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>http://i.imgur.com/jNXw5PZ.png http://i.imgur.com/jNXw5PZ.png Here was the intended use of the $25M: "The funding will be used to implement two new features,
by downandout 12y ago
>http://i.imgur.com/jNXw5PZ.png http://i.imgur.com/jNXw5PZ.png
Here was the intended use of the $25M: "The funding will be used to implement two new features, a Facebook login and the ability to follow posts on a certain topic". This is what is wrong with Silicon Valley today. An afternoon project for a single developer gets $25M from investors. Please, someone give me just $10M....I've already implemented Facebook login for my apps.
- GCA10 12y agoThat's hilarious! In Web 1.0, people raised $7 million to buy a domain name. Needing $12.5 million to implement a Facebook login ($25/2 projects) is even more ridiculous.
- smt88 12y agoBox paid 7 figures for the Box.com domain name, so I wouldn't say that raising money to buy domains is dead yet.
- billmalarky 12y agoBox bought box.com roughly 6 years after they launched, they were already wildly successful (as box.net).
- blumkvist 12y agoHas box had a profitable quarter yet?
- burger_moon 12y agoIt doesn't look like it. https://www.google.com/finance?q=NYSE%3ABOX&fstype=ii&ei=IQpCVdnxFozrsQfT0YHwDw https://www.google.com/finance?q=NYSE%3ABOX&fstype=ii&ei=IQp...
- anonbanker 12y agohas Amazon?
- smt88 12y agoAmazon's first profitable quarter was in 2001: http://news.cnet.com/2100-1017-819688.html http://news.cnet.com/2100-1017-819688.html
- ryandrake 12y agoOh yea? I'll do it for $9M.
- harryh 12y agoI'm certain that if you can build a product that generates a huge buzz and gets millions of people to sign up that you will have absolutely no trouble raising that kind of money. So go for it!
- ryandrake 12y agoAhh, but we're not talking about building the whole product and generating buzz, etc. We're talking about the stated purpose for raising $25M: "The funding will be used to implement two new features, a Facebook login and the ability to follow posts on a certain topic". $25M. For TWO features. Hell, ignore my previous offer. I'd have given them a 92% discount and done that for a cool $2MM.
- kovvy 12y agoPace yourself. Be a little less eager to drop your price when you bargain. Try $24.5M first, then $24M. It's still a discount compared to the competitors. You're already asking for a price so low you might end up barely scraping $100,000 an hour.
- harryh 12y agoThat's not the actual purpose for the money. The purpose of the money was to grow the company. For a business < 1 year old it's impossible to predict what they'll need, so they just fill in the blank with some random sentence that no one cares about.
- blumkvist 12y agoExcellent business practice!
- 12y ago
- diminoten 12y agoI am beyond certain that investors did not fork over $25M for the two features outlined. There's simply no way that's all they were spending the money for.
- downandout 12y agoYep. They probably had to buy several cases of coconut water, made some very expensive visits to the Apple store, and the founders maybe bought a Mercedes or two.
- declan 12y agoHuh. I implemented iOS and Android Facebook login for https://recent.io/ https://recent.io/ in a few days last month. (The login code itself wasn't that time-consuming but UX, debugging, etc. took longer.)
- ma2rten 12y agoI am not familiar with Pitchbook. Where does that information come from?
- joshu 12y agoor maybe the source is wrong, or it was a throwaway line about what's next, or... it's very easy to believe the worst of others. but it's beneath you.