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May 7, 2022 · 17m · top-founders

How He Used PLG to Hit $70k in Revenue this Month

Kim Hansen · 9m spoken Nathan Latka · 6m spoken
0:00 / 0:00

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Cake Equity founder Kim Hansen sits down with Nathan Latka to discuss how pivoting to a product-led growth model drove the cap table platform to $70k in MRR across 650 paying customers. He shares tactical insights on raising a $3M seed round, managing multi-jurisdiction equity compliance, and scaling software for remote-first teams.

How this conversation actually went

Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Nathan holds 41.3% of the talking time here. How this is scored →

Nathan as informed peer 5.2 Guest teaching 2.0 Guest disagreement 1.2 Nathan pushing back 3.0
05100:0010:000:48–3:53 · Nathan as informed peer 5/10 Kim Hansen's Background and Equity Pain Points Latka introduces the company and relates Kim's equity challenges to standard US setups like Carta and ESOP pools. Kim explains the historical lack of maturity in European and Australian cap table management.3:53–8:53 · Nathan as informed peer 6/10 Company Genesis, Blockchain Pivot, and Pre-Seed Funding Latka drills into the funding history, breaking down the exact tranches and pressing Kim on why he took dilution instead of bootstrapping after prior exits. Kim defends the decision by highlighting high Australian salaries and the value of strategic VC networks.8:56–13:00 · Nathan as informed peer 7/10 Founderpath Valuation Tool Sponsor Break Latka corrects Kim on SaaS terminology regarding negative retention versus negative churn, then challenges the premise of strong growth behind an 84x ARR seed valuation multiple. Kim responds by clarifying that his run rate at the time was actually $240k ARR rather than $10k MRR.13:00–15:55 · Nathan as informed peer 5/10 International Expansion, Remote Hiring, and Acquisition Channels Latka presses on the go-to-market playbook and asks Kim to clarify partner kickbacks and CAC calculations. Kim details their 20% discount model and operational partner referral fees.15:55–17:00 · Nathan as informed peer 3/10 The Famous Five Rapid-Fire Questions Standard Famous Five rapid-fire questionnaire with concise, cooperative answers and a final recap summary by Latka.0:48–3:53 · Guest teaching 2/10 Kim Hansen's Background and Equity Pain Points Latka introduces the company and relates Kim's equity challenges to standard US setups like Carta and ESOP pools. Kim explains the historical lack of maturity in European and Australian cap table management.3:53–8:53 · Guest teaching 2/10 Company Genesis, Blockchain Pivot, and Pre-Seed Funding Latka drills into the funding history, breaking down the exact tranches and pressing Kim on why he took dilution instead of bootstrapping after prior exits. Kim defends the decision by highlighting high Australian salaries and the value of strategic VC networks.8:56–13:00 · Guest teaching 4/10 Founderpath Valuation Tool Sponsor Break Latka corrects Kim on SaaS terminology regarding negative retention versus negative churn, then challenges the premise of strong growth behind an 84x ARR seed valuation multiple. Kim responds by clarifying that his run rate at the time was actually $240k ARR rather than $10k MRR.13:00–15:55 · Guest teaching 2/10 International Expansion, Remote Hiring, and Acquisition Channels Latka presses on the go-to-market playbook and asks Kim to clarify partner kickbacks and CAC calculations. Kim details their 20% discount model and operational partner referral fees.15:55–17:00 · Guest teaching 0/10 The Famous Five Rapid-Fire Questions Standard Famous Five rapid-fire questionnaire with concise, cooperative answers and a final recap summary by Latka.0:48–3:53 · Guest disagreement 1/10 Kim Hansen's Background and Equity Pain Points Latka introduces the company and relates Kim's equity challenges to standard US setups like Carta and ESOP pools. Kim explains the historical lack of maturity in European and Australian cap table management.3:53–8:53 · Guest disagreement 1/10 Company Genesis, Blockchain Pivot, and Pre-Seed Funding Latka drills into the funding history, breaking down the exact tranches and pressing Kim on why he took dilution instead of bootstrapping after prior exits. Kim defends the decision by highlighting high Australian salaries and the value of strategic VC networks.8:56–13:00 · Guest disagreement 3/10 Founderpath Valuation Tool Sponsor Break Latka corrects Kim on SaaS terminology regarding negative retention versus negative churn, then challenges the premise of strong growth behind an 84x ARR seed valuation multiple. Kim responds by clarifying that his run rate at the time was actually $240k ARR rather than $10k MRR.13:00–15:55 · Guest disagreement 1/10 International Expansion, Remote Hiring, and Acquisition Channels Latka presses on the go-to-market playbook and asks Kim to clarify partner kickbacks and CAC calculations. Kim details their 20% discount model and operational partner referral fees.15:55–17:00 · Guest disagreement 0/10 The Famous Five Rapid-Fire Questions Standard Famous Five rapid-fire questionnaire with concise, cooperative answers and a final recap summary by Latka.0:48–3:53 · Nathan pushing back 2/10 Kim Hansen's Background and Equity Pain Points Latka introduces the company and relates Kim's equity challenges to standard US setups like Carta and ESOP pools. Kim explains the historical lack of maturity in European and Australian cap table management.3:53–8:53 · Nathan pushing back 4/10 Company Genesis, Blockchain Pivot, and Pre-Seed Funding Latka drills into the funding history, breaking down the exact tranches and pressing Kim on why he took dilution instead of bootstrapping after prior exits. Kim defends the decision by highlighting high Australian salaries and the value of strategic VC networks.8:56–13:00 · Nathan pushing back 6/10 Founderpath Valuation Tool Sponsor Break Latka corrects Kim on SaaS terminology regarding negative retention versus negative churn, then challenges the premise of strong growth behind an 84x ARR seed valuation multiple. Kim responds by clarifying that his run rate at the time was actually $240k ARR rather than $10k MRR.13:00–15:55 · Nathan pushing back 3/10 International Expansion, Remote Hiring, and Acquisition Channels Latka presses on the go-to-market playbook and asks Kim to clarify partner kickbacks and CAC calculations. Kim details their 20% discount model and operational partner referral fees.15:55–17:00 · Nathan pushing back 0/10 The Famous Five Rapid-Fire Questions Standard Famous Five rapid-fire questionnaire with concise, cooperative answers and a final recap summary by Latka.

