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Jan 26, 2022 · 23m · top-founders

Fanbase Helps Creators Monetize, 200k Downloads, $300k in Total Volume

Isaac Hayes III · 11m spoken Nathan Latka · 8m spoken
0:00 / 0:00

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Fanbase founder and CEO Isaac Hayes III joins Nathan Latka to discuss the platform's freemium social architecture, $3.5 million equity crowdfunding campaign, and unit economics across 200,000 lifetime downloads. The interview explores the tension between driving rapid community engagement and establishing clear transactional software revenue.

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 41.5% of the talking time here. How this is scored →

Nathan as informed peer 6.4 Guest teaching 3.2 Guest disagreement 4.0 Nathan pushing back 6.2
05100:0010:0020:003:08–6:35 · Nathan as informed peer 5/10 Early Proof of Concept, Viral Growth, and In-App Economy Nathan drills down on the specifics of user growth, active user definitions, and total platform transactions. Isaac provides the metrics and explains the virtual currency mechanics collaboratively.6:35–10:07 · Nathan as informed peer 6/10 Funding History, Tech Partners, and Team Expansion Nathan presses Isaac on dev shop equity and crowdfunding valuation math. Isaac hesitates to share the exact cap table breakdown before settling on a 1-10% range with Nathan.10:07–12:24 · Nathan as informed peer 6/10 Monetization Mechanics and the Community Growth Priority Nathan expresses disbelief that Isaac does not know his 30-day platform volume off the top of his head. Isaac pushes back on the SaaS-focused premise, arguing community growth must precede revenue optimization.12:27–17:08 · Nathan as informed peer 7/10 Sponsor Break: Flatfile Data Onboarding Platform Following the mid-roll ad read, Nathan dissects Isaac's claim of 85 minutes of daily engagement across 50k users. Nathan forces Isaac to clarify the difference between monthly active users and daily active users.17:09–21:44 · Nathan as informed peer 8/10 Examining Platform Volume, Cash Outs, and Long-Term Viability Nathan calculates that a 20% take on $300k volume means only $60k all-time platform revenue, then pulls data directly from the company's StartEngine campaign page. Isaac defends the platform's economics by highlighting unpaid balances and minimum payout thresholds.3:08–6:35 · Guest teaching 3/10 Early Proof of Concept, Viral Growth, and In-App Economy Nathan drills down on the specifics of user growth, active user definitions, and total platform transactions. Isaac provides the metrics and explains the virtual currency mechanics collaboratively.6:35–10:07 · Guest teaching 2/10 Funding History, Tech Partners, and Team Expansion Nathan presses Isaac on dev shop equity and crowdfunding valuation math. Isaac hesitates to share the exact cap table breakdown before settling on a 1-10% range with Nathan.10:07–12:24 · Guest teaching 4/10 Monetization Mechanics and the Community Growth Priority Nathan expresses disbelief that Isaac does not know his 30-day platform volume off the top of his head. Isaac pushes back on the SaaS-focused premise, arguing community growth must precede revenue optimization.12:27–17:08 · Guest teaching 3/10 Sponsor Break: Flatfile Data Onboarding Platform Following the mid-roll ad read, Nathan dissects Isaac's claim of 85 minutes of daily engagement across 50k users. Nathan forces Isaac to clarify the difference between monthly active users and daily active users.17:09–21:44 · Guest teaching 4/10 Examining Platform Volume, Cash Outs, and Long-Term Viability Nathan calculates that a 20% take on $300k volume means only $60k all-time platform revenue, then pulls data directly from the company's StartEngine campaign page. Isaac defends the platform's economics by highlighting unpaid balances and minimum payout thresholds.3:08–6:35 · Guest disagreement 2/10 Early Proof of Concept, Viral Growth, and In-App Economy Nathan drills down on the specifics of user growth, active user definitions, and total platform transactions. Isaac provides the metrics and explains the virtual currency mechanics collaboratively.6:35–10:07 · Guest disagreement 3/10 Funding History, Tech Partners, and Team Expansion Nathan presses Isaac on dev shop equity and crowdfunding valuation math. Isaac hesitates to share the exact cap table breakdown before settling on a 1-10% range with Nathan.10:07–12:24 · Guest disagreement 5/10 Monetization Mechanics and the Community Growth Priority Nathan expresses disbelief that Isaac does not know his 30-day platform volume off the top of his head. Isaac pushes back on the SaaS-focused premise, arguing community growth must precede revenue optimization.12:27–17:08 · Guest disagreement 4/10 Sponsor Break: Flatfile Data Onboarding Platform Following the mid-roll ad read, Nathan dissects Isaac's claim of 85 minutes of daily engagement across 50k users. Nathan forces Isaac to clarify the difference between monthly active users and daily active users.17:09–21:44 · Guest disagreement 6/10 Examining Platform Volume, Cash Outs, and Long-Term Viability Nathan calculates that a 20% take on $300k volume means only $60k all-time platform revenue, then pulls data directly from the company's StartEngine campaign page. Isaac defends the platform's economics by highlighting unpaid balances and minimum payout thresholds.3:08–6:35 · Nathan pushing back 4/10 Early Proof of Concept, Viral Growth, and In-App Economy Nathan drills down on the specifics of user growth, active user definitions, and total platform transactions. Isaac provides the metrics and explains the virtual currency mechanics collaboratively.6:35–10:07 · Nathan pushing back 5/10 Funding History, Tech Partners, and Team Expansion Nathan presses Isaac on dev shop equity and crowdfunding valuation math. Isaac hesitates to share the exact cap table breakdown before settling on a 1-10% range with Nathan.10:07–12:24 · Nathan pushing back 7/10 Monetization Mechanics and the Community Growth Priority Nathan expresses disbelief that Isaac does not know his 30-day platform volume off the top of his head. Isaac pushes back on the SaaS-focused premise, arguing community growth must precede revenue optimization.12:27–17:08 · Nathan pushing back 7/10 Sponsor Break: Flatfile Data Onboarding Platform Following the mid-roll ad read, Nathan dissects Isaac's claim of 85 minutes of daily engagement across 50k users. Nathan forces Isaac to clarify the difference between monthly active users and daily active users.17:09–21:44 · Nathan pushing back 8/10 Examining Platform Volume, Cash Outs, and Long-Term Viability Nathan calculates that a 20% take on $300k volume means only $60k all-time platform revenue, then pulls data directly from the company's StartEngine campaign page. Isaac defends the platform's economics by highlighting unpaid balances and minimum payout thresholds.

