Insight
Davis: Tech stack choices do not matter for early startup launches
“I wasted so much time, like, debating on whether to choose Rails or, you know, Java or, like, all this stuff. It does not matter. I mean, you can do a startup on an email list or write it in Cobalt for, like, you know, anybody cares. Just get it out. Try to ge…”
Assertion Supported
Davis: Food trucks cost $75,000 to start versus $250,000-$500,000 for restaurants
“Take a brick and mortar restaurant and you, if you get into that, it's, you know, maybe 250,000 or 500,000 and a multi-year lease just to really start a business. But with a food truck, you can do it on a fraction of the cost where, you know, maybe 75,000 gets…”
Insight
Davis: Food trucks allow lean customer experimentation before opening brick-and-mortar restaurants
“So the nice thing about food trucks is you get kind of this experiment where you go around and you see where your customers are. You get to iterate, find success, and then take that to you know, brick and mortar.”
Insight
Davis: Office landlords host food trucks for free to boost tenant retention
“What happens is you have like A 20 story building and the property owner, if they get like, you know, a little tiny bit, they don't really care. What they want is the quality of life that comes from like, hey, all these companies should stay in our building ve…”
Assertion Contradicted
Davis: There are no major nationwide mobile food vendor chains
“There really are no nationwide or worldwide kind of the mobile vendors. Cousins Made Lobster might be the closest one where you have a food truck, you know, a franchise of 16 across the country”
Disclosure
Davis: Geekatoo Raised Entire $2.7M Capital on Convertible Notes
“Just convertible notes.”
Assertion Not checkable as stated
HelloTech only covered half of LA before acquiring nationwide competitor Geekatoo
“They were only in a kind of like half of LA where we had this nationwide network.”
Assertion Supported
Davis: Average food truck generates about $290,000 in annual gross revenue
“So like the average truck does about 290 K gross in a year.”
Assertion Not checkable as stated
Best Food Trucks has 1,000 food trucks across 10 cities
“The nice thing is that for the lot booking, so the process in which by the trucks Actually, both spots here in LA and 10 cities across the country. We have a thousand trucks that are using the system.”
Assertion Not checkable as stated
Davis: Best Food Trucks processed $1M in lot bookings in 2017
“In 2017, we processed in 2017, we processed a million dollars in revenue from
the trucks giving money to the organizers.”
Disclosure
Davis: Best Food Trucks is raising $500,000
“About 500 K right now.”
Assertion Not checkable as stated
Davis: Geekatoo has over 7,000 technicians nationwide
“Now we have over 7000 providers nationwide.”
Disclosure
Geekatoo grew from $20K revenue in 2013 to $300K/month by acquisition
“When we first got actual customers was about 2013. So our first year revenue for that was probably about 20,000. But then we quickly grew from, you know, 60 to a 130, and then at the time of when we got acquired, we were doing about two 75 to about 300.”
Disclosure
Davis: Support Plans Account for About 20% of Geekatoo's Monthly Revenue
“So it's about 20%. I, you know, in the beginning when we launched it was about eight percent. It's definitely growing.”
Disclosure
Davis: Geekatoo Raised About $2.7M From Eric Ries and 500 Startups
“We raised capital. So a total of about 2.7 million from you know, like Eric Ries 500 startups, Dave McClure.”
Assertion Not checkable as stated
Davis: Geekatoo's 2015 revenue was between $3M and $4M
“My guess is, is between three and four, probably closer to four.”
Assertion Not checkable as stated
Davis: Geekatoo averaged a 30% take rate per job
“It's, you know, the 20 to 35% average about 30% of the take that we get per job and then after that so imagine like a 99 dollar job, you'll pay out 70 to the provider and keep 29”
Assertion Not checkable as stated
Davis: Geekatoo achieved $20 to $30 CAC with zero-cost partnerships
“The blended answer for that is, you know, at our best, we were doing it for about 20 to 30 bucks. There were some cases where it was a little bit larger, but the difference is that the partnerships were zero cost.”
Assertion Supported
Davis: HelloTech raised $17 million shortly after founding
“They started up last year and because of that pedigree, they were able to raise just like seventeen million almost right out of the gate.”
Disclosure
Geekatoo investors took equity in HelloTech instead of a cash exit
“They're on the Hello Tech cap table.”
Disclosure
Davis: Geekatoo Served Roughly 40,000 Customers Over Six Years
“This is a not exact number, but I know that we started it with a ticket number at 10,000. Thousand or like 55. So something about in the realm of 40,000 customers during that time.”
Assertion Not checkable as stated
Davis: Geekatoo's average order value was around $130
“Average cart would be about, you know, in the one 30 range with about, you know, 1.2 services.”
What-if
Davis: Geekatoo could have launched in three months instead of 18
“And if we had listened to that, it wouldn't have taken a year and a half for me to, you know, get that first product out. We could have done three months and I could have solved some of these challenges earlier.”