speaking balance: gold is Nathan, purple is the guest (3 minute bins)

0:00 · Nathan 48.7% · guest 51.3%0:00 · Nathan 48.7% · guest 51.3%3:00 · Nathan 28% · guest 72%3:00 · Nathan 28% · guest 72%6:00 · Nathan 31.5% · guest 68.5%6:00 · Nathan 31.5% · guest 68.5%9:00 · Nathan 59.8% · guest 40.2%9:00 · Nathan 59.8% · guest 40.2%12:00 · Nathan 29.6% · guest 70.4%12:00 · Nathan 29.6% · guest 70.4%15:00 · Nathan 52.6% · guest 47.4%15:00 · Nathan 52.6% · guest 47.4%
Sharpest disagreement ▶ 12:44 Disputing Multiple Calculation

Kim rejects Latka's calculation of an 84x multiple based on $10k MRR, correcting him that their ARR was already at $240k.

 Hardest push from Nathan ▶ 12:00 Challenging 'Strong Growth' Narrative

Latka interrupts Kim's justification of his valuation, pressing him on how $10k MRR could justify claiming massive growth at a $13M post-money valuation.

 Biggest teaching moment ▶ 12:44 Clarifying Historical ARR Base

Kim educates Latka on their true financial trajectory by pointing out that the April revenue baseline was significantly higher than the initial rough estimate.