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

0:00 · Nathan 51.7% · guest 48.3%0:00 · Nathan 51.7% · guest 48.3%3:00 · Nathan 20.6% · guest 79.4%3:00 · Nathan 20.6% · guest 79.4%6:00 · Nathan 22.1% · guest 77.9%6:00 · Nathan 22.1% · guest 77.9%9:00 · Nathan 27.3% · guest 72.7%9:00 · Nathan 27.3% · guest 72.7%12:00 · Nathan 66.3% · guest 33.7%12:00 · Nathan 66.3% · guest 33.7%15:00 · Nathan 43.2% · guest 56.8%15:00 · Nathan 43.2% · guest 56.8%18:00 · Nathan 43.2% · guest 56.8%18:00 · Nathan 43.2% · guest 56.8%21:00 · Nathan 60.1% · guest 39.9%21:00 · Nathan 60.1% · guest 39.9%
Sharpest disagreement ▶ 20:16 Isaac rejects StartEngine revenue disclosure requirement

Isaac flatly rejects Nathan's assertion that revenue figures must be listed on StartEngine, asserting most companies do not post that information.

 Hardest push from Nathan ▶ 11:29 Nathan calls out founder for not knowing core revenue numbers

Nathan directly refuses Isaac's deflection on monthly numbers, expressing shock that a founder would not track their primary revenue driver daily.

 Biggest teaching moment ▶ 18:59 Isaac explains user cash-out mechanics and retained app funds

Isaac educates Nathan on the platform's $50 payout threshold and delayed user cash-outs, showing why revenue realized inside the app differs from typical marketplace flow.

