindset of the perpetrator, and the end results are the same.

scarface74 4y ago
What feudal tax? The SaaS system that provides servicing and support for the point of sales system, merchant accounts, online ordering, designs web pages, and optional apps, optional hardware for pagers when someone’s table is ready or a text messaging notification system? Or are you referring to the app in the Apple Store that optionally supports Apple Pay (not in app purchasing) where the merchant is charged the standard credit card processing fee - $0.25 + 2-3% of the price? Would it be better if the person running the restaurant had to do all that themselves? I’ve seen a mom and pop pizza shop that had all of the technology of a papa Johns thanks to all of the SaaS offerings available
- walterbell 4y ago
  Hopefully white label SaaS will grow their marketshare - any estimates on annual revenue for that sector? Revenue for the major US delivery apps is currently in the billions, with feudal taxes.
  - scarface74 4y ago
    The difference is that GrubHub has high fixed costs and high variable costs for drivers. A SaaS model has fixed costs for developers, sales, support etc. But marginal costs to add new customers is minimal. Revenue may be in the billions. But they are all losing money. The smaller companies can easily be “lifestyle businesses” that hire in low cost of living areas and go after “enterprise devs” who are very happy to make $135k - $165K and don’t expect “equity”. I spent most of my entire career as an “enterprise dev” working with SaaS companies in the bill payment space, field services, and health care. I’m in $BigTech now working in the cloud consulting department working with a lot of the same types of companies.

scarface74 4y ago

What feudal tax? The SaaS system that provides servicing and support for the point of sales system, merchant accounts, online ordering, designs web pages, and optional apps, optional hardware for pagers when someone’s table is ready or a text messaging notification system? Or are you referring to the app in the Apple Store that optionally supports Apple Pay (not in app purchasing) where the merchant is charged the standard credit card processing fee - $0.25 + 2-3% of the price? Would it be better if the person running the restaurant had to do all that themselves? I’ve seen a mom and pop pizza shop that had all of the technology of a papa Johns thanks to all of the SaaS offerings available

walterbell 4y ago
Hopefully white label SaaS will grow their marketshare - any estimates on annual revenue for that sector? Revenue for the major US delivery apps is currently in the billions, with feudal taxes.
- scarface74 4y ago
  The difference is that GrubHub has high fixed costs and high variable costs for drivers. A SaaS model has fixed costs for developers, sales, support etc. But marginal costs to add new customers is minimal. Revenue may be in the billions. But they are all losing money. The smaller companies can easily be “lifestyle businesses” that hire in low cost of living areas and go after “enterprise devs” who are very happy to make $135k - $165K and don’t expect “equity”. I spent most of my entire career as an “enterprise dev” working with SaaS companies in the bill payment space, field services, and health care. I’m in $BigTech now working in the cloud consulting department working with a lot of the same types of companies.