Gumroad

“And the way we manage flexibility and freedom at all costs is I just say, hey, this is what I think we should get done this quarter. This is what I think feels reasonable to me. And then we kind of backfill, you know, people say, okay, I'm going to work on tha…”

“20, 23, we'll do 60% of our net income. So we'll do about eight or so million in net income, and then we'll dividend out about six or so million.”

“Like I get thousands, literally like this last batch, we had 2000 applications. I've hired two people so far. So it's like one out of a thousand.”

“And so we basically have these like three roles, right? We have scoper designer and builder. And like, it's very much like kind of like this assembly line, of course, this can go back and forth, but there's like a very, Well-defined pipeline, right?”

“I, my belief is not today, but maybe in five years. Honestly, I don't think even today, like running, like it requires a lot of custom stuff. Like we had to do, build this whole product in order to run Gumroad this way.”

“Twenty million in revenue. We have 35 people working like this. We do, you know, eight or nine million in net income. And yet still we have no full-time employees. Like I'm not interested in hiring a single full-time employee.”

“People can earn equity in the business as well. So they can choose to take their hourly rate and convert up to 80% of their cash into equity. And then that equity entitles them to dividends, cash flow in the business.”

“Basically it's a GitHub repository that, you know, sort of is the source code for a website and a bunch of 10 99 contractors, freelancers work on it. And they do it just like they would work on an open source rails or something like that project where they're …”

“I was actually talking yesterday to Sahil from Gumroad, and this year they're gonna do 60% profit share With employees and shareholders.”

“We updated the charter so that basically I could run a dividend at this sort of 60% annual net income rate without their permission.”

“For the listener, it was June, 2015, this is a few months before Gumroad layoffs, revenue was 89,000 dollars a month net profit was 351,000, -351,000 dollars. They're burning 351,000 dollars. Obviously this was at the point in the business where still venture …”

“Kleiner at one point, I think we had one conversation before, but basically they were like, hey, we, you know, we'd be interested in selling our stake back to you for a dollar. And I was like, okay, sounds good. You know, like, I think they invested six millio…”

“I still own 57 or so percent of the company.”

“Now we do about a hundred and sixty million dollars a year in annualized GMV. So that's sort of like the marketplace volume of that we take. 10% ends up being our revenue, and that's how we make money. And about half of that ends up being our margin. So you ca…”

“It was just like, I no longer had any team members, right? Like I just had to run it myself. We were doing, I don't know, like 20 or 30,000 dollars in profit or something. So a month.”