Disclosure
Giloff: ShipIt's existing investors refused $600k bridge and advised bankruptcy
“I went to my investors and I was like, Hey guys, we have a problem. We don't have a term sheet anymore. But I made out a plan. I need 600 K to do all the changes I need. I need to close Mexico operation. I need to fire people, pay their money. So I need that a…”
Opinion
Giloff: South American Employee Laws Make Payroll Logistics Workers Too Expensive
“Chilean laws and actually like South American laws are very like employer, sorry, employee focused. So it's actually very, very hard to have them in your payroll. Like it's going to be expensive.”
Assertion Not checkable as stated
Giloff: ShipIt GMV peaked at nearly $13M before dropping to $6M
“Twenty-nineteen, we're selling 2.5 million. Twenty-twenty, we sold ten million. Twenty-twenty-one, we sold like, almost thirteen million. And twenty-twenty-two, we sold- One, three? Yeah, 13. And then 20, 22, we sold six million.”
Disclosure
Giloff: ShipIt attempted to raise $10M at a $13M valuation
“We were raising ten million at the 13 pre-money valuation, and out of those 10,000,005 were for, like working capital and five were for to purchase a Mexican company.”
Disclosure
Giloff: ShipIt downsized staff from 110 to 25 employees
“And I had to decrease the team from one 10 to 25 guys.”
Disclosure
ShipIt Shifted Logistics Pickup Staff From Full-Time Employees to Contractors
“At the beginning, there were like full-time employees for us, but then we had them change to a, like, company contractors, right?”
Prediction Not checkable as stated
Giloff: ShipIt will generate about $500K in EBITDA in 2023
“And probably as an EBITDA, like bottom line, like you say, it's going to be like 500 thousand.”
Disclosure
Giloff: VCs withdrew signed term sheet for ShipIt fundraising
“We had a term sheet signed with two VCs, and they withdrew the term sheet.”
Disclosure
Giloff: ShipIt accumulated $2 million in debt
“At the time being, I'd say, like, we have a two million dollar debt.”
Assertion Not checkable as stated
Giloff: ShipIt pivoted from -$200k/month burn to +$40k/month cash flow
“Since the changes, I went from -200 K to a positive 40 K per month.”
Disclosure
Giloff: ShipIt co-founders own roughly 49% of the company
“Probably around 49%.”
Assertion Not checkable as stated
Giloff: ShipIt increased its take rate from 18-19% to 26%
“And actually my take rate went from probably 1819 to a nice juicy 26%, which is almost a 40% increase.”
Assertion Not checkable as stated
Giloff: ShipIt lost 200 customers with only 7% revenue churn
“Obviously I had to do some discounts, but I went down from 1000 customers to probably 800, and I had a churn of probably like seven percent revenue.”