 Nathan holds their own ▶ 20:34 Nathan cites StartEngine listing data and unit economics

Nathan leverages his personal relationship with StartEngine leadership and reads Fanbase's exact AOV and CAC metrics directly from their public filing to challenge their burn rate.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Early Proof of Concept, Viral Growth, and In-App Economy 5324 Nathan drills down on the specifics of user growth, active user definitions, and total platform transactions. Isaac provides the metrics and explains the virtual currency mechanics collaboratively.
Funding History, Tech Partners, and Team Expansion 6235 Nathan presses Isaac on dev shop equity and crowdfunding valuation math. Isaac hesitates to share the exact cap table breakdown before settling on a 1-10% range with Nathan.
Monetization Mechanics and the Community Growth Priority 6457 Nathan expresses disbelief that Isaac does not know his 30-day platform volume off the top of his head. Isaac pushes back on the SaaS-focused premise, arguing community growth must precede revenue optimization.
Sponsor Break: Flatfile Data Onboarding Platform 7347 Following the mid-roll ad read, Nathan dissects Isaac's claim of 85 minutes of daily engagement across 50k users. Nathan forces Isaac to clarify the difference between monthly active users and daily active users.
Examining Platform Volume, Cash Outs, and Long-Term Viability 8468 Nathan calculates that a 20% take on $300k volume means only $60k all-time platform revenue, then pulls data directly from the company's StartEngine campaign page. Isaac defends the platform's economics by highlighting unpaid balances and minimum payout thresholds.

Statements from this episode (11)

Assertion Not checkable as stated
Hayes: An early Fanbase creator earned $6,000 with under 10,000 total users
“One person made about 6000 dollars in a year and we had less than 10,000 users.”
Isaac Hayes III Jan 26, 2022 ▶ 3:30
Assertion Not checkable as stated
Hayes: Fanbase has reached almost 200,000 all-time downloads
“Probably almost 200,000.”
Isaac Hayes III Jan 26, 2022 ▶ 3:54
Assertion Not checkable as stated
Hayes: Fanbase gained 20,000 to 25,000 downloads over the past month
“Ooh, we just had a big uptick. Maybe, maybe 20, 25, 20,000.”
Isaac Hayes III Jan 26, 2022 ▶ 4:00
Assertion Not checkable as stated
Hayes: Fanbase creators have earned roughly $300,000 to $400,000 all-time
“Ooh, I don't know off the top, but I mean, it's, we're well over probably almost three or 400,000 dollars just thinking about all the users in our user base.”
Isaac Hayes III Jan 26, 2022 ▶ 4:34
Assertion Not checkable as stated
Hayes: 80% of active Fanbase users have earned money on the platform
“80% of the people that have actually used the app have actually made money.”
Isaac Hayes III Jan 26, 2022 ▶ 5:41
Assertion Supported
Fanbase raised nearly $3.5M on StartEngine at a $20M valuation
“We raised about 3.4, almost 3.5 million dollars, right at 3.5 million dollars at a twenty million dollar valuation.”
Isaac Hayes III Jan 26, 2022 ▶ 8:45
Disclosure
Hayes: Fanbase takes a 20% cut on in-app purchases
“So Fanbase takes 20% of all the revenue that comes through. So it goes through in-app purchases through the Apple App Store. So for every dollar, you know, Apple and Google take 30 cents. We take 20 and we pass 50 on to the user.”
Isaac Hayes III Jan 26, 2022 ▶ 10:12
Assertion Not checkable as stated
Hayes: Average daily Fanbase user spent 85 minutes per day in 2021
“The average daily user in 2021 spent an hour and 25 minutes a day in the room for 22,021.”
Isaac Hayes III Jan 26, 2022 ▶ 14:44
Assertion Not checkable as stated
Hayes: Fanbase has 50,000 to 60,000 monthly active users
“Our monthly active users are around 50 to 60,000.”
Isaac Hayes III Jan 26, 2022 ▶ 16:39
Disclosure
Hayes: Fanbase has generated roughly $300,000 in post-Apple platform volume
“That's what the platform has made. Probably about 300,000.”
Isaac Hayes III Jan 26, 2022 ▶ 17:59
Assertion Contradicted
Hayes: StartEngine does not require companies to list all revenue
“No, we don't have to always, we don't have to list all of our revenue on Start Engine. You don't have to do that.”
Isaac Hayes III Jan 26, 2022 ▶ 20:17
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