 Nathan holds their own ▶ 10:29 Correcting Negative Retention Terminology

Latka immediately catches and corrects Kim's misuse of 'negative retention rate', explaining that he means negative churn or net dollar retention.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Kim Hansen's Background and Equity Pain Points 5212 Latka introduces the company and relates Kim's equity challenges to standard US setups like Carta and ESOP pools. Kim explains the historical lack of maturity in European and Australian cap table management.
Company Genesis, Blockchain Pivot, and Pre-Seed Funding 6214 Latka drills into the funding history, breaking down the exact tranches and pressing Kim on why he took dilution instead of bootstrapping after prior exits. Kim defends the decision by highlighting high Australian salaries and the value of strategic VC networks.
Founderpath Valuation Tool Sponsor Break 7436 Latka corrects Kim on SaaS terminology regarding negative retention versus negative churn, then challenges the premise of strong growth behind an 84x ARR seed valuation multiple. Kim responds by clarifying that his run rate at the time was actually $240k ARR rather than $10k MRR.
International Expansion, Remote Hiring, and Acquisition Channels 5213 Latka presses on the go-to-market playbook and asks Kim to clarify partner kickbacks and CAC calculations. Kim details their 20% discount model and operational partner referral fees.
The Famous Five Rapid-Fire Questions 3000 Standard Famous Five rapid-fire questionnaire with concise, cooperative answers and a final recap summary by Latka.

Statements from this episode (11)

Assertion Not checkable as stated
Hansen: Portugal's startup ecosystem lacked cap table and ESOP maturity
“At the time I was in Portugal building a team there and it was you know, the maturity wasn't there at all in regards to the cap table management and equity and all of that. So especially from CFOs at that time, it's, it was just too complicated with tax and al…”
Kim Hansen May 7, 2022 ▶ 1:55
Assertion Not checkable as stated
Hansen: Cake Equity customers pay an average of AU$100 per month
“They pay a hundred Australian dollars for kind of average our package is, is split in, in the kind of early startups kind of the ones that are in that product market fit growth place and then for kind of later stage.”
Kim Hansen May 7, 2022 ▶ 2:51
Insight
Hansen: Blockchain compliance must precede equity transaction infrastructure
“Also because in the blockchain space, nobody was kind of Solving the legal and compliance and all of those things, which you actually have to solve before you put the platform, the infrastructure for equity transactions in place.”
Kim Hansen May 7, 2022 ▶ 4:18
Disclosure
Hansen: Cake Equity Raised $3M From Jason Calacanis and Rampersand
“So we actually had an, so we had the initial round and then we actually had three rounds so far, 500 K one million. And last year we raised three million with Jason Calacani's and Ram percent coming in on board.”
Kim Hansen May 7, 2022 ▶ 6:25
Disclosure
Hansen: Cake Equity Raised $3M Seed at $10M Pre-Money Valuation
“Ten million pre-money valuation.”
Kim Hansen May 7, 2022 ▶ 7:17
Disclosure
Hansen: Cake Equity Has ~3,000 Users and ~650 Paying Customers
“So we have around 3000 people using the platform. We have yeah, 650 or something paying customers.”
Kim Hansen May 7, 2022 ▶ 8:47
Disclosure
Hansen: Cake Equity reaches around $70k in MRR
“Yeah, we actually had I guess around seven TK MRR.”
Kim Hansen May 7, 2022 ▶ 10:21
Prediction Not checkable as stated
Latka: Cake Equity will cross $1M ARR run rate by year-end 2022
“So you'll break the million dollar run right here by the end of the year, for sure.”
Nathan Latka May 7, 2022 ▶ 10:26
Disclosure
Hansen: Cake Equity has 105% net dollar retention
“A 105%.”
Kim Hansen May 7, 2022 ▶ 10:51
Assertion Not checkable as stated
Hansen: Cake Equity holds 20% market share in Australia
“We have 20% market share in Australia, and that is growing every day.”
Kim Hansen May 7, 2022 ▶ 12:27
Assertion Not checkable as stated
Hansen: Cake Equity's customer acquisition cost is under $1,000
“It's less than a thousand dollars and we can optimize a lot on that as we get our SEO engine working. Well, this is going to be reduced a lot.”
Kim Hansen May 7, 2022 ▶ 15:45
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