Sunday, April 6, 2008

June Goal and Funding

I had a meeting today with a classmate from Chicago GSB and we went over the Linkspank pitch and discussed funding stuff. The pitch still needs some improvement but I'm happy with how it's coming along. The business model is laid out a bit more clearly too and some of the questions from the Investor Roundtable a few weeks ago helped me. Facebook makes about $5 of revenue per user per year based on advertisements. With its current activity, Linkspank would make about $1.50 per user per year. So you set the baseline for revenue that way and make arguments at growing the $1.50 to $5 and beyond, while keeping costs lower than a Facebook say.

His insights were different insights though, and they were quite helpful. He strengthened my resolve to gun for 10,000 spankers ASAP (June is the goal). So returning from Chicago I'm quite refreshed to prosecute the many prongs of this growth plan!