Opinion
West: Consumer tech startups need to be in Silicon Valley
“Like if you're running a consumer product, you need to be in the Valley. You need to be in the U S”
Insight
West: Cloud software cut small business bookkeeping costs by two-thirds
“So I would say today, based on like just purely cloud software, the cost to deliver that, that set of books is now a third of what it used to be.”
Assertion Not checkable as stated
West: HubDoc maintains an NPS in the 80s
“And we have an NPS in the eighties, right?”
Assertion Not checkable as stated
HubDoc maintains net negative revenue churn in nearly every month
“We've seen that pretty much in every month since it has started charging people.”
Assertion Not checkable as stated
West: Australia's cloud accounting market is 3 to 5 years ahead of the US
“But the Australian market is about three to five years ahead of the American market.
Cloud accounting.”
Disclosure
West calls Vuru's sale to Wave Accounting a soft landing
“I would say, you know, soft landing.”
Assertion Not checkable as stated
West: HubDoc built over 700 web scrapers to fetch source documents
“So, so effectively we built over 700 web scrapers that go out and log in on your behalf and go and get your Verizon bill for instance.”
Disclosure
West: HubDoc plans to scale to 7,000 scrapers in five years
“And so, you know, we're taking that number from 700 to 7000 over the next five years.”
Assertion Not checkable as stated
HubDoc reaches 7,500 paying small business customers
“So we're at 7500 small businesses that pay us every month.”
Assertion Not checkable as stated
HubDoc counts over 1,000 accountant partners driving 6,500 to 7,000 businesses
“So we're at like call it a thousand plus accountant bookkeepers who are paying us today. And then, you know, I would say that 6500 to 700 or 6500 to 7000 small businesses come from the, that channel and the rest are just kind of direct small businesses that we…”
Assertion Not checkable as stated
HubDoc added over half its business in four to five months
“We've added Over half our business in the last, you know, four or five months.”
Assertion Not checkable as stated
HubDoc acquires accountant and bookkeeper customers for about $350 each
“So everything we've done apart from like paid conferences and stuff like that has primarily been inbound. So our cost of acquisition is pretty low on, on an accountant bookkeeper. So it's about 350 dollars.”
Assertion Not checkable as stated
HubDoc accountant customers retain for an average of 32 months
“Approximately 32 months.”
Assertion Not checkable as stated
HubDoc estimates accounting firm customer LTV at roughly $3,000
“So, so what I would say is, you know, our LTV is like it's still early days. So I would say it's about three grand roughly.”
Disclosure
West: HubDoc raised a couple million dollars from a strategic investor
“We've raised a couple million bucks from a strategic.”
Prediction Not checkable as stated
HubDoc Targets Growth from 1,000 to 5,000 Bookkeepers in 2017
“If we go from like a thousand account bookkeepers to 5000, right? Like, that's amazing.”
