Opinion
Stern: Stripe is insufficiently sophisticated for recurring utility billing
“It's just not a sophisticated enough tool for reoccurring payments or someone to pause their payments or someone to process, you know, ongoing water or utility bills.”
Assertion Supported
Stern: Advantage Capital used state lobbyists to create government capital incentive programs
“And Advantage was a very unique type of private equity investor in that it used a network of state and local lobbyists across the country to create programs where government incentivized capital and to come into very vulnerable areas.”
Assertion Not checkable as stated
Stern: 20% to 30% of Census special district records are invalid
“About 20 or 30% of the census list Unreachable, whether they'd been dissolved, or didn't have a real phone number, or weren't a real district”
Insight
Stern: Mapping the TAM is the biggest barrier in GovTech
“Figuring out that TAM is really the biggest barrier to entry in this market.”
Assertion Not checkable as stated
Stern: Streamline sees a 37% demo conversion rate from calls
“I mean, we have them making between 50 and 65 calls a week. And I would say of that, we have about a 37% translation rate into S-threes.”
Assertion Not checkable as stated
Stern: Streamline achieves a roughly 60% close rate on demos
“And then we have about a 60% close rate on demos.”
Prediction Not checkable as stated
Stern: Raising $6M to $8M will bring Streamline to profitability in 18 months
“Yeah, I think we're looking to raise between six and eight. I think that will allow us to get to profitability in the next 18 months.”
Assertion Supported
Stern: US special districts average $5M in annual budget size
“The average is five million, but there's a real spectrum, right?”
Assertion Not checkable as stated
Stern: Streamline's average customer pays about $275 per month
“Our average monthly customer is paying us about 275 dollars a month.”
Disclosure
Stern: Streamline captures roughly 1% net margin on platform payments
“We are in, we're processing payments tomorrow, and we're keeping about one percent of that.”
Assertion Not checkable as stated
Stern: Streamline surpasses 1,450 special district customers
“We just passed our 1450th customer.”
Disclosure
Stern: Streamline loses large utility deals due to payment processing gaps
“Stripe is a great stock gap for what our districts need right now, but we are losing out on deals like water and utility districts, which are much bigger fish because we can't process sophisticated.”
Assertion Not checkable as stated
Stern: Streamline grew revenue 122% over the past year
“We incorporated 18 months ago, and we grew 122% this year.”
Assertion Not checkable as stated
Stern: Streamline was generating $120K to $140K monthly a year ago
“Between, between a 120, a 140.”
Disclosure
Stern: Streamline raised $2M seed party round in common stock
“We did a seed where we only offered common stock, but did about two million dollars in what we're calling a party round.”
Disclosure
Stern: Streamline is raising Series A with active term sheets
“That was last year, and right now we're raising an A. Okay, interesting. And we have a couple of term sheets in play right now.”
Disclosure
Stern: Streamline raised seed round at $14M post-money valuation
“It was a 12 pre-fourteen post.”
Assertion Supported
Stern: 2017 US Census counted 40,000 special districts
“The census did exploration in 2017, and they came up with the number 40,000.”
